Houston Ship Channel
America's largest refining and petrochemical channel. We arrange tankage, barge and tanker freight, and inspection along the Houston Ship Channel.
The 52-mile Houston Ship Channel links Galveston Bay to the largest concentration of refineries, chemical plants and tank terminals in the United States. More than 200 private terminals line the channel, alongside Port Houston's public terminals.
Light sweet crude on the Gulf Coast is priced at Magellan East Houston (MEH), where Argus assesses WTI Houston. We source tankage, schedule barge and tanker movements and appoint independent inspectors along the channel.
Refineries on the channel and bay
Refining capacity along the channel and Galveston Bay is among the highest anywhere. Figures below are from the EIA refinery capacity report for January 2026.
| Refinery | Capacity (b/cd) |
|---|---|
| ExxonMobil Baytown | 564,500 |
| Deer Park Refining | 312,500 |
| Valero Houston | 205,000 |
| Marathon Galveston Bay (Texas City) | 631,000 |
| Valero Texas City | 225,000 |
Project 11 and what we arrange
Project 11 is widening and deepening the channel. Port Houston finished its share of the dredging in October 2025, and the Army Corps of Engineers segments are due in 2029. Wider channels have already extended daylight transit windows.
- Tankage for crude, products and chemicals
- Barge and tanker scheduling on the channel
- Independent inspection at each custody transfer
- Tracking from the channel to export or inland destinations
Frequently asked questions
What is MEH?
Magellan East Houston, the terminal where Argus WTI Houston is priced. Gulf Coast light sweet crude trades as a differential to it.
When will Project 11 be finished?
Port Houston finished its dredging in October 2025. The remaining Army Corps segments are due in 2029.
Is Houston the largest US port?
Port Houston leads US ports in waterborne tonnage, and the channel hosts more than 200 private terminals.
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Send product, volume and timing. We will propose tankage, freight and inspection in Houston.