Please use a modern browser. This website is not designed for versions of Internet Explorer below IE10
masthead
masthead
awards
masthead
masthead
menu

Latest storage news


Terminal News
February 16, 2018
Vopak expands Singapore storage & reports 2017 financials
Vopak is adding 67,000 m3 of marine gasoil storage at its Sebarok terminal in Singapore to strengthen its position as a bunker hub.This expansion will allow the terminal to flexibly handle multiple fuels as a result of the IMO's global sulphur cap, which will come into effect in January 2020...

Read More

Vopak is adding 67,000 m3 of marine gasoil storage at its Sebarok terminal in Singapore to strengthen its position as a bunker hub.

This expansion will allow the terminal to flexibly handle multiple fuels as a result of the IMO's global sulphur cap, which will come into effect in January 2020.

This follows Vopak's earlier announcement to expand capacity for petrol and biofuels at its Jakarta Tank Terminal.

Additionally, the storage company reported its 2017 financials, with an EBITDA of €763 million, a decrease of 4% compared to 2016.

It recorded an occupancy rate of 90%, compared to its 2016 occupancy rate of 93%m primarily as a result of less favourable oil market structures.

Its worldwide storage capacity increased by 1.2 million m3 to 35.9 million m3. Projects currently under development will add 3.1 million m3 of storage capacity by 2019.

The company expects its 2018 performance to be influenced by currency exchange movements of the US dollar and the Singapore dollar, and the currently less favourable oil market structure, which is having an impact on occupancy rates and price levels in hub locations.

It says in its financial reports that with its current expansion programme and its cost efficiency programme, it has the potential to significantly improve its 2019 EBITDA.

Eelco Hoekstra, chairman of the executive board and CEO, says: 'We aim to identify and seize growth opportunities swiftly, ensure timely completion of projects under development and step up the global roll-out of our new digital systems.

'Vopak's growth strategy is directed towards chemical terminals and gas markets, while facilitating the increasing demand for fuels in emerging countries. We will continue to explore and find new possibilities within the LNG infrastructure market, to expand our role as a service provider in the LNG value chain.

'We have taken strategic decisions regarding technology, and we are making substantial investments to deliver the full benefits of the digital transformation in future years to our customers and shareholders.'



Show Less
Terminal News
February 16, 2018
Vopak to expand Jakarta storage capacity
A picture of another Vopak facility
Vopak plans to build an additional 100,000 m3 of storage capacity for petrol and biofuels at its Jakarta terminal.The expansion of the Jakarta Tank Terminal will take total tank capacity at the facility to more than 350,000 m3.The project will comprise eight additional tanks for petrol, ethanol and biodiesel, a vapour recovery unit and additional (in-line) blending infrastructure, which will allow its customers to comply with Indonesia's Biofuel Blending Mandate regulations...

Read More
A picture of another Vopak facility

Vopak plans to build an additional 100,000 m3 of storage capacity for petrol and biofuels at its Jakarta terminal.

The expansion of the Jakarta Tank Terminal will take total tank capacity at the facility to more than 350,000 m3.

The project will comprise eight additional tanks for petrol, ethanol and biodiesel, a vapour recovery unit and additional (in-line) blending infrastructure, which will allow its customers to comply with Indonesia's Biofuel Blending Mandate regulations.

Jakarta Tank Terminal, a JV between Vopak and PT AKR Corporindo, is strategically located in Tanjung Priok, the main port of Jakarta and serves the import and distribution market in the greater Jakarta region for fuel products.

Demand for tank storage facilities is expected to increase both with the expansion of petrol distribution by existing players as with the market entry of new players.

The expansion is expected to be commissioned in phases from the first quarter to the fourth quarter 2019.



Show Less
Terminal News
February 15, 2018
Oban Energies given approval for Bahamas oil storage terminal
The government of the Bahamas has approved Oban Energies plans to build an oil refinery and storage facility in Grand Bahama.The $4 billion project will provide storage for crude oils, residual fuel oils, middle and light distillates, specialty vegetable oil and heavy oils...

