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Wolf Midstream launches open season for crude oil pipeline

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World Pipelines,

Wolf Midstream Partners, LLC has announced the launch of a binding open season to solicit long-term, firm shipper commitments for the proposed Red Wolf Crude Connector, a new crude oil pipeline to serve the Midland Basin. Through the open season, Wolf proposes to construct the approximately 40 mile, 16 in. pipeline, with an initial capacity of 120 000 bpd, originating in Howard County near Big Spring, Texas and connecting to Wolf’s existing crude oil terminal and downstream connections near Colorado City, Texas. The open season begins 14 November 2018 and ends Friday 14 December 2018 at 4.00 pm CST.

The Red Wolf Crude Connector will provide a direct takeaway option for Howard County producers and shippers to be able to realise committed rates via acreage and/or shipping commitments, while providing more flexible access to numerous market opportunities. Construction of the Red Wolf Crude Connector is expected to result in significant cost savings for Midland Basin producers.

“We are excited about this project and what it means for our customers in the Big Spring area,” said Curtis Ewers, Wolf Chief Executive Officer. “Along with providing much-needed transportation capacity and increased market options, the Red Wolf Crude Connector provides Wolf with significant potential for additional growth and connection opportunities.”

Construction activities have begun and, pending the results of the open season, Wolf expects the Red Wolf Crude Connector to commence full commercial operations in 3Q19. The Red Wolf Crude Connector is an extension of Wolf’s existing crude oil pipeline and terminal, which was placed in service this year. The existing system is a network of approximately 50 miles of crude oil pipeline facilities that aggregate and transport crude oil production to the Colorado City Hub, providing access to multiple long haul, large volume pipelines for access to nearly all major downstream markets.

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US pipeline news Crude oil pipeline news