Plains All American Pipeline Announces Successful Open Season and Expansion of Delaware Basin to Cushing Pipeline System
HOUSTON–(BUSINESS WIRE)–A subsidiary of Plains All American Pipeline, L.P. (NYSE: PAA)
today announced a successful conclusion to the open season for
additional capacity from the Delaware Basin to Cushing, OK. The
Partnership announced that it has received sufficient committed volume
from shippers to expand portions of its pipeline systems to accommodate
a volume increase of approximately 120,000 barrels per day of movements
from the Delaware Basin and Midland to Cushing, OK.
The committed volume will move on a combination of new and existing
pipelines. The Partnership plans to extend its Sunrise Pipeline system,
which currently originates at Midland and connects with Colorado City,
by building approximately 180-miles of 24-inch pipeline from Colorado
City, TX to Wichita Falls, TX. The balance of the capacity will be
provided by a combination of spare capacity and capacity enhancements to
existing pipelines, which include capacity expansions to our Delaware
Basin system of up to 200,000 barrels per day.
“We are pleased to announce the Sunrise expansion project which enhances
the utilization of capacity in our existing system,” commented Willie
Chiang, US Chief Operating Officer for PAA. “This expansion will allow
us to meet shipper needs in a phased approach, while building in
capability for further expansions. The project also enhances our
integration by enabling additional volume pull-through from our Permian
Basin gathering assets, and provides incremental supply optionality for
pipelines that transport crude oil from Cushing to end markets,
including our Red River and Diamond pipelines.”
The Pipeline system will deliver to Plains’ and third-party terminals in
Cushing, OK. Subject to timely receipt of necessary permits and
regulatory approvals, the additional capacity is expected to be
operational in early to mid-2019.
Forward Looking Statements
This press release may include certain statements concerning
expectations for the future that are forward-looking statements as
defined by federal law. Such forward-looking statements are subject to a
variety of known and unknown risks, uncertainties, and other factors
that are difficult to predict and many of which are beyond management’s
control. An extensive list of factors that can affect future results are
discussed in PAA’s Annual Report on Form 10-K and other documents filed
from time to time with the Securities and Exchange Commission. PAA
undertakes no obligation to update or revise any forward-looking
statement to reflect new information or events.
Plains All American Pipeline, L.P. is a publicly traded master limited
partnership that owns and operates midstream energy infrastructure and
provides logistics services for crude oil, natural gas liquids (“NGL”),
natural gas and refined products. PAA owns an extensive network of
pipeline transportation, terminalling, storage and gathering assets in
key crude oil and NGL producing basins and transportation corridors and
at major market hubs in the United States and Canada. On average, PAA
handles over 4.7 million barrels per day of crude oil and NGL in its
Transportation segment. PAA is headquartered in Houston, Texas. More
information is available at www.plainsallamerican.com.
Contacts
Plains All American Pipeline, L.P.
Investors:
Brett
Magill, 866-809-1291
Manager, Investor Relations
or
Media:
Brad
Leone, 866-809-1290
Director, Communications