Read More

The government of the Bahamas has approved Oban Energies plans to build an oil refinery and storage facility in Grand Bahama.

The $4 billion project will provide storage for crude oils, residual fuel oils, middle and light distillates, specialty vegetable oil and heavy oils.

It will have an initial capacity of four million barrels and will comprise a harbour, and deep sea-loading docks to service large vessels as well as the construction of a 50,000 barrel per day refinery.

Prime Minister Dr. the Hon. Hubert Minnis says: 'We are on the road to revitalising both Grand Bahama and the entire Bahamas.

'Oban will build [an] up to 20 million barrel liquid bulk storage facility and a 250,000 barrel per day refinery. The oil refinery has an estimated project cost of up to $4 billion and the terminal has an estimated cost of $1.5 billion.

'This is a very significant development for Grand Bahama.'



Show Less
Terminal News
February 15, 2018
Stolthaven Terminals reports steady financials
Stolthaven Terminals achieved a slight increase in operating revenue thanks to higher storage and throughput revenue.The company reported operating revenue of $61.4 million in its fourth quarter financials, compared with $61 million in the third quarter...

Read More

Stolthaven Terminals achieved a slight increase in operating revenue thanks to higher storage and throughput revenue.

The company reported operating revenue of $61.4 million in its fourth quarter financials, compared with $61 million in the third quarter. However, higher storage and throughput revenue was partially offset by lower demand for steam and nitrogen services in Houston, and by lower US rail freight revenue.

It reported fourth quarter operating profit of $5.4 million, down from $16 in the third quarter. This decrease includes an $8.4 million one-time impairment of assets at its New Zealand facility, resulting from the forthcoming expiration of land leases at two sites and the impact of weaker local market conditions and lower equity income from the company's joint venture terminals in Lingang, China and in Antwerp.

Niels G. Stolt-Nielsen, CEO of Stolt-Nielsen, says: 'Stolt-Nielsen's fourth quarter results reflected the negative impact of one-time charges related to impairments and extraordinary events.

'Except for the effects Hurricane Harvey had on Stolthaven Houston, our terminal business had another steady quarter.

'Our outlook for the first half of 2018 remains essentially unchanged. For Stolthaven Terminals, we continue to expect a modest but steady improvement in results, driven by operational improvements and better utilisation.



Show Less
Terminal News
February 15, 2018
Odfjell continues to perform despite challenging markets
Odfjell Terminals has delivered increased financials in its fourth quarter 2017 results due to higher occupancy and revenues at its Houston terminal.The terminal division delivered an EBITDA of $9.8 million in Q4 2017 compared to $8.7 million in the previous quarter...

Read More

Odfjell Terminals has delivered increased financials in its fourth quarter 2017 results due to higher occupancy and revenues at its Houston terminal.

The terminal division delivered an EBITDA of $9.8 million in Q4 2017 compared to $8.7 million in the previous quarter. The increase is mainly attributed to higher storage revenues in Houston thanks to higher occupancy and other services. Additionally, Odfjell's Q3 results were negatively impacted by Hurricane Harvey.

Total average available capacity amounted to 2.89 million m3 – an increase of 81,000 m3 thanks to the return to service of tanks in Rotterdam following completion of outfitting upgrades and maintenance.

The company says in an update that distillation activities at its Rotterdam terminal continues to report stable results and counters the negative market effects for conventional storage at the terminal.

Its second half year 2017 revenues for its PID reached €15 million compared to €12 million in its first half 2017 result. Tank storage at the terminal dropped to €14 million from €18 million in the same period.

However, the terminal benefits from a unique benefit in light of the upcoming 2020 low sulphur emission regulations, where it can produce and supply compliant fuel.

Overall, Odfjell SE reported an EBITDA of $41 million, compared to $37 million in the previous quarter.

Kristian Mørch, CEO Odfjell SE, says: Our markets have remained challenging in 4Q, but Odfjell continues to make good progress.'

He adds that the company expects storage demand for oil minerals to remain challenging, but expects stable demand and results for chemical storage.



