The Basin Pipeline system, which is 87% owned and operated by PAA, transports crude oil produced in the Permian Basin of west Texas and southern New Mexico to Cushing, Oklahoma for further delivery to Mid-Continent and Midwest refining centers.

The expansion project, which principally consists of making modifications to the pumping capacity of the pipeline, will increase the capacity of the pipeline segment from Colorado City, Texas to Cushing, Oklahoma from its current capacity of 400,000 barrels per day to 450,000 barrels per day.

The project is expected to be completed by the first quarter of 2012.