SAN ANTONIO, November 5, 2007 – NuStar Energy L.P. (NYSE:NS) today announced that its board of directors has declared an increase in the quarterly distribution rate to $0.985 per unit, or $3.94 per unit on an annual basis, which will be paid on November 14, 2007, to holders of record as of November 8, 2007. 

This quarterly distribution represents an increase of $0.07 per unit, or 7.7 percent, over the $0.915 distribution for the third quarter of 2006 and an increase of $0.035 per unit, or 3.7 percent, over the $0.95 distribution for the second quarter of 2007. 

NuStar Energy L.P. is a publicly traded, limited partnership based in San Antonio, with 9,113 miles of pipeline, 85 terminal facilities and four crude oil storage tank facilities.  The second largest independent liquids terminal operator in the world, NuStar has operations in the United States, the Netherlands Antilles, Canada, Mexico, the Netherlands and the United Kingdom. The partnership’s combined system has over 81 million barrels of storage capacity, and includes crude oil and refined product pipelines, refined product terminals, a petroleum and specialty liquids storage and terminaling business, as well as crude oil storage facilities.  For more information, visit NuStar Energy L.P.'s Web site at www.nustarenergy.com. 

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