NuStar Energy (NS) 10-Q 2009 Q1 Quarterly report

Exhibit 12.01

NUSTAR ENERGY L.P.

STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Thousands of Dollars, Except Ratio)

	Three Months Ended March 31,			Years Ended December 31,
	2009			2008			2007			2006			2005			2004
Earnings:
Income from continuing operations before provision for income taxes and income from equity investees	$	43,568		$	256,994		$	154,913		$	149,885		$	110,069		$	77,074
Add:
Fixed charges		25,994			113,959			91,594			75,829			46,211			21,625
Amortization of capitalized Interest		133			440			255			126			80			60
Distributions from joint ventures		1,500			2,835			544			5,268			4,657			1,373
Less: Interest capitalized		(481	)		(5,108	)		(5,995	)		(1,758	)		(1,008	)		(192	)
Total earnings	$	70,714		$	369,120		$	241,311		$	229,350		$	160,009		$	99,940
Fixed charges:
Interest expense (1)	$	20,314		$	92,971		$	77,584		$	68,241		$	41,616		$	20,630
Amortization of debt issuance costs		224			815			1,030			726			622			407
Interest capitalized		481			5,108			5,995			1,758			1,008			192
Rental expense interest factor (2)		4,975			15,065			6,985			5,104			2,965			396
Total fixed charges	$	25,994		$	113,959		$	91,594		$	75,829		$	46,211		$	21,625
Ratio of earnings to fixed charges		2.7x			3.2x			2.6x			3.0x			3.5x			4.6x

(1) The “Interest expense, net” reported in NuStar Energy L.P.’s consolidated statement of income for the three months ended March 31, 2009 includes investment income of $68,000.

(2) The interest portion of rental expense represents one-third of rents, which is deemed representative of the interest portion of rental expense.