Magellan Midstream Partners will expand the western leg of its refined petroleum products pipeline system in Texas to handle incremental shipments of gasoline and diesel fuel to demand centers in Abilene, Midland/Odessa, El Paso and New Mexico. The system can also access markets in Arizona and Mexico via connections to other pipelines.
The $300 million project, fully supported by long-term customer commitments and expected to be operational mid-2020, includes expanding the capacity of the system from 100,000 bpd to approximately 150,000 bpd, with the potential to further increase the system to 170,000 bpd. In addition, connectivity to the ExxonMobil Pipeline Company’s terminal in Wink, Texas will be added.
“Magellan’s extensive refined products pipeline system provides significant optionality for our customers, including the ability to access supply from multiple Gulf Coast and Mid-Continent refineries,” said Michael Mears, Magellan’s chief executive officer. “We are pleased to expand the western leg of our Texaspipeline to serve increasing demand for refined petroleum products in West Texas and New Mexico, as well as surrounding markets in Arizona and Mexico via third-party pipeline connections.”