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Correction: Phillips 66 Partners-IPO

HOUSTON (AP) -- In a story March 28 about Phillips 66 Partners LP filing for an initial public offering, The Associated Press reported erroneously a location where the partnership is expected to include assets. The partnership is expected to include assets in Louisiana, Texas and Illinois.

A corrected version of the story is below:

Phillips 66 Partners files for $300 million IPO

Phillips 66 Partners files for initial public offering expected to raise $300 million

HOUSTON (AP) -- Phillips 66 Partners LP, a subsidiary of Phillips 66, said Thursday that it filed for an initial public offering of common units that's expected to raise about $300 million.

The offering is expected to happen in the second half of this year and the units are expected to trade on the New York Stock Exchange under the ticker symbol "PSXP." The number of units to be offered and the price range for the offering have yet to be determined, the partnership said.

Phillips 66 announced plans in December to use some of its transportation assets to form a master limited partnership and eventually take it public. The company said Thursday that it expects the partnership's assets to initially include a handful of pipelines, terminals and storage systems in Louisiana, Texas and Illinois.

By definition a master limited partnership is publicly traded and gets most of its cash flow from real estate, natural resources and commodities. There are certain tax benefits in those partnerships that some investors find attractive.

Phillips 66, a Houston-based refining and pipeline company, said in December that the partnership would help pay for expansion in the transportation and midstream sectors, while boosting value for the company's shareholders.

J.P. Morgan and Morgan Stanley are the proposed offering's joint underwriters.

Phillips 66 rose 98 cents to $69.25 in afternoon trading.