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DEPARTMENT OF COMMERCE
[Docket 20-97]

 Foreign-Trade Zone 199; Texas City, Texas; Application for 
Subzone Status, Seaway Pipeline Company (Crude Oil Terminal), Texas 
City, TX

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Texas City Foreign Trade Zone Corporation, grantee 
of FTZ 199, 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 Texas City, 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 (115 acres) consist of three sites in Texas 
City (Galveston County), Texas: Site 1: (14 acres)--marine terminal 
located at 801 Dock Road, on the Texas City Channel of Galveston Bay, 2 
miles southeast of Texas City; Site 2: (4 tanks/2.1 million barrel 
capacity on 98 acres)--tank farm located at Loop 197 and State Highway 
3, some 2 miles south of the marine terminal and 1 mile west of 
Galveston Bay; and Site 3: (3 acres)--pump station located at Loop 197 
and State Highway 3, adjacent to the tank farm. 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 refinery 
customers in Texas, Oklahoma, Kansas and other midwestern and northern 
states. Some of the crude is transshipped 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 & Pennsylvania Avenue, NW., 
Washington, DC 20230.

    Dated: March 24, 1997.
John J. Da Ponte, Jr.,
Executive Secretary.
[FR Doc. 97-8258 Filed 3-31-97; 8:45 am]
BILLING CODE 3510-DS-P