BNSF Railway Co. expects to begin moving unit trains of crude oil from a Carlsbad, N.M., transload facility later this year after an expansion project is completed at the facility.
The project at the Cetane Energy L.L.C.-owned facility calls for adding track to accommodate unit train loading, and creating additional rail-car loading stations and a long-term crude-oil gathering system.
After the work is completed in early fall, BNSF expects to haul a minimum of 100 cars carrying about 70,000 barrels of crude per week from the Carlsbad facility to a new crude oil terminal in New Orleans that's owned and operated by Murex L.L.C.
Murex has worked closely with BNSF and Southwestern Railroad Inc. to ensure its rail facility is state of the art, said Murex President Robert Wright in a press release.
The shipments from the Cetane facility will mark the Class I's first crude unit trains from a New Mexico location.
"Today, rail is providing a more flexible, long-term and economical option to ship crude oil to destination markets throughout the East, West and Gulf coasts, and along the Mississippi River," said Dave Garin, BNSF's group vice president of industrial products, in an item posted on the "BNSF News" web page.
BNSF plans to continue expanding its presence in New Mexico and the Permian Basin. In March, Rangeland Energy L.L.C. announced plans to build a large terminal designed to handle crude oil, frac sand, pipe and other oil-related materials near Loving, N.M., that will also be served by BNSF.
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