Buckeye Partners traces its roots to March, 1886, when The Buckeye Pipe Line Company was incorporated as a subsidiary of the Standard Oil Company. Buckeye became an independent publicly owned company after Standard Oil’s dissolution in 1911. Expansion into petroleum products transportation after World War II transformed the company into one of the nation’s largest independent common carrier pipelines. In 1964, Buckeye was acquired by a subsidiary of the Pennsylvania Railroad, which later became The Penn Central Corporation. In December 1986, the company was reorganized into its current form as a publicly-traded master limited partnership. Buckeye Partners has continued to grow, adding refined products terminalling operations, contract pipeline operation and maintenance, natural gas storage, and refined products marketing to the array of services offered to our customers.
The Buckeye Pipe Line Company originally was established to supply refineries in northwestern Ohio with crude oil gathered from local production sources. During the 1930s and 1940s, the company expanded its crude oil operations and constructed a network of trunk lines that supplied refineries from Chicago to Buffalo. As local production declined and was replaced by crude supply from the Mid-Continent and Gulf Coast regions, Buckeye’s pipelines continued to function as key supply lines for refineries in its service territory.
Buckeye began its first refined products pipeline operations in the mid 1940s. The company built new products lines in Ohio and Indiana and converted older idle crude lines to refined products service to meet emerging needs for supplying gasoline and distillates to local consumption markets.
During the 1950s, Buckeye extended its Midwest products network and concurrently constructed a new products pipeline system in New Jersey, Pennsylvania, and New York. During the 1960s and 1970s, the company built the first products pipeline through the streets of New York City in order to serve the three major airports and commercial customers in that metropolitan region. In 1977, the company acquired Jet Lines, Inc., a products pipeline system in New England. In the mid-1970s and early 1980s, Buckeye implemented a major capital investment program to increase its pipeline capacities, improve service to existing markets, and initiate service to new markets. This program included the addition of new pipelines, pumping equipment, tankage, and modern control equipment. In 1986, Buckeye further increased its refined products service through the acquisition of Laurel Pipe Line Company, which serves Pennsylvania markets from Philadelphia.
Buckeye entered the contract operations and maintenance business in 1999, with the acquisition of assets which included pipeline operating agreements for major chemical companies in the Gulf Coast region, a pipeline, and other related assets.
The company’s terminal business operations began in 2000 with the purchase of seven petroleum products terminals in Michigan, New York and Pennsylvania.
During the 2000’s, Buckeye continued to expand its pipeline and terminals business through acquisition.
In 2008, Buckeye acquired the wholesale refined products marketing operations of Farm & Home Oil Company and formed its Buckeye Energy Services business which is a wholsale distributor of refined products in the United States in areas also served by pipelines and terminals.
In February 2011, Buckeye completed its acquisition of Bahamas Oil Refining Company International (“BORCO”). BORCO is one of the largest marine crude oil and refined petroleum products storage facilities in the world and provides an array of logistics and blending services for petroleum products. The acquisition significantly expanded Buckeye’s market reach by adding a global logistics hub to the company’s portfolio of assets.
In July 2012, Buckeye acquired a marine terminal facility, Perth Amboy, in New York Harbor. This terminal should provide Buckeye with diversity of product supply and a link between our domestic assets and our BORCO facility in The Bahamas.
In December 2013, Buckeye acquired certain wholesale distribution contracts and 20 liquid petroleum products terminals. This acquisition strengthens Buckeye’s presence in major markets along the East Coast and further solidifies our position in the Caribbean.
In September 2014, Buckeye acquired an 80% interest in Buckeye Texas Partners, LLC, a joint venture with Trafigura AG. The acquisition expands our geographic and product diversity with a premier position on the U.S. Gulf Coast and in the prolific Eagle Ford shale.
History and the oil industry have seen many changes in the almost 130 years since Buckeye’s original formation. Buckeye has survived, grown, and prospered through those many years by diligently seeking to provide excellent service to meet the changing needs of its customers. Throughout the years, the company has continually adapted itself to accommodate new industry standards as they emerged, ever-changing markets and business conditions, continuously evolving technologies, as well as the many operating and economic challenges that time presents. From its modest nineteenth century beginning as a local crude gathering subsidiary, Buckeye in the twentieth century transformed itself into one of the nation’s largest independent common carrier refined products pipelines. Building on its successful reputation for excellent customer service, Buckeye has continued to prosper and grow to become a leading logistics service provider to the energy industry in the opening decade of the twenty-first century.