Pin Oak, Port Of Corpus Christi Sign Agreement To Facilitate Crude Oil And Products Flow To Domestic And Global Markets
OTAC, LLC Signs Long-Term Dock Use Agreement with Port of Corpus
Houston, Texas, October 17, 2018: POTAC, LLC (“Pin Oak” or the
“Company”) announced today the execution of a ten year exclusive use agreement for
Suezmax vessels at Public Oil Dock 14 with the Port of Corpus Christi,
including extension options, exercisable by the Company, which could extend the
agreement for up to an additional ten years. In addition to Suezmax vessels,
Pin Oak will be able to efficiently load / unload Aframax, Panamax, and other smaller
vessels and barges. This agreement follows the commencement of construction on
Pin Oak’s nine pipelines crossing under the Corpus Christi Ship Channel, eight
of which will connect to Public Oil Dock 14. The dock is designed to load
product at a minimum rate of 40,000 barrels per hour, and it will include three
twelve-inch diameter purpose-built loading arms to efficiently load crude oil
onto Suezmax vessels.
“The Port of Corpus Christi
constructed Oil Dock 14 in 2016, and we applaud their vision to invest in the
necessary dock capacity to facilitate the expeditious flow of crude oil and products
to domestic and global markets. We believe speed-to-market is imperative for our
customers, and we are aligned with the Port of Corpus Christi to be ready for
oil by the third quarter of 2019,” said C. Mike Reed, Chief Executive Officer
of Pin Oak Holdings, LLC. “As we proved at Pin Oak Terminals in Mt. Airy,
Louisiana, we are focused on developing top-tier logistics solutions for our
customers, and we look forward to delivering to them a full-service
transportation hub on the Corpus Christi Ship Channel.”
“We are pleased to expand our
relationship with the Pin Oak joint venture between Dauphine and Mercuria,”
said Sean Strawbridge, Chief Executive Officer of the Port of Corpus Christi.
“As we continue to invest in infrastructure that makes our customers more
competitive, we welcome opportunities to work with growth-oriented companies
such as Pin Oak.”
Pin Oak currently has contracted
over two million barrels of crude oil storage supported by long-term third-party
contracts, with the ability to expand its capacity on an as-needed basis. In
addition to the crude oil storage and export capabilities, Pin Oak currently operates
multiple pipeline connections to nearby refineries, nearly one million barrels
of existing storage capacity, a vacuum distillation unit, a polymer modified
asphalt plant, rail loading and unloading facilities, and a truck rack.
Pin Oak is a partnership between
Dauphine Midstream, LLC (“Dauphine”) and Mercuria Energy Group Ltd.
(“Mercuria”). Dauphine and Mercuria, through their partnership, also built and recently
sold Pin Oak Terminals, LLC, a marine liquid bulk terminal with approximately
four million barrels of contracted storage capacity in Mt. Airy, Louisiana.
Dauphine is a portfolio company of Pelican Advisors, LLC and
is focused on the development, acquisition, and operation of midstream assets
throughout the world.
As a leading energy and commodities group, Mercuria is
primarily focused on energy, and is present all along the commodity value chain
with activities forming a balanced combination of commodity flows and strategic
assets. More than 1,000 people are operating from offices worldwide to sustain
the Group’s extensive business reach with their market knowledge, diversity,
and experience. In 2014, Mercuria completed the acquisition of the physical
commodities trading unit of JPMorgan Chase & Co.
Mercuria contact: Matthew Lauer (email@example.com)
Pin Oak contact: C. Mike Reed (firstname.lastname@example.org