ExxonMobil Corp. and Plains All American Pipeline LP (PAA) have signed a letter of intent to build a common-carrier pipeline to transport more than 1 million b/d of crude oil and condensate from multiple locations in the Permian basin to the Texas Gulf Coast.
The pipeline would feature loading points in both Wink and Midland, Tex. and delivery points in Webster, Baytown, and Beaumont, Tex.
The companies said existing pipeline corridors would be used when possible, to limit potential community and environmental disruptions.
PAA earlier this year concluded an open season to build its 585,000-b/d Cactus II crude oil pipeline system between the Permian basin and Corpus Christi-Ingleside, Tex., with 545,000 b/d fully committed under long-term third-party shipper agreements. The company expects Cactus II, which also has an origin point in Wink, to enter service in third-quarter 2019 (OGJ Online, Feb. 23, 2018).
