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Argus Consulting Increased Fuel Storage and Improved Pipeline Delivery with Southwest Airlines at William P. Hobby Airport (HOU)

Project Adds 4 Million Gallons of Fuel Storage and More Than Two Weeks of Fuel Reserve

 Project Scope Highlights

  • Three New 40,000-Barrel Storage Tanks in A West Fuel Facility
  • New 8” Cross-Airline Pipeline
  • Relocation Of All Jet Fuel Storage to the West Facility
  • Demolition Of Non-Vital Infrastructure at East Facility
  • New Administration and Control Building
  • Standalone Fire Protection System
  • Pump/Filter Pad Bridge Crane
  • Two Oil/Water Separators
  • Standby Emergency Generator
  • Personal Vehicle Parking
  • Project Completed - January 2024

HOU - 2

With an eye toward improved fuel efficiencies and continued growth at William P. Hobby Airport (HOU), Southwest Airlines (Southwest) embarked on a project to improve fuel delivery and storage capacity at the airport. Southwest partnered with Argus Consulting to support this modernization and expansion project with full-service infrastructure support, including comprehensive study, planning, design, bidding/permit support, construction, and resident engineering. Argus and industry partners developed a multiphase approach to simplify fuel operations for Southwest and HOU in conjunction with other airport development activities.

We knew Southwest Airlines had already seen significant growth at HOU, including international flights, and needed another fuel storage solution to serve expanded aircraft operations for the next 30 years and beyond.

– Garrett Gjerstad, P.E., Business Unit Director

The east fuel facility and corresponding pipeline, offering direct Jet-A fuel to HOU, was previously owned and operated by NuStar Energy L.P. until 2013 when they decided to terminate the pipeline's delivery to HOU. This left the airport without a direct and dedicated supply of fuel to the airport as well as the necessary fuel storage reserve to support the airport’s ongoing traffic. As a swift fix to the situation, Southwest purchased the east fuel facility and the existing dual truck loading positions were modified to allow fuel unloading capabilities into the facility. Using this east facility, the operator Menzies Aviation received fuel using more than 50 over-the-road (OTR) trucks at peak demand from the airline's various fuel supply vendors. Fuel was then re-routed to the west fuel facility, through a 6” cross-airfield pipeline which was slow, tedious and required multiple fuel transfer operations. This process was inefficient because it would not support the client’s future expansion efforts.

Garrett Gjerstad, P.E., Business Unit Director
Garrett Gjerstad, P.E., Business Unit Director

From the fuel supply chain study developed by Argus Consulting, the original recommended concept included significant facility updates to the East Fuel Facility that would be costly, with minimal return on investment as the tanks had surpassed the end of their useful life. Through a joint effort, it was determined the best long-term and cost-effective way forward was to relocate all fuel storage to the West Fuel Facility and create a new right-sized pipeline straight to the West Facility, bypassing the older fuel facility. This project overcame several challenges throughout its lifespan, including flooding on the build site, Hurricane Harvey, and a global pandemic.

Garrett Gjerstad, P.E., Business Unit Director discussed more about the challenges this project presented and how the team overcame them. “This multiphase project has spanned more than a decade. There have been some late nights, head-scratching challenges, and a lot of life has surpassed between then and now. Even still, we comprised our team with a deep bench both at Argus and through our trusted industry partners who saw us through the project from beginning to end. From pivoting direction, updating design concepts, to overcoming a once-in-a-generation hurricane and a global pandemic, the Argus team and our industry partners successfully banded together to meet project expectations and support HOU's fueling operations. The project objectives also required Argus to provide a long list of services including detailed design, fuel supply chain studies, property/lease and ROW acquisitions, regulated pipeline measures, landside and airside operation impacts, multiple tier stakeholder coordination, multiple full-scale contractor bidding process, commissioning challenges, and full-time construction oversite. Our collective efforts now allow Southwest Airlines and HOU to have more than two weeks of fuel on reserve to strengthen their continued growth into one of their international hubs.”

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Key partners on this project include Southwest Airlines, Menzies Aviation, City of Houston, Houston Airport System (HAS), Magellan Midstream Partners (acquired by ONEOK), HNTB, Jensen Hughes, KADLEC Associates, Hensel Phelps, Meccon Industries, among many others.

The three new tanks in the west fuel facility hold four million gallons of fuel storage and are now equipped for up to 18 days of reserved fuel storage. This more effective process eliminated the need for Southwest to own and maintain two different tank farms and simplified fueling and delivery efforts as the tank farm is now significantly closer to the airport apron.

Through collaborative efforts across trusted partners, the Argus Consulting team provided cost-effective fuel storage and high-quality pipeline design that will advocate Southwest and the airport’s long-lasting growth.