Transactions With Related Parties

12 Months Ended

Dec. 31, 2011

Transactions With Related Parties [Abstract]

Transactions With Related Parties

13. Transactions with Related Parties

Sales, purchases and other transactions with affiliated companies, in the opinion of management, are conducted under terms no more or less favorable than then-existing market conditions. The transactions with related parties were as follows:

	Year Ended December 31,
	2011		2010 (1)		2009
Petroleum products sales to an affiliate of the Robertson Group (2)	$	20,888	$	3,740	$	—
Marine operating fuel and expenses provided by an affiliate of the Robertson Group(2)		3,568		2,443		—
Sales of CO2 to Sandhill Group, LLC (3)		2,481		2,706		2,867
Petroleum products sales to Davison family businesses (2)		1,207		1,081		757
Amounts paid to our CEO in connection with the use of his aircraft		300		—		—
Operations, general and administrative services provided by our general partner(4)		—		47,035		50,417
Pipeline tranportation and supply and logistics services provided to Denbury		—		3,059		35,957
Supply and logistics products and services provided by Denbury		—		373		7,229

(1) Affiliates of Denbury Resources, Inc. sold its interests in our general partner in February 2010. Transactions with Denbury are included in the table as a related party through that date.

(2) The Robertson Group owned 12% of our Class A Units and 74% of our Class B Units at December 31, 2011. The Davison family owned 18% of our Class A Units at December 31, 2011.

(3) We own a 50% interest in Sandhill Group, LLC.

(4) Our general partner became a wholly-owned subsidiary in December 2010.

Our CEO, Mr. Sims owns an aircraft, which is used by us for business purposes in the course of operations. We pay Mr. Sims a fixed monthly fee and reimburse the aircraft management company for costs related to our usage of the aircraft, including fuel and the actual out-of-pocket costs. In connection with this arrangement, we made payments to Mr. Sims totaling $0.3 million, during 2011, the initial year of the arrangement. Based on current market rates for chartering of private aircraft, we believe that the terms of this arrangement are no worse than what we could have obtained in an arms-length transaction.

In July 2010, we acquired from TD Marine its 51% interest in DG Marine. TD Marine is owned by members of the Davison family.

Amounts due to and from Related Parties

At December 31, 2011 and 2010, an affiliate of the Robertson Group owed us $1.9 million and $1.4 million, respectively. We owed the affiliate $0.1 million and $0.2 million, at December 31, 2011 and 2010, respectively. At both December 31, 2011 and 2010, Sandhill owed us $0.2 million for purchases of CO₂.

Financing

We guarantee 50% of Sandhill's outstanding credit facility loan. At December 31, 2011 and 2010, the total amount of Sandhill's obligation to the bank was $1.7 million and $2.2 million, respectively; therefore, our guarantee was for $0.9 million and $1.1 million for the respective periods.

As discussed in Note 11, our general partner made capital contributions in order to maintain its capital account totaling $2.5 million and less than $0.1 million in 2010 and 2009, respectively. In 2010 and 2009, we recorded a capital contribution from our general partner of $76.9 million and $14.1 million, respectively, related to compensation recognized for our executive management team (see Note 15).