Trafigura says exported two U.S. condensate shipments in April
HOUSTON - Swiss commodity trader Trafigura AG exported two shipments of processed condensate last month from Corpus Christi, Texas, the company said.
Trafigura declined to identify customers that supplied the minimally processed, super-light oil that qualifies for export.
But the company said it shipped the cargoes to international markets without U.S. government approval, satisfied that the condensate’s processing met the minimal threshold to qualify as an exportable refined product without violating the decades-old domestic crude export ban.
“A ruling is not needed to export,” a spokeswoman said, noting that Trafigura canceled its 2014 request for approval after the U.S. Department of Commerce’s Bureau of Industry and Security issued guidelines in December.
The shipments went out from the Buckeye Texas Partners Corpus Christi terminal complex Trafigura co-owns with Buckeye Partners LP, the company said.
Trafigura bought the terminal in 2012 to support its trading business and later sought a partner. Last year Buckeye bought an 80 percent interest in the complex, as well as three crude and condensate gathering facilities in the Eagle Ford shale in south Texas for $860 million. Trafigura owns the remaining 20 percent.
Trafigura is building 1.4 million barrels of condensate-only storage slated to be finished in early 2016, but the company said it has sufficient storage to keep export-bound processed condensate separate from other crude that is subject to the ban.
The company also is building a 50,000 bpd condensate splitter at the complex that is slated to start up in the late third quarter this year.
A splitter splits the oil into various components, such as naphtha and distillates. Condensate bound for export without going through a splitter has undergone more minimal processing in a stabilizer, which removes natural gas liquids, but does not make motor fuels or feedstocks like naphtha.
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