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Permian Basin’s Latest Boom Requires New Infrastructure By Jennifer McKevitt EPIC Midstream Holdings LP photo
CEG CORRESPONDENT
The EPIC Crude Oil Pipeline will extend from Orla, Texas, to the Port of Corpus Christi.
As the United States surge in oil production moves from the Dakotas to Texas, new methods of transport have arisen in order to quickly move the output. In particular, an emerging system known as the Crude Oil Pipeline will transfer the oil directly from Orla, Texas, the seeming epicenter of the boom, to the Port of Corpus Christi for quick export. The need for the expanded pipeline arises from the ever-increasing yield of the Permian Basin, where new methods of extraction — namely, fracking and horizontal drilling, working cooperatively — have freed hitherto unavailable oil resources. As a result, the area’s crude production has risen
exponentially, and may increase still further, propelling the U.S. into first position as an oil-producing powerhouse, surpassing even Russia and Saudi Arabia. If such an event occurs, the consequences could impact both international economics and global politics whether through foreign policy, or a resurgence of power for OPEC (the Organization of the Petroleum Exporting Countries). As a result, pipelines to send crude oil from the Permian to refineries and tankers see OIL page 16
USDOT Awards DART $908M Rail Financing Loan The U.S. Department of Transportation’s Build America Bureau provided the Dallas Area Rapid Transit or DART system with a $908 million Railroad Rehabilitation & Improvement Financing or RRIF direct loan on Dec. 21 to help finance the
Cotton Belt Corridor Regional Rail Project. The Cotton Belt Corridor Regional Rail Project is a 26-mi. passenger railroad extending from Dallas-Fort Worth (DFW) International Airport eastward to the Plano/Richardson area, covering three counties and seven cities. USDOT noted in a statement that this project will be constructed primarily within the existing DART-owned railroad right-of-way, with tracks currently used for freight rail service provided by short line and regional carriDART photo ers. The Cotton Belt Corridor The project scope includes upgrading the Regional Rail Project is expected to improve mobility, accessibility and system linkages to major employment, existing track to meet passenger rail standards, population and activity centers in the northern part of Dallas. converting single-track configuration to double-
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track, building ten new stations, and acquiring eight vehicles, USDOT said. The agency said the Cotton Belt Corridor Regional Rail Project is expected to improve mobility, accessibility and system linkages to major employment, population and activity centers in the northern part of Dallas, which has long been identified as a heavily congested area in need of additional capacity and mobility solutions. When operational, the project will provide a cross regional route linking DART’s Red, Green, and Orange lines, as well as the Denton County Transportation Authority (DCTA) A-Train, USDOT added. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
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Page 4 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
TxDOT Projects in El Paso Ready to Wrap Up in 2019
TxDOT’s GO 10 project is nearing completion.
2018 brought new additions to West El Paso, outlook shifts construction to Central, East El Paso Drivers in West El Paso may be tired of the orange barrels, but come 2019 much of that construction will be wrapping up and new projects will be under way in Central and East El Paso. GO 10 TxDOT’s GO 10 project is one of the biggest drivers are most familiar with. The $158 million undertaking started in April 2015 and aims to improve traffic flow, vehicle capacity and safety along the I-10 corridor between North Mesa Street and Executive Center Boulevard. In 2018, significant milestones included traffic switches on North Mesa Street and Sunland Park Drive, and new highspeed connections to the Border West Expressway project via direct connector ramps between I-10 and Paisano Drive (U.S. 85). The first quarter of 2019 will result in traffic shifts from the collector-distributor lanes to newly paved mainlanes of I-10 between North Mesa Street and Resler Drive. Drivers traveling eastbound may expect to see the shift early January. Drivers traveling westbound may expect to see the shift in their route late January. Late January/early February will bring the permanent closure of the westbound Resler exit ramp. The new Resler exit, which will be accessible from the collector-distributor lanes, will open by April. Drivers who use North Mesa
will see the final configuration of the interchange, complete with turnarounds and new pavement between Remcon and Osborne, by late February/early March. Soon after, at the end of March, the Sunland Park/I-10 interchange will be finished. Border West Expressway The Border West Expressway is scheduled to open in 2019. The project will provide an alternate route for I-10 and completes the loop around the city. It’s located west of downtown El Paso, south of I-10, and extends approximately 7.4 miles from Racetrack Drive near Doniphan Road and New Mexico 273 East to U.S. 54, to one
TxDOT’s GO 10 project will improve traffic flow in El Paso.
