Bulk liquid storage operator Contanda announced Tuesday that it will seek a renewed expansion of its Grays Harbor, Washington facility.
The Houston-based company is seeking to add eight new storage tanks to the facility, with a capacity to hold 1.1mn barrels of biodiesel, renewable diesel, and ultra-low sulfur diesel. Contanda states that the move will allow the company to accommodate increased customer demand and the trajectory for biofuel growth on the West Coast as clean fuel standards and carbon markets are developed and become more established.
The move comes just a week after Washington state representative Joe Fitzgibbon (D) brought forth HB 2338, which would implement a clean fuel standard in the Evergreen State (see PRIMA’s 12 January 2018 Daily LCFS Report). The declining carbon intensity (CI) standards in the existing clean fuel markets of Oregon, California and Washington also bodes well for robust future demand for shipping biofuels down the coast.
Already, biofuel producer Renewable Energy Group (REG) operates a 100mn gal biorefinery in Grays Harbor, and has 7 terminals located on the West Coast in total. REG’s Grays Harbor facility has two biodiesel pathways registered under the LCFS, with canola and used cooking oil feedstock inputs, that are shipped to California via rail. REG is also a registered party under the OCFP.
The Contanda facility in Grays Harbor currently has a total terminal capacity of 320,000 barrels with 12 railcar working spots and 2 truck loading bays. Contanda had previously tried to expand its crude oil storage capacity in 2013, but was denied the permits to do so.