The 12in wide and 527 mile long pipeline will enable the company to deliver crude oil from Platteville in the US state of Colorado to the storage facility of Rose Rock Midstream in Cushing, Oklahoma.
SemGroup chief executive officer Norm Szydlowski said the company as secured binding contracts with shippers for the pipeline expansion project.
"The expansion of the White Cliffs Pipeline will help meet a growing demand for midstream services in the Denver Julesburg Basin by increasing the current pipeline capacity from approximately 70,000 bpd to about 150,000 bpd," Szydlowski added.
The pipeline is expected to begin service in the first quarter of 2014, once it receives certain regulatory approvals.
SemGroup holds 51% ownership in White Cliffs Pipeline whereas Plains All American Pipeline owns 34%, Western Gas Partners has 10% and Noble Energy possesses 5%.
