Open Season Closes on Medallion’s Howard Lateral Pipeline

By Mike Kezdi March 30, 2016 View Profile

The binding open season for Medallion Pipeline Co. LLC’s proposed crude oil pipeline extension, the Howard Lateral, has successfully closed.

Based on the response received during the open season, Medallion has executed a long-term agreement that provides sufficient capacity commitments to move forward with the Howard Lateral and a partial expansion of the company’s Wolfcamp Connector mainline.

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The Howard Lateral extends approximately 49 miles from multiple origin points in Howard County, Texas, to the southeast to a new point of interconnection on Medallion’s Wolfcamp Connector mainline in Glasscock County, Texas. The pipeline will be capable of transporting approximately 45,000 barrels per day (bpd) of crude oil for delivery on a bi-directional basis.

Adjacent to one of the Howard Lateral origin points will be truck unloading facilities that will be owned and operated by Medallion Pipeline’s affiliate, Medallion Crude Oil Logistics. This will provide shippers the option to truck crude oil quantities to those facilities for delivery to that origin point on the Howard Lateral.

“The successful close of the Howard Lateral open season underwrites a significant northern expansion of Medallion’s existing Midland Basin crude oil gathering system,” said Randy Lentz, CEO of Medallion. “The Howard Lateral will provide a crucial market link for Howard County customers seeking multiple delivery and market options for their crude oil production.”

More information is available on the Medallion website.