83 FR 38455 - Deepwater Port License Application: Texas Gulf Terminals, Inc.

DEPARTMENT OF TRANSPORTATION
Maritime Administration

Federal Register Volume 83, Issue 151 (August 6, 2018)

The Maritime Administration (MARAD) and the U.S. Coast Guard (USCG) announce they have received an application for the licensing of a deepwater port and that the application contains all required information. This notice summarizes the applicant's plans and the procedures that will be followed in considering the application.

[Federal Register Volume 83, Number 151 (Monday, August 6, 2018)]
[Notices]
[Pages 38455-38457]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-16673]


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DEPARTMENT OF TRANSPORTATION

Maritime Administration

[Docket No. MARAD-2018-0114]


Deepwater Port License Application: Texas Gulf Terminals, Inc.

AGENCY: Maritime Administration, Department of Transportation.

ACTION: Notice of application.

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SUMMARY: The Maritime Administration (MARAD) and the U.S. Coast Guard 
(USCG) announce they have received an application for the licensing of 
a deepwater port and that the application contains all required 
information. This notice summarizes the applicant's plans and the 
procedures that will be followed in considering the application.

DATES: The Deepwater Port Act of 1974, as amended, requires any public 
hearing(s) on this application to be held not later than 240 days after 
publication of this notice, and a decision on the application not later 
than 90 days after the final public hearing.

ADDRESSES: The public docket for MARAD-2018-0114 is maintained by the 
U.S. Department of Transportation, Docket Management Facility, West 
Building, Ground Floor, Room W12-140, 1200 New Jersey Avenue SE, 
Washington, DC 20590.
    The license application is available for viewing at the 
Regulations.gov website: http://www.regulations.gov under docket number 
MARAD-2018-0114.
    We encourage you to submit comments electronically through the 
Federal eRulemaking Portal at http://www.regulations.gov. If you submit 
your comments electronically, it is not necessary to also submit a hard 
copy. If

[[Page 38456]]

you cannot submit material using http://www.regulations.gov, please 
contact either Mr. Roddy Bachman, USCG or Mr. Wade Morefield, MARAD, as 
listed in the following FOR FURTHER INFORMATION CONTACT section of this 
document. This section provides alternate instructions for submitting 
written comments. Additionally, if you go to the online docket and sign 
up for email alerts, you will be notified when comments are posted. 
Anonymous comments will be accepted. All comments received will be 
posted without change to http://www.regulations.gov and will include 
any personal information you have provided. The Federal Docket 
Management Facility's telephone number is 202-366-9329, the fax number 
is 202-493-2251.

FOR FURTHER INFORMATION CONTACT: Mr. Roddy Bachman, U.S. Coast Guard, 
telephone: 202-372-1451, email: [email protected] or Mr. Wade 
Morefield, Maritime Administration, telephone: 202-366-7026, email: 
[email protected]. For questions regarding viewing the Docket, 
call Docket Operations, telephone: 202-366-9826.

SUPPLEMENTARY INFORMATION: 

Receipt of Application

    On July 9, 2018, MARAD and USCG received an application from Texas 
Gulf Terminals, Inc. (TGTI) for all Federal authorizations required for 
a license to own, construct, and operate a deepwater port for the 
export of oil authorized under the Deepwater Port Act of 1974, as 
amended, 33 U.S.C. 1501 et seq. (the Act), and implemented under 33 
Code of Federal Regulations (CFR) parts 148, 149, and 150. After a 
coordinated completeness review by MARAD, the USCG, and other 
cooperating Federal agencies, it was determined that the application 
was complete and contains all information necessary to initiate 
processing of the application.

Background

    The Act defines a deepwater port as any fixed or floating manmade 
structure other than a vessel, or any group of such structures, that 
are located beyond State seaward boundaries and used or intended for 
use as a port or terminal for the transportation, storage, and further 
handling of oil or natural gas for transportation to, or from, any 
State. A deepwater port includes all components and equipment, 
including pipelines, pumping or compressor stations, service platforms, 
buoys, mooring lines, and similar facilities that are proposed as part 
of a deepwater port to the extent they are located seaward of the high 
water mark.
    The Secretary of Transportation delegated to the Maritime 
Administrator authorities related to licensing deepwater ports (49 CFR 
1.93(h)). Statutory and regulatory requirements for processing 
applications and licensing appear in 33 U.S.C. 1501 et seq. and 33 CFR 
part 148. Under delegations from, and agreements between, the Secretary 
of Transportation and the Secretary of Homeland Security, applications 
are jointly processed by MARAD and USCG. Each application is considered 
on its merits.
    In accordance with 33 U.S.C. 1504(f) for all applications, MARAD 
and the USCG, working in cooperation with other Federal agencies and 
departments considering a deepwater port application shall comply with 
the requirements of the National Environmental Policy Act (NEPA) of 
1969 (42 U.S.C. 4321 et seq.). The U.S. Environmental Protection Agency 
(EPA), the U.S. Army Corps of Engineers (USACE), the National Oceanic 
and Atmospheric Administration (NOAA), the Bureau of Ocean Energy 
Management (BOEM), the Bureau of Safety and Environmental Enforcement 
(BSEE), and the Pipeline and Hazardous Materials Safety Administration 
(PHMSA), among others, are cooperating agencies and will assist in the 
NEPA process as described in 40 CFR 1501.6; may participate in scoping 
meeting(s); and will incorporate the Environmental Impact Statement 
(EIS) into their permitting processes. Comments addressed to the EPA, 
USACE, or other federal cooperating agencies will be incorporated into 
the Department of Transportation (DOT) docket and considered as the EIS 
is developed to ensure consistency with the NEPA process.
    All connected actions, permits, approvals and authorizations will 
be considered in the deepwater port license application review.
    MARAD, in issuing this Notice of Application pursuant to section 
1504(c) of the Act, must designate as an ``Adjacent Coastal State'' any 
coastal state which (A) would be directly connected by pipeline to a 
deepwater port as proposed in an application, or (B) would be located 
within 15 miles of any such proposed deepwater port (see 33 U.S.C. 
1508(a)(1)). Pursuant to the criteria provided in the Act, Texas is the 
designated Adjacent Coastal State for this application. Other states 
may apply for Adjacent Coastal State status in accordance with 33 
U.S.C. 1508(a)(2).
    The Act directs that at least one public hearing take place in each 
Adjacent Coastal State, in this case, Texas. Additional public meetings 
may be conducted to solicit comments for the environmental analysis to 
include public scoping meetings, or meetings to discuss the Draft EIS 
and the Final EIS.
    MARAD, in coordination with the USCG, will publish additional 
Federal Register notices with information regarding these public 
meeting(s) and hearing(s) and other procedural milestones, including 
the NEPA environmental review. The Maritime Administrator's decision, 
and other key documents, will be filed in the public docket.
    The Deepwater Port Act imposes a strict timeline for processing an 
application. When MARAD and USCG determine that an application is 
complete (i.e., contains information sufficient to commence 
processing), the Act directs that all public hearings on the 
application be concluded within 240 days from the date the Notice of 
Application is published.
    Within 45 days after the final hearing, the Governor of the 
Adjacent Costal State, in this case the Governor of Texas, may notify 
MARAD of their approval, approval with conditions, or disapproval of 
the application. MARAD may not issue a license without the explicit or 
presumptive approval of the Governor of the Adjacent Coastal State. 
During this 45-day period, the Governor may also notify MARAD of 
inconsistencies between the application and State programs relating to 
environmental protection, land and water use, and coastal zone 
management. In this case, MARAD may condition the license to make it 
consistent with such state programs (33 U.S.C. 1508(b)(1)). MARAD will 
not consider written approvals or disapprovals of the application from 
the Governor of the Adjacent Coastal State until after the final public 
hearing is complete and the 45-day period commences.
    The Maritime Administrator must render a decision on the 
application within 90 days after the final hearing.
    In accordance with section 1504(d) of the Act, MARAD designates an 
application area encompassing the TGTI deepwater port that is a circle 
having a 12.7 nautical mile radius centered at latitude 
27[deg]28'42.60'' N and longitude 97[deg]00'48.43'' W. Any person 
interested in applying for the ownership, construction, and operation 
of a deepwater port within this designated application area must file 
with MARAD (see FOR FURTHER INFORMATION CONTACT) a notice of intent to 
file an application not later than 60 days after the date of 
publication of this notice.

