NuStar Energy Seeks Shipper Interest In Niobrara Falls Project

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NuStar Energy extended its Niobrara Falls Open Season to February 15, 2013.As previously announced, NuStar is assessing shipper interest in firm priority space to transport crude petroleum from the Niobrara Shale near Platteville and Watkins, CO to Wichita Falls, TX. The Niobrara Falls Project would also have the capability to transport Permian and Granite Wash crude petroleum delivered into NuStar’s Dixon, TX tank farm for delivery to the various destinations.
  The proposed project would include construction of new crude petroleum pipelines from gathering locations in the Niobrara Shale near Platteville and Watkins, CO. to  a tie-in point on NuStar’s existing 10-inch McKee, TX to Denver, CO petroleum products pipeline. The NuStar Colorado 10-inch pipeline would be converted to crude oil service, reversed and connected with NuStar’s existing 14-inch Wichita Falls to McKee, TX crude line, which would also be reversed. The NuStar Colorado 10-inch line would have an approximate capacity of 70,000 to 75,000 bpd, and the NuStar Wichita Falls 14-inch pipeline would have an approximate capacity of 125,000 to 130,000 bpd. Shippers would have the option to contract for storage at the origin points near Platteville and Watkins, CO. Subject to sufficient commitments from shippers, necessary permits, regulatory and internal approvals, the reversed NuStar Wichita Falls 14-inch pipeline portion of the Niobrara Falls Project is expected to begin service on or about April 1, 2013, with full Niobrara Falls Project service expected to begin around the 1st quarter of 2014.  
  It is expected that the proposed Niobrara Falls Project would connect to the Sunoco Logistics Partners Permian Express Phase I project and to the Basin System, both in Wichita Falls, for further continuous pipeline service to the Nederland/Beaumont, TX markets and/or the Cushing hub.