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Rail News: Intermodal

Texas port signs off on pacts for new rail-served resins plant

Port Corpus Christi commissioners last last week approved a series of agreements associated with M&G Resins USA L.L.C.'s proposed plant at the Texas port.

Port and Corpus Christi Regional Economic Development Corp. staff have worked closely with M&G Group representatives to determine the final site for the new resins plant, which will produce polyethylene perephthalate and purified terephthalic acid.

M&G Resins will be a major rail customer and will ship an estimated 14,000 carloads of resins per year, port officials said in a press release. One main reason M&G Group selected the port site is the available access to three Class Is: BNSF Railway Co., Kansas City Southern and Union Pacific Railroad, they said.

The site selection was feasible due to the port's infrastructure plan that included the construction of the Joe Fulton Corridor, a Texas Department of Transportation (TxDOT) and port highway/rail project designed to tie U.S. Highway 181 with Interstate 35 through the north side of the inner harbor, said Mike Carrell, the port commission's chairman.

The resins plant will provide the port a "unique opportunity" to expand the Nueces River Rail Yard via a second phase supported by the state of Texas, port officials said. The port plans to purchase land from M&G Group to complete construction of eight 8,000-foot sidings for unit trains under the second phase, which would be funded by a $22 million TxDOT grant and $8.8 million from the port.

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More News from 7/1/2013