Pacific Energy Partners, L.P. Announces Equity Investment by First Reserve Corporation in Its General Partner

Business Wire, March 22, 2005

LONG BEACH, Calif. -- Pacific Energy Partners, L.P. (NYSE:PPX) ("Pacific Energy") announced that on March 21, 2005, an affiliate of First Reserve Corporation acquired from Lehman Brothers Merchant Banking ("LBMB") a minority interest in LB Pacific, LP, owner of Pacific Energy GP, LP, the general partner of Pacific Energy. LBMB and its affiliates will continue to own a controlling interest in LB Pacific, LP. As a result of its ownership interest, First Reserve will be entitled to nominate one director to the Board of Directors of Pacific Energy Management LLC, the managing general partner of Pacific Energy GP, LP.

"We are pleased to welcome First Reserve Corporation as an owner of the general partner of Pacific Energy," stated Irv Toole, President and Chief Executive Officer. "With their knowledge of the energy industry, we will be in an even stronger position to continue to strengthen our strategic business units and grow through acquisition and new project development."

About Pacific Energy:

Pacific Energy Partners, L.P. is a master limited partnership headquartered in Long Beach, California. Pacific Energy is engaged principally in the business of gathering, transporting, storing and distributing crude oil and other related products in California and the Rocky Mountain region, including Alberta, Canada. Pacific Energy generates revenues primarily by transporting crude oil on its pipelines and by leasing capacity in its storage facilities. Pacific Energy also buys, blends and sells crude oil, activities that are complementary to its pipeline transportation business.

About First Reserve Corporation:

Based in Greenwich, Connecticut, and with offices in Houston and London, First Reserve Corporation (www.firstreserve.com) is the largest and oldest private equity firm specializing in the energy industry with $4.7 billion under management across four active funds. Throughout its 25-year history, First Reserve has developed a strong franchise of investing exclusively in the global energy industry, utilizing its specialized industry knowledge. First Reserve has funded more than 80 principal transactions and completed more that 200 add-on acquisitions with its core companies. First Reserve's current investments include Dresser-Rand, Dresser, Inc., Pride International, and Quanta Services. Former investments include National Oilwell, Weatherford International, Superior Energy Services and Maverick Tube.

This news release may include "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact included or incorporated herein may constitute forward-looking statements. Although Pacific Energy believes that the forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. The forward-looking statements involve risks and uncertainties that may affect Pacific Energy's operations and financial performance. Among the factors that could cause results to differ materially are those risks discussed in Pacific Energy's filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2004.

For additional information about the Partnership, please visit www.PacificEnergy.com.