Plains All American Pipeline (PAA) has started its phase IV expansion of the St James terminal facility in Louisiana, US.
The project includes increasing the facility's crude oil storage capacity by 1.2 million barrels at a cost of $50m.
PAA expects to complete the expansion in the third quarter of 2012.
The St James facility has a manifold and header system designed to allow receipts and deliveries with connecting pipelines at their maximum operating capacity, and a barge and ship dock, which receives crude oil and condensate from ships and inter-coastal barges.
The facility is also directly connected with a crude oil rail terminal that has a current capacity to offload 65,000 barrels per day, which will increased to 130,000 barrels per day by the fourth quarter of 2011.