Genesis to expand Natchez rail terminal, construct new unit train loading facility

Written by Jenifer Nunez, assistant editor

Genesis Energy, L.P. plans to expand its existing rail terminal in Natchez, Miss., designed to handle straight and/or minimally diluted bitumen delivered by Canadian National and construct a new unit train loading facility in the heart of the Powder River Basin of the Niobrara Shale Play (Pronghorn Rail Facility).

At the Natchez terminal, Genesis is finalizing Phase 1 of the facility, which includes 40 railcar spots to be completed in June 2013. Due to significant demand for the flexible capacity at the facility, Genesis is moving forward with a Phase 2 expansion to provide an additional 60 railcar spots and additional heated tanks to be fully operational in late 2013.

After receiving all necessary permits in early April, Genesis has since begun construction of the Pronghorn Rail Facility, a new unit train loading facility in the heart of Converse County, just north of Douglas, Wyo. The location along the Orin Subdivision will make it the only unit train export facility in the Powder River Basin to be jointly served by BNSF and Union Pacific. The facility will be tied in to Genesis’ existing gathering system in the region and is expected to be fully operational in late 2013.

The total cost to Genesis of the Natchez Phase 2 and Pronghorn Rail Facility projects is expected to be approximately $75 million. Genesis intends to finance the projects with funds available under its committed revolving credit facility.

Categories: OFF Track Maintenance, Yards & Terminals