Global Partners plans new Bakken crude oil transport, storage
New York (Platts)--11Jun2014/350 pm EDT/1950 GMT
US midstream company Global Partners LP announced plans Wednesday to
build a new crude transportation system in the prolific Bakken shale,
along with expanded North Dakota storage for the oil.
Meadowlark Midstream Company LLC has agreed to build, own and operate
the the new system, which is expected in place by second-quarter 2015,
Global said.
Plans include a new truck unloading station with 55,000 barrels of
tankage on Meadowlark's Divide Gathering System, along with a 47-mile
pipeline serving Global's crude storage at Basin Transload's Columbus
rail loading terminal in Burke County, North Dakota. Crude delivered to
the Columbus terminal has single line haul rail access to Global's
Albany, New York, terminal and can also access other US rail-serviced
terminals.
Global also said it has begun building an additional 176,000 barrels
of tankage at the Columbus facility that will bring total capacity to
446,000 barrels.
"The crude oil transportation system being developed by Meadowlark
further expands our gathering capabilities in the Bakken region,
providing our customers with even greater access to refineries and other
downstream distribution points on both the East and West Coasts," Global
CEO Eric Slifka said in a statement.
On the East Coast, Global has a five-year, take-or-pay agreement with
refiner Phillips 66 to buy 91 million barrels of Bakken crude barged
from Albany to Linden.
--Beth Evans,
beth.evans@platts.com
--Edited by Valarie Jackson,
valarie.jackson@platts.com
© 2014 Platts, The McGraw-Hill Companies Inc. All rights reserved.
To subscribe or visit go to:
http://www.platts.com
http://www.platts.com/latest-news/oil/newyork/global-partners-plans-new-bakken-crude-oil-transport-21748174
|