mile east of Park Street, near U.S. 54. Work is scheduled to be complete by the end of summer 2019 and includes a one-mile long bridge that runs along the United States-Mexico border and straddles the border fence. Drivers benefited from multiple milestones in 2018, including the opening of the Paisano connectors from downtown to Cesar E. Chavez Border Highway; new westbound Doniphan lanes and a new Racetrack/Doniphan intersection; a new connector to McNutt and the completion of the installation of 1,173 girders on the project. Projected milestones for first quarter 2019 include the opening
The Border West Expressway is scheduled to open later in 2019.
of the Delta bridges (vehicle and pedestrian) that will provide access over railroad tracks near the Bowie area; the completion of the construction of nearly one million square feet of walls on the project and the pouring of the last bridge deck on the expressway. There are 35 bridges on the project totaling 1.4 million sq. ft. Braided Ramps In East El Paso the Braided Ramps project changed ramp configurations on I-10 near the Cielo Vista Mall/Fountains at Farah shopping areas. The project, which started in January, resulted in new Hawkins eastbound and westbound exits and half of the Braided
Ramp (Viscount westbound entrance ramp) in 2018. Drivers will see a new Hawkins eastbound on-ramp, widening on I-10 and the second half of the Braided Ramp open in the first quarter of 2019. The project also includes: frontage road improvements; intersection improvements at Airway Boulevard, Hawkins Boulevard, and Viscount Boulevard; new pavement markings, signs, illumination and computerized transportation management system. U.S. 54 Widening TxDOT’s U.S. 54 Widening and Illumination project started in November 2017 and is expected to be complete by fall 2019. The $35million-dollar project stretches from Hondo Pass to Loop 375/Transmountain. Once complete, each side of U.S. 54 in those limits will have an added lane, high mast illumination and turnarounds at Hondo Pass Avenue, Diana Drive and at Loop 375 Transmountain. To improve safety in the area, the project also will reverse the existing on/off ramps in order to allow for traffic to merge on the access roads instead of the mainlanes. Pedestrians and residents also will enjoy a 2-mi. shared use path that will be constructed northbound from Hondo Pass to Transmountain. End of year milestones include the opening of the Hondo Pass turnaround, new Transmountain ramps, and the opening of the Diana underpass post construction see PROJECTS page 12
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 5
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Page 6 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
Ed Bell Construction Modernizes Fleet With Link-Belt 75RT
The Link-Belt 75RT lifts 6,000 lb. (2,721 kg) bundles of rebar, large concrete form panels, concrete buckets, and drainage culverts along both sides of Interstate 20.
Since 1963, Ed Bell Construction Inc. of Dallas, Texas, has been a concrete paving enterprise in the Dallas/Fort Worth metroplex. In the early 2000s the company expanded into bridge work, utilizing an existing fleet of 50-ton rough terrain cranes and heavy haul transport trailers to mobilize its crane fleet to its fullest extent for both paving and bridge construction. “Our equipment doesn’t get hauled to a job and stay there for the duration of the job. They get hauled to a job with our own heavy haul trucks, complete the assigned task and leave for the next project,” said Terry Killingsworth, structures manager at Ed Bell
Construction. Ed Bell Construction made purchase of a Link-Belt 75-ton (70-t) 75RT in second quarter 2018 to begin modernizing some of its aging equipment and handle the demands of larger, heavier lifts in modern road and bridge work. “Getting a bigger, 75-ton crane with basically the same footprint as our older 50-ton rigs gives us better capabilities without retraining our current operators who are all certified up to 75-ton,” Killingworth said. Current Projects A $30 million Interstate 20/Center Point Road Interchange project is a multi-year project received by Ed Bell Construction
that includes new exit and on ramps and three new bridges, as well as redirection of three miles of two-way frontage roads for improved mobility and safety. The Link-Belt 75RT lifts 6,000 lb. (2,721 kg) bundles of rebar, large concrete form panels, concrete buckets, and drainage culverts along both sides of Interstate 20. Additional job requirements for the 75RT include placing concrete finishers up and off of finished concrete bridge decks, and new Texas Department of Transportation traffic barriers placed along right-of-ways that weigh 23,000 lbs. (10,432 kg). Operator Gabriel Corral is quick to explain that he likes the tilt cab
“Our equipment doesn’t get hauled to a job and stay there for the duration of the job. They get hauled to a job with our own heavy haul trucks, complete the assigned task and leave for the next project,” said Terry Killingsworth, structures manager at Ed Bell Construction.
because it eases the stiffness in his neck from working on high bridge projects all day. He finds the crane is smooth and has a nice, quick swing, and he has already taken advantage of both boom modes and the fine metering system. When working around men with a heavy load, he explained that the slowest mode is what he uses to make sure his crew working around the lift will remain safe. He also likes being able to change fine
metering control positions to which ever operator is using it. “I like that the machine’s LMI system has a working memory so when it is left it remembers all of your settings, and picks right back up where you left it,” Corral said. For more information, visit www.linkbelt.com. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
Ed Bell Construction made purchase of a Link-Belt 75-ton (70-t) 75RT in second quarter 2018 to begin modernizing some of its aging equipment and handle the demands of larger, heavier lifts in modern road and bridge work.
