TULSA,
Okla. and ROTTERDAM, Netherlands – Magellan Midstream Partners, L.P. (NYSE:
MMP) and Royal Vopak (NYSE Euronext Amsterdam: VPK) announce today they are
jointly assessing the development of a deep water storage and handling facility
in the Houston Gulf Coast area.
Under a recently signed
joint development agreement, the parties will engage in a feasibility study for
a new storage terminal along the Houston Ship Channel to store and handle crude
oil, refined products and ethanol. The proposed deep water
tank storage terminal would be located on land currently owned by Vopak in Deer
Park, Texas and would consist of tank terminal infrastructure including a range
of tanks, barge and ship docks facilitating high
speed loading rates. In addition, the strategic location along the Houston Ship
Channel is characterized amongst others by maximum draft (45 feet), rail access
(including unit train capability), automatic truck loading facilities and
connectivity to Magellan’s refined products and crude oil pipeline systems.
Magellan currently owns
20 million barrels (3.3 million cubic meters, or cbm) of storage capacity in
the Houston area, including its Galena Park and East Houston terminals, and the
most comprehensive pipeline system to deliver crude oil to and throughout the
Houston Gulf Coast area.
Vopak currently owns 8 million
barrels (1.3 million cbm) of storage capacity in the Houston area, providing
storage and handling services predominantly for the chemical industry,
including its Galena Park and Deer Park terminals, as well as the 130 acres and
associated dock location targeted for this expansion project.
About
Magellan Midstream Partners, L.P.
Magellan
Midstream Partners, L.P. (NYSE: MMP) is a publicly traded partnership that primarily
transports, stores and distributes refined petroleum products and crude oil. The
partnership owns the longest refined petroleum products pipeline system in the United
States, with access to more than 40% of the nation’s refining capacity, and can
store over 80 million barrels (13 million cbm) of petroleum products such as
gasoline, diesel fuel and crude oil. More information is available at www.magellanlp.com.
About
Royal Vopak
Royal
Vopak (NYSE Euronext Amsterdam: VPK) is the world’s largest independent liquid
bulk tank storage service provider by capacity, specializing in the storage and
handling of liquid chemicals, gasses and oil products. The company operates 84
terminals with a combined storage capacity of almost 190 million barrels (30.2 million
cbm) in 31 countries. Vopak’s terminals are strategically located for users
along the major shipping routes. The majority of its customers are companies
operating in the chemical and oil industries, for which Vopak stores a large
variety of products destined for a wide range of industries. More information
is available at www.vopak.com.
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Portions of this document constitute
forward-looking statements as defined by federal law. Although management of
Magellan Midstream Partners, L.P. and Royal Vopak believe any such statements
are based on reasonable assumptions, there is no assurance that actual outcomes
will not be materially different. Among the key risk factors that may have a
direct impact on the decision to proceed with the opportunity described in this
news release are: (1) the ability to negotiate and sign definitive agreements
with potential customers; (2) the ability to obtain required permits and other
governmental approvals on a timely basis and (3) the ability to justify the
economics of this potential opportunity once the necessary engineering and
commercial assessments are complete. The companies undertake no obligation to
revise these forward-looking statements to reflect events or circumstances
occurring after today's date.
Contacts: