Medallion Pipeline Co. LLC, a subsidiary of Medallion Midstream LLC, announced a binding open season on May 16 for a major expansion of its existing crude oil pipeline system in the Midland Basin.
The expansion will consist of two parts:
- The Wolfcamp Expansion, which will nearly double the capacity of Medallion’s existing Wolfcamp Connector mainline; and
- The Howard Expansion, which will increase the capacity of the existing Howard Lateral.
The open season began on May 16 and ends on June 9.
The Wolfcamp Expansion consists of a 16-inch partial loop of the Wolfcamp Connector mainline in Howard, Glasscock, Mitchell and Scurry counties in Texas. The Wolfcamp Expansion will commence at the existing Howard-Wolfcamp Interconnect and extend 47 miles to the Colorado City Hub, where Medallion interconnects with several third-party carriers.
The expansion will increase the existing capacity on the Wolfcamp Connector mainline from 105,000 barrels per day (Mbbl/d) to 200 Mbbl/d and provide firm shippers on the Wolfcamp Connector with multiple options for the receipt and delivery of crude oil.
The Howard Expansion will expand capacity of the existing Howard Lateral in Glasscock and Howard counties. The project will increase the existing 60 Mbbl/d capacity of the Howard Lateral to 85 Mbbl/d through the addition of pumping horsepower. Due to the bidirectional capabilities of the Howard Lateral, firm shippers on the Howard Expansion will have the flexibility to transport crude oil on several transportation paths.
The project is expected to commence partial commercial operations in third-quarter 2017 and full commercial operations in fourth-quarter 2017.