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Lehigh County firm buys natural gas storage business

Buckeye GP LLC, the general partner of Buckeye Partners L.P., said today it agreed to buy a natural gas storage facility northern California for $440 million in stock and debt securities.

Buckeye GP LLC, the general partner of Buckeye Partners L.P., said today it agreed to buy a natural gas storage facility northern California for $440 million in stock and debt securities.

The storage facility, Lodi Gas Storage LLC will be acquired from ArcLight Capital Partners LLC. Lodi has a storage business near Lodi, Calif., and a nearby expansion facility. The combined operations provide about 22 billion cubic feet of working gas capacity and are connected to Pacific Gas and Electric's intrastate gas pipelines that serve natural gas demand in the San Francisco and Sacramento areas.

Buckeye Partners of Breiningsville, near Allentown, operates refined petroleum products pipeline systems and 51 refined petroleum products terminals. Shares of Buckeye Partners were up 99 cents at $54.29 in late-morning trading on the New York Stock Exchange.