As part of the deal, Moda Midstream will also acquire LPG storage, berths and infrastructure along with some crude oil pipeline assets and offsite logistics locations.

For Occidental, the sale of IEC is part of its move to monetize certain non-core domestic midstream assets.

The IEC is a crude oil storage and export terminal that offers access to both international and domestic markets for crude oil and LPG producers and marketers. It is currently owned and operated by a subsidiary of Occidental Petroleum.

The terminal, which commenced export operations in October 2016, has about 2.1 million barrels of oil storage capacity and three deep-water berths for crude oil. It connects production from Eagle Ford Shale and Permian Basin to major domestic and international markets.

The terminal has been designed to handle a variety of vessels, including very large crude carriers (VLCCs), at high loading rates to maximize shipping economics for its customers, said Moda Midstream.

Currently, the terminal is being expanded to add storage capacity and infrastructure for contracted customer growth and to enable further development.

The liquids terminaling and logistics provider said that IEC will be linked directly to various long-haul crude pipelines that enable batching and segregation of crude oil deliveries at some of the most competitive tariffs on offer for shippers.

Moda Petroleum president and CEO Bo McCall said: “We are excited to have the opportunity to continue building on Occidental’s vision of the Ingleside Energy Center as a premier export terminal in the U.S. Gulf Coast. We see enormous growth potential and look forward to providing exceptional service to our existing and new customers for years to come.

“Today’s acquisition is a milestone achievement for Moda and is a significant leap forward in realizing our vision to build a leading independent terminaling company with a deep presence in the U.S. Gulf Coast.”

Subject to customary closing conditions, the deal is anticipated to be completed in the third quarter of 2018.