Show Less
Terminal News
February 15, 2018
Fujairah: oil product stocks drop 3%
Total refined oil product stocks at the UAE port of Fujairah stood at 16.318 million barrels in the week to Monday, down 3% from the previous week, latest data from the Fujairah Energy Data Committee, or FEDCom, showed. Light distillates saw a new record high, while heavy distillates saw a new record low...

Read More

Total refined oil product stocks at the UAE port of Fujairah stood at 16.318 million barrels in the week to Monday, down 3% from the previous week, latest data from the Fujairah Energy Data Committee, or FEDCom, showed.

Light distillates saw a new record high, while heavy distillates saw a new record low.

Stocks of light distillates rose by 10.3% week on week to 8.655 million barrels. This is a new record high, surpassing the 8.178 million barrels seen on April 17, 2017. Stocks are currently 47% or 1.7 million barrels higher year on year. Petrol fundamentals in the East of Suez are still seen as long, though the market consensus is upcoming spring refinery maintenance will bring supply back into balance.

Stocks of middle distillates rose by 19.5% or 386,000 barrels to 2.365 million barrels. Stocks are 45% lower year on year and could remain low as supply is constrained due to current and upcoming refinery maintenance. Two of the region’s major refineries, SATORP (Jubail) and SAMREF (Yanbu) in Saudi Arabia, are currently undergoing maintenance turnarounds, which are likely to reduce gasoil exports. At the same time arbitrage to move gasoil to the West of Suez is closed, as indicated by an EFS swap that recently entered into positive territory.

Stocks of heavy distillates and residues fell by 24.3% to 5.298 million barrels - a new record low. A flat market structure is not supportive of storing fuel oil, while sluggish bunker demand and the end of utility grade fuel oil imports from Fujairah by Pakistan have also weighed on appetite to hold volumes in stock.



Show Less
Terminal News
February 14, 2018
EnCap commits $400 million to new midstream infrastructure company
EnCap Flatrock Midstream has committed $400 million to Lotus Midstream, a new crude oil infrastructure development company. The company, established in early 2018, is focused on the organic development of midstream infrastructure and services to transport crude oil and condensate from the wellhead to market, including crude gathering, transportation and storage...

Read More

EnCap Flatrock Midstream has committed $400 million to Lotus Midstream, a new crude oil infrastructure development company.

The company, established in early 2018, is focused on the organic development of midstream infrastructure and services to transport crude oil and condensate from the wellhead to market, including crude gathering, transportation and storage.

Led by Mike Prince, CEO, Emily Baker, chief commercial officer and Jen Fontenot, chief operating officer, the company is also pursuing strategic acquisition opportunities.

Prince says: ‘We look forward to building Lotus Midstream with a focus on high growth areas in the Permian Basin and the Midcontinent, where we see multiple opportunities and have an established track record, a thorough knowledge base and strong relationships.’



Show Less
Terminal News
February 14, 2018
Tallgrass Energy Partners and Silver Creek Midstream plan to develop a joint venture pipeline to transport crude oil from the Powder River Basin to Guerney, Wyoming. The Iron Horse Pipeline will connect Silver Creek’s developing gathering system to the Tallgrass Guernsey Terminal, which is currently under construction, and then to Tallgrass’s Pony Express crude pipeline system, and other pipelines at Guernsey...

Read More

Tallgrass Energy Partners and Silver Creek Midstream plan to develop a joint venture pipeline to transport crude oil from the Powder River Basin to Guerney, Wyoming.

The Iron Horse Pipeline will connect Silver Creek’s developing gathering system to the Tallgrass Guernsey Terminal, which is currently under construction, and then to Tallgrass’s Pony Express crude pipeline system, and other pipelines at Guernsey.

Iron Hose and Pony Express intend to create a joint tariff to offer producers and marketers a single rate and direct access to the multiple refineries on Pony Express and to the Cushing, Oklahoma crude oil hub.

Tallgrass has also agreed to sell its 50-mile PRB crude oil gathering system to Silver Creek. Tallgrass and Silver Creek expect to close the formation of the joint venture and the sale of Tallgrass Crude Gathering later in February.

