Another Permian Pipeline Expansion is Announced

The amount of crude oil flowing out of the Permian Basin in West Texas and eastern New Mexico has prompted yet another pipeline operator to announce an expansion of its capacity.

Houston’s Enterprise Products Partners L.P. says it is seeking customer commitments for an expansion of its Enterprise Crude Pipeline LLC West Texas System. The system transports crude oil from points in New Mexico to the company’s terminal in Midland, Texas.

The company says the expansion is designed to facilitate the growing production of crude oil from the Delaware Basin in New Mexico by providing much-needed pipeline takeaway capacity.

The company’s West Texas System will allow an expansion from its Lynch, Hobbs and Red Hills stations in Lea County, New Mexico to the terminal in Midland. The service on the expanded West Texas System is expected to begin in the third quarter of 2018.