In the third quarter of 2018, the Caliche Coastal cavern, which can hold up to 600 million pounds of ethylene, is to be available for customer deliveries.
Caliche Development Partners, LLC recently acquired Coastal Caverns Inc. (Caliche Coastal) and along with it, Coastal’s salt cavern storage facilities. The facilities sit on 53 acres atop Spindletop Dome in Beaumont, Texas, and have a 345 acre brine pond four miles away. Once fully developed, Gulf Coast NGL and olefin producers and end users will have access to a salt-cavern storage facility with a capacity of 32 million barrels. Currently, the storage facility only has a capacity of 5 million barrels.
Within a 12 mile (19 km) radius of the Caliche Coastal facility are 10 dock facilities, nine of which are suitable for deep water vessels, as well as several ethylene and NGL pipelines.
Caliche expects to develop seven additional fully-permitted storage wells, coming online at a rate of one well per year through 2025.