April 3, 2013 [Indigo Resources Ltd.] - Indigo Resources, Ltd. announced today that the company will build a state-of-the-art rail-to-barge crude oil terminal on the Mississippi River.
Located next to Osceola, Arkansas, the Indigo Terminal will help alleviate current infrastructure constraints impacting the transportation of crude oil and other petroleum products produced in Canada and the Bakken shale formation of North Dakota.
The terminal will accommodate direct rail service via BNSF Railway and facilitate the downstream movement of products to Gulf Coast refineries.
The 480-acre rail-to-barge terminal will be sited on 610 acres on the Mississippi River at mile marker 784.5. This facility will include 3,000 feet of river frontage, and five rail loop tracks, with more than 16 miles of track allowing for the accommodation of 120-car unit trains as well as manifest shipments.
The terminal is designed to unload two unit trains of crude per day and three manifest trains of bitumen per week. This terminal will include state-of-the-art port facilities to move crude oil and other products to the lower Mississippi River.
“Combining rail and barge will lower the overall cost to the market” explains John Park, Director of Indigo Resources Ltd. “Plus due to our location, Indigo will be able to turn around the unit trains faster and in today’s high cost of rolling stock, this is an added bonus.”
The terminal will have two million barrels (MMbl) of storage capacity consisting of four tanks with a 250,000-barrels capacity each and 10 tanks with 100,000 barrels capacities each. This will provide individual storage for the many different types of crude oils.
The Indigo Terminal will also provide blending services. The storage facility will have dedicated-tankage capabilities for inbound crudes from Canada, Colorado, Montana, North Dakota, and Wyoming.
The Indigo Terminal expects to break ground in the fourth-quarter of 2013 and be in service by the end of 2014.