Also, NuStar is on track to increase propane supply to the Midwest, via its JV project with CHS, by the end of this year, Brad Barron, CEO of NuStar, said during the company’s second quarter earnings call on Monday. NuStar is expected to finalize its pipeline joint-venture deal with PMI in the third quarter, aiming to bring LPGs and refined products to Mexico from the U.S.

In January, NuStar took over full control of the Linden oil products terminal after purchasing a 50% equity share that it did not already owned for $142.5 million.

The Linden terminal, which is located in the New York Harbor, has 4.3 million bbl of refined products storage capacity, primarily storing gasoline, jet fuel and fuel oils. It has a deep-water ship dock and a barge dock that are used for inbound and outbound shipments.

Barron said that the Linden terminal performed very well in the second quarter, and NuStar “renewed some contracts in Linden that are a little better than we were anticipating.”

The Linden terminal has sufficient spare capacity at its marine docks to handle the storage capacity expansion that NuStar is contemplating, he said. The docks’ capacities are about 50-60% utilized due to the limited storage capacity.

NuStar would have more details on this Linden expansion later this year or early next year.

On its Midwest projects, NuStar has six previously announced projects that are currently under development to increase distillate and propane supply throughout the upper Midwest.

“We expect to complete the CHS propane supply project by the end of the year and the remainder of the project is scheduled to be completed by the first quarter of 2017,” Barron said.

The six projects include construction of an 8-mile, 8-inch pipeline at NuStar’s Conway, Kansas facility and an expansion at its Rock Rapids, Iowa terminal for additional propane supply to CHS, one of NuStar’s largest Central East region customers.

Barron said that the basket of six really different Midwest projects have one common goal of either increasing propane supply into the northern part of the system coming out of Conway or increasing refined products through peak periods in their peak demand seasons up into the northern part of that system.

All six of those projects are incremental or will provide incremental EBITDA to NuStar.

Meanwhile, NuStar said that the process of its proposed joint-venture with PMI took longer than anticipated, but both PMI and NuStar remained committed to developing the new pipeline infrastructure to transport LPGs and refined products from the U.S. and in Northern Mexico.

NuStar hopes to finalize those agreements in the third quarter.

“We believe it will be finalized and we know it has taken a long time to get that done. A lot of that has to do with – we are really not negotiating commercial terms with PMI right now, but a lot of the delay I think has had to do with our JV partner PMI, negotiations with their customer who is, Pemex,” Barron said.