Sentinel Midstream Submits License Application for Deepwater Crude Oil Export Facility

DALLAS - Sentinel Midstream, LLC, through its subsidiary Texas GulfLink, LLC, today announced that on May 30, it submitted a license application with the U.S. Maritime Administration (MARAD) to construct and operate a deepwater crude oil export facility. The port will be located off the coast of Freeport, Texas, and will be capable of fully loading Very Large Crude Carrier (VLCC) vessels.

Texas GulfLink will include an onshore oil storage terminal connected by a 42" pipeline to a manned offshore platform approximately 30 miles off the Gulf Coast.  From the platform, the oil will be transported to two Single Point Mooring buoys to allow for VLCCs to receive two million barrels of crude oil with loading rates up to 85,000 barrels per hour.  The offshore platform will have around-the-clock monitoring, which will provide shippers with a safe and reliable mooring operation for VLCCs and other crude carrier vessels. 

"With the submission of the license application to MARAD, Texas GulfLink has completed a major milestone towards receiving approval to construct and operate a deepwater crude oil export facility.  As the neutral infrastructure export solution for shippers, Texas GulfLink will provide a necessary crude oil export outlet for the expected increase in U.S. crude oil production," said Sentinel Midstream President and CEO, Jeff Ballard.  "Texas GulfLink will utilize its team's significant deepwater port experience and expertise to construct and operate with the highest commitment to safety, reliability, and environmental standards."

Project financing is being provided by Cresta Fund Management. Cresta Managing Partner Chris Rozzell said, "We are pleased with the commercial support Texas GulfLink has received and the continued strong interest from shippers who recognize the need for additional export capacity.  By reducing capacity constraints in Gulf Coast ports and creating an economic oil export outlet, Texas GulfLink will allow U.S oil producers to continue to develop and increase U.S. oil production without potential production curtailments due to lack of export capacity."

Abadie-Williams served as the primary engineering and regulatory consultant and Kean Miller LLP served as the lead legal advisor on behalf of Texas GulfLink.

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