Crude oil export terminals in the Port of Corpus Christi

The Port of Corpus Christi is optimally located for the export of crude oil and condensate produced in the Permian and Eagle Ford Basins. Barges and oil tankers sailing for other regions in the U.S. and import terminals in Canada have already been loaded at the Port of Corpus Christi since the lifting of the U.S export ban. As of November 2015, 569,313 barrels of crude oil and 33,561 barrels of condensate have been shipped from the Port of Corpus Christi. Most of these shipments re-entered the U.S. through the Gulf Coast, but some were transported to Canada and the U.S. east coast. The Port of Corpus Christi is smaller than ports in the Houston region in terms of its equipment (refineries, pipelines, etc.), but it is still emerging as a hub for crude oil exports and refinery. Not only is the Port of Corpus Christi within close proximity of Eagle Ford, but it is also connected to the Permian Basin by six pipelines with an aggregate capacity of 1.5 million b/d that transport crude oil and condensate to the port (RBN Energy, 2015). These pipelines are the real reason behind the port’s recent growth as a hub for crude oil exports.

The NuStar North Beach, Trafigura’s Texas Dock & Rail, Flint Hills Resources Ingleside, Magellan Midstream, and Martin Midstream Partners LP terminals are also located near the Port of Corpus Christi. Furthermore, there are a total of 16 docks currently under construction or being proposed for construction along the water canals of the port.

Figure 5-10. Crude Oil Export Terminals Near the Port of Corpus Christi

Source: Platts (2016)

A. NuStar North Beach Export Terminal

The NuStar North Beach Export Terminal is equipped with a 2 million B-scale oil storage facility capable of releasing up to 400,000 b/d. The terminal can also accommodate Panamax-grade oil tankers and unload oils such as crude oil and condensate. Up to 240,000 b/d of crude oil and condensate can be delivered to the terminal via the Three Rivers Pipeline³³ (RBN Energy, 2015).

Table 5-11. Information on Oil Export Docks at the NuStar North Beach Terminal

(Unit: ft., one thousand tons) Dock No. Max

Draft Beam Max

LOA

Deadweight

Tonnage (DWT) Export Oil Types

#1 45 160 1,000 150 Crude oil, chemical products

#16 47 106 750 80 Crude oil

Source: Platts (2016)

Dock #1 at the NuStar North Beach Export Terminal is used for the export of crude oil and chemical products, while Dock #16 is used for the export of crude oil. Dock #1 is connected to crude oil pipelines measuring 24 and 36 inches in diameter, and Dock #16 is connected to a crude oil pipeline measuring 30 inches in diameter.

Figure 5-11. Structural Layout and Panoramic View of the NuStar North Beach Terminal Dock #1

33 Conoco Philips is a fixed shipper at the NuStar North Beach Terminal.

Source: Nustar Logistics, L.P. (2014)

B. Trafigura’s Texas Dock & Rail Export Terminal

The Trafigura’s Texas Dock & Rail Export Terminal receives condensate from the condensate splitter (capacity 50,000 b/d) in McMullen County. It is also currently equipped with storage facilities that have a capacity of 600,000 B; these facilities will be expanded in the near future to hold an increased capacity of 2 million B.

Table 5-22. Information on Oil Export Docks at the Trafigura’s Texas Dock & Rail Terminal

(Unit: ft.) Dock No. Max Draft Max LOA Export Oil Types

Deep Sea Dock #1 45 1,200 Crude oil

Deep Sea Dock #2 47 750 Crude oil

Source: Platts (2016)

Aframax-grade oil tankers are able to unload at the terminal, and crude oil is exported mainly through Deep Sea Docks

#1 and #2. Two rows of 12-diameter crude oil pipelines connect the terminal’s storage facilities to each deep sea dock.

C. Flint Hills Resources Ingleside Export Terminal

The Flint Hills Resources Ingleside Export Terminal was a part of a U.S. naval base until 2010, but became the terminal it is today through a partial purchase by Flint Hills Resources and Occidental Petroleum (Oxy). The Flint Hills Ingleside

Terminal is equipped with a storage facility for crude oil and condensate that has a capacity of 2.7 million B. The terminal’s total shipment capacity is 200,000 b/d, and Docks #4 and #5 are used for the loading of crude oil shipments for export. Two rows of 12 inch-diameter crude oil pipelines connect the terminal’s storage facilities to each of its docks.

Table 5-23. Information on Oil Export Docks at the Flint Hills Resources Ingleside Export Terminal

(Unit: ft.) Dock No. Max Draft Beam Max LOA Export Oil Types

# 4 40 150 1,000 Crude oil

# 5 37 N/A N/A Crude oil

Source: Platts (2016)

D. Magellan Midstream C.C. Export Terminal

The Magellan Midstream C.C. Export Terminal is located near the end of the 100,000 b/d-grade Kinder Morgan and Magellan Double Eagle Pipelines through which it receives condensate from the Garden Dale region.

Figure 5-12. Condensate P/L Connection of the Magellan C.C. (Midstream) Export Terminal

Source: Byoungyun Lim (2015), p.67

Additionally, the Magellan C.C Midstream Export Terminal holds the operational rights to two 50,000 b/d-grade condensate splitters³⁴, one of which is leased by Trafigura and connected to Trafigura’s Texas Dock & Rail Terminal via pipeline, and the other of which is expected to be in operation by early 2017 after tolling partners³⁵ have been found. The terminal also has an oil storage capacity of 3 million B, which includes one million B of crude oil.

E. Martin Midstream Partners LP Export Terminal

34 Prior to the lifting of the ban on U.S. crude oil exports by the U.S. Congress in December 2015, condensate had to be refined into a product in order to be legally exported. Refining companies had to install condensate splitters to refine and export condensate.

With the current removal of the ban, there is no longer a need to process condensate to meet regulations.

35 https://www.magellanlp.com/uploadedfiles/Crude%20Oil%20Brochure%20-%20November%202015.pdf, accessed on August 31, 2016)

The Martin Midstream Partners LP Terminal is located at the end of the 250,000 b/d-scale Harvest Pipeline. Two public docks, including a dock dedicated to outgoing shipments of an aggregate capacity of 160,000 b/d are also operated in this area. The terminal possesses storage facilities that have a total capacity of 600,000 b/d and can make shipments of up to 30,000 B per hour.