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Harvest Pipeline and Vitol to develop crude oil terminal

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Hydrocarbon Engineering,

Harvest Pipeline Co. (an affiliate of Hilcorp Energy Co.) and Vitol Inc. have established an agreement to explore joint development of a state-of-the-art crude oil terminal to be located in the Port of Corpus Christi, US.

This project will complement Harvest’s existing South Texas business by providing Eagle Ford barrels a new terminal connection from the Harvest Midway junction. In addition, this concept will provide a new waterborne outlet for the growing number of Permian barrels that are seeking access to international markets. As more barrels flow to Corpus Christi from the Permian Basin, additional storage will be developed at the emerging Midway hub.

The parties have reached agreement with the Port of Corpus Christi for the location of the terminal development and dock access. In addition, the parties are reviewing the option of constructing a private dock for the parties’ sole use at the oil terminal facility. Barrels will have access to the terminal via a new 16-inch lateral pipeline. Sean Kolassa, President Harvest Pipeline Co., said: “The agreement between Harvest Pipeline Co. and Vitol is an extraordinary opportunity to help satisfy the growing need for export capacity along the Texas Gulf Coast […] We are excited for the project to begin moving forward.”

Mark Couling head of Crude Oil for Vitol, added: “Crude demand, particularly in emerging markets, continues to grow and US shale has an important role to play in satisfying this demand. Our new pipeline and terminal will facilitate the efficient delivery of US crude to global markets, thereby increasing marketing opportunities and optimising value for US producers.”

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