The new section of railroad will directly connect the company’s yard with the Union Pacific railway, allowing pipe to be safely unloaded by rail. Construction on the rail spur is planned to start in early 2026 with its completion forecasted later the same year.
The USD $12.5 million investment will allow almost one third of the yard’s volume to be received by rail. This increases efficiency, reduces cost, and minimizes the number of trucks on the road. It also enables safer operations and decreased carbon emissions.
Since 2016, Tenaris has invested USD $56 million in the service center. Earlier this year, it announced an additional USD $16 million expansion to increase the yard’s storage capacity by 25,000 tons. This will be done through the development of an additional 45 acres.
Tenaris’s Midland service center has played a key role in consolidating the Rig Direct® mill-to-well service model in the US. It enables the company to partner with oil & gas operators all sizes to support their drilling projects through an integrated service framework that fosters collaboration. With the rail spur addition, the company aims to bring additional cost and efficiency benefits to its customers across the region.
Courtesy of Tenaris.