November 8, 2005 - Tulsa, Okla. - SemMaterials, L.P. announced today that it will build its first Kansas polymer modified asphalt (PMA) terminal on a site acquired from Butaphalt Technologies, International (BTI), and that it also acquired from BTI asphalt technologies and related assets in Oklahoma. Terms for the purchase, effective October 31, 2005, were not disclosed. Construction on the site, located in Halstead, Kansas, is slated to begin before year end, and the new plant is expected to be operational for the 2006 paving season.
Frank Panzer, SemMaterials president and chief operating officer, said, "The purchase of the Kansas and Oklahoma assets is consistent with our commitment to meet the specifications and performance expectations of our customers throughout North America. The mid-United States has significant current paving needs - including both maintenance projects and new road constructions - and those needs are growing. It is our intention to be ready to meet supply and demand trends."
SemMaterials said that the new terminal, to be located approximately 35 miles northwest of Wichita, will employ at least five fulltime employees and will produce PMA and asphalt cement to serve the Kansas and surrounding-area market. SemMaterials currently owns and operates a total of 62 asphalt plants in the United States and Mexico and employs about 630.
Panzer said the BTI acquisition includes a well-equipped asphalt laboratory in Claremore, OK, in addition to license rights for numerous patents, know-how and technology used in the asphalt industry. The acquired assets will become part of the array of products that SemMaterials uses to help its customers address their asphalt needs.
SemMaterials, L.P. , a subsidiary of SemGroup, L.P. is one of the largest asphalt marketing companies in the United States and Mexico. The company develops, produces, markets and stores a diverse line of modified asphalts, asphalt emulsions and performance-based asphalt technologies.
SemGroup, L.P., is a privately held midstream company providing the energy industry means to move products from the wellhead to the wholesale marketplace. The company has five main energy stream business markets - crude oil, refined petroleum products, natural gas, natural gas liquids and asphalt - and serves them through its various North American subsidiaries. for additional information visit www.semgrouplp.com.
Contact Information:
SemMaterials, L.P.
Susan Dornblaser
SemGroup - Public Information
SemGroup phone: 918.528.8365
Cell phone: 918.640.6395