Vitol’s coastal caverns announces plans for Beaumont LPG export facility
Coastal Caverns, Inc. (CCI), a wholly-owned subsidiary of the Vitol Group, today announced plans to develop a new propane export facility in conjunction with its LPG storage facility that is currently under development on the historic Spindletop dome in Beaumont, Texas.
The new project will include storage capacity for up to six million barrels of domestic and international grade propane as well as a processing facility capable of handling as much as 100,000 bbls per day. The first phase of the project will be designed to treat and export up to 3 million tons of propane per year, with a potential second phase that will allow for up to 6 million tons per year.
“Vitol, as the anchor tenant in CCI’s propane export facility, is excited about the capacity this new facility will provide to supply multiple international markets,” said Mike Loya, head of Vitol Inc, the North American subsidiary of the Vitol Group. “This is a great opportunity to market a product globally at highly competitive prices as a result of new U.S. shale gas and liquids production.”
The facility’s construction is expected to create as many as 100 new jobs for the region, and as many as 20 permanent positions to operate upon completion.
CCI is located on the site of the historic Spindletop Dome in Beaumont, Texas. The entire facility has permits for up to 24 million bbls of liquids storage capacity. Development of CCI’s propane facility began earlier this year with a targeted completion date for the first quarter of 2013.