Savage expands international operations with new oil terminal in Mexico

A subsidiary of Savage Companies will commence operations of its new petroleum transload terminal in central Mexico in January 2018, with plans to significantly expand terminal capabilities later in the year.

Located near the city of Querétaro, the terminal is served by the Kansas City Southern de Mexico railroad and provides access to strategic ports and U.S. based refinery centers.

The Querétaro terminal will provide an optimal location for transferring and storing refined petroleum products. Initially, the terminal will serve manifest rail volumes, transferring products directly from railcars into trucks. Following permitting approvals, Savage plans to add tank storage and fixed facilities for high-speed rail unloading, product blending and truck loading. The terminal also will handle unit train volumes at a future date.

“We’re excited to leverage our team’s experience operating transload facilities and rail operations to reduce the logistics costs of moving and managing refined petroleum products in Mexico,” said Kirk Aubry, Savage president and CEO. “We have a long history working with KCS and all Class I railroads, and look forward to working together with Kansas City Southern de Mexico to provide a world-class petroleum transload terminal in Mexico.”

“KCS is pleased to provide rail services to the new Savage terminal in Querétaro,” said KCS President and CEO Patrick J. Ottensmeyer. “We have a long and prosperous relationship with Savage in the U.S. and we are honored to extend our mutually beneficial endeavors to Mexico, where we believe this terminal will facilitate additional refined product exports from U.S. Gulf Coast refineries in support of Mexico’s energy reform. Savage’s experience and commitment to excellence give us the confidence that this new refined products terminal will provide additional market options in support of Mexico’s new energy infrastructure.”

Savage specializes in rail, truck and marine transportation, logistics, materials handling and other industrial and environmental services. Industries served by Savage include oil refineries, power generation, railroads, food and agriculture, oil and gas, mining, chemicals and petrochemicals, ports and terminals and construction.

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