The world class facility has an initial capacity of 352,000 barrels for refined products and crude oil storage, a new ship dock, and six lane truck rack, as well as accompanying infrastructure. Palermo Tanks will hold a permitted storage of up to 2.5 million barrels for third party merchant storage, allowing for the acceptance of clean products, crude oil, asphalt, vegetable oil and petrochemicals to and from a 50,000 dwt dock with approximately 12 meters of draft alongside. The phase one capacity was contracted on a term basis, and Zenith will be pursuing the next phase of expansion over the next year.
Palermo Tanks is located within Grupo Coremar's 426-acre Palermo Port Society development. The Port offers a variety of dry, break bulk and liquids services and the Palermo Port Society development is especially well-suited for efficient business, owing to its ideal location alongside the Magdalena River, as well as its quick access to Colombia's national highway network and the country's major mining region.
"We are delighted to partner with Grupo Coremar, one of the premier marine transportation and terminal companies in Colombia," said Jeff Armstrong, President and Chief Executive Officer of Zenith. "Palermo Tanks, located inside Grupo Coremar's world class Palermo Port Society location, provides the deepest draft for the most modern liquids terminal in the Barranquilla market. This is the first of many planned strategic midstream investments for Zenith in Colombia, one of the most important energy economies in the region."
"It is with great excitement that we complete the first phase of Palermo Tanks in Barranquilla," said Mr. Saverio Minervini, founder of Grupo Coremar. "Our joint venture with Zenith -- a partner with impressive experience in the international oil and gas industry, and in midstream development -- complements our vision and reinforces our objective to be the leading asset based logistics group in the country, focused on the energy industry."
About Zenith Energy
With headquarters in Houston, Zenith Energy is an international liquids and bulk terminaling company. Zenith is pursuing opportunities to buy, build and operate terminals primarily in Latin America, Europe and Africa. The Company is focused on the storage and distribution for petroleum, refined products, natural gas liquids and petrochemicals. The Company also will acquire and operate logistics and distribution assets that support terminals, such as pipelines, truck racks and barges. In August 2014, Warburg Pincus, a leading global private equity firm focused on growth investing, led a line-of-equity commitment in Zenith of up to $600 million.
Press release 3 May 2016