Red Oak Pipeline LLC announced that it has launched a supplemental open season seeking additional crude oil transportation commitments for service from origins in Oklahoma and Texas to Gulf Coast destinations including Corpus Christi, Ingleside, Houston, and Beaumont, Texas.
Red Oak Pipeline LLC is a 50/50 joint venture of Phillips 66 and Plains All American Pipeline. The two announced the joint venture in June saying the new pipeline would cost $2.5 billion.
As part of the project, a 30-inch pipeline will be built from the Cushing hub to Wichita Falls, Texas and Sealy, Texas. From there, the joint venture will build the 30-inch line to Corpus Christi and Ingleside and a 20-inch pipeline segment to Houston and Beaumont.
On both the Liberty and the Red Oak systems, where feasible, the companies will use existing pipeline and utility corridors and advanced construction techniques to limit environmental and community impact. Initial service on both pipelines is targeted to begin as early as first-quarter 2021.
Prior to participating in the supplemental open season, interested parties must execute a confidentiality agreement to govern the receipt of the open season documentation.
