Burnside Updates: Feb. 24 Incident Update
Burnside Updates: Progress at the Burnside Terminal
The objective: Transform the Burnside Terminal into a state-of-the-art major bulk terminal for coal, bauxite and alumina.
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In June 2011, Impala Warehousing and Logistics acquired Ormet’s Burnside terminal in Ascension Parish, Louisiana. The objective of the acquisition was to transform the facility into a state-of-the-art major bulk terminal for coal, bauxite and alumina. The project represents more than a $250 million investment in Ascension Parish. Once completed, the Burnside Terminal will reopen as one of the top coal and bulk logistics facilities in the U.S.
Trafigura, through its wholly-owned subsidiary Impala Warehousing, LLC, has acquired Ormet’s Burnside terminal in Ascension Parish and is investing more than $250 million to establish a state-of-the-art major bulk terminal for coal, bauxite and alumina.
Upon reopening, the Burnside facility will be only one of a few on the Mississippi River with both rail-to-vessel and barge-to-vessel capabilities. The terminal will provide a vitally needed multi-modal logistics platform on the Mississippi River.
The Burnside terminal was originally constructed in 1956 alongside an alumina refinery, but closed in January 2008. The alumina refinery alongside the bulk terminal was not included in the purchase.
Impala is investing more than $250 million in the Burnside terminal. The investment climate and support offered by Ascension Parish is paying dividends – we’re creating local jobs and will be ramping up local procurement.
We expect construction efforts will demand the skills and services of up to 300 skilled contractors sourced from the local community and further afield. We’ve recently recruited 29 personnel with anticipation of up to 125 when the terminal is fully operational. Further, there will be a significant increase in indirect jobs created through increased barge, shipping and rail operations.
Impala is always committed to hiring locally and utilizing local Louisiana-owned service companies and contractors where possible during the construction and operational phases of the terminal.
The promotion of safe working and living conditions for our employees and the communities in which we operate is essential to the long-term sustainability of our business. We also view the careful and considerate stewardship of the natural environment as a top priority both for this and future generations.
The Burnside project will comply fully with all parish, state, and federal requirements on environmental protection, management and stewardship. This strict adherence will carry through from planning and design through to construction, operation and maintenance.
We are keen to work with all stakeholders and experts to assure that we mitigate the impact of the industrial refurbishment and development. Similarly the plot of land, upon which the terminal and storage area sits, has long been designated as an industrial use zone.
We acknowledge that Ascension Parish is one of the fastest growing regions in Louisiana. We look forward to being a part of that growth and expansion in a safe and sustainable manner.
Trafigura is one of the world’s leading international commodity traders, specializing in the supply and transport of crude oil, petroleum products, renewable energies, coal, refined metals, ferrous and non-ferrous ores and concentrates.
Trafigura has an oil-trading office in Houston, Texas, and a metals and coal trading office in Stamford, Connecticut.
Impala is a wholly-owned subsidiary of Trafigura, one of the world’s leading international commodity traders. Impala was formed in 2010 following the consolidation of Trafigura's bulk commodity, warehousing and logistics activities. Impala currently employs over 850 people globally and has world-class expertise extending across the non-ferrous concentrates, refined metals, iron ore and coal sectors. Operations include the blending of metal concentrates in Chile, China, Mexico and Peru, iron ore operations in China and India, and coal operations in the U.S., China and Colombia.
Impala also owns and leases 40 refined metals warehousing sites (both LME and non-LME registered) across 30 countries and is engaged in the transportation of copper from the Democratic Republic of Congo and Zambia to global export markets. Impala’s global growth strategy is ambitious - over 35 projects are currently under detailed evaluation – each one offering unique value and enormous shared benefit.
Through its wholly-owned subsidiary, Impala Warehousing, LLC, Trafigura acquired Ormet’s Burnside Terminal. The objective of the purchase was to capitalize on the lack of bulk handling capacity located on the lower Mississippi River.
The U.S. currently faces significant constraints in supplying coal, with terminal facilities across the country already running at full capacity. The development of Burnside, as one of the country’s biggest terminals, will create new opportunities to establish flows of coal, both in and out of the country.
The location of the terminal is perfect for Impala’s business: coal can be brought by barge from upriver or by train from across the U.S. The Mississippi River is a deep-water port allowing for ships up to about 45 feet draft to be brought to the terminal, enabling allowing Impala to handle a variety of bulk cargoes for import and export from the U.S. The ability to handle bauxite cargoes will also benefit Ormet's newly reopened alumina plant.
