cushing tour booklet - coqa · the cushing terminal assets were integral to supporting the purchase...
TRANSCRIPT
COQA
October 26, 2011 On this tour to Cushing, OK, you will visit Enbridge Energy Co., the Plains and Gavilon
terminals, and Intertek and Inspectorate laboratories. While at Intertek, a complimentary
lunch will be provided.
Harry N. Giles
Executive Director
+1 (703) 282-2461
Cushing Tour Schedules
Start Time* Bus 1 Bus 2
8:00 a.m. Depart Tulsa hotel Depart Tulsa hotel
9:15 a.m. Arrive Cushing / Enbridge terminal Arrive Gavilon terminal
10:30 a.m. Arrive Gavilon terminal Arrive Cushing / Enbridge terminal
12:00 noon Arrive Intertek: tour and lunch Arrive Intertek: tour and lunch
1:30 p.m. Arrive Inspectorate lab Arrive Plains terminal
2:45 p.m. Arrive Plains terminal Arrive Inspectorate lab
4:00 p.m. End tour / Depart Cushing End tour / Depart Cushing
5:15 p.m. Arrive Tulsa hotel Arrive Tulsa hotel
*Approximate and may vary somewhat from bus to bus.
CCUUSSHHIINNGG -- NNOORRTTHH CCUUSSHHIINNGG -- SSOOUUTTHH
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Background
The Cushing Terminal was purchased by Enbridge in 2004 as part of an acquisition of Mid‐Continent
assets from Equilon Enterprises and Shell Pipeline Company. The Cushing terminal assets were integral
to supporting the purchase of the former Cushing‐Chicago, now known as the Spearhead pipeline, which
was reversed to deliver crude oil from the Chicago area to the Cushing hub. At the time of the
acquisition, the Cushing Terminal total storage capacity was approximately 7.5 million barrels. Soon
after the acquisition, Enbridge began constructing new storage tanks, expanding the terminal capacity.
Pipelines
Enbridge operates three pipelines in the Cushing
region. These include the Spearhead pipeline, Ozark
pipeline, and the West Tulsa pipeline.
Spearhead Pipeline brings crude oil into Cushing from
the Chicago area at a rate of up to 190,000 barrels per
day. Crudes types may include those originating from
Western Canada and the North Dakota/Saskatchewan
Bakken region.
Ozark Pipeline delivers crude oil from Cushing to Wood River, IL at rates just over 200,000 barrels per
day. From Wood River, crudes can be transported to markets east of the Mississippi.
West Tulsa Pipeline can deliver approximately 80,000 barrels per day of crude oil to refineries in Tulsa.
Storage Facilities
The Enbridge Cushing Terminal currently has approximately 90 storage tanks ranging in size from 55,000
barrels up to 575,000 barrels of shell capacity. Today, the terminal has a total storage volume of
approximately 14.7 million barrels. Additional terminal expansion projects are currently underway
which will add 19 new tanks and will bring the total storage capacity to approximately 20 million barrels.
Further terminal expansion proposals are being evaluated.
Cushing Laboratory Facilities
The Enbridge terminal is the only Cushing area terminal that has an on‐site laboratory. The Cushing
Analytical Lab is fully equipped to perform on the spot crude oil analysis. This laboratory provides
testing services to third‐party customers throughout the Mid‐Continent region.
