[Federal Register Volume 64, Number 91 (Wednesday, May 12, 1999)]
[Notices]
[Pages 25477-25478]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-12014]
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DEPARTMENT OF COMMERCE
Foreign-Trade Zones Board
[Docket 15-99]
Foreign-Trade Zone 122--Corpus Christi, TX; Application for
Subzone Equistar Chemicals LP (Oil Refinery); Nueces County, TX
An application has been submitted to the Foreign-Trade Zones Board
(the Board) by the Port of Corpus Christi Authority, grantee of FTZ
122, requesting special-purpose subzone status for the petrochemical
complex of Equistar Chemicals LP, located in Nueces County, Texas. The
application was submitted pursuant to the provisions of the Foreign-
Trade Zones Act, as amended (19 U.S.C. 81a-81u), and the regulations of
the Board (15 CFR part 400). It was formally filed on April 27, 1999.
The petrochemical complex and connecting pipelines (1,700 acres)
are located at four sites in Nueces County, Texas (Corpus Christi
area): Site 1 (1,600 acres)--main petrochemical complex, located at
1501 McKinzie Road; Site 2 (3 leased tanks on 51.26 acres, 141,600
barrel capacity )--dock facility located adjacent to the Corpus Christi
inner harbor; Site 3 (10 leased tanks, 1.4 million barrel capacity) at
the Hess storage facility and, and Site 4 (2 leased tanks, 166,000
barrel capacity) located at the CITGO Corpus Christi refinery located
at 1802 Nueces Bay Blvd. The complex (253 employees) produces a variety
of petrochemical feedstocks and fuel products, including ethylene (1.7
billion lb. capacity), propylene (800 million lb. capacity), benzene
(600 million lb. capacity), butadiene (200 million lb. capacity),
propane, toluene, butylenes, piperylenes, resin oils,
dicylcopentadiene, isoprene, methanol, and fuel oils. The complex also
produces MTBE, biphenyl, hydrogen, and certain gasoline blendstocks,
which will not be produced under zone procedures. Some 54 percent of
the inputs, including gas oil, naphtha, condensate, and natural
gasoline, are sourced abroad.
Zone procedures would exempt the refinery from Customs duty
payments on the foreign products used in its exports. On domestic
sales, the company would be able to choose the Customs duty rates that
apply to certain petrochemical feedstocks by admitting incoming foreign
inputs in non-privileged foreign status. The duty rates on inputs range
from 5.25 cents/barrel to 10.5 cents/barrel. Under the FTZ Act, certain
merchandise in FTZ status is exempt from ad valorem inventory-type
taxes. The application indicates that the savings from zone procedures
would help improve the refinery's international competitiveness.
In accordance with the Board's regulations, a member of the FTZ
Staff has been designated examiner to investigate the application and
report to the Board.
Public comment is invited from interested parties. Submissions
(original and 3 copies) shall be addressed to the Board's Executive
Secretary at the address below. The closing period for their receipt is
July 12, 1999. Rebuttal comments in response to material
[[Page 25478]]
submitted during the foregoing period may be submitted during the
subsequent 15-day period (to July 26, 1999).
A copy of the application and accompanying exhibits will be
available for public inspection at each of the following locations:
Office of the Port Director, U.S., Customs Service, 400 Mann St.,
Corpus Christi, Texas 78401
Office of the Executive Secretary, Foreign-Trade Zones Board, Room
3716, U.S. Department of Commerce, 14th & Pennsylvania Avenue, NW.,
Washington, DC 20230
Dated: May 3, 1999.
Dennis Puccinelli,
Acting Executive Secretary.
[FR Doc. 99-12014 Filed 5-11-99; 8:45 am]
BILLING CODE 3510-DS-P
