HOUSTONSeaway Crude Pipeline Company LLC Feb. 12 announced an extension of a binding open season currently under way for committed service on expansion capacity of its system originating in Cushing, Okla., and extending to the Texas Gulf Coast.

The open season, which began Dec. 16 with the intent to close on Feb. 14, is being extended to allow interested shippers to complete internal review processes. 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. Seaway will promptly inform all interested shippers with open season documents of any changes, as well as provide notice 30 days prior to the new close.

The cost-efficient expansion would debottleneck and optimize the system, principally through pump upgrades. The expansion could provide an incremental 200,000 barrels per day (bbl/d) or more, of crude oil capacity and include further quality enhancements in the segregation of heavy and light crude shipments.

Further capacity expansion is possible, depending on customer demand. Up to 100,000 bbl/d of initial crude expansion capacity could be available beginning in the second half of 2020, with the expansion in full 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.

Additional details, including the open season terms and the required transportation services agreement form, will be distributed to potential shippers who execute a confidentiality agreement. Interested shippers should direct commercial inquiries and requests for information to Shane Sullivan at (713) 381-6550 or spsullivan@eprod.com.