A $30 million Interstate 20/Center Point Road Interchange project is a multiyear project received by Ed Bell Construction that includes new exit and on ramps and three new bridges, as well as redirection of three miles of two-way frontage roads for improved mobility and safety.
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 7
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Page 8 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
Permian Highway Pipeline...
Landowners Fight Kinder Morgan’s $2B Natural Gas Pipeline Proposal FREDERICKSBURG, Texas (AP) Landowners in Texas Hill Country are scrambling to figure out how to reroute or stop a $2 billion natural gas pipeline proposed by a Houstonbased company. Kinder Morgan is surveying the Permian Highway Pipeline’s possible route running 430 miles from the Permian Basin oil and gas field in West Texas to a location near Katy, a Houston suburb. But property owners in Hill Country are looking into their rights and the company’s ability to utilize eminent domain, the San Antonio ExpressNews reported. Allen Fore, a Kinder Morgan spokesman, said the company will work with landowners to make route adjustments. Kinder Morgan owns or runs 26,000 miles of pipelines throughout Texas. The company has already contacted the owners of nearly all the 1,070 properties across the 16 counties that the pipeline would cut through, Fore said. If the company receives all needed permits and approvals, it hopes to begin construction this fall and be in service by late 2020. The project will be reviewed by state and federal regulators, including the Texas Railroad Commission, the U.S. Fish and Wildlife Service and the U.S. Army Corps of Engineers. The Texas Railroad Commission registers pipelines as
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common carriers, which allows them to take control of private property through eminent domain delegated by the state. Oil and gas companies’ ability to use eminent domain keeps the industry functioning in West Texas, said Ryan Sitton, the agency’s commissioner. Without it, one landowner could shut down an entire project, Sitton and Fore said. The legal framework created by the Texas Legislature and state courts makes it difficult to win a challenge to stop the pipeline company entirely, said Luke Ellis, an Austin-based attorney representing landowners potentially affected by Kinder Morgan’s proposed pipeline. Because pipeline easements are permanent, Ellis said property owners have one chance to get the best easement terms and the highest amount of just compensation possible. Hank Sauer owns 45 acres near Fredericksburg in Gillespie County, where the largest number of landowners that could be affected by the Permian Highway Pipeline. Sauer has been trying to sell his land but recently took it off the market because his property’s interest dropped after Kinder Morgan announced the project in June. “We have no ill will toward pipelines — they’re needed,” Sauer said. “But put them somewhere where they’re not going to destroy lives and destroy people’s communities.”
ACCIONA Begins Work on Its Ninth U.S. Wind Farm
ACCIONA Energía has started construction work on its second wind farm in Texas — the company’s ninth in the United States — which will increase ACCIONA’s United States wind power capacity to 866 megawatts (MW). An investment of $200 million, Palmas Altas will have a capacity of 144.9 MW and be equipped with 46 wind turbines of Nordex technology. Grid connection is planned for November 2019. Located in Cameron County, near the San Roman wind (This story also can be found on Construction Equipment farm that ACCIONA started up in December 2016, the new Guide’s website at www.constructionequipmentguide.com.) facility will produce around 524 gigawatt-hours (GWh) of clean energy per year, equivalent to the consumption of 43,000 households. It will offset the emission of 503,000 metric tons of CO2 — the equivalent of taking more 100,000 cars and trucks off the road. “We are proud to be furthering our investment in the United States, one of our main strategic markets where we remain alert to any opportunity offered by this promising sector” said Rafael Esteban, CEO of ACCIONA Energy USA Global LLC. The Palmas Altas project will employ approximately 170 people at the peak of construction. When complete, a 10-perdiverse and competitive-based energy son operations team will staff the wind farm. Over its 25-year Station in northeast El Paso. lifespan. The anticipated operational date for resources for its customers. “These technologies provide a mix the gas turbine is 2023 at an expected Nordex Wind Turbines cost of $143 million. In addition, EPE of carbon-free renewable and clean The wind turbines installed in Palmas Altas will be expects to pursue the purchase of 50 to burning natural gas generation that will 150 MW of wind and solar generated enable us to meet the growing need for Nordex’s AW125/3150 model with a rotor diameter of 125 power to provide for fuel diversity and power in our region in a safe, clean, m, mounted on an 87.5-m steel tower (hub height). The enerenergy cost savings. reliable, and cost-effective manner,” gy produced by the wind farm will be sold in the ERCOTThe selected proposals are subject to said Mary Kipp, El Paso Electric pres- South Texas wholesale market. ACCIONA currently owns