EPP, Enbridge extend open season for Seaway expansion

Feb. 12, 2020
Seaway Crude Pipeline Co. LLC has extended a binding open season currently under way to gauge shipper support for expanded crude oil capacity on its existing system originating in Cushing, Okla. and extending to the Texas Gulf Coast area.

Seaway Crude Pipeline Co. LLC, a 50-50 joint venture owned by affiliates of Enterprise Products Partners LP and Enbridge Inc., has extended a binding open season currently under way to gauge shipper support for expanded crude oil capacity on its existing system originating in Cushing, Okla. and extending to the Texas Gulf Coast area. The open season which began Dec. 16, 2019, was originally scheduled to close Feb. 14 (OGJ Online, Nov. 25, 2019).

Seaway is also considering shipper feedback on the open season terms and may adapt the terms to allow for the inclusion of additional crude types, among other modifications.

The expansion could provide an incremental 200,000 b/d, or more, of light crude capacity and include further quality enhancements in the segregation of heavy and light crude shipments. It would debottleneck and optimize the system, principally through pump upgrades. Further expansion is possible, depending on customer demand.

Up to 100,000 b/d of initial light crude expansion capacity could be available beginning in the second half of 2020, with the expansion fully in-service in 2022. The final capacity for committed and uncommitted service would be determined during the open season.

Seaway is offering a competitive fee schedule, starting at $0.99 per barrel for light crude oil pipeline transportation from Cushing. Fees will vary depending on volume, destination, and term.

Seaway features access to a fully integrated midstream network of pipelines, storage facilities, and export terminals along the Gulf Coast and provides connectivity to every refinery in Houston, Freeport, Texas City, and Beaumont/Port Arthur.