On July 27, Continental Refining Company began implementing the use of railcars to carry oil products to and from its refinery in Somerset, Ky., to the Somerset Rail Park in Ferguson, Ky., where the oil is offloaded or loaded onto trains for final distribution across the country.
“By using intermodal transportation, we will not only make both receipt of crude oil to our refinery and delivery of petroleum products to our customers more effective, we will also reduce overall inbound and outbound shipping costs for Continental Refining Company,” stated Demetrios Haseotes, Continental Refining Company chief executive officer and president. “We now have the added advantage in our region of shipping products farther and reducing costs, while utilizing a new resource.”
Somerset Rail Park is a 34-acre railroad facility located in Pulaski County, along the Norfolk Southern lines. The use of rail-to-truck and truck-to-rail transloading via the rail park allows Continental Refining Company to further expand its national distribution in reach and efficiency.
The Continental Refining Company is currently bringing in gasoline components for gasoline pool blending and hopes to continue procuring additional blending components going forward. In addition, the company is also buying transmix, a fuel produced when different fuels mix together, which is also brought in by rail. Continental Refining Company plans to increase to up to 10 railcars per week for its transportation purposes.
“This initiative is part of the positive business environment in Somerset, Ky., and Pulaski County and an example of strong public-private partnership, creating jobs for families in our area,” added Haseotes. “We are excited to be able to expand operations on a national level, in this way, while also helping our local economy.”