Phillips 66, Enbridge plan west Texas crude pipeline

By Patrick C. Miller | December 14, 2017

Phillips 66 and Enbridge Inc. are planning a pipeline that will provide Permian Basin producers with access to more than 3 million barrels per day of refining capacity and export opportunities from Gulf Coast ports.

The two companies last week announced open season on the Gray Oak Pipeline, which will have origination stations in Reeves, Loving, Winkler and Crane counties of west Texas for transport to Corpus Christi, Freeport and Houston—ports with multiple dock facilities capable of crude oil exports.

The pipeline is expected to have an initial throughput capacity of 385,000 barrels per day. Phillips 66 and Enbridge said they will evaluate expansion of the system, depending on shipper interest in the open season. The pipeline system is anticipated to be placed in service during the second half of 2019.

Before participating in the open season, interested parties must execute a confidentiality agreement to govern the receipt of the open season documentation.

Headquartered in Houston, Phillips 66 is an energy manufacturing and logistics company with midstream, chemicals and refining businesses that process, transport, store and market fuels and products globally. Enbridge is a North American energy infrastructure company based in Canada with a network of oil, liquids and natural gas pipelines, regulated natural gas distribution utilities and renewable power generation.