S&P lowers LOOP

Standard & Poor's said it lowered the corporate credit rating on LOOP LLC to A- from A.

The outlook is negative.

S&P also lowered its short-term rating to A-2 from A-1 and lowered the short-term rating on affiliate Locap LLC to A-2 from A-1.

The ratings reflect a view that the long-term trend of increasing domestic onshore and Canadian crude oil production has weakened LOOP's competitive position, S&P said.

These barrels coming from the domestic onshore and Canadian crude oil producers directly compete with waterborne foreign imports, which LOOP relies on for the majority of its throughput volume and operating cash flow, the agency said.

As a result, S&P said it expects LOOP's throughput volume and financial measures to weaken further.

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