As a result of the acquisition and the announced projects, Silver Creek will be positioned as the preeminent crude oil gathering company in the PRB.

J. Patrick Barley, found and CEO, says: ‘Silver Creek is extremely excited to work with Tallgrass in the PRB. Their current presence in the basin and long-haul crude transport capabilities bring a competitive advantage to Silver Creek as we work to fully build our gathering system.’

Tallgrass anticipates it will invest $150 million into this initiative.



Show Less
Terminal News
February 14, 2018
Historic hydrocarbon agreement between India & Abu Dhabi
A historic agreement has been inked giving a consortium of Indian oil and gas companies a stake in Abu Dhabi’s hydrocarbon resources. His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and His Excellency Narendra Modi, Prime Minister of India, signed the agreement awarding a consortium of Indian oil companies a 10% interest in Abu Dhabi’s offshore Lower Zakum concession...

Read More

A historic agreement has been inked giving a consortium of Indian oil and gas companies a stake in Abu Dhabi’s hydrocarbon resources.

His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and His Excellency Narendra Modi, Prime Minister of India, signed the agreement awarding a consortium of Indian oil companies a 10% interest in Abu Dhabi’s offshore Lower Zakum concession.

This agreement marks the first-time Indian oil and gas companies have been given a stake in Abu Dhabi’s hydrocarbon resources.

Prime Minister Modi says: ‘The offshore concession in favour of the Indian consortium has taken our bilateral engagement in the oil and gas sector to a new level, which befits the comprehensive strategic partnership between our two countries. I am happy to note that we have progressed from a buyer-seller relationship to an era of mutual investments in the oil and gas sector.’

The consortium contributed a participation fee of $600 million to enter the concession. The agreement has a term of 40 years.

Alongside this, ADNOC and the Indian Strategic Petroleum Reserves (ISPRL) also agreed to implement the strategic crude oil storage facility, in the southern Indian city of Mangalore. The partnership with ISPRL, an Indian government-owned company mandated to store crude oil for strategic needs, covers the storage of 5.86 million barrels of ADNOC crude oil in underground facilities, at the Karnataka facility.

The storage facility will help ensure India’s energy security, as well as enable ADNOC to competitively meet market demand in India and across the south east Asian economies.



Show Less
Terminal News
February 13, 2018
Andeavor acquires Delek asphalt terminals
Andeavor has acquired Delek US Holdings' West Coast asphalt terminals for $75 million.The assets include four wholly-owned terminals in Elk Grove, Bakersfield and Mojave in California and Phoenix in Arizona, as well as a 50% interest in the Paramount Nevada Asphalt Company joint venture in Fernley, Nevada...

Read More

Andeavor has acquired Delek US Holdings' West Coast asphalt terminals for $75 million.

The assets include four wholly-owned terminals in Elk Grove, Bakersfield and Mojave in California and Phoenix in Arizona, as well as a 50% interest in the Paramount Nevada Asphalt Company joint venture in Fernley, Nevada.

Andeavor expects to grow this new addition to its asphalt business to serve more customers and expand its product offering. Andeavor expects to improve the business and increase sales by 20% over the next three years.

The acquisition will bring Andeavor's total asphalt capacity to more than 430,000 tonnes across ten terminal locations.

The deal is expected to close in the first half of 2018.

Keith Casey, executive vice president of commercial and value chain for Andeavor, says: 'We are excited to leverage our experience to grow our asphalt offering in the West Coast and Southwest regions.

'We expect this investment to drive higher integrated margins across the value chain, offset impacts created by bunker fuel specification changes and improve the value of heavy resid produced at our refineries.'



Show Less
Terminal News
February 12, 2018
MEG Energy sells pipeline & storage terminal assets
Wolf Midstream is buying MEG Energy's 50% stake in Access Pipeline and its Stonefell terminal for $1.61 billion.With this acquisition, Wolf will become the 100% owner and operator of Access after it acquired 50% of the business in October 2016.As part of the deal, MEG and Wolf have entered into an agreement dedicating MEG's Christiana Lake production and condensate transport to Access Pipeline for an initial term of 30 years...

