The Port of Port Arthur formally launched construction of Berth 5 on Tuesday, a $37.2 million, 16-18-month project that will add 600 feet of deep draft facility with triple-track rail to position the port for the future.

The port’s board of commissioners greeted about a hundred local people for the ceremony, which took place on the lawn of the International Seafarers’ Center, within shouting distance of the port itself. Port activity Tuesday prevented the ceremony from occurring inside the gates.

John Comeaux, commission president, said revenues generated by cargo operations and local bond support will pay for the project.

At completion, port officials said, the project will be followed by construction of Berth 6, an additional 1,000 feet of dock space that will extend facilities toward the Martin Luther King Bridge. The port owns additional land beyond the bridge.

“As soon as Berth 5 is done, Berth 6 begins,” Anthony Theriot, the port’s director of trade development, said. Berth 6 is in the design phase, some 60 percent complete.

Theriot said more dock space means the capacity to handle more and new cargo.

Part of the demand for dock space is because of more demand for products from Southeast Texas. With improvements to the Panama Canal, port officials said, and, eventually, with a deeper ship channel, the port will see larger ships.

Larry Kelley, port director, said it’s more expensive to build a dock like Berth 5 — “beefier,” he called its construction — but it enables cargo to go straight off the ship and onto rail or vice versa.

Port Commissioner Mark Underhill said the land for the additional dock space came through Kansas City Southern. He said the additional berths would relieve congestion at the port.

Benjamin Green, president of International Longshoremen’s Association Local 25, and Rocky Hebert, president of the ILA Local 440, said another berth means more work for dock labor.

“It means so much to us. It makes it possible to build our workforce,” Green said.

“The port is taking off here,” Hebert said, adding that the need for labor will increase.

“It’s a big thing for Port Arthur,” said Floyd Batiste, CEO of the Port Arthur Economic Development Corp. “The port plays an important role in economic development, especially with all of the petrochemical expansions and LNG.

“The Port of Port Arthur is completely aligned with industry and the tremendous expansions that will take place in our community,” said Greater Port Arthur Chamber of Commerce President Pat Avery. “They listen and act quickly to stay ahead of the industrial curve.”