Cushing Terminal
PADD V
PADD IV
PADD III
PADD I
PADD II
San FranciscoChevron.................. 243Shell Oil .................. 158ConocoPhillips ....... 120Valero ..................... 140Tesoro .................... 166
Puget SoundBP...........................222Shell Oil ..................149Tesoro ....................113ConocoPhillips .......100Astra Oil....................39
VancouverChevron....... 55
Prince GeorgeHusky .......... 13
Los AngelesBP...............................252Chevron......................270Tesoro ........................100ExxonMobil.................150Alon USA ......................53ConocoPhillips ...........139Valero ...........................80 New Mexico/West Texas
Western Refining ....................26Western Refining (Idle) ...........19Holly (Artesia) .......................100Western Refining (El Paso) ...125Alon USA (Big Spring) ............70
TylerDelek .... 60
Corpus ChristiCITGO ...........157Valero ............205Flint Hills........279Valero ..............96
SweenyConocoPhillips ....... 247
Houston/Texas CityPRSI (Pasadena) .......117Shell (Deer Park)........325ExxonMobil................576LyondellBasell ...........270Valero ........................315BP..............................451Marathon .....................76
Port Arthur/BeamountTotal ......................... 231ExxonMobil............... 344Motiva....................... 285Valero ....................... 312
Lake Charles/WestlakeCITGO ....................... 440ConocoPhillips .......... 239Calcasieu..................... 32
Mississippi RiverExxonMobil (Baton Rouge) ....... 503Chalmette .................................. 193Marathon (Garyville) .................. 436Motiva (Convent) ....................... 235Motiva (Norco)........................... 220Murphy (Meraux) ....................... 125ConocoPhillips (Bella Chase) .... 247Valero (Norco)............................ 250Alon USA (Krotz Springs) ............ 83Shell (St.Rose) ............................. 55Placid (Pt Allen) ........................... 55
MemphisValero ......190
VicksburgErgon........23
ShreveportCalumet .....35
El DoradoLion........ 70
Great FallsMontana Refining .......10
BillingsCHS Inc ................60ConocoPhillips .....58ExxonMobil...........60
WyomingSinclair Oil (Sinclair)..........72Little America (Casper) .....23Wyoming (Newcastle).......13Frontier (Cheyenne) ..........52
DenverSuncor ....... 92
Borger/McKeeWRB Refining .........146Valero .....................167
Salt Lake CityTesoro ....................60Chevron..................45Big West Oil............30Holly .......................31Silver Eagle (2)........21
BakersfieldBig West Oil........65Kern Oil...............25San Joaquin .......24
Wood RiverWRB Refining ........306
MandanTesoro ..... 58 St.Paul
Flint Hills......323Marathon ....... 74
LloydminsterHusky ........ 25
ReginaCO-OP......100
SuperiorMurphy ......33
NanticokeImperial Oil .......112
WarrenUnited......70
VirginiaWestern Refining (Yorktown)..... 70
HalifaxImperial Oil .......82
Saint JohnIrving....... 250
DetroitMarathon ........ 102
CantonMarathon ......... 78
CatlettsburgMarathon ......... 226
LimaHusky .... 162
NewfoundlandKNOC ......... 115
Southern Illinois/IndianaMarathon (Robinson).......... 204Countrymark (Mt. Vernon) .... 27
Montreal/QuebecSuncor ................ 135Shell (Idle) ........... 121Valero ................. 260
SarniaImperial........... 121Shell ................. 71Suncor .............. 85Nova ................. 80
ChicagoBP....................410CITGO .............159ExxonMobil .....240
ToledoBP...............160Sunoco .......165
KansasNCRA (McPherson) ..........83Frontier (El Dorado) ........135Coffeyville Resources..... 114
OklahomaValero (Ardmore) ................................... 92Wynnewood Refining (Wynnewood) ..... 53Holly (Tulsa) ......................................... 125ConocoPhillips (Ponca City)................ 187
Alabama/MississippiChevron (Pascagoula) ....330Shell (Saraland) ................85Hunt (Tuscaloosa) ............51Gulf Atlantic (Mobile) ........20
Delaware RiverValero (Delaware City) (Idle) .. 210Sunoco (Westville) (Idle) ........ 150Valero (Paulsboro) ................. 166Sunoco (Marcus Hook).......... 175Sunoco (Philadelphia)............ 330ConocoPhillips (Trainer) ........ 185
LindenConocoPhillips .... 238
EdmontonImperial...............187Suncor ................138Shell....................110
* ENBRIDGE, the ENBRIDGE LOGO and the ENBRIDGE ENERGY SPIRAL are trademarks or registered trademarks of Enbridge Inc. in Canada and other countries.
