NuStar Closes on Accretive Acquisition That Further Expands Its Presence in Port of Corpus Christi

NuStar Energy L.P. (NYSE: NS) today announced that it has closed on the
purchase of crude oil and refined product terminal assets in Corpus
Christi, Texas from Martin Midstream Partners (Nasdaq: MMLP) for a net
$93 million. The acquisition is expected to be immediately accretive to
NuStar’s earnings based on the terminal’s current, actual volumes,
generating a seven times earnings before interest, taxes, depreciation
and amortization (EBITDA) multiple based on an annual average EBITDA
estimate of approximately $13.5 million.

With the addition of the terminal, which is adjacent to NuStar’s
existing North Beach Terminal, NuStar now has over 3.6 million barrels
of total storage in the Port of Corpus Christi, including 3.1 million
barrels of crude oil storage and 577,000 barrels of refined product
storage.

The terminal NuStar is acquiring includes 1.15 million barrels of total
storage, which is comprised of 900,000 barrels of crude oil storage and
250,000 barrels of refined product storage. The terminal has direct
connectivity to Eagle Ford crude oil production and receives crude oil
and condensate via its connection to the Harvest Pipeline and through
its six-bay truck rack. The terminal has access to two of the port’s
deep-water crude oil docks, including exclusive use of the port’s new
crude oil dock, and a barge dock. The terminal is located on 25 acres,
and has room for further expansion.

“This acquisition further strengthens NuStar’s position as one of the
top logistics players in the Corpus Christi region, which has long been
a strategic hub for us,” said NuStar President and CEO Brad Barron. “We
now have access to a new pipeline and new customers, and greater
connectivity to domestic and international crude oil and refined
products markets, and an existing customer has expressed interest in
increasing volumes and the length of our contract with them thanks to
the increased dock space and capacity we now have.

“We are also fortunate to bring aboard a strong workforce at the
terminal, and we are working with them to quickly integrate the terminal
into our system so that we can take advantage of the many operational
synergies between the terminal and our existing operations,” Barron
added.

About NuStar Energy

NuStar Energy L.P., a publicly traded master limited partnership based
in San Antonio, is one of the largest independent liquids terminal and
pipeline operators in the nation. NuStar currently has approximately
8,700 miles of pipeline and 79 terminal and storage facilities that
store and distribute crude oil, refined products and specialty liquids.
The partnership’s combined system has approximately 94 million barrels
of storage capacity, and NuStar has operations in the United States,
Canada, Mexico, the Netherlands, including St. Eustatius in the
Caribbean, and the United Kingdom. For more information, visit NuStar
Energy L.P.'s website at www.nustarenergy.com.

About Martin Midstream Partners

Martin Midstream Partners L.P. is a publicly traded limited partnership
with a diverse set of operations focused primarily in the United States
Gulf Coast region. MMLP’s primary business segments include:
(1) terminalling, storage and packaging services for petroleum products
and by-products; (2) natural gas services, including liquids
transportation and distribution services and natural gas storage; (3)
sulfur and sulfur-based products processing, manufacturing, marketing
and distribution; and (4) marine transportation services for petroleum
products and by-products.

Use of Non-GAAP Financial Information -- This news release
includes forecasted EBITDA. This is a non-GAAP financial measure.
Forecasted EBITDA is based on the partnership’s projections for the
assets acquired. Forecasted EBITDA is included to help facilitate
comparisons of operating performance of the partnership with other
companies in our industry, as well as help facilitate an assessment of
our assets' projected ability to generate sufficient cash flow to make
distributions to our partners. Forecasted EBITDA is not presented as an
alternative to the nearest GAAP financial measure, net income, and
should not be considered in isolation or as a substitute for measures of
performance prepared in accordance with GAAP. We are unable to present a
reconciliation of forecasted EBITDA to net income because certain
elements of net income, including interest, depreciation and taxes, are
not available. Together, these items generally result in EBITDA being
significantly greater than net income.

Cautionary Statement Regarding Forward-Looking Statements

This press release includes forward-looking statements regarding
future events, such as the partnership’s future performance. All
forward-looking statements are based on the partnership’s beliefs as
well as assumptions made by and information currently available to the
partnership. These statements reflect the partnership’s current views
with respect to future events and are subject to various risks,
uncertainties and assumptions. These risks, uncertainties and
assumptions are discussed in NuStar Energy L.P.’s and NuStar GP
Holdings, LLC’s 2015 annual reports on Form 10-K and subsequent filings
with the Securities and Exchange Commission. Actual results may differ
materially from those described in the forward-looking statements.

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