By OGJ editors
HOUSTON, Mar. 10 -- Magellan Midstream Partners LP, Tulsa, plans to invest nearly $55 million to expand its products pipeline system and marine terminal business, which it acquired from Shell Oil Products US (OGJ Online, June 28, 2004).
Plans include the construction of a 40-mile pipeline to connect the National Cooperative Refining Association (NCRA) refinery in McPherson, Kan., to its existing pipeline system.
Magellan's 8,500-mile pipeline system currently can access more than 40% of the refining capacity in the US, including direct connections to 10 refineries. The pipeline expansion, to be operational by late 2006, will provide added flexibility to the Midwest and Rocky Mountain markets with petroleum products originating from the NCRA refinery, the company said.
Magellan also will add 1.2 million bbl of storage capacity at its Galena Park, Tex., marine terminal on the Houston Ship Channel. The facility's expansion is expected to be fully operational by yearend 2007.
