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Board of Commissioners unanimously approve Tesoro-Savage Joint Venture (TSJV) lease
The Board of Commissioners at the Port of Vancouver USA announced on Friday that they unanimously approved a 10-year lease with the Tesoro-Savage Joint Venture (TSJV) for a crude oil handling facility at the port.
The project, proposed by the port’s longtime tenant Tesoro in partnership with the logistics company Savage, will bring North American crude oil to the port by rail where it will then be transferred to marine vessels for transport to refineries in California, Washington and Alaska.
Approximately 42 acres of port property will be leased by TSJV to accommodate a rail unloading facility, storage tanks, and a vessel loading area.
The estimated capital investment by TSJV is US$100 million, and revenue to the port over the 10-year lease period is expected to exceed $45 million, while the facility is also expected to create between 80 and 120 permanent jobs and 250 temporary construction jobs.
With lease approval, the project now moves into the environmental permitting process. Washington State’s Energy Facility Site Evaluation Council will act as the lead agency for local and state permits, and the companies will work through an extensive process, addressing local, state and federal requirements.
TSJV will now be required to obtain all the necessary permits as a condition of operation at the port.
Approval of the lease follows a series of five commission workshops held over a ten-week period, providing both general information on issues related to crude oil as well as information specific to the TSJV proposal.
