Odfjell Terminal Houston to begin construction of automated tank bay


Odfjell has announced the construction of a new, modern, automated tank bay at Odfjell Terminal Houston (OTH) in Texas.

Dubbed Bay 13, the new project will boost capacity of OTH by around 9% to 413,400m3.

Construction of Bay 13 is set to begin in Q1 2022 and expected to become operational by the end of 2023.

The expansion will be funded completely by an existing credit facility.

Odfjell Terminals Houston (OTH) is owned by Odfjell Terminals US, which is owned 51% by Odfjell and 49% by Northleaf Capital Partners.

This project is in line with OTH's strategy to tap an increased demand for storage capacity in the specialty/petrochemical industry in the US Gulf Coast region.

It is expected that bulk chemicals exports in the US Gulf are expected to increase by 2.3 million metric tonnes by 2024, while import volumes are estimated to grow by 389,000 metric tonnes by 2030.

Bay 13 will feature nine new tanks, which be made of a mix of stainless steel and carbon-steel, and feature a total capacity of 32,400m3.

The new tanks will enable OTH to relocate products of current customers and leverage the use of its present storage capacity for new customers and products.

As the tank bay will be automated, it would require less intervention manually.

Furthermore, Bay 13 will stand to benefit from the ongoing Digital Transformation Program, which includes an advanced ERP system and automated control systems.

A provider of storage, transfer, and distribution services to the liquid bulk chemical industry, OTH currently has 119 tanks, two deep water ship docks, four barge berths as well as one of the largest stainless steel storage capacities in the world.

It is located near the entrance of the Houston ship channel and acts as an international hub for chemical import and export to and from the US.


Image: Construction of Bay 13 is set to begin in Q1 2022. Credit: Odfjell/Cision.

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