what do you think of when you hear “new orleans”?

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Anybody think of “Energy”?

Mississippi River Refining Corridor

• Home to 9 refineries

• Refining capacity of approximately 2.4 million barrels

per day

EVOLUTION OF LOOP

INFRASTRUCTURE

FTZ PRACTICES

MEASUREMENT

SEGREGATIONS

LOOP YESTERDAY

• 1981 – Built to receive foreign crude imports

• 1996 – Started receiving domestic Gulf Of Mexico production

• 2002 – Began operation of above ground storage tank facility

LOOP TODAY

• Still receiving foreign cargos

• Receiving Jones Act Tankers

• Two major Gulf Of Mexico production networks land at LOOP

• Major pipeline from Texas to LOOP

• LOOP Sour Storage Contracts

LOOP TOMORROW

• Continue to evolve to meet the changing needs of our customers:

–New infrastructure

–New connections

–New service offerings

–New opportunities

EVOLUTION OF LOOP

INFRASTRUCTURE

FTZ PRACTICES

MEASUREMENT

SEGREGATIONS

SINGLE POINT MOORINGS

Accommodates from ATB / MR through ULCC.

.

3 SPM’s capable of swiveling 360 degrees

LOOP MARINE TERMINAL

FOURCHON BOOSTER STATION

CLOVELLY HUB

8 Caverns – 60 million barrel capacity

4 Incoming Receipt Lines

3 Outbound Delivery Lines

CAVERN

Cavern – Top of Cavity starts 1500 feet below ground

Cavern Schematic

Tank Facility 15 - 600K tanks = 9 million barrels

7 - 355K under construction = 2.5 million barrels

LOCAP 48” Pipeline Connecting Clovelly to St.

James

Separate Company Operated by LOOP

LOCAP CONNECTIVITY

8 Break out tanks = 2.5 million barrels

• Incoming

• Clovelly

• Houma

• Plains

• Nustar

• Sugarland

• Outgoing

• Capline

• Plains

• Nustar

• Sugarland

• Marathon Garyville

• Motiva Convent

• Exxon Baton Rouge

• Exxon North

EVOLUTION OF LOOP

INFRASTRUCTURE

FTZ PRACTICES

MEASUREMENT

SEGREGATIONS

LOOP

• Operator of FTZ 124 D

• Grantee – Port of South Louisiana

• USCBP – Report to Port of Morgan City

FOREIGN CRUDE

• Any foreign origin crude entering FTZ 124D must have Import documents or USCBP proof of entry to be accepted

INBOUND FOREIGN TANKER

• Shipper sends Import Information to LOOP

• LOOP files Manifest (CBPF 1302) based on information

• BOL is entered with LOOP SCAC (LPLC)

• Ship starts discharging – LOOP files arrival message

• Ship completes discharge and LOOP Admits crude CBPF -214 and concurs with 1302

DOMESTIC RECEIPTS

Arriving on foreign flagged vessel

Foreign origin crude arriving via Jones Act Tanker

US Sourced crude arriving via Jones Act Tanker

Domestic crude arriving via pipeline

DELIVERIES

• Foreign status crude

– Direct delivery

– In bond

– FIFO’d against receipts in ICRS

• Domestic status crude

– Tracked via ICRS

MISCELLANEOUS

• Annual Meeting with Port Director

• Internal Audit Inspections

• Electronic Record Retention

• Documentation

EVOLUTION OF LOOP

INFRASTRUCTURE

FTZ PRACTICES

MEASUREMENT

SEGREGATIONS

MEASUREMENT – USCBP CERTIFIED IN 2015

Formal request for certification sent to Port Director

Contact Houston Lab to provide documentation and schedule inspection of measurement systems

Houston Lab recommend certification to Port Director

Certification Letter issued

MEASUREMENT NOTIFICATIONS

• Change in measurement personnel

• Calibration of any critical measurement equipment

– Prover waterdraws

– Sampler tests

– Tank strapping tables

MEASUREMENT AT LOOP

• FMC Sentry meters used for custody transfer

• Karl Fisher used for water extraction

• Centrifuge used for sediment

• High integrity valves allow Marine Terminal meters to be split into two separate metering and sampling systems allowing dual discharging of compatible crudes

PROVER

EVOLUTION OF LOOP

INFRASTRUCTURE

FTZ PRACTICES

MEASUREMENT

SEGREGATIONS

SEGREGATIONS

• Fungible crudes stored together as segregations (ABM, BAS, KUW = Seg17)

• Shippers are advised of crudes included in segregation

• Crude arrives at LOOP by name, but leaves LOOP as a segregation

• ICRS FIFO’s by shipper, segregation, and FTZ status

Current Segregations

CAVERN SEGREGATION CRUDE TYPES

03 20 Eagle Ford Crude, Bonny Light, Forcados, Qua Iboe

04 14 Mars Blend

07 14 Mars Blend

08 34 LOOP Sour

10 N/A Integrity Work

11 17 Arabian Medium, Kuwait, Basrah Light

12 05 Arabian Light

15 26 Thunder Horse Blend

THANK YOU!

CHAUNCEY A. SERIGNY, JR

Foreign Trade Zone Specialist LOOP LLC

(985) 276-6237 Caserigny@loopllc.com

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