GEL Pipeline Texas LLC, an affiliate of Genesis Energy LP, will conduct a binding open season to solicit shipper interest in making commitments to a crude oil transportation pipeline system originating at new receipt points at the Department of Energy Pipeline and Cameron Highway Offshore Pipeline System (CHOPS) and deliver barrels to Webster Terminal, Marathon Petroleum Corp.’s (NYSE: MPC) Texas City refinery or a Genesis affiliate’s brown water barge dock in Texas City.
The pipeline will include terminalling infrastructure capable of receiving, segregating and batching multiple Gulf of Mexico crude oil grades originating from the Hoover Offshore Oil Pipeline System (the HOOPS System) and the CHOPS System. GPT is constructing approximately 4 miles of new pipeline connecting to its existing Texas pipeline system in Texas City to access the delivery points.
“Our Texas pipeline system will provide Gulf of Mexico shippers a northbound delivery option beyond the Texas City refining market,” Ryan Sims, Genesis vice president of finance and corporate development, said in a written statement. “Given our existing asset base in Texas and the Gulf of Mexico, Genesis was a logical fit to provide this service. We remain focused on providing maximum optionality for our offshore and refining customers through our pipeline portfolio.”
The open season began on Feb. 21 and will end on March 8.
Recommended Reading
Exxon’s Payara Hits 220,000 bbl/d Ceiling in Just Three Months
2024-02-05 - ExxonMobil Corp.’s third development offshore Guyana in the Stabroek Block — the Payara project— reached its nameplate production capacity of 220,000 bbl/d in January 2024, less than three months after commencing production and ahead of schedule.
Exclusive: Chevron Balancing Low Carbon Intensity, Global Oil, Gas Needs
2024-03-28 - Colin Parfitt, president of midstream at Chevron, discusses how the company continues to grow its traditional oil and gas business while focusing on growing its new energies production, in this Hart Energy Exclusive interview.
Imperial Expects TMX to Tighten Differentials, Raise Heavy Crude Prices
2024-02-06 - Imperial Oil expects the completion of the Trans Mountain Pipeline expansion to tighten WCS and WTI light and heavy oil differentials and boost its access to more lucrative markets in 2024.
Carlson: $17B Chesapeake, Southwestern Merger Leaves Midstream Hanging
2024-02-09 - East Daley Analytics expects the $17 billion Chesapeake and Southwestern merger to shift the risk and reward outlook for several midstream services providers.
Midstream Builds in a Bearish Market
2024-03-11 - Midstream companies are sticking to long term plans for an expanded customer base, despite low gas prices, high storage levels and an uncertain political LNG future.