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More oil pipeline capacity planned for Texas

May 21, 2013 at 6:06 AM   |   Comments

HOUSTON, May 21 (UPI) -- A 95-mile pipeline extension from western Oklahoma and the Texas panhandle will carry as much as 75,000 barrels of oil per day, a pipeline company said.

Plains All American Pipeline announced it was building a 95-mile extension for an Oklahoma crude oil pipeline system to accommodate expansions in production from the region.

"The new Western Oklahoma pipeline will provide up to 75,000 barrels per day of new takeaway capacity," the company said in a statement. "The new Western Oklahoma pipeline is supported by long-term producer commitments and is expected to be in service by the end of the first quarter of 2014."

Plains announced in April that it started constructing the Cactus Pipeline, described as a 310-mile crude oil pipeline across western Texas in the oil-rich Permian Basin.

Plains said the pipeline represents at least $350 million in investments and will carry sweet and sour crude oil blends. No financial terms were disclosed for the Oklahoma expansion project.

The Cactus Pipeline is designed to carry as around 200,000 barrels of oil per day. The company said it expects the pipeline would go into service during the first quarter of 2015.

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