Major Canadian and US Crude Oil Pipelines and Refineries
January 2010
Enbridge Pipelines
Enbridge Southern Lights
Enbridge Pipelines (Joint Ownership)
Proposed Enbridge Pipelines
Keystone P/L
Other Pipelines
Other Proposed Pipelines
Capacity of Refineries are inThousands of Barrels per Day
Come By Chance
HalifaxSaint John
Quebec City
Montreal
Portland
Boston
Philadelphia
Yorktown
Catlettsburg
CantonLima
ToledoDetroit Warren
Nanticoke
Sarnia
Chicago
Robinson
Patoka
Memphis
Tulsa
WynnewoodArdmore
Longview
El Dorado
ColoradoCity
BorgerMcKee
Ponca CityCushing
Artesia
Big SpringEl Paso
Houston
FreeportThree Rivers
Corpus Christi
Port ArthurLake Charles
St. James
New Orleans
San Francisco
Santa Maria
Los Angeles Long Beach
Bakersfield
Salt Lake City
Denver
Cheyenne
Sinclair
Casper
Wood River
Coffeyville
McPherson
El Dorado
Guernsey/Ft. Laramie
Billings
Great Falls
Cutbank
Sundre
Anacortes
VancouverKamloops
Prince George
Taylor
Rainbow LakePrince Rupert
Kitimat
Zama
Fort McMurray
Lloydminster
Kerrobert
Regina
Cromer
Gretna
Clearbrook
St. Paul
Mandan
Flanagan
Superior MONTREALPORTLAND
KIA
NTO
NE
SOUTHERN ACCESS
KO
CH
SPEARHEADCAPWOOD
OZARK
CA
PLI
NE
MID
VAL
LEY
PLATTE
JAYHAWK
BP
SU
NC
OR
PLATTE
BU
TTE
BE
LLE
FOU
RC
HE
BELLE
FOURCHE TESORO
ALBERTA CLIPPER
MIN
NESO
TA
MAP
MAPCH
ICA
P
MU
STA
NG
PEGASUS
TOLEDO
SH
ELL
CH
EV
RO
N
TOSCO
EXXONMOBIL PAC
IFIC
CHEVRON
PACIFIC
FRONTIER
PEMBINA
ANSCHUTZ
W.C
OR
RID
OR
EXPR
ESS
TRANS MOUNTAIN
WESTERN(PLATEAU)
TRANS MOUNTAIN
PEACE
NORTHERN (PEM
BINA)
GATEWAY RA
INB
OW
AOSPL
CORRIDOR
OSPL
COLD LAKE
Edmonton
COLD LAKEECHO
ATHABASCA
WAUPISOO
SUNCOR
HUSKYMA
NITO
SOUTHERNLIGHTS
MID SASK
PLAINS
PLA
INS
EX
PR
ES
S
BO
W R
IVE
R
PAC
IFIC
KO
CH
ALB
ER
TA
Hardisty
CENEX
CENEXW.C
OR
RID
OR B
RID
GE
R
ENBRIDGE NW
BPBASIN
SU
N
EXXONMOBIL
SHELL
CAP
LIN
E
MIL
LEN
IUM
WOODPAT
KEYSTONE
LINE 4EXTENSION
SEAWAY
XL
OSAGE
Midland WTG
Storage Capacity
2 x 61.9 kbbl blending tanks
16 x 250.9 kbbl storage tanks
4.14-million barrels of total storage
Land prepared for up to 3.54-million additional barrels
Pipeline Capacity
2 x 24” parallel lines
2.7 miles
2 x 7 kbbl / hour = 14 kbbl / hour
2 transfer pumps, 2 blending pumps
Connected Facilities
Enterprise
Magellan
Plains
SemCrude
Truck Facilities
6 bay truck unloading station
3 LACT metering units
4 x 400 bbl truck tanks
Other
Quality Control facility
Sulfur
API Gravity
BS&W
Advanced SCADA and control system
Radar tank gauging
THE FACILITY Gavilon Oil Tanks and Terminals, LLC (“GOTT”) has developed a 4.14-million shell barrel crude oil storage facility in Cushing, OK. GOTT is wholly owned by Gavilon. Tank and pipeline construction was finished in May 2011. The project will be fully complete by November 2011. Space on the 91-acre facility has been reserved for future expansion for up to 3.54-million additional shell barrels. Gavilon’s Cushing facility is operated by Deeprock Oil Operating, LLC (“DR”). DR’s key managers each have 25 - 35 years industry experience.