Read More

Wolf Midstream is buying MEG Energy's 50% stake in Access Pipeline and its Stonefell terminal for $1.61 billion.

With this acquisition, Wolf will become the 100% owner and operator of Access after it acquired 50% of the business in October 2016.

As part of the deal, MEG and Wolf have entered into an agreement dedicating MEG's Christiana Lake production and condensate transport to Access Pipeline for an initial term of 30 years.

The pipeline transports blended bitumen and diluent between the Christina Lake area of Northeastern Alberta and Edmonton.

Additionally, the transaction also includes an agreement for the Stonefell terminal, which is a 30-year arrangement that secures MEG operational control and exclusive use of the terminal's 900,000-barrel blend and condensate storage facility.

Gord Salahor, World's CEO, says: 'With this transaction, Wolf will be well-positioned to expand Access Pipeline's capacity for both bitumen blend and diluent to serve its two core customers and third-parties, as well as extend service through the unutilised 16-inch pipeline, now made possible through 100% ownership.'

Bill McCaffrey, MEG's president and CEO, says: 'The divesture of our midstream assets strengthens our financial position while providing sufficient liquidity to allow MEG to complete its high return growth projects.'



Show Less
Terminal News
February 12, 2018
The US has the highest amount of liquids storage capacity globally, followed by Indonesia and China.According to GlobalData, the US has 2,162 million barrels of capacity, followed by Indonesia with 2,014 million barrels and China, with 660 million barrels...

Read More

The US has the highest amount of liquids storage capacity globally, followed by Indonesia and China.

According to GlobalData, the US has 2,162 million barrels of capacity, followed by Indonesia with 2,014 million barrels and China, with 660 million barrels.

This means that the US accounts for 26% of the total global liquids storage capacity. According to the data and analytics company, it is expected to add capacity of 46 million barrels from 21 planned and announced storage terminals between 2018 to 2021.

Indonesia, with a 24% share in the global liquids storage capacity, plans to add an additional 54 million barrels from four planned and announced terminals during the same period.

However, even though China contributes 8% towards to the total global storage capacity, a total of 10 planned and announced terminals in China are expected to add a capacity of 66 million barrels until 2021.

The fourth major contributor with Japan, with 354 million barrels, followed by South Korea, with 231 million barrels.

The Netherlands accounts for 3% of global storage capacity with 218 million barrels in 2018.



Show Less
Terminal News
February 8, 2018
Avant Energy to build network of Mexican storage terminals
Avant Energy will spend $200 million to build a network of terminals to supply refined petroleum products from Tamaulipas to the Bajio region of north-central Mexico.This network of terminals will be known as Supera, short for Suministro de Petroliferos Altamira–Bajio...

Read More

Avant Energy will spend $200 million to build a network of terminals to supply refined petroleum products from Tamaulipas to the Bajio region of north-central Mexico.

This network of terminals will be known as Supera, short for Suministro de Petroliferos Altamira–Bajio.

Avant Energy is working on this development with US logistics group Savage Companies and rail operator Kansas City Southern de Mexico.

The network will provide an efficient logistics solution for companies to supply refined products from the US to several cities in the Bajio region. It will initially consist of a marine terminal and an inland terminal developed simultaneously and involving an investment of $200 million.

The marine terminal will be located in the Port of Altamira and will be capable of unloading Panamax size vessels and providing storage for up to 1.2 million barrels of refined products. It will facilitate rail access to the Bajio region via an interconnection with the existing KCSM railroad.

The initial inland terminal will comprise a storage and dispatch facility in Queretaro with direct connection to the KCSM system. This terminal is being designed to receive unit trains with a storage capacity of 450,000 barrels.

Both the marine terminal and the inland storage facility are expected to commence construction during the third quarter of 2018, and start commercial operation before the end of 2019.