and operates eight wind farms the execution of contracts following negotiations with the winning bidders, ident and chief executive officer. “This in the United States. In addition to San Roman (93 MW), obtaining the applicable environmental balanced combination of resources mentioned above, the company has three others in Oklahoma and construction related permits and will work with our existing energy (329 MW), two in the Dakotas (192 MW), one in Illinois obtaining necessary approvals by the portfolio as we move to retire aging, (101 MW), and one in Iowa (6 MW). It also has a 64 MW Public Utility Commission of Texas less efficient plants while continuing to CSP plant in the Nevada Desert. In addition to Palmas Altas, and the New Mexico Public meet our customers’ changing energy ACCIONA Energía has other wind power projects in its Regulation Commission. needs.” pipeline that will increase its operational capacity in the The mix of new capacity under(This story also can be found on United States. scores EPE’s strategic goal to remain at (This story also can be found on Construction the forefront in advancing renewable Construction Equipment Guide’s energy and expanding its overall ener- website at www.constructionequip- Equipment Guide’s website at www.constructionequipgy portfolio with cost-effective, mentguide.com.) mentguide.com.)
EPE Plans to Add Hundreds of MWs of Solar Energy, Battery Storage By 2023 El Paso Electric (EPE) has identified generation resource additions needed by the 2022-2023 summer peak season. The generation mix includes utility scale solar, battery storage and natural gas. Through initial resource planning studies, EPE determined that it requires additional generating capacity of approximately 50 MW by 2022 and 320 MW by 2023 for a total of 370 MW. After careful evaluation of the competitive 2017 All Source Request for Proposals for Electric Power Supply and Load Management Resources (RFP), the winning bids include the expected energy purchase of 200 megawatts (MW) of utility scale solar resources, 100 MW of battery storage and the construction of a 226 MW natural gas combustion turbine generating unit at the Company’s Newman Power
San Roman Wind Farm, the last one built by ACCIONA Energy in Texas, close to Palmas Altas WF.
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 9
Page 10 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
Focus — 2019 Texas Contractors Be Wary Texas contractors had a generally strong year in 2018 and can expect a repeat in 2019. However, there are three reasons for caution: rising materials costs, an ever-tightening labor market and increasing interest rates. Nationally, construction employment increased 4.6 percent from October 2017 to October 2018, nearly triple the growth rate for total nonfarm employment, according to the Bureau of Labor Statistics (BLS). In Texas, construction employment in October reached a record high of almost 770,000, an increase of 60,000 or 8.5 percent from a year earlier. Unemployment increased in all of the state’s major metro areas over that span. The Dallas/Fort Worth/Arlington metro area added 13,600 jobs but gains were uneven. The Dallas/Plano/Irving division added 14,100 jobs, a 10 percent increase, while employment in the Fort Worth/Arlington division slipped by 500 jobs or 1 percent. (The BLS data for D/FW includes mining and logging with construction to avoid disclosing information about industries with few employers). Despite these hefty employment increases, contractors overwhelmingly report difficulty in filling positions. Construction industry job openings at the end of September
were the highest for any September in larger deficits in 2019 and beyond, the 18-year history of BLS’s Job Tight labor availability seems sure suggest that interest rates will Openings and Labor Turnover Survey, increase. That may keep some while the number of unemployed to continue, if not intensify, in home buyers from qualifying from workers with construction experience 2019. The number of individuals mortgages, cause developers to was the lowest since BLS began predecide some income-producing senting that data in 2000. Thus, it is no reaching retirement age keeps buildings will not “pencil out,” and wonder that 78 percent of Texas con- growing, while the number of reduce the number of projects that tractors that participated in AGC of school districts and other municiAmerica’s 2018 workforce survey people entering the labor force pal bond issuers can finance. reported difficulty filling hourly craft Despite these challenges, has stagnated. positions. United States’ contractors appear Tight labor availability seems sure to to have enough backlog and continue, if not intensify, in 2019. The prospects for new orders that 2019 number of individuals reaching retirewill be another positive year. Due services used in all types of construction ment age keeps growing, while the number jumped 6.6 percent. That was before the full to high population growth, a strong energy of people entering the labor force has stag- effect of tariffs on steel, aluminum and thou- sector, and ongoing recovery from the 2016 nated. Meanwhile, restrictive immigration sands of Chinese products had been felt. hurricane and flood, Texas contractors will policies are reducing the availability of for- Costs may rise even more in 2019 once