Eighty-Eight Oil L.L.C. on Monday announced plans to construct and operate a unit train facility on BNSF Railway Co.'s mainline near a crude oil pipeline hub in Guernsey, Wyo.
The facility will be connected to Eighty-Eight Oil's existing Guernsey crude oil terminal, which features 2 million barrels of storage capacity. The unit train facility will be the first rail transloading terminal capable of loading multiple crude types, including those from the Williston Basin in the Bakken Shale, the Powder River Basin in the Niobrara Shale, southwest Wyoming, the Big Horn Basin and Canada, said Eighty-Eight Oil officials in a prepared statement.
"By connecting our terminal to BNSF's expansive railway system, we can provide producers of the Rocky Mountains and Canada further flexibility in adding value to their production and transporting it to markets throughout the United States," said Eighty-Eight Oil Superintendent Jerry Herz.
To be completed later this year, the unit train facility initially will include three loop tracks and required tankage. Each loop track will be capable of holding one unit train while automated loading racks will accommodate the loading of two trains with different crude types simultaneously. Initial rail loading capacity will total about 80,000 barrels per day.
"As demand continues to rise, rail has stepped up to provide 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-industrial products.
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