Proposed APM Plaquemines Container Terminal

By Stas Margaronis

On November 17th, the Plaquemines Port, Harbor and Terminal District (PPHTD) located South of New Orleans and APM Terminals announced a ‘Letter of Intent,” whereby APM Terminals “will become the operator of the newly planned container terminal and intermodal rail facility.”

According to an earlier APM press release: “The proposed, environmentally-friendly, state-of-the-art container terminal, will be powered by a combination of LNG and electricity. It will encompass up to 1,000 acres and 8,200 feet of Mississippi River frontage. Special focus will be on utilizing modern infrastructure technology for withstanding storm surge and wind damage. Phase One of construction is expected to last two years and will deliver the capability to handle 22,000-TEU class vessels with the ability to expand capacity if needed.”

The full build-up for the container port is projected at $1 billion, according to a PPHTD official.

Innovative Container River Carrier Proposed

A major innovation is a proposal for new U.S.-built container river carriers to move containerloads by water to inland river ports from the Plaquemines/APM terminal.

The service could accelerate shifting containers off of highways and on to waterborne vessels featuring 2,375 TEU container river carriers proposed by American Patriot Holdings (APH):

“These vessels will revolutionize inland marine transportation by giving shippers un-paralleled cost efficiencies and reliable service.  The vessels will also offer shippers a “green” solution by utilizing LNG as the main propulsion fuel.   The planned vessels on the Mississippi River / Tributary River system will run between a main container terminal in the port of Plaquemines LA., between mile 50 and 55, and numerous upriver ports.  Focus cargoes for import and export will include dry goods, chemicals, agricultural products, refrigerated and frozen foods.”

 

American Patriot River Carrier Illustration

This concept, called the Marine Highway, has been a long-term goal of officials at the U.S. Maritime Administration (MARAD).

Supporting the Marine Highway concept, proposed by American Patriot Holdings, is U.S. Transportation Secretary Pete Buttigieg.

Buttigieg told reporters on November 16th that he supports an increase in federal funding for Marine Highway vessels to shift containers arriving and departing ports off highways and onto the nation’s waterways, such as the Mississippi river.

Buttigieg said more needs to be done to increase Marine Highway shipping:

“Yes, we support it and we’re doing it thanks to this legislation (the Biden Administration infrastructure bill). The Marine Highway program is something I look forward to communicating more to the public about because it is not clearly understood.”

Buttigieg called the potential “huge” for moving truck and containerloads off highways and onto waterways via tug/barges and coastal ships to relieve congestion: “If you think about the potential from a pollution perspective and moving more cargo by the waterways … inland, the potential is huge.”

According to APH, there will a larger and smaller container river carrier connecting river ports to the Plaquemines/APM Terminal:

  • The “LINER” vessel, planned for Mississippi River service, could range from 595 ft to 625 ft in overall length, with a beam of 134 ft.  The deadweight capacity will range from 13,700 to 15,500 long tons (depending on draft – 9 to 10 ft.) and have a TEU capacity of 2375.  The LINER propulsion system consists of four (4) diesel generators (2880 KW ea. or 14,800 HP) driving four (4) main azimuthing drives and two (2) bow pumps, which will eliminate the need for docking and undocking tug assist without compromising safety.
  • The “HYBRID” vessel, planned for the Mississippi tributary rivers, will be 595 ft. in overall length and 100 ft. in beam. The deadweight capacity will range from 10,000 to 11,500 long tons (depending on draft – 9 to 10 ft.) and have a TEU capacity of 1,700.[1]

The site for the new APM container terminal is in the early stages of development as a 50’ deep water depth, state-of-the-art container terminal in Plaquemines Parish, Louisiana. Located on the Mississippi River just 50 nautical miles from the Gulf of Mexico, the gateway port will cater to exporters and importers who could tap into the multimodal routing options of rail, truck, inland marine and air, the announcement said.

Port Director and Governor Responses

Sandy Sanders executive director, PPHTD noted: “Our vision is to create a new port with an entirely new supply chain network into the United States. We will have multiple routing options to inland markets which give supply chain planners the resiliency and contingency layers essential to manage future supply chains effectively. We have also carefully selected our partners, APM Terminals, American Patriot Holdings and Louisiana 23 Development Company.”

Governor of Louisiana John Bel Edwards applauded the agreement: “We’re excited by the prospect of starting a new economic chapter in U.S. ports by developing America’s newest port here in Louisiana … one that has the potential to install new U.S. supply chain capabilities, build new businesses, create new jobs.”

APM Terminals

Wim Lagaay, chief executive officer, of APM Terminals North America said “We see tremendous opportunity to write a new supply chain playbook for U.S. exporters and importers with this location. Exporters are looking for ways to ship their products overseas with a competitive port and importers are looking for more ways to reach major regional consumer markets in the South and Midwest. “

Defending Against Storm Surges & Flooding

The Army Corps of Engineers will focus on bolstering levees around the site and connecting infrastructure, the announcement said.  To reduce the risk of flooding of the terminal site and surrounding area, the US Army Corps of Engineers is building a new federal levee system.  This system will bring the existing flood protection from a 4-foot height to a new and robust 14-foot height and will tie back into the Mississippi River levees at a height of 15 feet.  Once completed, the system will be able to protect the site from devastating storm surges similar to those of Hurricane Ida.  Construction of the flood protection profile is scheduled for completion in the spring of 2023.

Footnote

[1] https://www.americanpatriotholdings.com/american-patriot-container-transport-llc.html