be even busier than most. eign-born workers, a group that has histori- items that were in inventory or ordered Ken Simonson is the chief economist for cally been a major source of employees for before the tariffs were imposed are used up. Associated General Contractors of America the Texas construction sector. The stiff com- The tariffs and countermeasures that United since 2001. He is a fellow and past president petition for qualified workers amid flat or States trading partners have imposed also of the National Association for Business falling supply is likely to drive labor costs may reduce demand from manufacturers, Economics and holds a B.A. in economics higher in 2019, either directly through higher logistics firms and ports for facilities they from the University of Chicago. He also pay or indirectly through higher expendi- would otherwise have built. holds as M.A. in economics from tures on recruitment, training and overtime. Although interest rates have fluctuated in Northwestern University. Materials costs also appear headed higher. late 2018, the Federal Reserve’s determina(This story also can be found on From October 2017 to October 2018, BLS’ tion to keep inflation in check, along with the Construction Equipment Guide’s website at producer price index (PPI) for materials and federal government’s need to finance much www.constructionequipmentguide.com.)
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 11
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Page 12 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
As Projects Come to Conclusion, Others Ready to Begin
The U.S. 54 project is adding lanes and improving safety.
TxDOT’s Border West Expressway project includes 35 bridges. PROJECTS from page 4
to widen the bridge. First quarter 2019 goals include the switching of traffic on U.S. 54 mainlanes, the completion of the shared-use path and shoulder work for ramp tie-ins. FM 659 Montwood & Zaragoza FM 659 Montwood & Zaragoza operational improvements include grading, concrete pavement, retaining wall modification, storm sewer system, retention ponds, illumination, signing, striping, signalization and landscaping. This project will be the first in El Paso, and second in the state, to utilize pre-cast concrete panels. Pre-work started in November and the estimated completion date is May 2020. Montana Montana improvements will widen U.S. 62/180 (Montana Avenue) to three controlled-access mainlanes in each direction, three frontage road lanes in each direction from Global Reach Drive to Loop 375, and two frontage road lanes in each direction from SL 375 to FM 659 (N. Zaragoza Road). The project will also include the construction of a shared-use path, bike lane, sidewalks, and landscaping. In a future phase, two direct connector ramps will be constructed at U.S. 62/180 (Montana Avenue) and Global Reach Drive, and four direct con-
nector ramps will be constructed at the U.S. 62/180 (Montana Avenue) and SL 375. The project is expected to start in early spring and last two and a half years. I-10 Connect I-10 Connect is the convergence of U.S. 54 and I-10 in El Paso County and extends from I-10 to Loop 375 (César Chávez Border Highway). It will provide access to the Bridge of the Americas (BOTA) Port of Entry. The project consists of constructing direct connectors, ramps, auxiliary lanes, and widening existing ramps and direct connectors between I-10, I-110, United States Highway (U.S.) 54, and Loop 375 (Cesar Chavez Border Highway). The project will improve mobility and address congestion on the existing roadway network. Work on the project is expected to start in February and be completed in 2021. Loop 375 Frontage Roads Configuration The 2.4-mi. long Loop 375 Frontage Roads Configuration project is intended to improve mobility and reduce congestion by extending frontage roads across the Union Pacific Railroad (UPRR) and reconfiguring ramps. The existing Loop 375 frontage roads generally consist of three lanes in each direction, with two 14-ft.wide lanes and one 12-ft.-wide
lane. The proposed improvements would extend the frontage roads over the UPRR just north of the Alameda Avenue (SH 20) and Loop 375 intersections and reconfigure ramps in both the north and southbound directions between FM 76 and the Zaragoza Port of new Hawkins eastbound on-ramp is part of the Braided Ramps Entry. Construction is slated to A project. start in early spring and last about 18 months. Braided Ramps, Phase II Braided Ramps, Phase II started Jan. 3 and is expected to be complete by Thanksgiving 2019. It runs on I-10 from Airway to Viscount and focuses on operational improvements to include grading, paving, utility relocations, illumination, etc. Phase II is more focused on the eastbound frontage road. There are proposed widenings at Airway and at Hawkins, and plans to rebuild/extend new ramps at the Viscount exit and Hawkins entrance ramps. The project also widens the Viscount right turn to Gateway Boulevard West. No work is being done in front of Cielo Vista with this project. Coordination with the current phase of the Braided Ramps is occurring for as little disruption as possible to traffic patterns. U.S. 90 In the rural area, project progress in 2018 included the completion of the U.S. 90 project. The
The U.S. 54 Widening and Illumination project is due to complete by fall 2019.
