By Joshua Schneyer

NEW YORK, Oct 8 (Reuters) - Vitol, a giant global oil trader, said on Thursday it plans to buy the general partner of Semgroup Energy Partners LP to gain a bigger stake in U.S. oil industry assets.
The acquisition would greatly increase Vitol's stake in the U.S. oil services industry. The Netherlands-based oil trader already transports around 5 million barrels of oil a day, or about 6 percent of global supplies.
Vitol would control Tulsa, Oklahoma-based SGLP through the general partner, which it plans to purchase from management group Manchester Securities, the two companies said in statements. Financial details were not disclosed.
Vitol would gain control of 8.2 million barrels of crude oil storage and 1,150 miles of pipeline in the key mid-continent states of Oklahoma and Texas.
The crude storage assets include more than 6 million barrels in tankage -- around 15 percent of capacity -- at the world's biggest commercial oil hub in Cushing, Oklahoma, where U.S. oil futures are physically delivered.
Cushing's massive tank farm has been a cash cow for oil traders this year, since oil for prompt delivery is heavily discounted to barrels for delivery in the future. The situation -- an oil-market "contango" -- helped them rake in profits by storing oil and commiting to sell it later.
Vitol would also control more than 46 asphalt and residual fuel storage facilities across 23 U.S. states, and assorted other "midstream" assets, to transport or store oil products.
"This acquisition will make an important addition to our expanding business in the USA, the world's largest energy market," said Mike Loya, CEO of U.S. subsidiary Vitol Inc., in a statement.
As part of the deal, Vitol also plans to buy 12.6 million subordinated units in SGLP, which had net income of $21.6 million in the second quarter, according to an SEC filing. The general partner received $3.41 million, or 16 percent, of the second-quarter income, while the remaining $18.2 million was paid to unit-holders, the filing said.
Semgroup Energy Partners LP is a limited partnership that split last year from Semgroup LP, which sought bankruptcy protection after incurring billions of dollars in trading losses as crude prices rose to a record of $147 a barrel last July.
Several key assets formerly controlled by the company in bankruptcy have since been shifted to SGLP.
The deal is subject to customary conditions and approvals, including the resolution of various outstanding legal matters at SGLP, Vitol said.
Vitol is a major supplier of crude oil to the U.S. It is also building a seaport on Florida's eastern coast, to open in 2010, with crude and fuel storage tanks and a pipeline.

(Additional reporting by Matt Daily and Michael Erman; Editing by David Gregorio)

((Email: joshua.schneyer@thomsonreuters.com; +1 646-223-6051; Reuters Messaging: joshua.schneyer.reuters.com@reuters.net)) Keywords: OIL SEMGROUP/VITOL (For help: Click "Contact Us" in your desk top, click here or call 1-800-738-8377 for Reuters Products and 1-888-463-3383 for Thomson products; For client training: training.americas@thomsonreuters.com ; +1 646-223-5546)

COPYRIGHT

Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.