Magellan Midstream to build new marine terminal in Texas

WCN Editorial Team 18 Jul 2016 NORTH AMERICA BUILDINGS

Magellan Midstream Partners has unveiled plans to build a new $335M high-capacity marine terminal along the Houston Ship Channel in Pasadena, Texas.

The new terminal will be constructed on a recently-acquired 200-acre site and will be able to handle refined petroleum products, including various grades of gasoline and diesel fuel, and renewable fuels.

The project’s initial plans include the construction of about 1M barrels of refined products and ethanol storage supported by a long-term customer commitment. It will also involve the construction of a new marine dock capable of handling Panamax-sized ships or barges with up to a 40ft draft.

Furthermore, a 36-inch diameter pipeline will be constructed between the partnership's existing Galena Park, Texas terminal and the new terminal. The existing 18-inch Texas City—Pasadena pipeline will be also connected to the new facility.

Magellan Midstream Partners’ CEO Michael Mears said: "Demand for refined products export capabilities from the Gulf Coast continues to grow, and Magellan is well-positioned to take advantage of these opportunities due to our extensive pipeline and terminals network.

"We are pleased to expand our marine storage capabilities to meet the strong industry demand for both domestic and international exports while solidifying our strategic position as a key provider of storage and transportation services in the Gulf Coast region."

The new Pasadena terminal is expected to be operational in early 2019, subject to receipt of necessary permits and regulatory approval.

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