Port of Corpus Christi set to become biggest oil export hub for US
The Port of Corpus Christi is poised to eclipse the Port of Houston as the top U.S. crude oil export hub over the next 10 years, according to a new report from the global energy research firm Wood Mackenzie.Much of the infrastructure for this growth is already underway. There are also proposed offshore terminals for even larger supertankers.
Wood Mackenzie's North America Crude Markets Service believes that major investments in shipping facilities and pipeline projects will route more than 2 million barrels of Permian Basin crude oil per day to the South Texas waterway within the next eight to 12 months.
As a result, export volumes at the Port of Corpus Christi are expected to quadruple over the next five years.
"With the significant increase in demand for exports through Corpus Christi expected in coming years, the massive pipeline build out into the market will need to be met with an equally massive export infrastructure buildout to facilitate an expected 300 percent increase in exports by 2023," Wood Mackenzie North America Crude Markets Principal Analyst John Coleman said.
Crude oil production volumes are expected to rise across the Lower 48 by 4 million barrels per day over the next five years — with a significant portion coming from the Permian Basin of West Texas and southeastern New Mexico and headed to Corpus Christi.
To facilitate those incoming volumes, the Port of Corpus Christi is undertaking a $380 million project to deepen and widen the Corpus Christi Ship Channel to accommodate the world's largest crude supertankers.