Epic Midstream News

Savannah Oil Products Terminal to Complete Rail Expansion Project in December

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16 October 2013

Epic Midstream is expected to complete in mid-December its $2 million rail expansion project at its 870,000 bbl oil products terminal at Savannah, Ga., industry sources told OPIS on Monday.

Epic is adding a new rail spur with a 10 rail car loading and unloading capacity, which will enhance the terminal's transit volume for imports and exports between the terminal and the marine docks.

The new rail spur will be served by the Golden Isles Short Line, which provides access to both the Norfolk Southern and CSX.

The new rail access will serve the east tank farm providing the optionality to import and export product through the Savannah Port with the use of rail and the facility's recently renovated 38' draft ship berth.

Epic Midstream, is a midstream investment platform focused on acquiring and enhancing mult-modal petroleum and chemical storage and handling assets.The company is funded through private equity and has refined product storage terminals located in the U.S. Southeast.

Epic Midstream acquired the Savannah terminal in 2011, but it was only handling petrochemical and lubes until earlier this year when Glencore delivered its first diesel cargo to that terminal in February.

Both Western and Glencore announced on Sept. 10, 2012 that they would begin to use the oil products storage tanks owned by Epic at Savannah. The storage capacity designated for oil products was pegged at 450,000 b/d.

There are 27 tanks at Savannah terminal, which is served by ship, barge, truck and rail. Savannah is the only water-based terminal for Epic.

Epic owns another four inland terminals in Alabama and Georgia, including Bremen, Ga., Macon, Ga., Montgomery, Al., and Moundville, Al. Some of which are located along Kinder Morgan's Plantation pipeline.

Epic has a combined 65 storage tanks, totaling 1.5 million bbl of active storage capacity. The shell capacity is over 1.8 million bbl.

Besides the rail expansion project at Savannah, Epic is also expected to build another two tanks, with a total capacity of 100,000 bbl.

There is no timetable so far for this capacity expansion project. This project may include potential access to automated truck rack, two vessel docks, the new Golden Isles Short Line Rail.

-Edgar Ang, eang@opisnet.com