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Company loses its lease to build a billion dollar oil export terminal on Harbor Island

Construction of the project is estimated at $1.2 billion, and would have come at no cost to taxpayers. It was also expected to create thousands of jobs.

CORPUS CHRISTI, Texas — The company that recently won approval for a draft air quality permit from the state lost it's lease to build a one billion dollar oil export terminal on harbor island.

"If it was over, I would say that's a good deal but I really don't believe it's over at this point," Mayor of Port Aransas Charles Bujan said.

Mayor Bujan tells 3News that the Port of Corpus Christi terminated a lease with Lone Star Ports virtually killing a one billion dollar oil export terminal on harbor island.

Bujan said his city has always opposed the project.

"We're 100-percent against it and the reason for that is because it's within 300 yards of our playgrounds, our children on Robert's Point," Bujan said. "It's a location next to a town that receives some five million visitors a year and it's not the right place for it."

Construction of the project is estimated at $1.2 billion, and would have come at no cost to taxpayers. It was also expected to create thousands of direct and indirect jobs.

During this week's Port of Corpus Christi board meeting, the board voted to terminate the lease for reasons that were not discussed.

"It is not the end of this project," Port Chairmen Charles Zahn said. "It's our intent to have a VLCC loading facility on harbor island."

We reached out to Lone Star Ports, but have not received a response.

Zahn said Lone Star could come back with a new proposal or the project could go to another developer.

"We don't have a proposed developer at this time and we don't know that in the future Lone Star Ports may not come back and be the developer," Zahn said. "We just felt like at this point in time, it was the best action that we as a port commission could take that would be in the best interest of the port."

There is no indication at this point of when or if any development plans might be considered by the port board.

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