Pipelines may be the most common means of transporting oil and gas and they certainly play a vital role in the industry. However, as the oil and gas boom heats up and more and more production sites come online there is a rapidly growing need for an additional means of transport. Crude-by-rail provides that alternative and in turn STI Group provides major construction, fabrication, and industrial services to the crude-by-rail industry.
The Need for Crude-By-Rail
There are a number of major, important reasons why the crude-by-rail industry has become a growing player in the American oil and gas sector. The primary reasons include:
Added Capacity – The rapid expansion in production and distribution has resulted in an urgent need for increased capacity. Many pipelines are already functioning at or near their capacity. Transporting some of the crude by rail adds valuable capacity to to the industry.
Safety – In recent months there have been growing concerns about the safety of pipelines and the effect that a leak could have on groundwater and the environment. For the most part pipelines are a very safe means of transport; however, due to the perception of possible problems many new pipeline proposals are facing logistical and legal hurdles. Meanwhile crude-by-rail has an excellent safety record and provides an excellent viable alternative.
Speed – Even without the delays associated with difficulties in being approved, pipelines take a long time to build. By contrast the rail infrastructure is already well-established and in place in many of the areas where a means of transport is crucially needed. Crude-by-rail allows for that transport to begin immediately.
Flexibility – Crude-by-rail also offers added flexibility in many cases. The crude can easily be sent directly to different markets as needed rather than having to navigate a more rigid network of pipelines to get to the locales where it is in demand.
Cost – Once a pipeline is fully in place and operational it is a very cost effective means of transporting crude. However, getting the pipeline in place is a very expensive undertaking and requires a large upfront investment. By contrast transporting crude-by-rail requires a relatively much lower upfront investment in many cases.
STI Group’s Integrated Rail Solutions
STI Group offers fully integrated crude-by-rail options. Our services also synergize well with sea transport which is important if the rail system is feeding to or from a port. Our integrated rail services include:
- Construction of tracks
- Deep water docks
- Railcar and barge venting systems
- Metering units
- Inventory management
- Distribution terminals
These service are in addition to our project management services and our engineering, procurement, and construction (EPC) capabilities. We are able to handle projects big and small and once the facilities are completed we continue to serve our customers with our maintenance and service solutions.
STI Group’s Modular Fabrication
We provide the products and equipment needed in the rail industry through our advanced turnkey, modular fabrication process. This production process is optimized for maximum efficiency, quality, speed of production, and reduced cost. We also have multiple fabrication facilities across the nation with hundreds of thousands of square feet of workspace, allowing us to handle even very high volume orders. Our expert craftsmen and NCCER certified welders combined with our advanced quality control and quality assurance measures will ensure that only flawless, outstanding product is delivered to the customer.
STI Group’s Experience in the Rail Services Industry
STI Group has over 35 years of experience in the industrial services sector. We also have a wealth of knowledge and experience specifically in the crude-by-rail industry. We have partnered with the Jefferson Energy Companies to build the Jefferson Transload Railport Terminal. This strategic facility is located near the Port of Beaumont in the heart of the gulf coast oil center, has direct access to the highway system, and is of course located directly on operating railroad tracks. We have already completed the fast tracked initial, first phase of construction which includes 120 railcar unloading stations and we are continuing to make outstanding, consistent progress on the remainder of this major project.
STI Group is proud of our track record of excellence in service to the crude-by-rail industry. We are dedicated to providing superior construction solutions to our rail customers. Our company is founded on the principles of integrity, corporate responsibility, and excellence in customer service. We also place a strong emphasis on safety and have developed an industry-leading safety program. These values combined with our experience and resources allow us to deliver unparalleled service to the rail industry.