A new 30-inch pipeline slated to deliver barrels of crude oil from the Permian Basin to the Texas Gulf Coast began operational start-up this week, according to operator EPIC Crude Holdings LP.

The EPIC Crude Pipeline extends from the company’s terminal in Crane, Texas, to Corpus Christi with an initial capacity of about 600,000 barrels per day (bbl/d) of oil. The pipeline is expected to be in full service on April 1.

The built for purpose system will ultimately increase Permian takeaway by about 200,000 bbl/d vs. the interim service offered on EPIC’s converted NGL pipeline, according to analysts with Tudor, Pickering, Holt & Co. (TPH).

Further, the TPH analysts noted that the incremental Permian-Gulf Coast capacity lends further support to Midland pricing.

“Incremental Permian-Gulf Coast capacity at <$1.50/bbl tariff maintains pressure on already tightening Midland-Houston spreads,” the TPH analysts wrote in a Feb. 27 research note.

In conjunction with the start-up, EPIC also halted crude shipments on its 24-inch Y-Grade NGL pipeline. The company said it has begun the clean out process and transition of the pipeline back to NGL service, but did not provide a specific timeline.