The company said the terminals expansion project is expected to provide additional infrastructure to help address growing demand for refined product storage and dock services along the Houston Ship Channel.
Kinder Morgan will invest $240m for the project which will include the construction of 2.1 million barrels of storage between the two terminals.
The company will also develop new ship dock capable of handling ocean going vessels and infrastructure improvements at its Galena Park Terminal to significantly enhance the vessel load rates across the existing ship docks.
The new ship dock and the existing Galena Park ship docks can load vessels at rates up to 15,000 barrels per hour.
Kinder Morgan Terminals president John Schlosser said: "The new tankage will provide refined product producers and traders the ability to send more barrels to the water for international exports or to the network of pipelines for domestic use."
"Kinder Morgan will now have nine ship docks on the Houston Ship Channel and will double the load rates on existing docks. We see continuing strong demand for transporting fuel to the Gulf Coast to reach export markets."
Kinder Morgan Energy Partners owns an interest in or operates approximately 52,000 miles of pipelines and 180 terminals.
Image: The port of Houston along the Houston Ship Channel. Photo: United States Coast Guard, PA2 James Dillard.
