Magellan Midstream Partners has extended the open season to solicit commitments from shippers for the potential expansion of the western leg of its refined products pipeline system in Texas. If completed, the pipeline’s current capacity of 100,000 bpd could increase to 145,000 bpd. In addition, the company announced in a press release that it is considering building a new refined products terminal in Midland, Texas.
The proposed expansion would increase Magellan’s capability to transport refined petroleum products to demand centers in Abilene, Midland/Odessa and El Paso, Texas, as well as markets in New Mexico and Arizona, and international markets in Mexico via connections to other pipelines owned by Magellan and third parties. Magellan’s refined products pipeline system currently provides shippers connectivity to multiple Gulf Coast refineries and terminals along with various mid-continent refineries.
Subject to the results of this open season and receipt of all necessary permits and approvals, the pipeline expansion and Midland terminal could be placed in service by mid-2020.