Christopher E. Smith
OGJ Pipeline Editor
HOUSTON, June 2 -- SemGroup LP announced its 12-in. OD, 525-mile White Cliffs crude pipeline began commercial operations. The pipeline extends from Platteville, Colo., to SemGroup's storage at Cushing, Okla., from which it could be shipped to major US refining centers.
White Cliff's current capacity is about 30,000 b/d, expandable to more than 50,000 b/d. It includes at 100,000 bbl tank at Platteville to aggregate DJ basin-Wattenberg field production.
Production efforts at Wattenberg increased during 2008, with Anadarko Petroleum Corp. running 1,102 frac jobs in the gas and oil field, 60% more than in 2007 and a record for the field (OGJ Online, Feb. 6, 2009).
SemGroup owns 99.17% of White Cliffs Pipeline. Other partners are Anadarko Wattenberg Co. LCC 0.415% and Samedan Pipeline Corp. 0.415%
On May 15 SemGroup filed its plan of reorganization under Chapter 11 bankruptcy proceedings. The plan called for the distribution of about $2.27 billion in value to creditors, which would become owners of the reorganized company. SemGroup filed for Chapter 11 bankruptcy July 22, 2008, and expects to exit bankruptcy in the third quarter.
Contact Christopher E. Smith at [email protected].