Kinder Morgan Freedom Pipeline LLC, a subsidiary of Kinder Morgan Energy Partners LP, is conducting a binding open season to determine industry interest in the development of an oil pipeline to transport crude oil from the Permian basin of West Texas to serve the refining complexes of northern and southern California. The Kinder Morgan Freedom Pipeline is the only westbound crude oil pipeline proposed from the Permian Basin and would enable the transportation of crude oil from the Wink-Midland, Texas, area to anticipated intrastate pipeline interconnection locations near Emidio and Pentland, California. As currently conceived, the project would have an initial capacity of approximately 277,000 barrels per day.
Subject to receiving customer support and regulatory approvals, construction of crude oil facilities and natural gas replacement facilities owned by Kinder Morgan affiliate El Paso Natural Gas Company LLC could begin by June 2015, with in-service of the Kinder Morgan Freedom Pipeline planned in the late fourth quarter of 2016.
Construction of the Kinder Morgan Freedom Pipeline largely will be within, or co-located adjacent to, existing utility rights-of-way for almost its entire approximately 1,025-mile length, which will minimize environmental impacts. As currently planned, the Kinder Morgan Freedom Pipeline
Project will consist of the following major components:
• Conversion to crude oil service of approximately 740 miles of existing natural gas pipeline currently owned by EPNG, as well as a return to service of inactive EPNG lines and construction of new crude pipeline and pumping stations;
• Construction of approximately 22 miles of new pipeline for interconnections in California and approximately 200 miles of pipeline between Wink and El Paso, Texas; and
• Construction of operational tank facilities in the receipt area of Wink and Midland, Texas, and at the points of delivery in California.
EPNG currently operates a multiple pipeline system that transports natural gas between the Permian Basin in West Texas and San Bernardino County, California. Kinder Morgan Freedom Pipeline is planning to pursue the acquisition of required pipelines owned by EPNG, subject to approval from the Federal Energy Regulatory Commission, and make improvements to such lines that will enable Kinder Morgan Freedom Pipeline to transport crude oil from West Texas to anticipated intrastate pipeline interconnection locations near Emidio and Pentland, California.
In order to participate in the open season, parties must have executed and delivered a confidentiality agreement and nomination of interest to Kinder Morgan by the close of the open season at 5 p.m. CDT, May 2.
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