THE COMPANY The Gavilon Group, LLC (“Gavilon”) is a leading commodity management firm connecting producers and consumers of feed, food, and fuel through its global supply chain. Gavilon’s expertise in origination, storage and handling, transportation and logistics, marketing and distribution, and risk management provides a critical link in the global supply chain for energy, agriculture and fertilizer. The company, formerly ConAgra Trade Group, is privately held by Ospraie Special Opportunities Fund, General Atlantic, Soros Fund Management and Gavilon management.
QUICK FACTS
Inspectorate Laboratory – Cushing, OK
301 W. Cherry Cushing, OK 74023 918.938.2620
Contact Information: Chris Janczak - Lab Manager [email protected]
Cushing, OK Laboratory Services offers the following capabilities:
ASTM D86 Distillation ASTM D4928 Water in Crude ASTM D95 Water by Distillation ASTM D4951 Metals by ICP ASTM D97 Pour Point ASTM D4952 Doctor Test ASTM D287 API Gravity ASTM D5002 Density ASTM D445 Kinematic Viscosity ASTM D5184 Al and Si by ICP ASTM D473 Sediment by Extraction ASTM D5191 Vapor Pressure ASTM D482 Ash ASTM D5708 Ni, Va, Fe by ICP ASTM D664 Acid Number ASTM D5853 Pour Point of Crude ASTM D874 Sulfated Ash ASTM D7111 Trace Elements by ICP ASTM D974 Acid and Base Number ASTM D7169 High Temp SimDis ASTM D976 Cetane Index EN 14107 Phosphorous by ICP ASTM D1298 Density IAC – 026 Metals by ICP ASTM D1796 Water and Sediment IAC – 027 Metals by ICP ASTM D2500 Cloud Point IP 377 Al and Si by ICP ASTM D2709 Water and Sediment IP 501 Al, Si, V, Ni, Fe, Ca, Zn, Na, P by ICP ASTM D2887 Boiling Range by GC UOP 163 H2S and Sulfur ASTM D3227 Mercaptan Sulfur UOP 269 Nitrogen by Titration ASTM D3230 Salt in Crude UOP 389 Trace Metals by ICP ASTM D3242 Acidity UOP 588 Total Chloride by Titrations ASTM D4006 Water in Crude by Distillation ASTM D4007 Water and Sediment ASTM D4052 Density ASTM D4294 Sulfur ASTM D4530 Carbon Residue
Cushing Inspection Services Tank/Rail/Barge/ inspection, gauging, strapping, inventory and calibration services
NEW Crude Oil & Residual Fuel Laboratory
Comprehensive Independent Testing, Quick local Turnaround, Accurate Results and Competitive Pricing
Cushing, OK is proclaimed to be the “Pipeline Crossroads of the World” and has become known as a price settlement point for WTI on the NYMEX.
Let Intertek Commodities, who has established a new 3,200 square foot laboratory facility support your crude oil quality needs. We are also providing residual fuels testing support to the nearby Port of Catoosa, Oklahoma. Intertek can assist with implementing programs to coordinate sample collection, distribution and a full range of analytical services.
Additional Service offerings include tank strapping, and API 653 tank inspections, along with full crude oil assay support in our facilities in Houston or New Orleans.
About IntertekIntertek is a leading provider of quality and safety solutions serving a wide range of industries around the world. From auditing and inspection, to testing, quality assurance and certification, Intertek people are dedicated to adding value to customers’ products and processes, supporting their success in the global marketplace.
Intertek has the expertise, resources and global reach to support its customers through its network of more than 1,000 laboratories and offices and over 27,000 people in more than 100 countries around the world.
