Kansas City Southern (KCS) and Midstream Texas Operating LLC (MTO) announced on June 29 their long-term agreement to provide truck-to-rail transloading services for petroleum and petrochemicals from Corpus Christi, Texas, Mexico.
MTO, a petrochemical storage and logistics company based in Houston, Texas, will construct the transshipment facility on a property leased to KCS. The Corpus Christi site will include sidings as well as facilities for loading and securing 200 railcars per month in the initial phase. Operations are expected to begin in the fourth quarter of 2021, according to the Class I Railroad, which noted that the site could be expanded to handle more than 500 cars per month.
“KCS looks forward to working with MTO to expand the infrastructure to deliver petroleum products to Mexico from Corpus Christi,” said Ginger Adamiak, KCS vice president of energy and chemicals. “This new transshipment is strategically close to supply points and the border for quick access to end markets.”
“This service expansion provides our customers with proven transportation to an attractive market,” said MTO CEO David Vattimo. “We are delighted to partner with MTO’s Ingleside [Tex.] terminal to provide smooth maritime, road and rail movements.
In related news, KCS and NorthPoint Development announced earlier this year that they will develop the Wylie Logistics Park, adjacent to the Class I Railroad’s David L. Starling Wylie intermodal terminal, in the Dallas metro area.