Washington Crude Railport Project Delayed

Posted by Michelle Howard
Thursday, May 01, 2014

Tesoro Corp's plan for a crude oil rail-to-barge project at the Port of Vancouver in Washington has been delayed as the company awaits state requirements for an environmental impact statement (EIS), Chief Executive Greg Goff told analysts on Thursday.

The estimated cost of the railport also has risen to a range of $150 million to $190 million, from about $100 million, Goff said.

The joint-venture project with Savage Services had been targeted to start up in late 2014 or early 2015. On Thursday, Goff said construction is now expected to begin during that timeframe, with initial inland U.S. crude volumes running through the railport in mid-2015.

The project will be fully completed a year after construction starts, Goff said.

"The primary delay is waiting for the state to come with their EIS requirements," Goff said. "That puts us somewhere between six to eight weeks behind schedule."

Tesoro submitted environmental permit applications for the project in August last year. The permit is seeking approval for a 380,000 barrels-per-day (bpd) facility, but Goff has said actual volumes are expected to hover at 300,000 bpd.

The railport would serve both Tesoro refineries and others along the U.S. West Coast.

The delay comes after a CSX Corp train carrying crude oil derailed and caught fire in Virginia on Wednesday, spilling oil into a river and forcing hundreds to evacuate.

The CSX derailment was the latest in a spate of crude train derailments and crashes since last summer that have raised concerns about the safety of oil trains.

(Reporting by Kristen Hays; Editing by Nick Zieminski)

Maritime Reporter October 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Time-out for Kwanza Drilling

Statoil has decided to cancel the Stena Carron rig contract after fulfilling the work commitments in the Statoil-operated blocks 38 and 39 in the Kwanza basin offshore Angola.

Oil Deal Between Iraqi Kurdistan & Baghdad Welcomed

The United States welcomes an agreement between Iraq's central government in Baghdad and its northern Kurdistan region over the management of oil exports, U.

Nigeria to Cut Petrol Subsidy by Half

Nigeria plans to cut subsidies on petroleum products by half next year after sharp falls in global crude prices, spurred the government to revise its 2015 budget downwards,

Environmental

Steven Palazzo Visits HII, Newport

Huntington Ingalls Industries today hosted Rep. Steven Palazzo, R-Miss., for a tour of the company's Newport News Shipbuilding division. Palazzo represents the fourth district of Mississippi,

Environmental Groups: IMO Polar Code Too Weak

The International Maritime Organization (IMO) today adopted the Polar Code aimed at regulating shipping in Polar Regions. Several environmental groups have criticized

Bouchard Vessels Honored by SCA

Forty-three Bouchard Transportation Co., Inc. vessels have been honored by The Chamber of Shipping America (CSA) with Certificates of Environmental Achievement.

News

7 Rescued from Sinking Freighter Near Haiti

Seven crewmembers were rescued after their 100-foot coastal freighter began taking on water and sank approximately 45 miles north off of Cap Haitien, Haiti, Friday.

Gazprom Transgaz Ufa Organizes Arts Festival

Over 200 healthy children and children with disabilities from Bashkortostan as well as the Volga Region participated in the Breaking the Barriers second interregional children’s arts festival,

Time-out for Kwanza Drilling

Statoil has decided to cancel the Stena Carron rig contract after fulfilling the work commitments in the Statoil-operated blocks 38 and 39 in the Kwanza basin offshore Angola.

Barges

Ice to Close Upper Mississippi from Nov. 20

The shipping season on the upper Mississippi River will end on Thursday as ice surrounding locks and dams near Minnesota's Twin Cities forced the earliest winter

Lynden to Provide Barge Service for Tulsequah Mine Project

Lynden Logistics, LLC signed a letter of intent with Chieftain Metals Corp. to provide barge services in support of the construction and production of the Tulsequah Mine in British Columbia.

Bunker Demand up 25 pct at Indian Ports

Demand for shipping fuel at major Indian ports has climbed in the past week by up to 25 percent as the cost of refuelling at Singapore, Asia's bunkering hub, soared

Maritime Safety

7 Rescued from Sinking Freighter Near Haiti

Seven crewmembers were rescued after their 100-foot coastal freighter began taking on water and sank approximately 45 miles north off of Cap Haitien, Haiti, Friday.

USS Oscar Austin Deploys to 6th fleet

Arleigh Burke-class guided-missile destroyer USS Oscar Austin (DDG 79) departed Naval Station Norfolk Nov. 21 for a deployment to the U.S. 6th Fleet area of responsibility (AOR).

IMO Steps Up Safety in Polar Waters

United Nations’ International Maritime Organization (IMO) has adopted global, binding regulations to enhance safety of navigation in polar waters. After several years’ intense negotiations,

Logistics

October Imports up 9% at Port of Oakland

Containerized imports shipped through the Port of Oakland were up 9.17% in October from a year ago, the port said, citing the surge as the biggest jump in import cargo volume in six months.

Cost to Fuel Ships Falls

For a ship that burns 24 tonnes of fuel per day while steaming, fuel costs are reduced by as much as $1 million a year if current price level stay put. Assuming

Asia Tanker, VLCC Rates Could Climb

Charterers to release 30 Middle East VLCC cargoes next week. VLCC market buoyed by upbeat Suezmax, Aframax sectors. Rates for very large crude carriers (VLCCs)

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Standards Naval Architecture Navigation Offshore Oil Pipelines Port Authority Ship Electronics Ship Repair
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1332 sec (8 req/sec)