Energy Transfer Partners plans Bakken pipeline
NEW YORK, March 7
NEW YORK, March 7 (Reuters) - Energy Transfer Partners on Friday announced plans to build a pipeline that would transport oil from the Bakken shale in North Dakota to multiple refineries in the Midwest and Gulf Coast regions.
The plan follows failed attempts by other companies to build Bakken pipelines after the projects failed to attract enough shippers.
Dallas-based ETP said it will launch an open season on March 12 to assess market interest in the project. It did not say what capacity the pipeline will have and provided no further details on the project.
One of the pipeline's destinations will be Sunoco Logistics Partners' Nederland, Texas terminal.
Potential shippers that would like to receive copies of the open season documents and proposed tariffs must first sign a confidentiality agreement, according to a company press release.
A spokesman did not immediately respond to requests for comment.
Energy Transfer Partners is already developing another Bakken pipeline project that will convert segments of a 30-inch existing natural gas line, known as Trunkline, to crude oil transport.
The Trunkline conversion project is designed to take up to 420,000 barrels-per-day Bakken and Canadian crude from Patoka, Illinois to Boyce, Louisiana.
The Federal Energy Regulatory Commission (FERC) has approved Energy Transfer's plan to abandon segments of the natural gas line and the project will be in service by 2016 if it garners enough market interest, according to filings with regulators.
Companies such as Oneok Inc And Koch Pipeline Co. were unable to attract enough shippers for their proposed Bakken pipelines.
Koch scrapped plans for a 250,000 bpd pipeline from the Bakken region to Illinois in January, just months after Oneok shelved a $1.8 billion, 200,000 bpd Bakken-to-Cushing pipeline project.