Intertek - Cushing, OK Site 804 East North St. Cushing, OK 74023 Kevin Gilbert, Manager Tel: 918.306.4206 Cell: 918.409.7099 Email: [email protected]
Crude Oil & Residual Fuel Analysis Testing CapabilitiesANALYSIS TEST METHOD
Acid Number (TAN) ** ASTM D664
API (Hydrometer) * ASTM D287
API/Density/Specific Gravity (Densitometer) ASTM D4052
API/Density/Specific Gravity (Densitometer) ASTM D5002
Ash Content ASTM D482
Asphaltene Content ASTM D6560
Chloride - Organic UOP 779
Chlorides - Total ASTM D4929
Cloud Point ASTM D2500
Distillation (HTSD), High Temperature Simulated Dist. by GC ** ASTM D7169
Distillation, Atmospheric ASTM D86
Flash Point ASTM D93
H2S/Mercaptan Sulfur UOP 163
Light Ends Analysis by GC ITM 6008
Metals Analysis by ICP (Ni, Fe, V) ** ASTM D5708 A & B
Metals by ICP (fuel oils only) IP 501
Micro Carbon Residue (MCRT) ** ASTM 4530
Nitrogen Content (Boat Inlet Chemiluminescence) ASTM D5762
Pour Point * ASTM D97
Reid Vapor Pressure ASTM D323
S & W (Centrifuge) ASTM D4007
Salt in Crude Oil ASTM D3230
Saybolt Viscosity by Way of Kinematic Viscocity Conversion ASTM D4007
Sediment by Extraction ASTM D473
Sulfur Content * ASTM D4294
Vapor Pressue (Crude Oil Only) ASTM D6377
Vapor Pressure (Mini Method) * ASTM D5191
Viscosity - Kinematic (Temperatures to be selected) * ASTM D445
Water by Distillation (for Residual Fuels) ASTM D95
Water by Distillation ASTM D4006
Water Content by Karl Fisher (Potentiometric) ASTM D4377
Water Content by Karl Fisher (Coulometric) ASTM D4928
Intertek - Marketing 801 Travis St., Suite 1500 Houston, TX 77002 Bruce Carlile, Business Dev. Tel: 713.407.3514 Cell: 713.398.0183 Email: [email protected]
* Current - CME/NYMEX Quality Parameters** Recommended NYMEX Additional Quality Parameters
Intertek 801 Travis StreetSuite 1500Houston, Texas 77002USA tel: 713-407-3500
KW_MARCH_2011_REV_A
Our Cushing, Oklahoma Terminal is located at the Cushing Interchange, one of the largest wet-barrel trading hubs in the U.S. and the delivery point for crude oil futures contracts traded on the NYMEX. The Cushing Terminal has been designated by the NYMEX as an approved delivery location for crude oil delivered under the NYMEX light sweet crude oil futures contract. As the NYMEX delivery point and a cash market hub, the Cushing Interchange serves as a primary source of refinery feedstock for the Midwest refiners and plays an integral role in establishing and maintaining markets for many varieties of foreign and domestic crude oil. Our Cushing Terminal was constructed in 1993, with an initial tankage capacity of 2 million barrels, to capitalize on the crude oil supply and demand imbalance in the Midwest. The facility is designed to handle multiple grades of crude oil while minimizing the interface and enabling deliveries to connecting carriers at their maximum rate. The facility also incorporates numerous environmental and operational safeguards that distinguish it from other facilities at the Cushing Interchange.
Since 1999, we have completed eleven separate expansion phases, which increased the capacity of the Cushing Terminal to a total of approximately 18.5 million barrels. The Cushing Terminal now consists of fourteen 100,000-barrel tanks, four 150,000-barrel tanks, forty 270,000-barrel tanks and ten 570,000-barrel tanks, all of which are used to store and terminal crude oil. Station Details:
Ground coverage for existing terminal - 400 acres 488 actuators 524 valves 11 high volume pump motors 108 mixer motors 68 tank gauges 68 HI-HI alarms 27 Meter Runs 11 Omni's 10 Scada Pc's 14 Motor Control Centers 24 terminal employees Security with 14 cameras, visual at control center