KCS, Midstream Texas Operating Team on Transloading

Kansas City Southern (KCS) and Midstream Texas Operating LLC (MTO) on June 29 reported their long-term agreement to provide truck-to-rail transloading services for petroleum and petrochemicals from Corpus Christi, Tex., into Mexico.

MTO, a Houston, Tex.-based petrochemical storage and logistics company, will build the transload facility on property leased from KCS. The Corpus Christi site will include sidings as well as facilities for loading and staging 200 railcars per month in the initial phase. Operations are expected to begin in fourth-quarter 2021, according to the Class I railroad, which noted that the site could be expanded to handle more than 500 cars per month.

“KCS is looking forward to working with MTO to expand infrastructure to supply petroleum products to Mexico out of Corpus Christi,” KCS Vice President Energy and Chemical Products Ginger Adamiak said. “This new transload is strategically close to supply locations and to the border for expedient access to end markets.”

“This service expansion offers our customers proven transportation to an attractive market,” MTO CEO David Vattimo said. “We are delighted to link with MTO’s Ingleside [Tex.] terminal to offer seamless marine, truck and rail movements.”

In related news, KCS and NorthPoint Development announced earlier this year that they will develop the Wylie Logistics Park—adjacent to the Class I railroad’s David L. Starling Wylie Intermodal Terminal—in the Dallas metropolitan area.