[Federal Register Volume 73, Number 73 (Tuesday, April 15, 2008)]
[Notices]
[Page 20246]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-8032]



[[Page 20246]]

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DEPARTMENT OF COMMERCE

Foreign-Trade Zones Board

(Docket 19-2008)


Foreign-Trade Zone 122 - Corpus Christi, Texas, Application for 
Subzone, Haliburton Energy Services, Inc., (Barite Grinding and 
Milling), Corpus Christi, Texas

    An application has been submitted to the Foreign-Trade Zones Board 
(the Board) by the Port of Corpus Christi Authority, grantee of 
Foreign-Trade Zone (FTZ) 122, requesting special-purpose subzone status 
for the barite grinding and milling facility of Haliburton Energy 
Services, Inc. (HESI) located in Corpus Christi, 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 April 1, 2008.
    The HESI facility (12 acres, 15 employees) is located at 2600 
Navigation Boulevard, in Corpus Christi. The facility is used for the 
manufacturing, warehousing and distribution activities related to the 
processing of raw barite (HTSUS 2511.10.50) into ground barite (HTSUS 
2511.10.10) (up to 160,000 tons annually). Ground barite is used in the 
production of drilling fluids (drilling mud) and various specialty 
chemicals for use by the oil and natural gas exploration industry. HESI 
sources the majority of its raw barite from abroad. The duty rate on 
the imported raw barite is $1.25 per metric ton.
    This application requests authority for HESI to conduct the 
activity under FTZ procedures, which would exempt the company from 
customs duty payments on the imported barite used in export production. 
Less than one percent of production is exported. On domestic sales, the 
company could choose the duty rate (duty-free) for the imported raw 
barite used in manufacturing that applies to the finished product. The 
majority of FTZ-related savings will come from the elimination of the 
duty on the finished product. HESI will also realize additional savings 
on the elimination of duties on materials that become scrap/waste 
during manufacturing. The application indicates that the FTZ-related 
savings would improve the plant's international competitiveness.
    In accordance with the Board's regulations, Christopher Kemp of the 
FTZ staff is 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 listed below. The closing period for their 
receipt is June 16, 2008. Rebuttal comments in response to material 
submitted during the foregoing period may be submitted during the 
subsequent 15-day period (to June 30, 2008).
    A copy of the application and accompanying exhibits will be 
available at each of the following addresses: Port of Corpus Christi 
Authority, 222 Power Street, Corpus Christi, Texas 78401; and, Office 
of the Executive Secretary, Foreign-Trade Zones Board, Room 2111, U.S. 
Department of Commerce, 1401 Constitution Ave, NW, Washington, D.C. 
20230. For further information contact Christopher Kemp at 
[email protected] or (202) 482-0862.

    Dated: April 1, 2008.
Andrew McGilvray,
Executive Secretary.
[FR Doc. E8-8032 Filed 4-14-08; 8:45 am]
BILLING CODE 3510-DS-S