Pin Oak Terminals, LLC (“Pin Oak” or the “Company”) opened today the new multi-product liquid marine terminal at Pin Oak’s site in Mt. Airy, Louisiana. This is following key investment from Mercuria Energy Group Ltd. (“Mercuria”) in the previous months. The opening was attended by Pin Oak Terminals’ executives, Louisiana Governor John Bel Edwards, Paul Aucoin, Executive Director for the Port of South Louisiana, Port Commissioners, Parish President Natalie Robottom, the St. John Parish Council, Sheriff Michael Tregre, and other Government officials and employees.
“Pin Oak Terminals is a 15-year old dream come true which is now being fully supported by the market,” said C. Michael Reed, Chief Executive Officer. “Customers have signed agreements for up to almost 4 million barrels for this new grass-roots terminal. Without the support of our customers, our dedicated employees and contractors, the local community, the Port of South Louisiana, St. John Parish officials and Louisiana State Government, this would still be a dream.”
Located at mile marker 144.1 on the Mississippi River in Mt. Airy, Louisiana in St. John the Baptist Parish, the site has the capacity to construct more than 10 million barrels of storage of crude oil, refined products, chemicals, and other liquids.
“We are very excited that the Pin Oak Project is complete and couldn’t be more pleased with the capital investment, the project, and the jobs it will create for our residents and business owners,” said Parish President Robottom. “We look forward to Pin Oak’s continued growth and the tremendous benefits they will bring to all who live in the community for many, many years to come. Thank you to all involved as we move into the future with confidence, optimism and great anticipation of the company’s success in the region and state.”
After nearly 14 months of construction, Pin Oak has employed 449 contractors who have worked 942,265.50 hours without a lost time incident. Pin Oak has directly and indirectly hired approximately 600 people from our local community and brought economic income to the area, over 75 percent of which are local residents of River Parishes. Pin Oak is dedicated to working with local businesses as well as offering an opportunity to the local community.
“The Port of South Louisiana is very proud to have Pin Oak join us,” said Port Director, Paul Aucoin. “The Port has supported the project since the beginning. Pin Oak has assembled a great team and they have been a pleasure to work with. I also admire and appreciate their commitment to the community.”
Over the year, Pin Oak Terminals has donated food to the local community during holidays and in times of need, contributed to the local theatre program, and contributed through numerous monetary donations to non-profit organizations, schools, and churches. “I would like to congratulate Pin Oak on the success of their company and for locating their business in St. John the Baptist Parish,” said Mike Tregre, Sheriff, St. John the Baptist Parish. “I look forward to many years of all of us working together for the betterment of our parish.”
The terminal is beginning operations with one dock, a two-bay truck rack, and four tanks holding a total capacity of 424,000 barrels of refined products and biofuels. Neighbors can expect construction to continue as the remaining permitted tanks and infrastructure are built. Pin Oak Terminals plans to continue to expand by adding new customers and new opportunities, tanks, and infrastructure. “The sky is the limit to local businessmen who have a dream,” said Danny Guidry, Chief Administrative Officer. “The beauty is that we can build customizes solutions for our customers.”
Pin Oak is pursuing a second dock and new customers every day. Once completed, the terminal will have two light Suezmax / Aframax ship docks and capabilities to handle 14 barges simultaneously. Two class I railroads will serve the terminal and the Terminal can build a full two-unit train loop track. The terminal received Foreign Trade Zone status by US Department of Commerce.
Mercuria is a strategic partner of Pin Oak, having secured $100 million equity investment in December 2016, along with Dauphine Midstream LLC (“Dauphine”). In April, Mercuria worked in partnership with two key financing partners, ING Capital LLC (“ING”) and Sumitomo Mitsui Banking Corporation (“SMBC”) to complete financing.
About Pin Oak: Pin Oak is a midstream company and is constructing a liquid and chemicals storage terminal, Pin Oak Terminals, on 431 acres along the Mississippi River in Mt. Airy, Louisiana. Pin Oak Terminals provides its customers with complete optionality via ship, pipeline, truck, and rail access. It will serve North America’s growing crude, refined product, and chemical industries and is strategically located next to major supply networks, demand centers, and export markets. Pin Oak is a 100% owned subsidiary of Pin Oak Holdings, LLC and Pin Oak Holdings, LLC will look to expand its footprint through the development and acquisition of additional terminals throughout North America.
About Mercuria: As a leading energy and commodities group, Mercuria is primarily focused on energy, and is present all along the commodity value chain with activities forming a balanced combination of commodity flows and strategic assets. More than 1,000 people are operating from offices worldwide to sustain the Group’s extensive business reach with their market knowledge, diversity, and experience. In 2014, Mercuria completed the acquisition of the physical commodities trading unit of JPMorgan Chase & Co. China National Chemical Corporation (ChemChina), one of China’s largest chemical companies, completed a strategic investment in Mercuria in 2015.
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