Magellan Midstream to build Texas marine terminal

Magellan Midstream Partners LP plans to construct a high-capacity marine terminal along the Houston Ship Channel in Pasadena, Tex., to handle refined petroleum products, including various grades of gasoline and diesel fuel, and renewable fuels.

The terminal will be built on nearly 200 acres of recently-acquired land. Supported by a long-term customer commitment, Magellan initially plans to build 1 million bbl of refined products and ethanol storage, and a marine dock capable of handling Panamax-sized ships or barges with up to a 40-ft draft.

If warranted by additional demand, the Pasadena facility could be expanded to include up to 10 million bbl of storage and up to 5 docks, including the potential for Aframax-sized vessels with a draft up to 45 ft.

Magellan is also constructing a 36-in. pipeline between the partnership’s existing Galena Park, Tex., terminal and the new Pasadena terminal to enhance connectivity and distribution options for both facilities.

The firm is connecting its existing 18-in. Texas City-to-Pasadena pipeline to the new facility. Magellan is developing opportunities for additional connections to third-party refineries, pipelines, and terminals within the Gulf Coast region.

The project is currently estimated to cost $335 million, including the acquisition of land. Subject to receipt of necessary permits and regulatory approval, the firm expects the Pasadena terminal to be operational in early 2019.

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