20 mi.-long project entailed the full-depth rehabilitation of U.S. 90 in all of Jeff Davis County from the Culberson County line to the Presidio County line. Before the construction work, there was no guardrail. Now every structure is protected, and the stretch of road has new signing and delineation. In Presidio, construction began on the new international bridge in early 2018. Completion is expect-
ed in late 2019. The TxDOT El Paso District covers nearly 22,000 sq. mi. in the six counties of Brewster, Culberson, El Paso, Hudspeth, Jeff Davis and Presidio. For more information, visit TxDOT.gov. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 13
DĐ ŽƵƌƚ Θ ^ŽŶƐ ƋƵŝƉŵĞŶƚ͕ /ŶĐ͛͘Ɛ ƉƌŽǀŝĚĞƐ Crushing, Scr S eening, Co C nveying, Wash hing and Recyclling equipment for th following ap a plications: Aggregates and Mineral Processing, Sa S nd & Gravel, Concrete Recycle, Washing, Highway Contractors, Organics ʹ Compost, Topsoil, Mulch h, Landfill Mining, Environ nmental Cleanup, Specialized and Industrial Sands, and Energy ʹ Oil, Wind.
Page 14 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
Texas Highway Project Lettings
The Texas State Department of Transportation received bids for transportation-related improvement projects. Following is a list of some of the projects let.
Project: Interchange improvements. Location: Cesar Chavez Border Highway to Yandell Drive. Estimate: $97,716,680 Contractors and Bid Amounts: •Sundt Construction Inc.— $96,506,598 • J.D. Abrams L.P. — $103,860,382 • Pulice Construction Inc. — $108,559,158 • Johnson Bros. Corporation, A Southland Company — $114,246,713
County: Dallas Project ID: RMC - 633264001 Project: Flexible pavement repair. location: Various roadways in the northwest Dallas County maintenance section. Estimate: $1,120,540 Contractors and Bid Amounts: • Oldcastle Materials Texas Inc. — $843,261 • Foutsco Paving Company LLC — $959,712 • Peachtree Construction Ltd. — $988,425 County: Wheeler Project ID: RMC - 632304001 Project: Call out concrete pavement repair. Location: District wide. Estimate: $1,016,250 Contractors and Bid Amounts: • Silver Creek Construction Inc. — $975,435 • Gilvin-Terrill Ltd. — $1,043,500 • O. Trevino Construction LLC — $1,173,250 • Winding Road Construction Inc. — $1,484,500 County: Maverick Project ID: RMC - 633172001 Project: Seal coat surface treatment and pavement markings. Location: Various locations throughout the county. Estimate: $1,800,787 Contractors and Bid Amounts: • Ronald R. Wagner & Company LP — $1,761,841 • Brannan Paving Company Ltd. — $1,790,615 • Clark Construction of Texas Inc. — $1,819,462 • Tierra Lease Service LLC — $1,931,642 County: Webb Project ID: RMC - 633176001 Project: Seal coat surface treatment and pavement markings. Location: Various locations throughout the county. Estimate: $2,576,955 Contractors and Bid Amounts: • Ronald R. Wagner & Company LP — $2,712,497 • Brannan Paving Company Ltd. — $2,801,973
• Clark Construction of Texas Inc. — $2,847,183 • Tierra Lease Service LLC — $2,981,796 County: Hidalgo Project ID: RMC - 633200001 Project: Crack seal. Location: Various locations district wide. Estimate: $994,018 Contractors and Bid Amounts: • D & M Contractors LLC — $1,105,900 • Texcon General Contractors — $1,353,600 County: Dallas Project ID: RMC - 633262001 Project: Clean and seal joint and/or crack (asphalt concrete. Location: Various roadways in the northeast Dallas County maintenance section. Estimate: $117,679 Contractors and Bid Amounts: • D & M Contractors LLC — $97,718 • Texcon General Contractors — $166,740 County: El Paso Project ID: NH 2019(166)
County: Ochiltree Project ID: STP 2019(237) Project: Base repair and overlay. Location: U.S. 83 to Roberts County line. Estimate: $13,097,046 Contractors and Bid Amounts: • J. Lee Milligan Inc. — $13,090,321 • RK Hall LLC — $13,322,305 • Duininck Inc. — $14,655,038 • Kiewit Infrastructure South Company — $14,788,188 • Allen Butler Construction Inc. — $15,598,126 County: Shelby Project ID: STP 2019(181) Project: Resurface with seal coat. Location: Flat Fork Creek to U.S. 84. Estimate: $10,852,736 Contractors and Bid Amounts: • Missouri Petroleum Products Company LLC — $10,961,024 • A. L. Helmcamp Inc. — $11,782,725 • Clark Construction of Texas Inc. — $12,213,502 County: Henderson Project ID: STP 2019(242) Project: Reconstructing bridges, grade, base, surface, pavement markings. Location: Knob Hill in 7 PT,1 mi. of SH 274,E to Southland in GBC(2.5 Mi. west of SH 198) Estimate: $40,593,998 Contractors and Bid Amounts: • Austin Bridge & Road Services LP — $43,069,729 • Johnson Bros. Corporation, A Southland Company — $43,293,722 • James Construction Group LLC — $47,378,061 • Longview Bridge and Road Ltd. — $50,470,615 • East Texas Bridge Inc. — $59,385,223
