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Kinder Morgan Energy to invest $58M to expand chemical storage capacity

Kinder Morgan Energy Partners (KMP) will invest approximately $58M to expand its chemical storage capacity. KMP has entered into a long-term contract with Methanex Corporation (MEOH) to support the construction of methanol storage capacity near Kinder Morgan’s Geismar Liquids Terminal in Geismar, La. Kinder Morgan will build, own and operate the storage tanks and related infrastructure, including improvements to its existing dock at GLT. The assets will provide critical marine, rail and truck access in support of a 1 million tonne per year methanol production plant being relocated by Methanex from Chile, South America. The terminal infrastructure is expected to be in service during the second half of 2014, coinciding with the anticipated startup of the relocated plant. KMP has also acquired Quality Carriers, Inc.’s 26-acre terminal located in Chester, S.C. The 19-tank facility currently provides storage for a single customer of 35,000 barrels and receives product by rail and distributes by truck.