Phillips 66 and Kinder Morgan Inc stated they’d closed the preliminary open season for a proposed refined merchandise pipeline from Texas to Arizona and would launch one other open season subsequent month.
The deliberate challenge, known as Western Gateway Pipeline, features a newbuild pipeline from Borger to Phoenix. This may be related to Kinder Morgan’s present SFPP pipeline from Colton, California, to Phoenix, Arizona, which might be reversed to movement to California, based on the companions.
The Phillips 66-operated Gold Pipeline, presently flowing from Borger to St Louis, would even be reversed to hold refined merchandise from Mid-Continent refineries to Borger and provide Western Gateway, based on the Western Gateway companions.
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Focused for completion 2029, Western Gateways has a deliberate capability of 200,000 barrels per day (bpd).
Launched October 20, the binding preliminary open season “obtained important curiosity, together with shipper commitments”, stated a joint assertion.
Kinder Morgan says on its web site that after the open season, the SFPP East Line will probably be collectively owned with Phillips 66.
“Primarily based on shipper curiosity, Phillips 66 and Kinder Morgan will launch a brand new open season for remaining capability on the Western Gateway system in January 2026, which can embrace an providing of recent vacation spot(s) west of Colton, California, by way of a joint tariff with an present SFPP line that will probably be reversed between Watson and Colton, California”, the assertion stated.
“By way of this joint tariff association, Western Gateway shippers will be capable to entry Los Angeles markets”.
Phillips 66 will construct the whole new part and the road from Borger to El Paso. Kinder Morgan will function the road from El Paso to its Phoenix, Arizona terminal and the rest of the road, based on the challenge web site.
Phillips 66 lately absolutely took over the Borger refinery in Texas, which produces as much as 100,000 bpd of gasoline and 70,000 bpd of distillates, as a part of its $1.4-billion buy of a further 50 % stake in WRB Refining LP from Cenovus Vitality Inc.
To contact the writer, electronic mail jov.onsat@rigzone.com
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