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DEPARTMENT OF COMMERCE
[Docket 19-97]


Foreign-Trade Zone 149--Freeport, Texas; Application for Subzone 
Status Seaway Pipeline Company (Crude Oil Terminal) Brazoria County, 
Texas

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Brazos River Harbor Navigation District (Port 
Freeport), grantee of FTZ 149, requesting special-purpose subzone 
status for the crude oil distribution terminal of Seaway Pipeline 
Company (Seaway) (general partnership between wholly-owned subsidiaries 
of ARCO Pipe Line Company (APL) and Phillips Petroleum Company), 
located in Brazoria County, Texas. The application was submitted 
pursuant to the provisions of the Foreign-Trade Zones Act, as amended 
(19 U.S.C. 81a-81u), and the regulations of the Board (15 CFR part 
400). It was formally filed on March 19, 1997.
    The Seaway facilities (113 acres) consists of two sites in Brazoria 
County, Texas: Site 1: (79 acres)--marine terminal located at Freeport 
Terminal 2, Freeport Harbor Channel, east of Freeport; Site 2: (4 
tanks/1.6 million barrel capacity on 34 acres)--Jones Creek Tank Farm, 
Peach Point Wildlife Management Area, State Highway 36, some 5 miles 
west of the marine terminal. The terminal facilities (13 employees), 
operated by APL, are used for the receipt, storage, blending and 
distribution via pipeline of crude oil for use by Seaway's oil refinery 
customers in Texas, Oklahoma, Kansas and other midwestern and northern 
states. Some of the crude is transhipped to APL's terminal in Cushing, 
Oklahoma.
    Zone procedures would allow Seaway customers to defer Customs duty 
payment on foreign crude oil to domestic refineries with subzone 
status. Seaway customers would be able to maintain the appropriate zone 
status of the crude so that these refineries can use zone procedures as 
authorized by the FTZ Board. This procedure will give these refineries 
the same opportunity to use zone procedures for foreign crude delivered 
from the Seaway system as those refineries with subzone status that 
take direct delivery of foreign crude from vessels.
    In accordance with the Board's regulations, a member of the FTZ 
Staff has been designated examiner to investigate the application and 
report to the Board.
    Public comment is invited from interested parties. Submissions 
(original and 3 copies) shall be addressed to the Board's Executive 
Secretary at the address below. The closing period for their receipt is 
June 2, 1997. Rebuttal comments in response to material submitted 
during the foregoing period may be submitted during the subsequent 15-
day period (to June 16, 1997).
    A copy of the application and accompanying exhibits will be 
available for public inspection at each of the following locations:

U.S. Department of Commerce, Export Assistance Center, Suite 1160, 500 
Dallas, Houston, Texas 77002
Office of the Executive Secretary, Foreign-Trade Zones Board, Room 
3716, U.S. Department of Commerce, 14th and Pennsylvania Avenue, NW., 
Washington, DC 20230

    Dated: March 24, 1997
John J. Da Ponte, Jr.,
Executive Secretary.
[FR Doc. 97-8257 Filed 3-31-97; 8:45 am]
BILLING CODE 3510-DS-P