Americas News
Private Equity-Backed Firm to Build Terminals
Private equity firm Warburg Pincus will invest as much as $600 million in new, U.S.-based Zenith Energy to support the construction of oil and natural gas terminals in the U.S., Latin America, Europe, and Africa, the New York Times reports.
Zenith, which is led by Jeffrey R. Armstrong, the former head of corporate development for Kinder Morgan, may also invest in pipelines and barges.
"We are pleased to partner with Jeff and the Zenith team to leverage their unique knowledge, experience and impressive track record in terminaling to build a business of scale," said In Seon Hwang, a managing director at Warburg Pincus.
"With growing crude production and shifting patterns of product flows, we are excited about Zenith's growth prospects."
Hwang said terminals are growing because of rising transport, storage, and exporting of oil and related products in the U.S. and elsewhere, according to the Houston Business Journal.
"These are valuable assets that are necessary to the infrastructure of energy," he said.
Hwang said some of the new Zenith assets may be in the Houston region, where it is based, along the Houston Ship Channel.