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 15
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Page 16 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
Oil Production Surge Needs New Transportation Methods OIL from page 1
on or near the Gulf of Mexico are sorely needed. Without additions to pre-existing lines, production could be limited or even interrupted. To cope with the growth, the EPIC Company out of San Antonio, Texas, is building an expanded pipeline. Called the NGL Pipeline (for “natural gas liquids,” since components of natural gas separate into liquids as a result of absorption or condensation occurring in a field facility or gas processing plant), the EPIC web site describes it as “a 700-mile natural gas liquids pipeline linking NGL reserves in the Permian and Eagle Ford to gulf coast refiners, petrochemical companies, and export markets.” The first phase of the project is already operating, extending 40 mi. from the DLK Black River Midstream processing plant to the Delaware Basin Midstream plant. The second phase, which runs from the same DLK Black River Midstream plant through Reeves, Ward, Crane and Upton counties before ending at the Benedum oil field, activates a further 205 mi. of what will ultimately become a 700-mi. pipeline. The third and final phase of the project will run from Benedum to Corpus Christi. Completion of the final 455 mi. should occur in late 2019. In October, EPIC announced that in response to strong demand, it intended to utilize the last stretch of the pipeline for crude oil transport despite the ongoing construction of the NGL fractionator (the device used to separate the different components within oil). The original NGL Pipeline will return to its previous use once the crude oil line is complete in January of 2020. This section of the line, which originates in Crane County, also will have an injection
Magellan Midstream Partners photo
As the United States surge in oil production moves from the Dakotas to Texas, new methods of transport have arisen in order to quickly move the output.
point in Wink, Texas. In addition, it will allow for multiple terminal and refinery connections in Corpus Christi. At 24 in., its capacity is capable of moving 400 thousand barrels of oil per day (MBbl/d) while in use as an interim line. Likely users (also known as committed shippers) include Noble Energy, Apache Corporation and Diamondback Energy, with the possibility of others. The early success of the pipeline means it also will be expanded from 24 in. to 30 in. This will accordingly increase Permian
Basin export capacity to roughly 600 MBbl/d. Once additional pumps and storage are added, the 30-in. capacity will result in an upgrade in capability to near 900 MBbl/d. This crude oil pipeline will run parallel to the NGL pipeline. The 30-in. pipe is scheduled to arrive on site in early 2019. The necessary equipment and pumps are already in place, while all construction crews currently employed by EPIC will remain on the job. “Given our recent commercial success and subsequent upsizing of the pipeline, we
EPIC Midstream Holdings LP photo
Pipelines to send crude oil from the Permian to refineries and tankers on or near the Gulf of Mexico are sorely needed.
remain responsive to growing demand for crude oil transportation from the Permian Basin,” Phillip Mezey, chief executive officer of EPIC, said in a press release. “We are proud to be able to offer an interim solution for our customers, while we continue to build out the EPIC Crude Oil Pipeline to service this region.” (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.) CEG
EPIC Midstream Holdings LP photo
EPIC Company out of San Antonio, Texas, is building an expanded pipeline called the NGL Pipeline.
