UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: October 8, 2002
(Date of Earliest Event Reported: October 7, 2002)
Commission File Number 1-11680
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EL PASO ENERGY PARTNERS, L.P.
(Exact Name of Registrant as Specified in its Charter)
Delaware 76-0396023
(State or Other Jurisdiction (I.R.S. Employer
of Incorporation or Organization) Identification No.)
El Paso Building
1001 Louisiana Street
Houston, Texas 77002
(Address of Principal Executive Offices)(Zip Code)
Registrant's Telephone Number, Including Area Code: (713) 420-2600
Item 5. Other Events.
El Paso Energy Partners, L.P. announced that it has selected
Valero Energy Corporation to become its 50 percent partner
in the Cameron Highway Oil Pipeline project. Cameron Highway,
originally announced in February 2002, will be a major, new
390-mile pipeline that will deliver up to 500,000 barrels of
oil per day from southern Green Canyon and western Gulf of
Mexico areas to the major refining areas of Port Arthur and
Texas City, Texas.
(c) Exhibits
Exhibit number Description
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99.1 Press Release dated October 7, 2002.
SIGNATURES
Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned hereunto duly
authorized.
EL PASO ENERGY PARTNERS, L.P.
By: EL PASO ENERGY PARTNERS COMPANY,
its General Partner
By: /s/ D. Mark Leland
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D. Mark Leland
Senior Vice President and Controller
(Principal Accounting Officer)
Date: October 8, 2002
Exhibit 99.1
El Paso Energy Partners Selects Valero Energy Corporation As
Partner On Cameron Highway Oil Pipeline Project
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HOUSTON, TEXAS, October 7, 2002-El Paso Energy Partners,
L.P. (NYSE:EPN) announced today that it has selected Valero
Energy Corporation (NYSE:VLO) to become its 50-percent
partner in the Cameron Highway Oil Pipeline project. Cameron
Highway, originally announced in February 2002, will be a
major, new 390-mile pipeline that will deliver up to 500,000
barrels of oil per day from southern Green Canyon and
western Gulf of Mexico areas to the major refining areas of
Port Arthur and Texas City, Texas. When completed, the
pipeline will be one of the largest crude oil delivery
systems in the Gulf of Mexico, sized to handle oil movement
for the three major Deepwater Trend discoveries that make up
its initial anchor fields as well as other deepwater oil
discoveries. EPN will operate the pipeline and plans to
place it in service during the third quarter of 2004.
EPN and Valero plan to fund the project through permanent
project debt financing, which would provide a significant
portion of Cameron Highway's capital requirements on a non-
recourse basis. The majority of the capital outlay for the
project will occur in 2003 and 2004. The companies have
signed a letter of intent and expect to reach a definitive
agreement during the fourth quarter of 2002. Consummation of
the transaction is subject to customary conditions to
closing, including the negotiation, approval, and execution
of definitive agreements.
"We are delighted at the prospect of having Valero, the
nation's premier independent refiner, as our partner in
Cameron Highway," said Robert G. Phillips, chief executive
officer of El Paso Energy Partners. "We received
considerable interest from potential partners. Valero's
extensive Gulf Coast refining assets would provide Cameron
Highway producers with enhanced benefits and services in the
Texas oil markets. EPN's industry-leading Gulf of Mexico
deepwater pipeline and platform expertise, together with
Valero's crude oil refining assets, make this a perfect
combination."
"The United States Department of the Interior's Minerals
Management Service estimates that ultimate Deepwater Gulf of
Mexico oil reserves are approximately 40 billion barrels of
oil and that by 2006 oil production will rise between 33 and
65 percent from current levels," Phillips continued. "Our
timing for Cameron Highway could not be better as it will
provide essential infrastructure to enable the development
of these critical new oil reserves."
El Paso Energy Partners, L.P. is one of the largest publicly
traded master limited partnerships with interests in a
diversified set of midstream assets, including onshore and
offshore natural gas and oil pipelines; offshore production
platforms; natural gas storage and processing facilities,
and natural gas liquids fractionation, transportation,
storage and terminal assets. Visit El Paso Energy Partners
on the Web at www.elpasopartners.com.
This release contains forward-looking statements and
projections made in reliance on the safe harbor provisions
of the Private Securities Litigation Reform Act of 1995. El
Paso Energy Partners has made every reasonable effort to
ensure that the information and assumptions on which these
statements and projections are based are current,
reasonable, and complete. However, a variety of factors
could cause actual results to differ materially from the
projections, anticipated results, or other expectations
expressed in this presentation, including, without
limitation, oil and natural gas prices; continued drilling,
exploration and production activity in the United States and
areas of the Gulf of Mexico serviced by El Paso Energy
Partners; integration of acquisitions; and successful
negotiation of customer contracts on its pipelines,
platforms, and storage facilities. While the partnership
makes these statements and projections in good faith,
neither the partnership, nor its management can guarantee
that the anticipated future results will be achieved.
Reference should be made to El Paso Energy Partners' (and
its affiliates') Securities and Exchange Commission filings
for additional important factors that may affect actual
results. The partnership assumes no obligation to publicly
update or revise any forward-looking statements made herein
or any other forward-looking statements made by the
partnership, whether as a result of new information, future
events, or otherwise.