The company is also planning to construct a 20-inch loop line from Blacktip station to Wink, Texas.

A 32-mile, 12-inch line, with 100,000 barrels per day of capacity, will be built by the company in order to extend its Avalon pipeline in Loving County into Culberson County, Texas.

Scheduled for initial startup in July, the project, along with associated gathering system, will be fully operational in September 2015.

The 60-mile, 16-inch State Line pipeline will be constructed to transfer output from Culberson County to Wink, Texas, running along the Texas-New Mexico state line.

The 150,000 bpd State Line pipeline will connect Delaware Basin production in southern Eddy and Lea Counties in New Mexico and northern Loving, Reeves and Culberson counties in Texas to the existing network of PAA Permian Basin assets, the company said.

Scheduled to be commissioned in phases starting in early 2016 and concluding in mid-2016, the State Line and the associated gathering system will be fully operational by early 2016.

The Blacktip station expansion and pipeline loop will comprise construction of 200,000 barrels of new operational tankage and associated pumping, aimed at providing an additional 200,000 bpd of pipeline capacity from the Blacktip station to Wink.

The Blacktip station expansion and loop pipeline are planned for completion in August 2015.