A partnership controlled by Targa Resources is pumping $25 million into an expansion on the Houston Ship Channel that it expects will boost its logistics and export capabilities.
The Houston-based provider of midstream services for natural gas and natural gas liquids said Tuesday that it has acquired additional property there.
The locations consist of Targa Patriot Marine Terminal and the Patriot Terminal.
Targa Patriot is about two miles from the partnership’s Galena Park Marine Terminal, and it includes an existing dock and nearby access to the Colonial/Explorer refined products pipeline interconnect hub. The Patriot Terminal is close to Targa’s existing petroleum logistics business at Channelview and to its exports facilities at Galena Park.
The partnership pegged its initial investment, including acquisition of the property and dock upgrades, at $25 million.
“Further plans for clean fuels and/or propane/butane export activity are being developed and could significantly increase growth capital expenditures over time,” it said in a statement.
Targa Resources Partners LP owns a network of pipelines and gas processing plants. It is managed by its general partner, which is indirectly wholly owned by Targa Resources Corp.
The Houston Ship Channel is a conduit for vessels between Houston area shipyards and the Gulf of Mexico.