Global Partners’ 60% owned subsidiary Basin Transload has signed a pipeline connection agreement with Tesoro High Plains Pipeline, a unit of Tesoro Logistics.

Under the terms of the agreement, Tesoro Logistics will build, own and operate a new 4.1-mile pipeline lateral from its Dunn Center Station to Basin Transload’s facility in Beulah, North Dakota, US.

Crude oil is scheduled to begin flowing to the Beulah destination in the fourth quarter of 2014, boosting the facility’s ability to source product from a broader region.

Comprising 280,000 barrels of storage capacity, the facility connects through direct long-haul service to the West and Gulf Coasts through BNSF.

Global Partners president and chief executive officer Eric Slifka said that the Basin Transload’s and Tesoro Logistics agreement enhances the Beulah facility’s access to energy production in North Dakota.

"The pipeline connection will augment the volume of crude currently being transported from the wellhead to Beulah. The addition of pipeline access enhances the ratability of the terminal," Slifka added.