NGL Energy Seeks Shippers for Soon-to-be Finished Grand Mesa Pipeline Out of Colorado to Cushing


Tulsa-based NGL Energy Partners LP announces that because of more shipper interest, a second binding open season started Thursday for its wholly owned Grand Mesa Pipeline LLC crude oil pipeline.

The announcement indicated potential shippers will have access to the open season documents upon execution of a confidentiality agreement with Grand Mesa. The Grand Mesa pipeline will provide takeaway capacity for crude oil producers in the Denver-Julesburg Basin. It is expected to be in operation by November of this year and originates in Weld County located in northern Colorado.

The pipeline extends nearly 550 miles southeast to NGL’s crude oil storage terminal at Cushing. It will be capable of receiving and batch transporting 150,000 barrels a day for delivery into the Cushing hub. The delivery means shippers will have access to both U.S. Midcontinent refining and trading markets as well as the Texas Gulf Coast refinery complex.

Construction on the pipeline was announced in November of 2015.  Saddlehorn Pipeline Company LLC said at the time, it combined projects with Grand Mesa Pipeline LLC for the construction. Another Tulsa company, Magellan Midstream Partners LP, owns 40 percent of Saddlehorn and is serving as construction manager and operator of the pipeline system.

At the time, Saddlehorn said it expected to spend $650 million for its share of the undivided joint interest pipeline.


%d bloggers like this: