Magellan commence BridgeTex pipeline construction

Magellan Midstream Partners (Magellan) have begun construction on the BridgeTex pipeline, which is expected to come into service by mid-2014.

The joint venture project between Magellan and Occidental Petroleum Crop. was announced last year after receiving several long-term commitments from oil companies drilling in the region. Magellan and Occidental will share commercial responsibilities and joint project team will oversee construction of the pipeline, with Magellan serving as operator.

The 400 mile 20 in. pipeline will transport 300 bpd of Permian Basin crude oil from Colorado City, Texas to the Houston Gulf Coast area. It will have access to Houston Channel refineries, Texas City refineries and other refineries throughout the Gulf Coast via third party-pipelines, including access to Valero's Houston Refiners, Shell's Deer Part Refinery and ExxonMobil's Baytown Refinery.

According to Magellan, the BridgeTex pipeline project includes construction of the following infrastructure:

• Approximately 400 miles of 20 in. dia. pipeline from Colorado City to Magellan's terminal in East Houston.

• Approximately 1.2 million barrels of crude oil storage at Colorado City and 1.4 million barrels of crude oil storage at East Houston to facilitate pipeline movements.

• Nearly 50 miles of 24 in. dia. pipeline between East Houston and Texas City.

The pipeline is expected to feed the growing demand for oil and transportation. Bruce Heine, Director of Government and Media Affairs at Magellan said, "The BridgeTex pipeline will transport crude oil from the Permian Basin to the Houston Gulf Coast area, providing a cost-efficient and direct transportation option to address the growing demands from crude oil transportation in the area."

Edited from various sources by Hannah Priestley-Eaton

Read the article online at: https://www.worldpipelines.com/business-news/11122013/magellan_commence_bridgetex_pipeline_construction/