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TA to partner with Shell to create NG fueling lanes along interstates

WESTLAKE, Ohio — TravelCenters of America LLC today announced that it has entered a memorandum of understanding with Shell Oil Products U.S. and its affiliates to construct and operate a network of natural gas fueling lanes at TA locations along the U.S. Interstate Highway System.

The memorandum of understanding contemplates that Shell will construct and TA will operate at least 200 natural gas fueling lanes on at least 100 TA locations.  Additional TA locations may be added depending upon customer demand.  The locations will be jointly selected by TA and Shell with the intention of creating the infrastructure required to allow natural gas-powered trucks to travel across the United States.

TA today operates a nationwide network of 238 travel centers, almost all of which are located at Interstate Highway System exits.  TA's locations operate under the brand names TravelCenters of America, or TA, and Petro Stopping Centers.

"Using natural gas for transport gives truck fleet operators a new strong advantage because it's abundant and affordable and a viable alternative to diesel," said Elen Phillips, vice president, Shell Fuels Sales and Marketing North America. "This potential alliance with TA would enable Shell to deliver LNG fuel to customers who want a competitively priced fuel option to help them meet increasingly stringent air quality emission standards."

Demand for innovative fuels, like LNG fuel, from heavy-duty road transport customers is growing due, in part, to the wide range of benefits for trucking fleet operators, Shell noted. “These benefits can include lower fuel costs and improved local air quality from reduced emissions at the point of use, particularly nitrogen oxide as well as reduced noise levels.“

"Shell sees great potential for LNG as a fuel option among our range of quality fuels, due to the sheer abundance and affordability of domestic natural gas in North America. Where it makes sense and where there is customer demand, we will innovate to deliver LNG as an additional fuel offer to our customers across America," concluded Phillips.

The agreement with TA “represents the next phase for Shell in its plan to provide trucking fleet customers in North America with a robust fueling infrastructure,” stated a Shell news release.

Last year, Shell announced it would sell LNG to its heavy-duty fleet customers at select Flying J truck stops in Alberta, Canada beginning in 2012. The first LNG retail plaza in Calgary is expected to open this year.

“Shell is a leader in upstream LNG supplying natural gas to customers in more countries than any other energy company. Currently, with our partners, we supply more than 30 percent of the world's LNG. In North America, we are expanding our large-scale LNG expertise, our global fuels technology leadership and safety record to the small-scale, transport sectors with fuel storage, handling and transport.”

A typical TA location has more than 20 acres for truck and motorist parking, a large convenience store, sit down and quick serve restaurants and a large, multi-bay truck repair and maintenance facility.

In order to facilitate the introduction of natural gas powered vehicles to the interstate trucking industry, TA expects to a train and equip a sufficient number of TA's 3,000 repair technicians, 1,000 truck service bays and 400 Road Squad emergency roadside repair vehicles to service natural gas powered truck engines.

Details of the agreement between TA and Shell are expected to be completed during an exclusive negotiating period, and the first natural gas fueling lanes for trucks traveling along the U.S. Interstate Highway System are expected to be operational at TA locations during 2013.  

Commenting upon today's announcement, Thomas M. O'Brien, Managing Director, President and CEO of TA, made the following statement:

"TA is pleased to be partnering with Shell, one of the largest energy companies in the world, to create the infrastructure necessary to offer TA's trucking company customers an alternative fuel choice.  TA is especially pleased to be helping ensure America's energy independence."

TravelCenters of America LLC, headquartered in Westlake, Ohio, is the largest full service travel center business in the U.S., with locations in 41 states and Canada operating under the TravelCenters of America and Petro Stopping Centers brands.

With 238 locations off interstate highway exits, TA and Petro locations offer customers diesel and gasoline fueling services, full- and quick-service restaurants, 24-hour convenience stores, heavy truck maintenance services, RoadSquad  24/7/365-day emergency roadside service, WiFi, and many other services all within large, high traffic facilities.

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