Document pmDB65oGdN5XLZOJXRpEg4vEj
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Houston, Texas 77001
November 16, 1971 (RES-49 2-71 CD)
Mr. Lloyd C. Bell
Regional Sales Representative PPG Industries
1201 Bank of Commerce Building Houston, Texas 77002
Dear Lloyd:
I enjoyed meeting with you and John Komfeld on November 8 to discuss
the several items on vinyl chloride monomer that we have not yet
resolved. As I indicated, Tenneco is still interested in the possibil
ity of shipping monomer by tank truck and/or tank car from your
Paulsboro terminal to our PVC plants at Burlington and Flemington, New
Jersey. This would involve an exchange whereby Tenneco would ship an
equivalent amount of VCM for PPG from Tenneco's plant at Pasadena,
Texas.
,
Mr. Fred Moulton, in his letter dated June 3, 1971 (attached), outlined
the advantages and basic mechanics of an exchange agreement concerning the use of the Paulsboro terminal. Mr. Moulton in Item 1 on Page 2 stated that PPG would charge Tenneco a "terminaling and transportation fee, not to exceed the then applicable tariff for 75,000 tons/yr volume in 250,000 lb tank cars." In our discussions with Mr. Moulton, he had indicated that PPG was interested in shipping about 50 MM lbs/yr from Tenneco's plant at Pasadena which would then allow Tenneco to ship an equivalent quantity of VCM from your Paulsboro terminal.
Tenneco is interested in making this exchange with PPG, which would
allow us to ship VCM from your Paulsboro terminal. Would you please
advise us as soon as possible if PPG is still interested in swapping
50 MM lbs of VCM commencing during 1972. As outlined in Mr. Moulton's
letter, the total transportation and terminaling fee should not exceed
the published volume freight rate applicable at time of shipment for
250,000 lb tank cars.
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We have recently been successful in obtaining a reduced volume freight rate for shipments to Burlington and Flemington, New Jersey, for a minimum volume of 60,000 tons/yr. It is my understanding that the
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Mr. Lloyd C. Bell' Nover.i>er 16, 1971 Page Two
"terminaling and transportation" fee would include all costs associated with shipments out of your Paulsboro terminal, plus any truck or rail freight costs involved.
Very truly yours,
INTERMEDIATES DIVISION
RES:j era Attachment bcc: Mr. Joe Fath
Mr. Frank Ritter Mr. D. R. Keck Mr. R. M. Pate,/ Mr. E. R. Parker/Mr. B. R. Yohe
R. E. Simmons Assistant Manager of Marketing
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