JP Energy Partners to expand North Little Rock terminal for ethanol trains

In Texas, JP Energy Partners announced that it has initiated the expansion of its existing rail facilities at its North Little Rock refined products terminal to allow for unit train deliveries of ethanol. The upgrades will materially improve the terminal’s ethanol offloading efficiency and capacity, allowing for offloading of up to 108 car unit trains. The expansion project will utilize existing infrastructure at the site, including up to 4.5 million gallons of ethanol storage and will be capable of blending and distributing up to 9 million gallons per month. The terminal offers a full suite of blending capabilities onsite allowing customers to select conventional blends, E15, E85, or E100. Product access is available 24 hours a day, seven days a week. Separately, JP Energy has executed an interconnection agreement with an affiliate of Magellan Midstream Partners, to connect JP Energy’s North Little Rock refined products terminal to Magellan’s Little Rock Pipeline. The interconnection will allow JP Energy’s customers to deliver to the terminal via Enterprise Product Partners’ TEPPCO pipeline or Magellan’s Little Rock Pipeline, providing access to both Gulf Coast and Midcontinent refineries.

The capital cost of both projects is estimated at approximately $5 million and was included in JP Energy’s previously disclosed full-year 2016 growth capital expenditure estimate of $25 – $35 million.