Oxy Ingleside terminal Oxy

Moda to acquire Ingleside terminal from Oxy Petroleum

Liquids terminaling and logistics provider Moda Midstream recently entered into a definitive agreement to acquire the Oxy Ingleside Energy Center (IEC) and certain crude oil and LPG infrastructure from Occidental Petroleum Corporation.

The transaction is expected to close in the third quarter of 2018, subject to customary closing conditions. IEC is a storage and export terminal that provides access to global markets for crude oil and LPG producers and marketers.

IEC is strategically located in Ingleside TX, near the mouth of Corpus Christi Ship Channel with minimal transit times to the Gulf of Mexico.

“We are excited to have the opportunity to continue building on Occidental’s vision of the Ingleside Energy Center as a premier export terminal in the US Gulf Coast,” said Moda president and CEO Bo McCall.

The Ingleside terminal links Eagle Ford Shale and Permian Basin production to key domestic and international markets. IEC will connect directly to multiple “next generation” long-haul crude pipelines that allow for batching and segregation of crude oil deliveries at some of the most competitive tariffs available to shippers.

IEC is designed to handle a wide range of vessels, including very large crude carriers (VLCCs), at high loading rates to maximize shipping economics for its customers. IEC has approximately 2.1 million barrels of oil storage capacity and three deep-water berths for crude oil. The facility currently is undergoing expansion to add storage capacity and infrastructure for contracted customer growth and to facilitate additional development. IEC has ample footprint for additional expansion opportunities at the 900-acre site.

As part of the transaction, Moda also acquired LPG storage, berths and infrastructure, certain crude oil pipeline assets and offsite logistics locations. Looking forward, Moda said it plans to expand services through controlled-growth development for additional hydrocarbons expected to reach IEC in the coming years.

“We see enormous growth potential and look forward to providing exceptional service to our existing and new customers for years to come,” McCall said. “Today’s acquisition is a milestone achievement for Moda and is a significant leap forward in realizing our vision to build a leading independent terminaling company with a deep presence in the U.S. Gulf Coast.

“We look forward to bringing our disciplined, safety-first operations approach and creative commercial mindset to IEC.”

Established in 2015, Moda provides independent terminal, storage and distribution solutions to marketers and producers of crude oil and condensate, refiners, petrochemical manufacturers, LPGs, refined products and other bulk liquids.

“Moda has an outstanding team that is very well-known and respected across the industry,” said Billy Lemmons, EnCap Flatrock Midstream’s managing partner and founder, and a member of the Moda board of directors.

“We are very enthusiastic about this acquisition and look forward to working with Moda on the growth of this uniquely positioned terminal asset.”


TAGS: News
Hide comments


  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.