Luis Farias, CEO of Avant Energy, says: 'We are proud to develop this unique infrastructure network that provides superior logistics solutions to connect the high growth Bajio region with the US Gulf Coast, the largest and most efficient market in the world for refined products.

'The energy reform has allowed new players such as Avant Energy to participate in open markets, which will allow increased efficiencies to the supply chain and ultimately benefit the customer.'



Show Less
Terminal News
February 8, 2018
Fujairah: Total oil product stocks edge up 0.3% on week
Total oil product stocks at the UAE port of Fujairah were almost unchanged at 16.825 million barrels as of Monday, February 5, edging up just 0.3% on the week, despite a 23.6% drop in middle distillate figures, according to latest data from the Fujairah Energy Data Committee, or FEDCom...

Read More

Total oil product stocks at the UAE port of Fujairah were almost unchanged at 16.825 million barrels as of Monday, February 5, edging up just 0.3% on the week, despite a 23.6% drop in middle distillate figures, according to latest data from the Fujairah Energy Data Committee, or FEDCom.

Stocks of light distillates rose by 4.3% week on week to 7.846 million barrels, the second highest total on record. Stocks are currently 1.5 million barrels, or 24%, higher than this time last year. The FOB Arab Gulf petrol market remains bearish on ample supply and a dearth of cargoes changing hands, S&P Global Platts Analytics said in a report.

Global petrol supplies have been high due to strong refinery runs through the winter, but the market is expected to tighten as refinery maintenance starts. Therefore, light stock levels could fall from current highs over the next few weeks, the report said. The front-month time spread for Arab Gulf petrol RON 95 also flipped into backwardation this week, having been in contango since late-December.

Stocks of middle distillates fell by 23.6% or 613,000 barrels to 1.979 million barrels, down from last week's three-month high. The inventories are 62% lower year on year, having been drawn down by healthy demand due to a colder winter in the Northern Hemisphere. Supply will be constrained by current and upcoming refinery maintenance, the report said, with one of the region's major gasoil exporters, Saudi Aramco Total Refining and Petrochemical, undergoing a 46-day maintenance outage to its 200,000 b/d train 1 CDU from January 8.

Stocks of heavy distillates and residues rose to 7 million barrels, climbing 5.1% from last week's record low. Heavy stocks have averaged 21% lower year on year so far this year on a flat market structure and a weak outlook for demand.

The bunker market was quiet as buyers stayed on the sidelines given falling crude prices, hoping to pick up material at lower prices. Front-month ICE Brent futures closed at a five-week low of $66.99/b Tuesday, after hitting a three-year high of $70.71/b on January 25.



Show Less
Terminal News
February 7, 2018
Alpha Terminals to build storage terminal in North Sea Port
A €250 million liquid bulk terminal will be built in the Vlissingen area of North Sea Port by Alpha Terminals.The terminal will have a capacity of 500,000 m3 spread across 34 tanks and will store various kinds of liquid bulk from chemicals and oils to oil products and future generation sources of energy such as ammonia...

Read More

A €250 million liquid bulk terminal will be built in the Vlissingen area of North Sea Port by Alpha Terminals.

The terminal will have a capacity of 500,000 m3 spread across 34 tanks and will store various kinds of liquid bulk from chemicals and oils to oil products and future generation sources of energy such as ammonia.

It will provide an additional five to seven million tonnes of liquid bulk per year. Additionally, a jetty is planned for the loading and unloading of various seagoing and inland vessels at the same time.

It will be built at the mouth of the Sloehaven on a site that has a surface area of over eight hectares.

It is expected that construction works will start next year after all necessary permits are applied for in 2018. It is expected to take two years to build and it could be operational by 2020.

North Sea Port says in a statement: 'North Sea Port is looking forward to the realisation of the tank terminal by this Swiss investor. It is the first time that this Swiss group is active in the port. Moreover, with this increase in its traffic, North Sea Port is improving its already strong position in the liquid bulk sector.'

Currently, liquid bulk takes up one third of the port's seaborne cargo traffic.



