Magellan Plans New Texas Pipelines

Tulsa’s Magellan Midstream Partners LP recently announced plans to develop a new pipeline to transport oil from the Permian and Eagle Ford Basins of Texas to several destinations in the Corpus Christi and Houston markets.

Magellan’s existing crude oil terminals in the markets will also receive some of the shipments. The company announced it has also opened its season to assess customer interest and plans to have binding commitments by Feb. 1, 2018.

As for the new line, it will be 375 miles in length and involve a 24-inch diameter pipeline to be built from Crane to a location near Three Rivers, Texas. It will eventually move oil and condensate from the Three Rives area to the Houston area via a new 200-mile pipeline or to the Corpus Christi area on a new 70-mile pipeline.

Magellan says the potential system will have an initial capacity of at least 350,000 barrels a day with the ability to expand up to 600,000 barrels a day for each destination.

The Tulsa firm is also considering the construction of pipeline extensions for Midland and Orla, Texas in the Permian Basin and Gardendale and Helena, Texas in the Eagle Ford Basin. Magellan had earlier announced the construction of a 60-mile 24-inch Delaware Basin pipeline to deliver crude oil and condensate from Wink to Crane.




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