Hanson
Aggregates Mid- Pacific Signs Long-term Marine Terminal Agreement
with Port of San Francisco
Port of San Francisco today
announced it has reached an agreement with Hanson Aggregates
Mid-Pacific to extend the term of the current marine terminal
agreement through 2013, with options for an additional ten-year
extension. The company’s annual revenue to the Port is expected to
exceed $1 million, representing over one million metric tons of
cargo. Hanson expanded their marine terminal operations by an
additional 126,000 square feet, for a total terminal area of nine
acres.
"This agreement ensures that
millions of tons of cargo and significant revenue will come to the
Port," stated Port Maritime Director Peter Dailey. "Hanson’s
commitment is good news for the City’s maritime industries,
organized labor, and the environment."
Since September 1, 2000, Hanson
has operated the maritime bulk cargo terminal at Pier 94 on a
five-year marine terminal agreement. The company discharges and
stores bulk shipments of aggregates at the southern waterfront
facility. Aggregate is a natural resource and basic raw material
used by the construction industry, and the demand for this material
is expected to increase over the next twenty years.
The bulk cargo volume at the Port
of San Francisco has grown approximately 45% in the past year
(1,310,499 metric tons in 2002, up from 906,427 metric tons in
2001). In the past two years, the Port has signed contracts with
three other bulk cargo customers: Mission Valley/Bode, Pacific
Cement, and RMC.
A Port Maritime Cargo and
Industrial Land Use study completed in 2001 showed that dry bulk
cargoes, such as aggregates and other construction-related
materials, represent the largest potential growth market for the
Port in its cargo shipping market.
Aggregates are transported to Pier
94 via CSL International on its fleet of belt-conveyor
self-unloading bulk cargo vessels. CSL International, based in
Montreal, Canada, is the largest operator of self-unloading bulk
cargo vessels in the world, with over 150 years of experience in the
shipping industry and a fleet of 24 ships.
The majority of the aggregates
shipped into San Francisco come from the region around Vancouver,
British Columbia, where this natural material is in abundant supply.
In the past, bulk aggregates were trucked into San Francisco from
the East Bay, but now the ocean transport of this material will
result in significantly less truck traffic on the San
Francisco-Oakland Bay Bridge.
The Port and Hanson have agreed to
several mitigation measures in the terminal agreement that include
air quality, hydrology, and water quality measures to minimize
impacts from particulates and storm water runoff. A provision has
been included in the new agreement that requires Hanson to make good
faith efforts to use low-emission fuels to reduce diesel emissions
from the location. To support the local economy, Hanson has agreed
to use San Francisco-based trucking firms to haul no less than sixty
percent of all materials to or from the site.