USD Group LLC (USDG), via its wholly-owned subsidiary Northeast Energy Terminal LLC, has finalized a long-term lease agreement with the Philadelphia Regional Port Authority (PRPA) for use of the Port of Philadelphia’s Pier 122. Under the terms of the lease, USDG’s Northeast Energy Terminal will assume responsibility for existing dry bulk operations at the pier facility.
USDG is taking over a lease formerly held by Growmark Inc., according to the Philadelphia Inquirer, and is also buying domes and a loading crane from Growmark. The facility will continue to serve Growmark, but will expand to do other bulk commodities beyond fertilizer.
“USDG has decades of experience developing and managing large-scale multi-modal logistics facilities – experience we hope to use to further PRPA’s long-term vision for growth at Pier 122,” said Dan Borgen, USDG’s chairman, CEO and President. “We look forward to partnering with them to make that vision a reality.”
The lease was approved by PRPA’s board of directors at its March 17, 2015 meeting.
“USDG has the right experience to continue these operations and shares our commitment to maintaining and expanding the jobs and cargo at the terminal,” said Jerry Sweeney, chairman of the board of PRPA. “This agreement is good news for the Port of Philadelphia as we move forward at Pier 122.”
Included in the lease are Pier 122 and the associated dockage and equipment used for handling dry bulk cargo. Pier 122 and its deep-water berth feature ample and efficient logistics connections to domestic and international markets.