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Koch Pipeline shareholders approve Eagle Ford oil line

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, Dec. 17 -- Koch Pipeline Co LP received final shareholder approval to build a pipeline into Karnes County, Tex., that will transport 120,000 b/d of Eagle Ford shale crude by late 2012. Engineering for the line to connect Eagle Ford producers to Corpus Christi, Tex., has begun, with construction pending permitting.

The 16-in. OD line will be expandable to more than 200,000 b/d and includes direct pipeline connections to producer tank batteries in Karnes and DeWitt counties. A new station, likely near Helena, Tex., will connect into Koch Pipeline’s existing crude system in Pettus and Refugio.

By yearend 2011, Koch plans to have completed several projects adding more than 140,000 b/d of pipeline capacity in South Texas.

The company is already building a line to expand delivery capability to Flint Hills Resources’ Ingleside waterborne terminal. It has also leased 30,000 b/d capacity from NuStar Logistics on a line from Pettus to Corpus Christi (OGJ Online, Oct. 19, 2010).

In August, in conjunction with Arrowhead Pipeline LP, Koch announced an agreement and joint tariff to add 50,000 b/d of oil and condensate capacity during 2011 from the western counties of the Eagle Ford trend.

Contact Christopher E. Smith at chriss@ogjonline.com.


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