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 17
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Page 18 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
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CCHB Crew Pours Concrete Over the past month, crews on the south side of the Harbor Bridge project in Corpus Christi achieved a major milestone with the completion of the largest concrete pour todate on the project. The pour was part of the construction of the footing for the south pylon and included 3,100 cu. yds. of concrete. It took more than 125 skilled workers to complete the massive pour. All in all, the job utilized three pump
trucks and 47 concrete trucks with deliveries coming from two concrete batch plants. The next phase of construction in this area of the project includes above ground work on the pylon legs. For more information, visit harborbridgeproject.com. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
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H&E Equipment Services Inc. announced its entry into a definitive agreement to acquire We-Rent-It (WRI), a nonresidential construction-focused equipment rental company with six branches serving the growing central Texas market. Under the terms of the agreement, H&E is expected to pay approximately $100 million in cash for WRI, subject to customary adjustments. The transaction is expected to close in the first quarter of 2019 and is subject to customary closing conditions including Hart-Scott-Rodino Act clearance. Brad Barber, H&E’s CEO and president, said, “We are executing on our stated growth strategy by announcing a definitive agreement to acquire WRI, which we believe is similar in terms of solid operational and financial performance to our two previous acquisitions in 2018. The addition of WRI’s six branches will significantly expand our presence in the vibrant central Texas markets of Austin, Bryan/College Station, and San Antonio metro areas. As of November 30, 2018, WRI generated revenues of approximately $35.6 million for the last twelve months and its fleet size was $75.9 million, based on original equipment cost. WRI is a well-run and respected rental operator with longstanding customer relationships and we look forward to their employees joining the H&E family.� For more information, visit www.he-equipment.com. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
Construction Equipment Guide • Texas State Supplement • www.constructionequipmentguide.com • February 3, 2019 • Page 19
Quinbrook Closes on Ranchero Wind Farm Financing Quinbrook Infrastructure Partners, a specialist investor in low carbon energy infrastructure, announced that its portfolio company, Scout Clean Energy LLC has closed construction financing and tax equity commitments on the 300MW Ranchero Wind Farm located in Crockett County, Texas. The Ranchero project is expected to be operational by year-end 2019 and has been developed from inception by the Scout team. Ranchero will utilize 120 of the latest generation GE 2.5MW wind turbines with 127m rotors and has secured a 10-year Proxy Revenue Swap with Allianz Global & Specialty Inc.’s Alternative Risk Transfer unit, in partnership with Nephila Climate. REsurety provided the risk analytics supporting the PRS transaction and will serve as the calculation agent on an ongoing basis. Construction financing, including letters of credit, is being provided by KeyBank. GE Energy Financial Services (‘GE EFS’) underwrote and committed a portion of the tax equity. Scout has entered into a fixed price balance of plant construction agreement with RES Americas, with construction management to be undertaken by Harvest Energy Services, a Scout affiliate. “It is especially pleasing to have closed a major new financing and commenced construction of the first project to be developed from scratch by the Scout team,” said David Scaysbrook, co-founder and managing partner of Quinbrook. “Ranchero has the potential to be a significant new wind project for the Texas power market and enjoys a strong wind resource. Securing Allianz as Ranchero’s offtake partner supports our view of the quality of the project and its compelling wind resource fundamentals. Including the 200MW Persimmon Creek wind farm recently completed and already operational, Scout’s operating portfolio is targeted to exceed 1GW within the next 18 months and is well on the way to exceeding our 2GW growth target by 2021.” “Quinbrook and the Scout team are pleased to have closed and launched construction of another utility scale wind project with distinguished partners and the opportunity to employ new financing and off-take structures in the Ranchero transaction. We believe Ranchero is an exceptional wind project and the transaction has attracted several highquality partners in GE Renewable Energy, GE EFS and KeyBank,” said Jeff Hunter, senior managing director of Quinbrook. “This year we expect to close and commence construction on several additional wind projects in the Scout portfolio which are located across a diverse spectrum of United States power markets.” Together, Quinbrook and Scout have rapidly expanded their utility scale United States wind project portfolio to over 2.3GW of potential renewable power capacity, spanning 13 projects in 10 states. Quinbrook and Scout were advised by Akin Gump Strauss Hauer & Feld LLP and Paragon Energy Advisors. For more information, visit scoutcleanenergy.com and quinbrook.com. (This story also can be found on Construction Equipment Guide’s website at www.constructionequipmentguide.com.)
NEXT ISSUE CLOSES February 21, 2019
Page 20 • February 3, 2019 • www.constructionequipmentguide.com • Texas State Supplement • Construction Equipment Guide
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