ExxonMobil, Plains All American and Lotus Midstream Proceeding with Wink to Webster Pipeline
HOUSTON--(BUSINESS WIRE)--Jan 30, 2019--ExxonMobil, Plains All American Pipeline, L.P. (Plains), and Lotus Midstream, LLC announced today they have formed the Wink to Webster Pipeline LLC Joint Venture (JV) and have ordered nearly 650 miles of domestically sourced 36-inch-diameter line pipe. The new common-carrier pipeline system will provide more than 1 million barrels per day of crude oil and condensate capacity and will be constructed from the Permian Basin in West Texas to the Texas Gulf Coast.
The Wink to Webster Texas-based pipeline system will have origin points at Wink and Midland to multiple locations near Houston, including Webster and Baytown, with connectivity to Texas City and Beaumont. The project is underpinned by a significant volume of long-term commitments and is targeted to commence operations in the first half of 2021.
Plains will lead project construction on behalf of the JV and has already initiated pre-construction activities. The JV anticipates the project will generate more than 3,100 construction jobs. Priority will be placed on utilizing existing pipeline corridors and advanced construction techniques to help limit community and environmental impacts.
The Wink to Webster Pipeline will provide safe, reliable and cost-effective transport for ExxonMobil and other Permian producers to market destinations in Texas. The project will be supported by new operational storage capacity at the origin points to facilitate the segregation of multiple crude qualities prior to shipment. Once online, the project will play a critical role in supporting growing production in one of the world’s most prolific crude oil basins.
ExxonMobil, the largest publicly traded international oil and gas company, uses technology and innovation to help meet the world’s growing energy needs. ExxonMobil holds an industry-leading inventory of resources, is one of the largest refiners and marketers of petroleum products, and its chemical company is one of the largest in the world. For more information, visit www.exxonmobil.com or follow us on Twitter www.twitter.com/exxonmobil.
About Plains All American Pipeline
Plains All American Pipeline, L.P. (NYSE: PAA) is a publicly traded master limited partnership that owns and operates midstream energy infrastructure and provides logistics services for crude oil, NGLs and natural gas. PAA owns an extensive network of pipeline transportation, terminalling, storage, and gathering assets in key crude oil and NGL producing basins and transportation corridors and at major market hubs in the United States and Canada. On average, PAA handles more than 5 million barrels per day of crude oil and NGL in its Transportation segment. PAA is headquartered in Houston, Texas. More information is available at www.plainsallamerican.com.
About Lotus Midstream
Based in Sugar Land, Texas, Lotus Midstream is an independent energy company focused on the development of midstream infrastructure and services necessary to transport crude oil and condensate from the wellhead to market. Lotus owns the Centurion Pipeline System, a large-scale, integrated network of approximately 3,000 miles of crude oil gathering and transportation pipelines that extends from southeast New Mexico across the Permian Basin of West Texas to Cushing, Oklahoma. Lotus Midstream is backed by EnCap Flatrock Midstream. For more information please visit www.lotusmidstream.com.
Statements that reference future events or conditions in this press release are forward-looking statements. Actual future results, including project plans and capacities may differ significantly depending on changes in oil or gas prices and other market or economic factors that affect the petroleum industry; the outcome of commercial negotiations; unexpected technical difficulties or other technical or operating factors; the actions of governmental authorities or regulatory agencies; the actions of competitors; and other factors listed under the heading “Factors Affecting Future Results” on the Investor page at the ExxonMobil website at www.exxonmobil.com.
Certain matters discussed in this release are forward-looking statements that involve risks and uncertainties that could cause actual results or outcomes to differ materially from results or outcomes anticipated in the forward-looking statements. These risks and uncertainties include, among other things, shortages, cost increases or delay in receipt of supplies, materials or labor; failure to implement or capitalize, or delays in implementing or capitalizing, on expansion projects, whether due to permitting delays, permitting withdrawals or other factors; the impact of current and future laws, rulings, orders, governmental regulations, accounting standards and statements and related interpretations; weather interference with business operations or project construction, including the impact of extreme weather events or conditions; environmental liabilities, issues or events that result in construction delays or otherwise impact targeted in-service dates; interruptions in service on third-party pipelines or facilities; general economic, market or business conditions and the amplification of other risks caused by volatile financial markets, capital constraints and pervasive liquidity concerns; and other factors and uncertainties inherent in the transportation, storage, terminalling and marketing of crude oil as discussed in PAA’s filings with the Securities and Exchange Commission.
View source version on businesswire.com:https://www.businesswire.com/news/home/20190130005219/en/
CONTACT: Wink to Webster Pipeline LLC
KEYWORD: UNITED STATES NORTH AMERICA TEXAS
INDUSTRY KEYWORD: ENERGY OIL/GAS
SOURCE: Plains All American Pipeline, L.P.
Copyright Business Wire 2019.
PUB: 01/30/2019 08:30 AM/DISC: 01/30/2019 08:30 AM