Posted on 06/04/2013 6:03:55 AM PDT by thackney
Kinder Morgan Energy Partners is extending a pipeline deeper into the Eagle Ford shale play to provide an outlet for growing oil production in South Texas.
The $107 million expansion will link up with a ConocoPhillips facility Karnes County. That site is currently a gathering center for oil. ConocoPhillips trucks oil and other hydrocarbons to that site from its nearby producing wells, ConocoPhillips spokesman Daren Beaudo said.
The expansion was made possible by a new long-term contracted signed between ConocoPhillips and Kinder Morgan, according to a news release.
The companies would not disclose the terms of the deal.
The 178-mile Kinder Morgan Crude and Condensate Pipeline will extend 31 miles to connect Kinder Morgan’s DeWitt Station in DeWitt County to ConocoPhillips’ Central Delivery Facility near Helena in Karnes County. The pipeline can move 300,000 barrels per day.
It will help to quickly move oil and other products out of isolated areas, the companies said.
Kinder Morgan also will build tanks and a truck offloading facility at the site to help with movement of the products.
Kinder Morgan and ConocoPhillips are both based in Houston.
I bet the Government could have done it just as well and only spent $10.7 billion.
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