Enterprise Products Partners and Magellan Midstream Partners have jointly filed with the Texas Railroad Commission for combining two diverse crude oil pipeline segments between Sealy and Texas under a single transportation tariff structure.
This new single tariff structure will not only simplify the process for shippers but will provide producers in South Texas with more efficient access to the Houston-area refining complex.
Houston-area refining complex features more than two million barrels per day (BPD) of refining capacity, according to the company.
Presently, the shippers are transporting crude oil from South Texas origins on the 40-mile portion of Enterprise’s Rancho pipeline from Sealy to Genoa Junction and from the 26-mile segment of Magellan’s pipeline between Genoa Junction and Texas City.
Enterprise and Magellan anticipate the joint tariff to be effective 1 February 2011.
This single tariff structure, which is a new 140-mile pipeline, is expected to be ready for service in the first quarter of 2012.