“Barging Petcoke Through The
Mississippi and Intercoastal
Waterways”
Presentation by
C.M.(Chuck) Jones, Jr.
IC RailMarine Terminal
Convent, LA
Biography
• C.M. (Chuck) Jones, Jr. has worked for Peabody
Coal, AMAX Coal, Federal Barge Lines,
Drummond Coal, Oxbow Carbon & Minerals, and
IC RailMarine Terminal during is tenure in the
marketing of coal, petroleum coke, and
barge/terminalling services since 1974.
• His responsibilities included sales/marketing of
coals located in the Appalachian, Illinois, and
Powder River Basin coals, as well as South
America (Colombian and Venezuelan) coals.
Biography
• While representing Federal Barge Lines, he
negotiated barge freight contracts of carbon
products, including coal and petroleum coke. At
Oxbow, he represented petroleum coke and
Colorado coal to customers in the Southeast and
Midwest.
• Most recently, he was the Director of Constituent
Services for the State of Alabama at the State
Capitol in Montgomery, AL for Governor Bob
Riley.
• He has a wife (Becky) and two children (Kelly
and Matt) who attend college in Alabama. Austin
Peay State University, Clarksville, TN, is his alma
mater.
Focus
• Study barge shipments delivering petroleum
coke to potential Lower Mississippi River
and Gulf Intercoastal Waterway terminals.
• Reflect on the activities of petroleum coke
shipments to these various transportation
points.
Overview of Refinery Marketing
• Petroleum coke marketing agreements incorporate
short and longer term arrangements (MonthlyMultiyear).
• Barging arrangements either mirror the individual
marketing agreement (“Back-to Back”) or
construct separate agreements structured toward
origin/destination preferences.
• Typically, open hopper, inland river barges of
approximately 1500 tons per barge are used.
However, some dedicated movements sometimes
use “stumbo” barges (700-1000 tons) or specialty
barges (3000 tons).
Overview of Refinery Marketing
(Continued)
• Refineries located near a river system or open
water usually have barge loading capabilities.
Petroleum coke is delivered by conveyor belt, rail,
or truck to the barge loadout. Then, barges are
transported to their domestic customers.
• If a refinery is near the Gulf of Mexico, shipments
are transferred from barges to vessels for delivery
to foreign customers at a fixed, deep draft terminal
or floating cranes which midstream load these
vessels.
U.S. Gulf Coast Petroleum Coke2003
(PADD 3)
(@ 8.0% Moisture)
• Production-21.7 Million Metric Tons
• Exports- 15.7 Million Metric Tons
Export vs. Fuel Grade Petcoke
New Orleans District Export Volumes vs.
Fuel Grade Petcoke Export Price
2.5
2.0
millions MT
$/MT
>50 HGI Export
Price
25
20
New Orleans
Area Ports
1.5
15
1.0
10
0.5
5
0.0
0
1996
1997
1998
Source: Pace Petroleum Coke Quarterly
1999
2000
2001
2002
2003
Export Volume vs. Petcoke Price
New Orleans District Export Volumes vs.
Fuel Grade Petcoke Export Price
2.5
millions MT
$/MT
>50 HGI Export
Price
Lake Charles
2.0
25
20
New Orleans
Area Ports
1.5
15
1.0
10
0.5
5
0.0
0
1996
1997
1998
Source: Pace Petroleum Coke Quarterly
1999
2000
2001
2002
2003
Marathon-Garyville, LA
U.S. Cokers-Jacobs Consultancy
Lower Mississippi Cokers
• ExxonMobil-Baton Rouge, LA (MP 232.2)
• Marathon (MAP)-Garyville, LA (MP 140.5)
• Chalmette LLC-Chalmette, LA (MP 89.1)
Gulf Intercoastal Waterway
(West) Cokers
• ConocoPhillips-Lake Charles, LA
(MP 245.2)
• CITGO-Lake Charles, LA (MP 247.4)
Gulf Intercoastal Waterway
(West) Cokers
•
•
•
•
•
•
•
•
•
•
Equilon-Port Arthur, TX (MP 278.3)
Premcor-Port Arthur, TX (MP 290.5)
ExxonMobil-Beaumont, TX (MP 293.3)
ExxonMobil-Texas City, TX (MP 358.0)
BP-Amoco-Texas City, TX (MP 358.0)
Sweeney-Houston, TX (MP 399.1)
Crown-Houston, TX (MP 399.1)
Shell Deer Park, Houston, TX (MP 399.1)
CITGO-Corpus Christi, TX (MP 555.6)
Valero, Corpus Christi, TX (MP 558.0)
Intercoastal Waterway (East)
Cokers
• ChevronTexaco-Pascagoula, MS
(MP 111.0)
IC RailMarine Terminal
IC RailMarine Terminal
IC RailMarine Terminal
IC RailMarine Terminal
• Only unit train, rail-served facility on lower Mississippi
that has dual crane discharging capability, transfer from
ground storage and/or direct transfer from marine vessel
directly to rail.
• Ability to discharge deepwater vessels at a rate of 1020,000 metric tons per day as a minimum depending upon
which commodity being transferred. Speed of vessel
turnaround time very important for marine vessel
owners/charterers.
• Bottom/rotary car dumper ideal for barge cargos ex
railcars.
• Flexibility with conveyors means ships can be discharging
while barges are loading.
• State-of-the-art concrete capped storage pads can be swept
clean promptly and can switchover between cargos very
quickly.
• Environmental permits to handle a wide variety of bulk
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“Barging Petcoke Through The Mississippi and Intercoastal Waterways