UAE-based Tristar targets US shale oil with new crude oil terminal in Louisiana
Dubai-based Tristar Group has acquired a 300,000 barrel crude oil terminal that feeds into the deep water port of Louisiana in the Gulf of Mexico.
The Canal Crude Oil Terminal is within the Louisiana Offshore Oil Port (LOOP), a deep-water port in the Gulf of Mexico off the coast of Louisiana.
It is the only mainland port capable of offloading a wide range of vessels including Ultra Large Crude Carriers (ULCC), Very Large Crude Carriers (VLCC) and down to Medium Range (MR) Tankers.
The terminal acquired by Tristar, a fully integrated liquid logistics company servicing the downstream oil and gas industry, is spread across 50 acres with 18 tanks and is capable of storing almost 350,000 BBLs.
It has a loading capability of 3,000 to 4,000 BBLs per hour.
“This is a strategic investment that will not only complement Tristar‘s fuel farm business but also position Tristar for an entry into the lucrative shale oil Industry in the US,” said Eugene Mayne, CEO, Tristar Group.
“This is the first small step in our endeavour to enter and be a player in the US shale industry and I am confident that we will develop and grow this facility to be a major export terminal for US crude,” he added.
Between 2010 and 2017, U.S. oil production rose from 5.5 million barrels to 10 million barrels per day and U.S. crude oil exports have reached 3 million barrels a day as of mid-2018.
In 2009, Tristar bought Shell Guam Inc.’s Agat Fuel Facility, which is spread across 237 acres on the Pacific Island of Guam, making it one of the largest fuel storage terminals in the Pacific with a storage capacity of 4.2 million barrels.
The fuel farm houses more than 25 tanks which include tanks with capacity of 500,000 BBLS. These tanks are connected to the oil jetty at the port through an 8-kilometer-long pipeline.