A Trafigura AG subsidiary acquired rail and dock terminals in Corpus Christi, Tex., and also announced an alliance with Energy Transfer Partners LP (ETP) to jointly coordinate transportation and storage of crude oil and condensate for Eagle Ford shale producers.
The Texas Dock & Rail terminal is an 85-acre industrial site that features 600,000 bbl of storage for crude oil, fuel, and condensate. The terminal has a 1,200-ft-long deepwater dock with a 45-ft draft and space for expansion. Cost of the acquisition was not disclosed.
Dallas-based ETP will provide pipeline services for Eagle Ford producers to Corpus Christi. Currently, crude and condensate is being shipped to the terminal by truck for movement by barge.
Depending on market demand and the location of specific producers, Trafigura said ETP expects to transport crude and condensate by pipeline use some existing assets in the ground as well as making new pipeline connections to the field.
“We expect the pipeline to be operational as early as third-quarter 2012,” a spokeswoman said.
Brian Beebe, ETP senior vice-president, said, “The combination of expertise and assets will directly meet the needs of the Eagle Ford’s unique product mix and offer superior market access to our producers through the deepwater dock in Corpus Christi.”
ETP owns an intrastate pipeline system in Texas that includes the Eagle Ford play, and ETP holds 70% interest in Lone Star NGL LLC, a joint venture that owns and operates LNG storage, fractionation, and transportation assets in Texas, Louisiana, and Mississippi.
Trafigura, a wholly owned subsidiary of Trafigura Beheer BV, is an international commodity trader having offices in Houston and Stamford, Conn.