The Port of Corpus Christi Authority and The Carlyle Group are to jointly develop a world-class crude oil export terminal on Harbor Island, connecting growing crude oil production in the U.S. with global markets.
The terminal would be the first onshore location in the U.S. capable of providing export service to fully-laden VLCCs and would further the port’s position as the preeminent global crude oil export hub. The terminal is expected to be operational in late 2020.
Under the terms of the Agreement, the port will work exclusively with Carlyle to bring together world-class oil producers, marketers, pipeline operators and marine terminal operators to ensure a significant portion of the new oil production in Texas will have a reliable gateway to international markets. As part of the Agreement, Carlyle agreed to lead the construction and ongoing operations of the terminal on an exclusive basis. Carlyle also agreed that it would arrange for a private funding solution for a dredging project to bring fully-laden VLCCs to Harbor Island (at least a 75-foot main channel depth).
Construction of the terminal would require no capital outlay from local taxpayers. Under the terms of the agreement, the port will realise significant regular rental payments, volume-based tariff income, land grants and other proceeds that will help the port fund other aspects of its operations.
The terminal would include the development of at least two loading docks on Harbor Island as well as crude oil tank storage inland across Redfish Bay on land secured by Carlyle, enhancing operational flexibility while reducing the facility’s footprint on Harbor Island itself.
For more information visit: www.portofcc.com
31st October 2018
