Tuesday, September 10, 2013

Plans for Tacoma Bulk Liquids Facility Derailed

Targa Sound Terminal, which since early this year had been studying the idea of building a $150 million bulk liquids distribution facility at the Port of Tacoma, has now abandoned the plan, saying the project is not economically viable.

In a formal notification letter, TST told the port Sept. 6 that after seven months of studies, it does not intend to proceed with building the planned tank farm, which would have sat on a former smelter site and imported crude oil from North Dakota and elsewhere.

“We used the feasibility period to thoroughly evaluate the option of leasing the property and expanding our operations,” the letter, which is signed by TST President Troy Goodman, reads in part. “In spite of the tremendous support we received and our best efforts, we regret that we have been unable to identify an economical path forward for our project.”

The decision is a blow to the port, which had already begun putting the infrastructure in place for a terminal. Earlier this year, Tacoma began an environmental cleanup of the 96-acre site, including removing dozens of old buildings, while salvaging and recycling more than a million pounds of metals from the structures.

The port had also started building construction tracks to serve the terminal and other facilities along the Blair Waterway.

TST has indicated it plans to continue operating an existing terminal along the Tideflats’ Hylebos Waterway, which handles petroleum, petroleum products and renewable fuels.