Marathon Petroleum Corporation MPC
announced today that while it continues to evaluate strategic
alternatives to enhance shareholder value with respect to certain
midstream assets, MPC's board of directors has authorized and directed
its evaluation team to further explore the formation and initial public
offering of a master limited partnership (MLP) and to prepare a
registration statement.
If MPC determines to further pursue an initial public offering of an MLP,
the issuer would be a wholly-owned subsidiary, MPLX LP. MPC would
contribute a portion of its midstream assets to the MLP and sell a
minority interest in the MLP in an initial public offering. The
potential MLP would support MPC's strategy to grow its midstream
business, initially through a contribution of an interest in certain
onshore common carrier pipeline assets located in the Midwest and Gulf
Coast regions of the U.S.
If pursued, MPC would expect to file a registration statement relating
to the common units to be sold in a potential initial public offering
with the Securities and Exchange Commission during the third quarter,
subject to final MPC board approval and prevailing market conditions.
There can be no assurance that the evaluation process will lead to an
initial public offering of an MLP or any other transaction, or that if
any transaction is further pursued, that it will be consummated. This
announcement does not constitute an offer to sell, or the solicitation
of an offer to buy, any securities. This announcement is being issued
pursuant to, and in accordance with, Rule 135 under the Securities Act
of 1933.
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