NGL Energy Partners LP is pleased to announce that a binding open season started on 9 July 2021 at 8:00 am Central Daylight Time for its wholly owned affiliate Grand Mesa Pipeline, LLC’s crude oil pipeline. This open season will close on 9 August 2021 at 5:00 pm Central Daylight Time.
Grand Mesa provides takeaway capacity for crude oil producers in the Denver-Julesburg Basin. It originates in Weld County, Colorado and extends approximately 550 miles southeast to NGL Crude Cushing, LLC’s storage terminal at Cushing, Oklahoma. The pipeline is capable of receiving and batch transporting up to 150 000 bpd for delivery into the Cushing hub, which affords its shippers access to both US Midcontinent refining and trading markets as well as the Texas Gulf Coast refinery complex. The pipeline not only supports the continued growth and production in the area, but does so in a cost-effective and environmentally responsible way by reducing the current utilisation of rail and truck transportation.
In 2016, NGL held an open season seeking commitments from shippers interested in shipping on Grand Mesa’s pipeline system. In response to the 2016 open season, Grand Mesa signed transportation service agreements with multiple shippers. Due to recent shipper bankruptcies and related contract terminations, committed capacity on Grand Mesa’s system has become available again. Accordingly, NGL is holding the current open season to re-contract available capacity on the Grand Mesa pipeline. The transportation services under this open season process are being offered pursuant to terms and conditions that are substantially similar to those applicable to the committed shippers that signed transportation service agreements in the 2016 open season, as specified in the open season documents.
Potential shippers will have access to the open season documents upon execution of a confidentiality agreement with Grand Mesa.
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Read the article online at: https://www.worldpipelines.com/business-news/12072021/ngl-energy-partners-lp-announces-2021-open-season-for-grand-mesa-pipeline/
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