Hiland looks to expand Bakken crude pipeline

Hiland Crude LLC has launched an open season to solicit shipper interest for crude oil transportation on an expanded version of its Double H Pipeline, currently under construction in the Bakken shale. An initial open season in 2012 filled its 50,000 b/d base capacity.

Double H starts in the Bakken oil production areas near Dore, ND, and Sydney, Mont., and ends at Hiland’s storage in Guernsey, Wyo. The expansion would include new and increased-capacity pump stations, boosting capacity to as much as 100,000 b/d.

Double H will deliver oil into connecting pipelines in Guernsey, including the Tallgrass Pony Express Pipeline and other proposed interconnections, starting in this year’s fourth quarter. Tallgrass expects the 24-in. OD Pony Express to enter service in August, carrying as much as 320,000 b/d from Guernsey to Cushing, Okla. Tallgrass acquired Pony Express from Kinder Morgan Energy Partners LP in 2012 as part of the latter’s mandated divestitures following its acquisition of El Paso Corp. (OGJ Online, Aug. 20, 2012).

Hiland’s existing crude oil pipeline system connects to Crestwood Midstream Partners LP’s 120,000 b/d COLT Hub crude rail and pipeline terminal in Williams County, ND (OGJ Online, Oct. 10, 2013).