Port of Corpus Christi’s commissioners have approved the grant agreement with the Maritime Administration, which outlines the terms and conditions for the use of the funds.
In June 2012, the U.S. Department of Transportation awarded a $10 million Transportation Investment Generating Economic Recovery (TIGER) grant for the port’s first phase of construction of the Nueces River railyard. When complete, the railyard will include a unit train siding and an interchange yard, with capacity for more than 335 railcars.
The construction contract documents are nearly complete and the project is scheduled to be advertised for bidding later this month. The total estimated cost of the first phase of the railyard is $18 million. The Port of Corpus Christi Authority will provide $8 million in funding for this project and will recover about half of this amount from a surcharge fee that will be assessed to rail providers.
The Texas port’s commissioners have also approved a long-term lease agreement with voestalpine Texas Holding. The steel products company will lease about 475 acres of upland property and about 11 acres of submerged land at the port’s La Quinta property for an initial lease term of 50 years with two 15-year options. Voestalpine will construct a hot briquetted iron plant and a 1,060 foot long dock on the easternmost portion of the port’s waterfront, capable of unloading iron ore pellets and loading HBI.