Green Plains Inc. (NASDAQ:GPRE) and Jefferson Energy Companies, a
subsidiary of Fortress Transportation and Infrastructure Investors
LLC (NYSE:FTAI), today announced that their joint venture, JGP
Energy Partners, loaded its first vessel with nearly 3 million
gallons of ethanol destined for Brazil. The joint venture is
currently loading its second shipment of 10 million gallons of
ethanol on a vessel bound for India.
“This state-of-the-art terminal aligns with our strategy to grow
our downstream distribution capabilities and optimize our logistics
platform,” said Todd Becker, president and chief executive officer
of Green Plains. “We can now provide an end-to-end solution, from
production to delivery, for our customers worldwide at one of the
most efficient export loading facilities for ethanol that exists in
the marketplace today. In addition, we can now service domestic
demand because of our access to three Class I railroads,
inbound/outbound barges and trucks, and better locational
advantages due to fewer weather and incident-related delays than
competing terminals.”
“We are excited to commence operations with our partner, one of
the largest ethanol producers and traders in North America,” said
Greg Binion, president and chief executive officer of Jefferson.
“The joint venture created infrastructure at Jefferson Beaumont to
distribute ethanol to worldwide markets. Green Plains Trade Group
will be a customer of the terminal, which is designed to serve
multiple ethanol export customers with differing specification
requirements. The terminal’s multimodal capabilities and
sustainable cost-advantaged logistics will contribute to the
success of this joint venture.”
The newly constructed $50 million export and import fuels
terminal has direct mainline service with the Union Pacific, BNSF
and KCS railroads, and can simultaneously receive and unload two
ethanol unit trains at high flow rates of 7,000 barrels per hour.
The terminal currently features four storage tanks with a working
capacity of 550 thousand barrels designed to quickly change between
various export grades and domestic specifications. The terminal
also includes two truck loading bays that can throughput 20,000
barrels per day, a barge loading dock capable of loading 5,000
barrels per hour on inland and offshore barges, and a vessel dock
capable of loading up to 10,000 barrels per hour on Aframax-size
chemical tankers and medium range vessels.
“The completion of this project solidifies our position as a
preferred supplier able to offer our customers product when they
want it, where they want it, and how they want it as exports
continue to grow over the next several years from the U.S.,” added
Becker.
The joint venture leveraged the existing infrastructure at
Jefferson’s Beaumont, Texas terminal and completed construction
under budget in less than 12 months. Green Plains plans to offer
its interest in the joint venture to its master limited
partnership, Green Plains Partners LP (NASDAQ:GPP), during the
first half of 2018.
About the Jefferson Energy TerminalThe terminal
is owned and operated by Jefferson Energy Companies, a midstream
oil and terminal company that serves the Gulf Coast. The terminal
is located on 243 acres in Beaumont, Texas, positioned in one of
the largest refinery markets in the U.S., located in the center of
the 9.2 million bbd Gulf Coast refining market (PAD III). The
terminal is a public-private partnership between the Port of
Beaumont Navigation District of Jefferson County, Texas and
Jefferson Energy Companies. The Port of Beaumont is the fourth
busiest port in the United States, according to the U. S. Army Corp
of Engineers tonnage statistics, and the busiest military port in
the U.S. The terminal is currently served by three Class I railroad
carriers, allowing delivery from most origination terminals and
plants in North America.
About Fortress Transportation and Infrastructure
Investors LLCFortress Transportation and Infrastructure
Investors LLC (NYSE:FTAI) owns and acquires high quality
infrastructure and equipment that is essential for the
transportation of goods and people globally. FTAI targets assets
that, on a combined basis, generate strong and stable cash flows
with the potential for earnings growth and asset appreciation. FTAI
is externally managed by an affiliate of Fortress Investment Group
LLC, a leading, diversified global investment firm. For more
information about FTAI, visit www.ftandi.com.
About Green PlainsGreen Plains Inc.
(NASDAQ:GPRE) is a diversified commodity-processing business with
operations related to ethanol production, grain handling and
storage, cattle feedlots, food ingredients, and commodity marketing
and logistics services. The company is the second largest
consolidated owner of ethanol production facilities in the world
with 17 dry mill plants, producing nearly 1.5 billion gallons of
ethanol at full capacity. Green Plains owns a 62.5% limited partner
interest and a 2.0% general partner interest in Green Plains
Partners. For more information about Green Plains, visit
www.gpreinc.com.
About Green Plains Partners LPGreen Plains
Partners LP (NASDAQ:GPP) is a fee-based Delaware limited
partnership formed by Green Plains Inc. to provide fuel storage and
transportation services by owning, operating, developing and
acquiring ethanol and fuel storage tanks, terminals, transportation
assets and other related assets and businesses. For more
information about Green Plains Partners, visit
www.greenplainspartners.com.
Cautionary Note Regarding Forward-Looking
StatementsThis news release contains forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995, as amended. Forward-looking statements include
words such as “anticipates,” “believes,” “estimates,” “expects,”
“goal,” “intends,” “plans,” “potential,” “predicts,” “should,”
“will,” and other words with similar meanings in connection with
future operating or financial performance. Such statements are
based on each company’s management’s current expectations, which
are subject to various factors, risks and uncertainties that may
cause actual results, outcomes, timing and performance to differ
materially from those expressed or implied. Green Plains, Jefferson
Energy Companies and FTAI may each experience significant
fluctuations in future operating results due to a number of
economic conditions, including competition in the industries in
which they operate; commodity market risks, including those
resulting from current weather conditions; financial market risks;
counterparty risks; risks associated with changes to federal policy
or regulation; risks related to closing and achieving anticipated
results from acquisitions; risks associated with the joint venture
to complete the unit train terminal; and other risks detailed in
Green Plains’ and FTAI’s respective reports filed with the
Securities and Exchange Commission, including their respective
annual reports on Form 10-K for the year ended Dec. 31, 2016, and
subsequent filings with the SEC. None of Green Plains, Jefferson
Energy Companies or FTAI is obligated nor intends to update its
forward-looking statements at any time unless it is required by
applicable securities laws. Unpredictable or unknown factors not
discussed in this release could also have material adverse effects
on forward-looking statements. This release shall not
constitute an offer to sell or the solicitation of an offer to buy
any securities.
Investors & Media Contacts:
Jim Stark
Vice President, Investor & Media Relations
Green Plains Inc.
(402) 884-8700
jim.stark@gpreinc.com
Alan Andreini
Managing Director
Fortress Transportation and
Infrastructure Investors LLC
(212)
798-6128
aandreini@fortress.com
Terminal Commercial ContactsFrank RodriguezVice
President – Commercial DeJefferson Energy Company(281)
677-4900frodriguez@jeffersonenergyco.co
Patrich SimpkinsChief Development Officer Green Plains Inc.(402)
952-4906patrich.simpkins@gpreinc.com
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