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The Port of Corpus Christi seems fickle about offshore floating oil terminals

Phillips 66 company logo (Photo: Contributed, Phillips 66)

Posted on June 27, 2019

Let me get this straight. Trafigura, through its Texas Gulf Coast Terminals Project (TGTP), announces plans to construct a single-point mooring buoy system in the Gulf of Mexico 14 miles off the coast of Padre Island to export U.S. crude oil and the Port of Corpus Christi and its public-entity followers cry foul.

But when Phillips 66 says it wants to partner with the Port of Corpus Christi on a pair of single-point mooring buoy systems in the Gulf of Mexico off the coast of Port Aransas to do the same, it’s described by the Port CEO as “keen” and “a better solution.”

What happened to all the comments that Trafigura’s plan has a “lack of oversight” because it would be in federal waters, which is where the Phillips 66 buoys would be located.

The Corpus Christi Regional Economic Development CEO described the Trafigura plan as a “floating ring” that raises concerns “not just with marine life, but also air quality, which could affect the city’s attainment of federal air standards.”

Fact is these projects are substantially similar from a safety and environmental perspective. Both include numerous safeguards and will go through the exact same rigorous federal and state permitting process. A similar buoy system has operated off the marshy and environmentally sensitive coast of Louisiana for 40 years without incident.

But it still begs the question why is it a concern with Trafigura and not the Phillips 66 proposal.

It also brings into question the proposed development of Harbor Island as a crude oil storage terminal for Very Large Crude Carriers (VLCCs) by the Carlyle Group, a project strongly opposed by most of the tourist businesses in Port Aransas and environmental groups including the Port Aransas Conservancy.

Harbor Island is owned by the Port of Corpus Christi and the port would benefit financially from development of that island, but the sudden shift from an inland facility to one offshore to fill VLCCs gives credence to the Trafigura offshore plan.

A major difference, though, is where the storage tanks would be located to store the crude oil.

The Trafigura Texas Gulf Coast Terminal tank farm would be on King Ranch land in Nueces County. The Phillips 66 tank farm would be south of Taft in San Patricio County. Substantially the entire Phillips 66 project is outside Nueces County. So even though the port would benefit from the Phillips 66 project through some use of land on Harbor Island, Nueces County would benefit more from the Trafigura Gulf Coast Terminals plan.

My 40-plus years working for and with King Ranch taught me that there is no better steward of the land than King Ranch. Individual King Ranch family members and the corporation have been recognized for their work in protecting the environment for decades.

Who would you trust more with protecting the environment?

The Port Aransas Conservancy strongly opposes the development of Harbor Island and the dredging of the ship channel to 75 feet. (Check out their web site https://portaransasconservancy.com for the whole story.) They are supportive of single-point mooring technology as employed by Trafigura, including placing color ads in the Corpus Christi Caller-Times, as a better alternative for exporting U.S. crude oil.

There are at least five offshore mooring proposals between Freeport and Brownsville, but only a few will be built. The Texas Gulf Terminals Project is farther along in its permitting process than most and has been endorsed by Energy Secretary Rick Perry.

We would hope that both public and private entities in the Coastal Bend would get behind the project that best addresses environmental concerns and has the best chance of development.

Dick Messbarger is the former executive director of the Kingsville Economic Development Council.

Source: caller.com

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