Magellan Midstream Partners Prices $250 Million Debt Offering

TULSA, Okla. – Magellan Midstream Partners, L.P. (NYSE: MMP) announced today that it has priced $250 million of its 6.55% senior notes due 2019. The notes, which are additional to the series originally issued on June 26, 2009, were priced at 107.9% to yield 5.505% to maturity. The net proceeds from this offering of approximately $268 million, after payment of underwriting discounts and estimated offering expenses and excluding accrued interest, will be used to repay all of the borrowings outstanding under the partnership’s revolving credit facility and for general partnership purposes, including capital expenditures.

J.P. Morgan Securities Inc., Banc of America Securities LLC and SunTrust Robinson Humphrey, Inc. are acting as joint book-running managers for the debt offering, which is expected to close on Aug. 12, 2009. In addition, Deutsche Bank Securities Inc., Mitsubishi UFJ Securities (USA), Inc., RBC Capital Markets Corporation, UBS Securities LLC and Wells Fargo Securities, LLC are acting as co-managing underwriters.

When available, a copy of the final prospectus supplement and related base prospectus associated with the senior notes offering may be obtained from J.P. Morgan Securities Inc. at 270 Park Avenue, 8th floor, Attn: High Grade Syndicate Desk, New York, New York 10017 or by phone at (212) 834-4533; from Banc of America Securities LLC at 100 West 33rd Street, 3rd floor, Attn: Prospectus Department, New York, New York 10001, by phone at (800) 294-1322 or by email to dg.prospectus_distribution@bofasecurities.com; from SunTrust Robinson Humphrey, Inc. at 303 Peachtree Street, 24th floor, Atlanta, Georgia 30308 or by phone at (800) 685-4786; or from any of the other underwriters. An electronic copy of the prospectus and prospectus supplement is available from the Securities and Exchange Commission’s website at www.sec.gov.

This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The offering may be made only by means of a prospectus and related prospectus supplement.



About Magellan Midstream Partners, L.P.

Magellan Midstream Partners, L.P. (NYSE: MMP) is a publicly traded partnership formed to own, operate and acquire a diversified portfolio of energy assets. The partnership primarily transports, stores and distributes refined petroleum products. More information is available at http://www.magellanlp.com. MMP’s general partner interest and related incentive distribution rights are owned by Magellan Midstream Holdings, L.P. (NYSE: MGG).



Portions of this document may constitute forward-looking statements as defined by federal law. Although management believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. Additional information about issues that could lead to material changes in performance is contained in the partnership's filings with the Securities and Exchange Commission. 

Contact Information:

Paula Farrell Investor Relations 918-574-7650 paula.farrell@magellanlp.com