The new tank farm serves as the sole distribution point for output from the refinery as part of a 15-year throughput and volume dedication agreement.
Enterprise’s storage facility, which represents an investment of approximately $330m, features 20 storage tanks with 5.4 million barrels of capacity for gasoline, diesel and jet fuel. In addition, five pipelines, each five and one-half miles in length, transport the various products from the refinery to the storage site.
Distribution interconnects provide access to major refined products pipelines, including the Enterprise TE Products Pipeline, which was acquired as part of the TEPPCO purchase in October 2009, as well as the Colonial, Explorer and Sunoco systems.
Michael Creel, president and chief executive officer of Enterprise, said: “We are very pleased to be able to provide the midstream infrastructure and services that will facilitate the expansion of one of the country’s largest refineries.
“The new tank farm also helps provide supply assurance for Enterprise’s refined products pipeline network serving the Gulf Coast, Midwest and northeast U.S. markets, while complementing one of our core strategies to diversify the partnership’s cash flow.”
The company said that during the construction phase, approximately 200 jobs were created, with more than $25m spent on goods and services, which benefited local businesses. The tank farm has an annual payroll of approximately $1.5m and generates approximately $5m in revenues each year for the city of Port Arthur.