Show Less
Terminal News
February 7, 2018
New LNG facility for Port of Gothenburg
Construction of a new LNG facility is now underway at the Port of Gothenburg.Jill Söderwall from the Port of Gothenburg and Johan Zettergren from Swedegas broke ground on the new facility, which is expected to open up new opportunities for LNG-fuelled ships that call at the Gothenburg Energy Port...

Read More

Construction of a new LNG facility is now underway at the Port of Gothenburg.

Jill Söderwall from the Port of Gothenburg and Johan Zettergren from Swedegas broke ground on the new facility, which is expected to open up new opportunities for LNG-fuelled ships that call at the Gothenburg Energy Port.

It will become fully operational during 2018.

The first LNG bunkering took place at the port in the autumn of 2016 and since then, operating regulations and routines have been developed, leading to a steady rise in the number of LNG bunkering operations.

Swedegas will expand the number of LNG options at the port with a facility that will ensure safe, rapid and effective landside LNG bunkering whilst vessels are loading and discharging at the energy port.

Söderwall says: 'With both Skangas and Swedegas operating at the Port of Gothenburg, we have two companies that complement each other with different offerings. Shipping lines now have a further incentive to consider switching to LNG.'

The facility will be scalable and can be adapted to the needs of the customers. Gas purchasers will also be able to choose their supplier. LNG will arrive at the facility by trailer or in containers, and will be distributed via a 450-meter vacuum-insulated cryogenic pipeline to the quayside.



Show Less
Terminal News
February 7, 2018
Gibson Energy to focus on oil infrastructure
Gibson Energy will divest several non-core businesses as part of plans to transition to a focused oil infrastructure growth company.The key attributes of its strategy include having oil infrastructure comprise 85% of segment profit by the end of 2019, with the Hardisty and Edmonton terminals representing 75% of segment profit...

Read More

Gibson Energy will divest several non-core businesses as part of plans to transition to a focused oil infrastructure growth company.

The key attributes of its strategy include having oil infrastructure comprise 85% of segment profit by the end of 2019, with the Hardisty and Edmonton terminals representing 75% of segment profit.

It also aims to invest $!50 million to $200 million in growth capital pe4r yea, inclusive of the expected sanction of at least one to two tanks per year and have secure, growing dividend, underpinned by long-term contracts with investment grade counterparties at its terminal assets.

Looking at its Canadian business strategy, the company expects that the long-term growth of oil sands production will continue to increase heavy oil flows into Hardisty, driving producer demand for additional tankage. Gibson plans to secure a significant proportion of incremental third-party tank build opportunities and could support the sanction of at least one to two tanks per year on a run-rate basis.

Gibson also plans to grow its businesses that leverage the core terminal position, including additional pipeline connections and blending. It plans to expand its pipeline gathering network surrounding Hardisty in the Viking Basin by leveraging existing storage capabilities and access to egress pipelines at its terminals.

Looking at its US business strategy, it will focus on the Permian and SCOOP/STACK basins and leverage its injection station position in these plays. It also plans to develop regional gathering pipelines to establish an additional growth platform.



Show Less
Terminal News
February 5, 2018
Enterprise & Navigator to build ethylene export terminal
Enterprise Products Partners and Navigator Holdings have formed a joint venture to build a new ethylene export facility along the US Gulf Coast.The facility will have the capacity to export approximately one million tonnes of ethylene per year. Refrigerated storage for 30,000 tonnes of ethylene will be built on site and will provide the capability to load ethylene at rates of 1,000 tonnes per hour...

Read More

Enterprise Products Partners and Navigator Holdings have formed a joint venture to build a new ethylene export facility along the US Gulf Coast.

The facility will have the capacity to export approximately one million tonnes of ethylene per year. Refrigerated storage for 30,000 tonnes of ethylene will be built on site and will provide the capability to load ethylene at rates of 1,000 tonnes per hour.

The facilities are expected to be in service by the first quarter of 2020. The project is supported by long-term contacts with anchor customers that include US ethylene producer Flint Hills Resources and a major Japanese trading company.

