Tennessee retailer expands operation with two new ventures.
Pilot Flying J announced two strategic partnerships to grow its service offerings in the exploration and production (E&P) sector. Through a joint venture and an acquisition, Pilot Flying J is extending its core logistics business with additional water, sand and crude hauling capabilities.
“With Pilot Flying J’s fleet size, safety record, balance sheet and geographic reach across all major oil and gas basins, we’re uniquely positioned to serve this industry,” Pilot Flying J President Ken Parent said in a prepared statement. “These partnerships are a key driver of our growth strategy and demonstrate the company’s ongoing commitment to diversifying our business.”
JOINT VENTURE
In June, Pilot Flying J, Produced Water Transfer LLC and Complete Vacuum and Rental LLC formed PDPS LLC, a new company operating under the name PWT LLC.
PWT will leverage its fleet of tanker trucks and network of salt water gathering pipelines and disposal facilities to provide salt water transportation and disposal services to the oil and gas sector. The new company will focus on providing services to producers across Louisiana, Oklahoma and Texas. Pilot Flying J will own a majority of the business, which will be managed by Produced Water Transfer’s President and CEO Steve Kent and his experienced management team.
ACQUISITION DEAL
This July, Pilot Flying J through its PWT Joint Venture purchased Bridger Environmental LLC, a salt water transportation and disposal company, from propane supplier Ferrellgas Partners, L.P. In addition, Pilot Flying J also acquired Ferrellgas Partners, L.P.’s crude transportation business operating under their Bridger Transportation subsidiary to continue expanding its current presence in the space.
Through the deal, Pilot Flying J and PWT will expand their tanker fleet and acquire 10 salt water disposal wells and two crude oil pipeline injection terminals in Wyoming.
This acquisition will make Pilot Flying J one of the largest third-party crude hauling fleets in the country, with more than 500 trucks on the road serving the oil and gas industry.
Headquartered in Knoxville, Tennessee, Pilot Flying J has more than 750 retail locations in 44 states.
