Kansas City Southern (KCS) (NYSE: KSU) and Midstream Texas Operating LLC (MTO) today announced a long-term commercial agreement to provide truck-to-rail transloading services for petroleum and petrochemicals from Corpus Christi, Texas into Mexico. Operations are expected to begin in fourth quarter 2021.
“KCS is looking forward to working with MTO to expand infrastructure to supply petroleum products to Mexico out of Corpus Christi. This new transload is strategically close to supply locations and to the border for expedient access to end markets,” said KCS vice president energy and chemical products Ginger Adamiak.
“This service expansion offers our customers proven transportation to an attractive market. We are delighted to link with MTO’s Ingleside terminal to offer seamless marine, truck and rail movements,” said David Vattimo, CEO of MTO.
On property leased from KCS, MTO will construct a transload facility, including siding tracks and facilities for loading and staging of 200 rail cars per month in the initial phase. The site is readily expandable to eventually handle over 500 rail cars a month. Potential customers are invited to visit www.midstreamtx.com/ for more information.
About KCS
Headquartered in Kansas City, Mo., KCS is a transportation holding company that has railroad investments in the U.S., Mexico and Panama. Its primary U.S. holding is The Kansas City Southern Railway Company, serving the central and south-central U.S. Its international holdings include Kansas City Southern de Mexico, S.A. de C.V., serving northeastern and central Mexico and the port cities of Lázaro Cárdenas, Tampico and Veracruz, and a 50 percent interest in Panama Canal Railway Company, providing ocean-to-ocean freight and passenger service along the Panama Canal. KCS' North American rail holdings and strategic alliances with other North American rail partners are primary components of a unique railway system, linking the commercial and industrial centers of the U.S., Mexico and Canada. More information about KCS can be found at www.kcsouthern.com
About MTO
MTO owns and operates a 430,000-barrel petroleum terminal along the Intracoastal Waterway and is a portfolio company of White Deer, middle market private equity firm that invests in companies participating in the supply chain that supports the energy, industrials and infrastructure sectors.
View source version on businesswire.com: https://www.businesswire.com/news/home/20210629005976/en/
Contacts
KCS: C. Doniele Carlson, 816-983-1372, dcarlson@kcsouthern.com
MTO: Lou Zimmerman, 713-581-6940, lzimmerman@midstreamtx.com
