Koch to hold Bakken-to-Illinois crude pipeline open season

Koch Pipeline Co. LP is holding the first phase of an open season for its 250,000-b/d Dakota Express Pipeline to transport Bakken crude oil from western North Dakota to Hartford and Patoka, Ill. Koch also intends to explore a connection at Patoka to the Eastern Gulf Crude Access Pipeline, which would be capable of delivering Bakken crude to eastern US Gulf Coast refineries. Dakota Express Pipeline would enter service in 2016.

Dakota Express would include new construction while also using Koch’s existing Wood River Pipeline and Hartford terminal. Wood River has historically transported crude oil south-to-north from Hartford to the Saint Paul, Minn. area. Koch has completed an engineering viability study on reversing its flow for use as part of the Dakota Express Pipeline system.

The nonbinding first phase of the open season will begin July 1 and last 45 days. If sufficient shipper interest is received in the first phase, Koch may proceed to the second phase, during which binding commitments would be sought. The project is subject to management approval and receipt of necessary permits.

Enbridge Inc. and Energy Transfer announced a joint development to move 420,000-660,000 b/d of crude by pipeline from Patoka to St. James, La., and the eastern Gulf Coast refining market by converting certain segments of Trunkline Gas Co. LLC’s system to liquids service. The conversion would create the first pipeline transportation option for moving crude to the eastern Gulf Coast from the US Midwest (OGJ Online, Feb. 20, 2013).

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

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