Green Plains’ BlendStar to Build New 96-Car Unit Train Terminal
(Green Plains Renewable Energy) Green Plains Renewable Energy, Inc., announced today (November 10, 2011) that its wholly-owned subsidiary, BlendStar LLC, will build, own and operate a new ethanol unit train terminal in Birmingham, Alabama on the BNSF Railway. The new terminal will have 160,000 barrels of storage, and will receive full 96-car unit trains of ethanol, which can be offloaded within 24 hours. The terminal is expected to be completed in the third quarter of 2012 and will be served exclusively by the BNSF Railway.
“We believe Birmingham is a significant growth market, and development of this unit train terminal is a part of our ongoing effort to expand and diversify our business platform along the value chain,” said Todd Becker, President and Chief Executive Officer of Green Plains. “With superior services provided by BNSF Railway and BlendStar, operation of this new terminal will provide better transportation economics to shippers, as it will be the eastern most point for direct ship on the railroad to receive ethanol from the Midwest. This will result in improved ethanol distribution through one of the most modern and efficient ethanol terminals in the U.S. when it is completed.”
“We are very excited about this terminal being built on the BNSF Railway,” said BNSF Executive Kevin Kaufman, Group Vice President Agricultural Marketing. “This shows our commitment to shippers to deliver the most efficient solutions for their logistical needs. BlendStar is the perfect partner to bring this strategic project on-line and operational next year.”
When complete, the terminal will provide a fully-automated rail unloading system with the initial capacity to distribute approximately 385,000 barrels of ethanol per month with 24-hour truck loading service. Development and operation of the new terminal is expected to bring a number of other economic benefits to the local Birmingham market, including additional jobs, tax revenues and local commerce. More than 60% of project construction costs will be spent with local suppliers. BlendStar is in final negotiations with customers for multi-year terminaling agreements for the capacity of the facility.
BlendStar’s current Birmingham terminal will be retrofitted to handle other biofuels and liquid products when construction of the new unit train terminal facility is complete. READ MORE
