As part of an agreement with Koch Pipeline Company, L.P., NuStar
Logistics has reactivated its Pettus South Pipeline to transport Eagle
Ford Shale crude oil to Corpus Christi, Texas.
"With the startup of this new capacity with NuStar, we are continuing to
bring quick transportation solutions to Eagle Ford producers and to our
customers in South Texas,” said Kim Penner, president of Koch Pipeline.
"The NuStar line ties into our existing systems adding an immediate
30,000 barrels per day of capacity.”
The previously idled pipeline runs 60 miles from Pettus, Texas to Corpus
Christi. NuStar is operating the pipeline.
"This project is part of a larger strategy to create even greater
logistical options for our customers in the Eagle Ford region,” said
NuStar President and CEO Curt Anastasio. "The Pettus South Pipeline
complements Koch’s expanded pipeline system in South Texas so it’s a
win-win for both of our companies.”
In the past 13 months, Koch Pipeline has significantly increased its
capabilities to move Eagle Ford production. In May 2010, Koch Pipeline
completed projects to increase its crude oil and gas condensates
transportation capacity by about 25,000 barrels per day. With Arrowhead
Pipeline, L.P., Koch Pipeline added another 50,000 barrels per day of
crude and condensate capacity from the western Eagle Ford counties.
Koch Pipeline will soon complete a project to expand delivery capability
to the Flint Hills Resources Ingleside waterborne terminal. The company
is also building a crude oil terminal in Helena, along with a new line
from Helena to Pettus, where the company has an existing crude oil
terminal. Another 60-mile line from Pettus to Corpus Christi has
received final approval.
Koch Pipeline is the largest transporter of South Texas crude and
operates about 540 miles of active crude oil transportation lines in
Texas. The company also has ongoing relations with other crude
distribution systems that further its ability to provide services in the
Eagle Ford area.
NuStar also has been working on other projects to expand and modify its
pipeline and terminal infrastructure to transport and store even greater
volumes of Eagle Ford Shale crude and condensate.
In April, NuStar and TexStar announced a letter of intent to develop a
new pipeline system to transport Eagle Ford Shale crude and condensate
to Corpus Christi. Then NuStar and Velocity Midstream Partners announced
in June that they signed a letter of intent to develop a joint pipeline
solution to transport west Eagle Ford Shale condensate from Velocity’s
Gardendale Hub to NuStar’s North Beach Corpus Christi, Texas terminal
facility.
About NuStar
NuStar Energy L.P. (NYSE:NS) is a publicly traded, limited partnership
based in San Antonio, with 8,417 miles of pipeline; 90 terminal and
storage facilities that store and distribute crude oil, refined products
and specialty liquids; and two asphalt refineries and a fuels refinery
with a combined throughput capacity of 118,500 barrels per day. The
partnership's combined system has over 94 million barrels of storage
capacity. One of the largest asphalt refiners and marketers in the U.S.
and the second largest independent liquids terminal operator in the
nation, NuStar has operations in the United States, Canada, Mexico, the
Netherlands, including St. Eustatius in the Caribbean, the United
Kingdom and Turkey. For more information, visit NuStar Energy L.P.'s Web
site at www.nustarenergy.com.
About Koch Pipeline Company
Koch Pipeline operates about 4,000 miles of pipelines that transport
crude oil, refined products, natural gas liquids and chemicals. Koch
Pipeline Company, L.P. has earned numerous local, state and national
level safety awards. Koch Pipeline Company, L.P. is an indirect, wholly
owned subsidiary of Koch Industries, Inc. Learn more at www.kochpipeline.com.
