PLG Rail Equipment Finance Presentation March 2014
SAMCo Presentation 07092012
1. Rail: The Way Freight Rolls
SAMCo Transportation Leadership Luncheon
July 9, 2012
2. Port Snapshot
1,900 acres
Established 2001
12.9 million sq. ft. of buildings
97% occupancy of leasable
space
Foreign-Trade Zone (#80-10)
$562 million capital investment
70+ employers
14,000 workers
$4.2B annual economic impact
3. Port San Antonio Business Units
Kelly Field
Kelly Center
East Kelly Railport
Military/Government
4. East Kelly Railport
• 350-acre property
• Transload Operations
• Cross-dock, distribution &
warehouse Facilities
• Manufacturing
• Adjacent to Union Pacific S. San
Yard
• Access to 2 Class I railroads
(BNSF & Union Pacific)
• 151 acres available to
development
6. Commodities at East Kelly Railport
0
200
400
600
800
1000
1200
1400
1600
Units
Industrial Sand
Pipe
PrintPaper
Iron bars/Rebar
Lumber
Steel
Sauces
Can Goods
Aluminum Slabor Ingots
Other
October 2010-September 2011
7. Origin of Domestic Rail Shipments
Arizona
Arkansas
Alabama
California
Illinois
Indiana
Louisiana
Minnesota
North Carolina
Ohio
South Carolina
Texas
Washington
West Virginia
Wisconsin
Wyoming
9. Proximity to Consumer Markets
120 million people reside within
400-mile radius of I-35 / MX-85
12% of U.S. population
74% of Mexican population
Export base for South American
consumers
San Antonio Monterrey Mexico City
11. Eagle Ford Shale
DRILLING PERMITS
ISSUED
• Opportunity to support fast-
growing energy exploration
industry
• High regional demand for
transportation / transload
services
Source: Texas Railroad Commission, Jan. 2012
12. Inbound Commodities-Drilling Shale
Each well requires:
•4-6 railcars of OCTG (Pipe)
•15-30+ railcars of sand
•1 railcar calcium chloride
•1 railcar of barite
•½ railcar of cement
13. Watco Companies
• Switch operator at East Kelly Railport (current)
• Switching, rail maintenance/infrastructure services
• Investing in capital infrastructure to add 15,000 feet of new track
• 22,500 railcars/year at full capacity
14. Regional Growth Industries
• Aerospace/suppliers
• Energy
• Manufacturing
• Warehousing and
distribution/cross-dock
• Automotive/suppliers
• Military & supplies/logistics
15. The Rail Renaissance
“The speedy rise in prices for fuel of all types has been
hurtful to transportation providers… Higher diesel prices
threatens to tighten over-the-road trucking capacity,
causing shippers and 3PL providers to shift more freight
from truck to rail and altering strategic decisions about
where companies open factories and distribution
centers.”
Journal of Commerce “End of Cheap Oil” -- April 2012
16. Tony Salinas
General Manager, East Kelly Railport
(210) 362-7884
antonio.salinas@portsanantonio.us
www.portsanantonio.us
Editor's Notes
Growing logistics platform , aerospace support center with a variety of other customers
Features industrial airport, railport and an upcoming town center
Has attracted 70 employers that provide over14,000 jobs and have an annual impact of more than $4 billion
3 day transit time from the Ports of Long Beach and Los Angeles as well as Chicago via Intermodal connectivity to UP SAIT. 4 day TT from Port of Oakland
Each horizontal drilling rig / well site requires approximately 38 railcars of inbound products
Watco filed with the STB on June 01 to become the short line at Port San Antonio.
