NGL Supply Buys Plains’ Kincheloe, Michigan, Propane Rail Terminal

From the Oil Pricing Information Service:


NGL Supply Co. Ltd., of Calgary, Alberta, Canada, through its U.S. subsidiary NGL Supply Terminals Co., has acquired the Plains LPG Services LP propane terminal located in Kincheloe, Mich., for an undisclosed price, OPIS has learned.


The terminal, consisting of four 30,000-gallon propane storage tanks and eight propane railcars offloading spots, adds to NGL Supply’s growing terminal network and is strategically located to be a key propane supply source for northern Michigan and parts of Ontario, company executives said. The terminal will source its own propane supply from several regions including Alberta, Marcellus/Utica, and the Midwest.


Served by CN Railway, the facility, which is immediately operational, will be rebranded as Kincheloe Terminal Company LLC, said NGL Supply CEO Andy Edwards.


NGL Supply plans more than $1 million worth of upgrades to the terminal, including the installation of equipment to enable faster loading of propane transports, and a 24-hour card lock system. Engineering work for the upgrades will begin immediately and all work is set to be completed by Q3 2020, Edwards said.


With the acquisition of the Kincheloe terminal, NGL Supply will own eight propane terminals in North America; it also leases four more propane terminals and eight butane terminals.


The privately held corporation began operating in Calgary in 1972 as a land lease firm and propane wholesaler with two employees. By 1978, it opened a Sarnia office and in 1997 established U.S. subsidiary NGL Supply Terminals Co.

Today, the company has more than 100 employees and sells nearly 2 billion gal/yr of NGLs.

Leave a Reply

Your email address will not be published. Required fields are marked *