POTAC (Pin Oak) announced the execution of a ten year exclusive use agreement for Suezmax vessels at Public Oil Dock 14 with the Port of Corpus Christi, including extension options, exercisable by the Company, which could extend the agreement for up to an additional ten years.
In addition to Suezmax vessels, Pin Oak will be able to efficiently load / unload Aframax, Panamax, and other smaller vessels and barges. This agreement follows the commencement of construction on Pin Oak's nine pipelines crossing under the Corpus Christi Ship Channel, eight of which will connect to Public Oil Dock 14.
The dock is designed to load product at a minimum rate of 40,000 barrels per hour, and it will include three twelve-inch diameter purpose-built loading arms to efficiently load crude oil onto Suezmax vessels.
"The Port of Corpus Christi constructed Oil Dock 14 in 2016, and we applaud their vision to invest in the necessary dock capacity to facilitate the expeditious flow of crude oil and products to domestic and global markets. We believe speed-to-market is imperative for our customers, and we are aligned with the Port of Corpus Christi to be ready for oil by the third quarter of 2019," said C. Mike Reed, Chief Executive Officer of Pin Oak Holdings, LLC.
"As we proved at Pin Oak Terminals in Mt. Airy, Louisiana, we are focused on developing top-tier logistics solutions for our customers, and we look forward to delivering to them a full-service transportation hub on the Corpus Christi Ship Channel," Mike added.
"We are pleased to expand our relationship with the Pin Oak joint venture between Dauphine and Mercuria," said Sean Strawbridge, Chief Executive Officer of the Port of Corpus Christi. "As we continue to invest in infrastructure that makes our customers more competitive, we welcome opportunities to work with growth-oriented companies such as Pin Oak."
Pin Oak currently has contracted over two million barrels of crude oil storage supported by long-term third-party contracts, with the ability to expand its capacity on an as-needed basis. In addition to the crude oil storage and export capabilities, Pin Oak currently operates multiple pipeline connections to nearby refineries, nearly one million barrels of existing storage capacity, a vacuum distillation unit, a polymer modified asphalt plant, rail loading and unloading facilities, and a truck rack.
