Magellan Midstream Partners to Offer Common Units to Fund Pipeline Acquisition

TULSA, Okla. – Magellan Midstream Partners, L.P. (NYSE: MMP) announced today that it plans to sell 2.6 million common units in a registered offering. Management intends to use the net proceeds from this offering to repay a portion of the short-term debt used initially to fund the partnership's recent acquisition of more than 2,000 miles of petroleum products pipeline systems.

Lehman Brothers Inc. and Citigroup Global Markets Inc. will act as joint book-running managers of the common unit offering. In addition, Goldman, Sachs & Co., UBS Securities LLC and Wachovia Capital Markets, LLC have been named as co-managing underwriters.

A copy of the prospectus supplement and related base prospectus relating to the common unit offering may be obtained from Lehman Brothers Inc., c/o ADP Financial Services, Integrated Distribution Services, 1155 Long Island Avenue, Edgewood, NY 11717, Phone: 631-254-7106, Fax: 631-254-7268, e-mail: niokioh_wright@adp.com, or Citigroup Global Markets Inc., Brooklyn Army Terminal, Attn: Prospectus Department, Floor 8-I, 140 58 th Street, Brooklyn, NY 11220, Phone: 718-765-6732, or from any of the other underwriters.

The underwriters have the option to purchase up to 390,000 additional common units to cover over-allotments, if any.

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. 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.




Portions of this document may constitute "forward-looking statements" as defined by federal law. Although the partnership 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