Plains All American Pipeline Announces New Permian Basin Expansion Activities
December 10 2013 - 6:00AM
Business Wire
Plains All American Pipeline, L.P. (NYSE:PAA) today announced
four projects that are part of its plan to significantly increase
and expand its Permian Basin pipeline infrastructure over the next
few years to keep pace with rising production volumes. These four
projects, as well as several other projects currently under review,
will result in aggregate investments of approximately $400 million
to $500 million. The four projects are expected to be completed in
stages throughout 2014 and early 2015 and include the construction
of three new large diameter (“trunk line”) pipelines that will
increase the Partnership’s takeaway capacity in support of crude
oil production growth in the Delaware and South Midland Basins and
will support gathering systems the Partnership is constructing in
the Avalon, Bone Spring and South Spraberry developments.
The first project consists of adding pumping capacity to the
Partnership’s existing 20-inch Basin pipeline from Jal, New Mexico
to Wink, Texas (in Winkler County), increasing the pipeline’s
capacity 100,000 barrels per day to 240,000 barrels per day, and
constructing a new 40-mile, 12-inch pipeline with 100,000 barrels
per day of pipeline capacity from Monahans to Crane, Texas to
supply volumes to the Longhorn pipeline as well as the
Partnership’s Cactus pipeline at McCamey.
The second project includes constructing a new 62-mile, 16 and
20-inch pipeline with 200,000 barrels per day of takeaway capacity
from the South Midland Basin in Central Reagan and Central Upton
counties to the origin of the Cactus pipeline at McCamey,
Texas.
The third project involves constructing a new 80-mile, 20-inch
pipeline between Midland and Colorado City, Texas that will provide
an additional 250,000 barrels per day of capacity to supply
connecting carriers at Colorado City including the new BridgeTex
Pipeline.
The fourth project reflects the Partnership’s expectation, based
on shipper demand, to increase the capacity of its Cactus pipeline
project from 200,000 barrels per day to 250,000 barrels per day
through the addition of pumping capacity.
Customer inquiries regarding these projects should be directed
to Joe Richards, Dir., Pipeline Commercial Operations at Plains All
American Pipeline, 713-646-4629.
Plains All American Pipeline, L.P. is a publicly traded master
limited partnership engaged in the transportation, storage,
terminalling and marketing of crude oil and refined products, as
well as in the processing, transportation, fractionation, storage
and marketing of natural gas liquids. Through its general partner
interest and majority equity ownership position in PAA Natural Gas
Storage, L.P. (NYSE:PNG), PAA owns and operates natural gas storage
facilities. PAA is headquartered in Houston, Texas.
Forward Looking Statements
Certain matters discussed in this release are forward-looking
statements that involve risks and uncertainties that could cause
actual results or outcomes to differ materially from results or
outcomes anticipated in the forward-looking statements. These risks
and uncertainties include, among other things, shortages, cost
increases or delays in receipt of supplies, materials or labor;
inability to obtain, delays in the receipt of, or other issues
associated with necessary licenses, permits, approvals, consents,
rights of way or other governmental or third party requirements;
the impact of current and future laws, rulings, orders,
governmental regulations, accounting standards and statements and
related interpretations; weather interference with business
operations or project construction; environmental liabilities,
issues or events that result in construction delays or otherwise
impact targeted in-service dates; interruptions in service on
third-party pipelines or facilities; general economic, market or
business conditions and the amplification of other risks caused by
volatile financial markets, capital constraints and pervasive
liquidity concerns; and other factors and uncertainties inherent in
the transportation, storage, terminalling and marketing of crude
oil and refined products as discussed in the Partnership’s filings
with the Securities and Exchange Commission.
Plains All American Pipeline, L.P.Investors:Roy I.
Lamoreaux, 713-646-4222 or 800-564-3036Director, Investor
RelationsorMedia:Brad Leone, 713-646-4196Manager,
Communications
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