White Cliffs Pipeline LLS has recently confirmed it has received sufficient shipping commitment to expand its Colorado-to-Cushing crude pipeline.
The 526 mile, 12 in., pipeline currently carries 70 000 bpd of crude from the Denver-Julesberg (D-J) basin in Colorado to the oil storage hub in Cushing, Oklahoma. The pipeline’s capacity has now been green lit to increase to 150 000 bpd.
Better drilling technology has led to increasing production from the mature fields in the D-J Basin, necessitating additional crude transportation.
The expanded pipeline is expected to be in service during the first half of 2014, subject to approval from the Federal Energy Regulatory Commission and other regulatory bodies.
Rose Rock Midstream LP, SemGroup's master limited partnership, will operate the expanded line.
SemGroup holds a 51% stake in the line, with Plains All American Pipeline owning 34%, Western Gas Partners holding a 10% stake and Noble Energy holding 5%.
Edited from various sources by Cecilia Rehn.