This is a long-term project that represents an enduring commitment to both Ascension Parish and the state of Louisiana. We are investing more than $250 million to refurbish and reopen the Burnside facility. In the long term, we believe the terminal will be good for the local economy, good for local jobs and good for the U.S. economy.
Initially the focus is on inbound bauxite and outbound alumina from the adjacent Ormet alumina refinery.
When the terminal structure was originally built in 1956 it was seen as the ‘jewel in the crown’ for logistics in the lower Mississippi River region. Our plan is to restore it to that coveted position through upgrading the systems, equipment, mooring facilities, storage areas, security and rail facilities.
We are still examining a number of options for creating the optimum facility and have already started refurbishment.
We are investing more than $250 million to establish a state-of-the-art major bulk terminal. The project will substantially increase business activity and economic benefits for Ascension and adjacent river parishes.
We are committed to utilizing local Louisiana-owned service companies and contractors where possible during the construction and maintenance phases of the terminal.
We expect construction efforts will demand the skills and services of up to 300 skilled contractors sourced from the local community and further afield. We’ve recently recruited 29 personnel with anticipation of up to 125 when the terminal is fully operational.
The Burnside project is still under development. As our work continues, we will be in a position to give greater clarity as to our requirements and will place all notices on this website.
Once fully operational, the terminal will have approximately 125 full-time employees. Some former employees are likely to have the skills and experiences we're looking for to build our business up.
We are committed to being a good neighbor to the people and businesses in the area. As with any project of this nature, the refurbishment and operation of the terminal will have an impact. The key, as we see it, is to ensure that that impact is a positive one. We will ensure that we abide by the letter and spirit of the tight legal parameters that exist for this type of business – from planning and design through to construction, operation and maintenance of the Burnside terminal.
Keeping interested parties informed of the project’s progress is a top priority. Equally important is giving the community the comfort to know that those concerns raised will be responded to, and where appropriate, conclusively acted upon. As part of Impala’s commitment to open communication with the community, the company has developed and implemented a public outreach plan to keep all residents and interested parties apprised of developments. That program involves regular updates to this website. Also, general inquiries may be sent to email@example.com.
In addition, we have established channels for ongoing dialogue with state and local government representatives, community leaders, homeowners associations, and for near neighbors to seek input and provide project updates.
There will inevitably be some dust and noise created as a result of the construction and operation activities. We will work with the authorities, expert third parties and community members to minimize this impact as much as possible.
There will be an increase in the number of trucks on local roads, particularly during the construction phase of the Burnside terminal. On completion of construction, bulk cargos will be moved in and out by barge, ship or rail and as a result there will be decreased truck transportation to and from the Burnside facility.
Industry in Ascension Parish is booming – it is clear that this success has had a direct impact on local roads. We are sensitive to the concerns of the local community, particularly in relation to the level of traffic on Highway 44. We will continue to engage with local officials and the state Department of Transportation and Development regarding solutions to minimize the project’s impact on local roads.
This is possible. The Burnside terminal is on a railroad spur and we are examining how best to utilize the resource.
Vessels will typically be between 220 – 230 meters in length, with the capacity to carry up to 80,000 tons of cargo. The number of barges and vessels depend on the designed capacity. We have engaged the Pilots Association, the Army Corps of Engineers, and the US Coast Guard. The terminal will operate in full accordance with all relevant requirements.
The land plots on which the terminal and storage areas sit have long been designated as industrial use zones. We expect the terminal will be in use 24 hours a day, seven days a week and, as with any industrial facility, some light and noise are expected. However, we will work hard to minimize impacts and inconveniences to the community in any way we can.
We will look to employ local Louisiana-owned service companies and contractors where possible during the construction and maintenance of the terminal.
As part of our commitment to engage with local people about the Burnside site, we are carrying out a public outreach plan that enables potential future suppliers to contact us through this website. Please visit the Contact section of this site for more information.
There may be some additional employees that move into the area on a temporary and permanent basis. This may have an impact on the demand for housing but it would be impossible for Impala to suggest by how much.
Our investment program is ambitious and, as a consequence, we believe that regional industries will be positively affected.
Keeping interested parties informed of the project’s progress is a top priority, and Impala is committed to addressing community questions or concerns. Please feel free to contact us via the form below.