A.J 'Jim' Teague, CEO of Enterprise's general partner, says: 'This new ethylene export terminal will support the growing production of ethylene on the US Gulf Coast by providing access to international markets.

'By 2021, the petrochemical industry is expected to expand aggregate ethylene production capacity in Texas and Louisiana by nearly 50% to approximately 90 billion pounds per year. The resulting rapid growth in the supply of US ethylene, combined with increased demand from international markets, like Asia, creates an ideal scenario in which markets abroad are able to diversify their supply by accessing cost-advantaged feedstocks made possible by the shale revolution in the US.

'This export terminal will also offer diversification opportunities for domestic petrochemical producers who will not have to rely solely on the export market for derivatives like polyethylene.'

Enterprise is also developing a high-capacity ethylene salt dome storage facility at its complex in Mont Belvieu, Texas.

This facility will have a capacity of 600 million pounds with an injection/withdrawal rate of 420,000 pounds per hour. The storage facility is expected to begin service in the first quarter of 12019 and will be able to enable connections to the eight ethylene pipelines within half a mile of the Enterprise ethylene storage system.



Show Less
Terminal News
February 1, 2018
Washington's governor has rejected Tesoro Savage's application to build a new oil terminal at the Port of Vancouver.Governor Jay Inslee agreed with state regulators to build the 360,000 barrel per day crude-by-rail uploading and marine loading facility...

Read More

Washington's governor has rejected Tesoro Savage's application to build a new oil terminal at the Port of Vancouver.

Governor Jay Inslee agreed with state regulators to build the 360,000 barrel per day crude-by-rail uploading and marine loading facility.

The decision follows a lengthy evaluation process by the state's Energy Facility Site Evaluation Council, which voted last year to deny the permit.

Inslee said several issues compelled his decision, including seismic risks, the inability to sufficiently mitigate oil spill risks, and the potential safety risks of a fire or explosion.

He says: 'The council has thoroughly examined these and other issues and determined that it is not possible to adequately mitigate the risks, or eliminate the adverse impacts of the facility, to an acceptable level.'

Inslee also noted that the application was 'unprecedented both in its scale and the scope of issues it raised'.

In a statement Vancouver Energy (Tesoro Savage) says it is disappointed with the decision and that it forgoes the opportunity to 'bolster America's energy security by providing state-of-the art infrastructure that enables environmental benefits and a cleaner energy future'.

The company adds: 'The endorsement of the Energy Facility Site Evaluation Council's faulty recommendation by Governor Inslee is setting an impossible standard for permitting new energy facilities in the state.

'After over four years of study and tens of millions of dollars, the Vancouver Energy facility and associated state-of-the-art facilities would have been far superior and more robust with regard to the potential for an earthquake or oil spill, than the crude oil trains that are already moving through the state every day and virtually all existing infrastructure in Washington.

The company has 30 days to appeal the decision, and it says that it is currently evaluating its options.



Show Less
Terminal News
February 1, 2018
Croatia poised to be EU energy gateway
Croatia has ambitions to become the energy gateway for the European Union as it continues to develop several energy initiatives.Maroš Šefčovič, European Commission vice president, leading the Energy Union project, said in a speech at the New Croatian Energy Strategy conference that EU has financially supported several energy projects in the country, including a new heat and power plant, as well as a new grid project...

Read More

Croatia has ambitions to become the energy gateway for the European Union as it continues to develop several energy initiatives.

Maroš Šefčovič, European Commission vice president, leading the Energy Union project, said in a speech at the New Croatian Energy Strategy conference that EU has financially supported several energy projects in the country, including a new heat and power plant, as well as a new grid project.

The EU has invested funds of more than €100 million in the Krk LNG terminal and earlier this week an additional €16 million was approved for its pipeline.

Šefčovič said: 'This is great news for Croatia, which will be able to import gas and export to its neighbours.

'It is great news for the region which will see more competition (meaning higher security and lower prices). And it is great news for Europe, which will have more gas available to replace more CO2 intensive energy resources.'

He concluded: 'Croatia does indeed have a tremendous role within the Energy Union.'



Show Less