Enterprise Products Partners LP (NYSE:EPD) has begun a binding open commitment period to determine shipper demand for capacity on a proposed new pipeline that would originate in the Williston Basin of North Dakota and also serve the Powder River and Denver-Julesburg (DJ) basins.
The 30-inch-diameter pipeline would extend 1,200 miles to the Cushing hub in Oklahoma and is currently designed to have an initial capacity of 340,000 barrels per day (BPD) of crude oil, expandable to more than 700,000 BPD.
â€œThis pipeline offers a reliable, safe, and economical solution that promotes continued development of some of our nationâ€™s most prolific producing areas and reduces the need for imports of crude oilâ€
The Bakken-to-Cushing pipeline would have the capability to transport up to six grades of crude oil and products, including Rockies condensate and processed condensate. Subject to sufficient customer commitments, the pipeline is expected to begin service in stages, starting with the DJ-to-Cushing portion in the fourth quarter of 2016, and should be fully operational by the third quarter of 2017.