USA: Port of Houston Gives Green Light for Dredged Material Agreement with BOSTCO

At a special meeting yesterday, the Port Commission of the Port of Houston Authority approved a 25-year lease agreement with Battleground Oil Specialty Terminal Company LLC (BOSTCO) for approximately 55 acres of Port Authority-owned property adjacent to Peggy Lake and on Barnes Island. The Port Commission also approved issuing a marine construction permit to BOSTCO, as well as a dredged material agreement with BOSTCO for the placement of about 2.2 million cubic yards of dredged material.

Consideration of these items was continued from the last Port Commission Meeting on Oct. 25, to allow BOSTCO and Enterprise Refined Products Company, which has operations adjoining the site, to further discuss matters voiced by Enterprise at that meeting.

Representatives from the companies gave brief presentations today.

“We appreciate the extra effort to provide us an opportunity to look at the design and safety aspects of the project,” said Lynn Bourdon, Senior Vice President at Enterprise. “We remain committed to operational safety and feel very positive about the outcome.”

The liquid terminal will be the first “greenfield” terminal built at the Port of Houston in more than 25 years and when completed, will result in 75 full-time jobs, Jeffrey R. Armstrong, President of Terminals for Kinder Morgan, told the Port Commission. BOSTCO is a joint venture between Kinder Morgan and TransMontaigne Partners L.P.

BOSTCO is planning the large-scale liquid bulk terminal on and adjacent to Barnes Island and requested the proposed lease to allow portions of BOSTCO’s docks to be constructed on Port Authority-owned submerged lands adjacent to the Port Authority’s Peggy Lake Dredged Material Placement Area, and storage tanks to be placed on filled submerged lands on Barnes Island.

The BOSTCO and Enterprise facilities will share use of a barge channel, which is also located over Port Authority submerged lands. As a part of its permitting process, the Port Authority helped bring the companies together to forge a joint agreement on use of the channel. Representatives of the Houston Pilots, U.S. Coast Guard, barge and tug operators, and the Seaman’s Church Institute Center for Maritime Education, which provided bridge simulator facilities, all contributed to this outcome.

About the Port of Houston Authority

The Port of Houston Authority facilitates commerce, navigation and safe waterways promoting sustainable trade and generating economic development for the Houston region, Texas and the nation, while being a model environmental and security steward, and a community-focused and fiscally responsible organization.

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Source: portofhouston, November 8, 2011