Seaway Open Season to Run Beyond Valentine's Day
Seaway Crude Pipeline Co. LLC has extended a binding open season for a planned system capacity expansion from Cushing, Okla., to the Texas Gulf Coast, the 50/50 joint venture of Enterprise Products Partners L.P. and Enbridge Inc. reported Wednesday.
As Rigzone reported last November, Seaway plans to add 200,000 barrels per day (bpd) or more of crude capacity on the pipeline system – primarily through pump upgrades. The firm also stated that it may make other enhancements for segregating heavy and light crude shipments. The open season began on Dec. 16, 2019, was slated to conclude on Feb. 14, 2020, but Seaway stated Wednesday that it will extend the period so that interested crude oil shippers can complete internal reviews.
Seaway also noted that it is weighing shipper feedback on the open season terms and may adapt the terms to allow the inclusion of additional crude types and other modifications. The JV did not reveal the new deadline in this week’s written statement but indicated that it will inform interested shippers with open season documents of any changes and notify them 30 days prior to the new close.
According to Seaway, up to 100,000 bpd of initial crude expansion capacity could be in service during the second half of this year. The JV added the full expansion could be complete in 2022, also stating that it will determine the final capacity for committed and uncommitted service during the open season.
The Seaway system links to pipelines, storage facilities and export terminals along the Gulf Coast and provides shippers with access to Texas oil refineries from Freeport to Beaumont/Port Arthur. The JV has completed a pipeline oil flow reversal – from northbound to southbound – and a series of expansions within the past decade.
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