Watco Companies and Kinder Morgan Energy Partners are to build and operate transload facilities for loading and unloading crude oil.
The network will connect Dore and Stanley in North Dakota, Stroud in Oklahoma, Houston in Texas and other loading facilities in the Eagle Ford Shale are in south Texas. All connections will be in the US.
Each facility will be able to handle large unit train volumes and the Dore site will feature a track more than 3,000m in length which will be run by Pioneer Oil. The construction of this will be part of phase one of the project, which will also include warehousing for inside storage.
The completion date for phase one is scheduled for 1 September 2011 and a start date of 1 October 2011, giving those involved access to Cushing, Oklahoma.
The other areas involved in the development are still under a design phase but are on track to be opened by Q1 2012.
Kevin Goins, SVP and COO of Watco Transload and Intermodal says: ‘Our new network of transloads, in partnership with Kinder Morgan, will add significant new services to the changing market dynamics and we believe will provide tremendous value for customers by improving the way they move energy related commodities.’