[[Page 38457]]

    Should a favorable record of decision be rendered and license be 
issued, MARAD may include specific conditions related to design, 
construction, operations, environmental permitting, monitoring and 
mitigations, and financial responsibilities. If a license is issued, 
USCG in coordination with other agencies as appropriate, would oversee 
the review and approval of engineering, design, and construction; 
operations/security procedures; waterways management and regulated 
navigation areas; maritime safety and security requirements; risk 
assessment; and compliance with domestic and international laws and 
regulations for vessels that may call on the port. The deepwater port 
would be designed, constructed and operated in accordance with 
applicable codes and standards.
    In addition, installation of pipelines and other structures may 
require permits under Section 404 of the Clean Water Act and Section 10 
of the Rivers and Harbors Act, which are administered by the USACE.
    Permits from the EPA may also be required pursuant to the 
provisions of the Clean Air Act, as amended, and the Clean Water Act, 
as amended.

Summary of the Application

    TGTI is proposing to construct, own, and operate a deepwater port 
terminal in the Gulf of Mexico to export domestically produced crude 
oil. Use of the DWP would include the loading of various grades of 
crude oil at flow rates of up to 60,000 barrels per hour (bph). 
Approximately eight Very Large Crude Carrier (VLCC) vessels (or 
equivalent volumes) would be loaded per month from the proposed 
deepwater port. Loading of one VLCC vessel is expected to take 48 
hours, including vessel approach, mooring, cargo transfer, and vessel 
departure.
    The overall project would consist of three distinct, but 
interrelated components: (1) The ``offshore'' component; (2) the 
``inshore'' component; and (3) the ``onshore'' component.
    The proposed deepwater port (offshore component) would be located 
approximately 12.7 nautical miles off the coast of North Padre Island 
(Kleberg County, TX) and consists of 14.71 miles of two new parallel 
30-inch diameter crude oil pipelines, which terminate at a single point 
mooring (SPM) buoy. The SPM buoy system would be positioned in water 
depths of approximately 93 feet and consist of a pipeline end manifold, 
catenary anchor leg mooring system, and other associated equipment. The 
SPM would be located in BOEM lease block number 823 at latitude 
27[deg]28'42.60'' N and longitude 97[deg]00'48.43'' W.
    The inshore components associated with the proposed project include 
5.74 miles of two new parallel 30-inch diameter pipelines and onshore 
valve stations used to connect the onshore project components to 
offshore project components. The inshore portions of the proposed 
pipeline infrastructure cross the Laguna Madre Bay complex, the Gulf 
Intracoastal Waterway, and extend across North Padre Island to the mean 
high tide line located at the interface of North Padre Island and the 
Gulf of Mexico. The inshore project components include the installation 
of an onshore valve station on North Padre Island to allow for the 
isolation of portions of the proposed pipeline infrastructure for 
servicing, maintenance, and inspection operations.
    Onshore components associated with the proposed project include the 
construction and operation of an onshore storage terminal facility 
(OSTF), booster station, and approximately 6.36 miles of two new 
parallel 30-inch diameter pipelines located within Nueces and Kleberg 
Counties, TX. The OSTF would occupy approximately 150 acres in Nueces 
County, TX and would consist of all necessary infrastructure to 
receive, store, measure and transport crude oil through the proposed 
inshore and deepwater port pipeline infrastructure. The proposed 
booster station would occupy approximately 8.25 acres in Kleberg 
County, TX and would consist of the necessary pumping infrastructure to 
support the transport of crude oil from the OSTF to the deepwater port. 
Onshore pipeline infrastructure would extend from the OSTF to the 
landward side of the mean high tide line located at the interface of 
the western shoreline of the Laguna Madre.

Privacy Act

    In accordance with 5 U.S.C. 553(c), DOT solicits comments from the 
public to better inform its administrative and rulemaking processes. 
DOT posts comments, without edit, to www.regulations.gov, as described 
in the system of records notice, DOT/ALL-14 FDMS, accessible through 
www.dot.gov/privacy. To facilitate comment tracking and response, we 
encourage commenters to provide their name, or the name of their 
organization; however, submission of names is completely optional. 
Whether or not commenters identify themselves, all timely comments will 
be fully considered. If you wish to provide comments containing 
proprietary or confidential information, please contact the agency for 
alternate submission instructions.

(Authority: 33 U.S.C. 1501, et seq.; 49 CFR 1.93(h))

    Dated: July 31, 2018.

    By Order of the Maritime Administrator.
T. Mitchell Hudson, Jr.,
Secretary, Maritime Administration.
[FR Doc. 2018-16673 Filed 8-3-18; 8:45 am]
 BILLING CODE 4910-81-P