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Tennessee Unveils New Fuel Terminal

December 8, 2022 Sydney Casey

The U.S. fuel distribution network will soon increase its storage capacity thanks to a new Tennessee terminal. This week a BP and Buckeye partnership opened its fuel terminal in the heart of Tennessee, less than two hours from Memphis and less than an hour from Nashville. The $60 million facility will have the capacity for roughly 100 truckloads per day of diesel and gasoline of all grades.

The Tennessee supply point should benefit both rack gasoline and diesel loadings in the surrounding markets, which have previously experienced tightness. Traditional Nashville supply comes from Gulf Coast refiners via the Colonial Pipeline, with some ability for terminals to accept fuel via barges along the Cumberland River. The new facility will be fed by Chicago refiners some 400 miles away, who process cheaper Canadian crude. OPIS noted recently that Chicago fuel prices are around 4 cents cheaper for gasoline and 13 cents cheaper for diesel compared to Gulf Coast prices.

Over the last few years, gasoline demand in Tennessee has increased dramatically. Nashville is one of the most flourishing metropolitan areas in the U.S. The Tennessee market is expected to see even more growth from major retailers as they continue their expansion plans across the state.

At the ribbon-cutting ceremony, both BP and Buckeye leadership commented on several items worth sharing:
  • The vision of this project started over 10 years ago
  • There were zero injuries during the construction, which at its highest peak had over 400 individuals on-site.
  • Construction of this facility used over 70% local Tennessee labor.

Like many new fuel projects, the terminal faced “NIMBY” (Not in My BackYard) objections from locals, who highlighted concerns of increased traffic and potential safety issues. Similar challenges have blocked construction projections of terminals, pipelines, and refiners in the past. For example, the US has not built a large refinery since 1977, despite significantly higher fuel demand over the past 45 years. This new fuel terminal is a win for the fuel industry and will help lower fuel costs and supply risk in a growing market.
 



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What if there was a way to stop losing money on unchecked fuel stops? How do you monitor every fuel stop, lock payment cards, and see every transaction? There is a way to see everything about your business: time, location, and cost with fleet fuel management.

You don’t have to document any numbers; we do that for you and hand over a monthly report of everything that happened with your fuel cards.

With Chiles Enterprises, you will save time on fuel stops, and save money on your fleet of vehicles.
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Since 1947, the Chiles family has met the energy needs of commercial customers. Today, Chiles Enterprises specializes in fleet fueling solutions for businesses all across the United States.

As an independent franchisee of the Pacific Pride national fueling network, we offer a comprehensive fuel management system that gives you complete control over your fleet's purchases and provides all the information you need to make management decisions, control your fuel costs, and save money.
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Chiles Enterprises allows you to use cards at every Pacific Pride and Fuelman location.

You get to take control of your business and do what’s right to save you time and money.

Boost efficiency through time tracking and documentation.

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Chiles Enterprises works with Pacific Pride and Fuelman to supply you with fast and easy fuel stops. Dodge the retail traffic with Chiles Enterprises.
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According to The American Transportation Research Institute, in 2018 fuel costs average
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