PGC Pipeline gets go ahead

Energy Transfer Partners, Magellan Midstream, MPLX LP and Delek US Holdings have received sufficient commitments to jointly construct the Permian Gulf Coast (PGC) Pipeline.

The PGC Pipeline will be a 30 inch (762 mm) diameter, 966 km common carrier pipeline system to transport crude oil from the Permian Basin to the Texas Gulf Coast.

There will also be an option to expand the diameter and increase the capacity if additional commitments are received in an upcoming open season, to be launched later this week.

The system will have multiple Texas origins, including Wink, Crane and Midland and the strategic capability to transport crude oil to both Energy Transfer’s Nederland, Texas terminal and Magellan’s East Houston, Texas terminal.

The project is subject to receiving regulatory and board approvals of Energy Transfer, Magellan Midstream, MPLX and Delek.

The pipeline is expected to be operational in mid-2020.

For more information visit the Magellan website.

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