Odfjell is investing in and expanding its terminals platform with the addition of a new, modern, automated tank bay.
Bay 13 at Odfjell Terminals Houston (OTH) will increase capacity by approximately 9% to 413,400 cubic meters (cbm). The expansion project is consistent with OTH's strategy of positioning itself for healthy demand for storage capacity in the specialty/petrochemical industry in the U.S. Gulf Coast region, where OTH has been operating at or near full capacity for years.
The tank bay will be highly automated, requiring less manual intervention, and will benefit from the ongoing Digital Transformation Program, which includes an advanced ERP system and automated control systems.
Bulk chemicals, including intermediate and specialty chemical products exports in the US Gulf are expected to increase by 2.3 million metric tonnes by 2024, while import volumes are expected to increase by 389,000 metric tonnes by 2030. As a result, storage demand is expected to rise and the development of Bay 13 will assist in further optimizing OTH and allow Odfjell Terminals to support industry growth for new and existing customers.
Along with the east coast presence of its terminal in Charleston, SC, Odfjell’s strategically located assets are well placed to continue to play an integral role in the global and regional chemical trades to and from the United States.
Bay 13 is set to begin construction in the first quarter of 2022 and expected to be operational by the end of 2023. The expansion will be fully financed through an existing credit facility. Conceptual plot plan (including new rail):
Odfjell Terminals Houston (OTH), is owned by the Joint Venture Odfjell Terminals US which is owned 51% by Odfjell SE and 49% by Northleaf Capital Partners.
