Magellan Midstream Partners LP announced the extension of its open season to solicit customer commitments for the potential expansion of the company’s refined petroleum products pipeline system from Kansas to Colorado. Significant interest has been expressed from potential shippers, and the extension provides interested customers additional time to finalize commitments. Binding commitments are now due by 5 p.m. Central Time on Dec. 22.
The approximately 450-mile pipeline currently transports various grades of gasoline, diesel fuel and jet fuel from El Dorado, Kansas, to Denver, Colorado. Magellan’s pipeline network is capable of further distributing these essential fuels safely and efficiently to key markets within Colorado, including Colorado Springs, the greater Denver metropolitan area as well as the Denver International Airport.
Expansion of the pipeline would provide the Colorado market additional access to refined products from Midcontinent and Gulf Coast refineries via Magellan’s extensive pipeline system.
The capital-efficient expansion would increase the pipeline’s capacity by an estimated 5,000 barrels per day (bpd), to a new total capacity of approximately 65,000 bpd. The higher capacity could be available by late 2022 following the addition of incremental pumping capabilities.
Magellan Midstream Partners is a publicly traded partnership that primarily transports, stores and distributes refined petroleum products and crude oil. The company owns the longest refined petroleum products pipeline system in the country, with access to nearly 50 percent of the nation’s refining capacity, and can store more than 100 million barrels of petroleum products such as gasoline, diesel fuel and crude oil. More information is available at www.magellanlp.com.Tags: Magellan Midstream, Open Season, Pipeline Expansion