NuStar GP Holdings, LLC : Provides Interim Earnings Guidance for Second Quarter of 2012

Expect earnings to be negatively impacted by the lower 2^nd quarter results of NuStar Energy

Quarterly Cash Distribution expected to remain at $0.51 per unit in the 2^nd quarter of 2012

Long-term Outlook is Strong as a Result of Highly Accretive Growth Projects in NuStar Energy's Transportation and Storage Segments

NuStar GP Holdings, LLC (NYSE: NSH) today announced that second quarter earnings per unit results are expected to be negatively impacted by NuStar Energy's guidance that second quarter EBITDA results would be significantly lower than the $160 million earned in the second quarter of 2011. However, NuStar GP Holdings, LLC distributable cash flow available to unitholders for the second quarter of 2012 should be slightly higher than the same quarter in 2011.

Negative EBITDA in NuStar Energy's asphalt and fuels marketing segment caused by continued weak demand for asphalt, reduced asphalt gross margins and lower margins on the sales of products in the company's fuels marketing operations are the main causes for the lower second quarter earnings per unit projections. NuStar Energy's second quarter should also be negatively impacted by a substantial amount of non-cash charges related primarily to the sale of 50% of the company's asphalt operations.

As a result of these anticipated lower second quarter projections, effective June 29, 2012, NuStar GP Holdings, LLC and NuStar Energy obtained amendments to the debt to EBITDA covenant in their respective debt agreements for the second and third quarters of 2012.

In regard to performance for the last half of 2012, NuStar GP Holdings, LLC expects to benefit from the completion of two NuStar Energy pipeline projects in the Eagle Ford shale. These projects should contribute to improved distributable cash flow results for NuStar GP Holdings, LLC in the last half of 2012 when compared to the last half of 2011. Based on the company's distributable cash flow expectations for the remainder of the year and 2013, NuStar GP Holdings plans to recommend that its Board of Directors approve a distribution of $0.51 per unit for the second quarter of 2012.

As previously announced, the company will host a conference call on Friday, July 27, 2012 at 9:00 a.m. Central Time to discuss the second quarter 2012 earnings results, which will be released earlier that day.

NuStar GP Holdings, LLC is a publicly traded limited liability company that owns the two percent general partner interest, a 14.2 percent limited partner interest and the incentive distribution rights in NuStar Energy L.P., one of the largest asphalt refiners and marketers in the U.S. and the second largest independent liquids terminal operator in the nation, NuStar has operations in the United States, Canada, Mexico, the Netherlands, including St. Eustatius in the Caribbean, the United Kingdom and Turkey. For more information, visit NuStar GP Holdings, LLC's Web site at www.nustargpholdings.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release includes forward-looking statements regarding future events. All forward-looking statements are based on the company's beliefs as well as assumptions made by and information currently available to the company. These statements reflect the company's current views with respect to future events and are subject to various risks, uncertainties and assumptions. These risks, uncertainties and assumptions are discussed in NuStar Energy L.P. and NuStar GP Holdings, LLC's 2011 annual reports on Form 10-K and subsequent filings with the Securities and Exchange Commission.

Non-GAAP Financial Information

Please see the Investors section of the NuStar GP Holdings, LLC Web site at www.nustargpholdings.com for a financial reconciliation of the Non-GAAP term EBITDA mentioned in this press release.

NuStar Energy, L.P., San Antonio
Investors, Chris Russell, Vice President
Investor Relations: 210-918-3507
or
Media, Mary Rose Brown, Senior Vice President,
Corporate Communications: 210-918-2314
Web site: http://www.nustarenergy.com

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