Bulk storage terminal operator switches to ‘cleaner fuels’

Contanda has officially withdrawn a permit application to handle and store crude oil at its Grays Harbor terminal in Washington, US. The storage and logistics service provider states that it now intends to pursue permits to expand the facility to handle and store a portfolio of cleaner fuels, including biodiesel, renewable diesel and ultra-low sulphur diesel.

In 2013, Contanda sought permits to expand the facility for other liquids, including crude oil. The permits were not granted because of opposition to the storage and handling of crude oil.

With the crude oil request withdrawn, a revised application has now been submitted to the city of Hoquiam for eight new storage tanks capable of holding 1.1 million barrels of liquid. The switch to cleaner fuels has, according to Contanda, been prompted by customer demand and what the company sees as a strong future on the US West Coast for biofuels and commodities such as ultra-low sulphur diesel – a consequence of low carbon fuel standards and the progress of carbon regulations.

“We heard the community, met with our customers and developed a revised strategy involving the storage of clean products,” said G.R. “Jerry” Cardillo, Contanda’s CEO. “With the highest commitment to safety, our neighbours and the environment, we look forward to this potential expansion which will bring jobs, tax revenue and other economic benefits to the community for the long term.”

Contanda claims that the project would create up to 100 jobs during construction, and up to 20 permanent positions when operational.

“The combination of deep-water shipping terminals, rail service, experienced labour and available land for development of facilities is what first attracted Contanda to the area in 2009,” Cardillo said in a Contanda statement. “These attributes continue to provide an attractive development option for us as we look to expand our West Coast terminal presence.”