US Development Group, LLC (through a wholly-owned affiliate, collectively USD) and Gibson Energy Inc. (Gibson) (TSX: GEI)”) have formed a 50%/50% joint venture to advance the construction of a Diluent Recovery Unit (“DRU”) at the Hardisty Terminal and have finalized the required commercial agreements to sanction the development and construction of the initial phase of the DRU at 50,000 barrels per day of inlet bitumen blend capacity and enable rail shipments of DRUbit™ to the U.S. Gulf Coast. The joint venture has also executed an engineering, procurement and construction agreement with WorleyCord for completion of certain DRU facilities.
Gibson is a Canadian-based oil infrastructure company with its principal businesses consisting of the storage, optimization, processing, and gathering of crude oil and refined products. Headquartered in Calgary, Alberta, the Company’s operations are focused around its core terminal assets located at Hardisty and Edmonton, Alberta, and also include the Moose Jaw Facility and an infrastructure position in the U.S.
Gibson was represented by Senior Legal Counsel Dave Reschke and Bennett Jones LLP, with a team led by Christopher Skelton (Corporate/M&A), Geoffrey Stenger (Infrastructure/Energy), Alan Rautenberg (Corporate Tax), Megan Bertram (Corporate/Energy) and Emerson Frostad (Corporate/Energy).
USD was represented by General Counsel Keith Benson and Burnet, Duckworth & Palmer LLP, with a team led by Katherine Pybus (Corporate/Banking), Sean Korney (Corporate/Energy), Mark Houston (Corporate/Energy), Heather DiGregorio (Tax), Brendan Downey (Corporate/Energy), Robyn Finley (Corporate/Energy), Brandon Holden (Tax), Thomas Ostrowerka (Real Estate) and John Sanche (Corporate/IP).
WorleyCord was represented by General Counsel Garett Eisenbraun.