NEW YORK, Oct 25 (Reuters) - White Cliffs Pipeline LLS said on Thursday it has received sufficient shipping commitment to expand its Colorado-to-Cushing crude pipeline.
The pipeline’s capacity, which currently carries 70,000 barrels per day of crude from the Denver-Julesberg basin in Colorado to the oil storage hub in Cushing, Oklahoma, will be increased to 150,000 bpd.
Increasing production from the mature fields in the D-J basin due to better drilling technology has necessitated additional crude transportation.
The expanded pipeline is expected to be in service during the first half of 2014, subject to approval from the Federal Energy Regulatory Commission and other regulatory bodies.
Rose Rock Midstream LP, SemGroup’s master limited partnership, will operate the expanded line.
SemGroup holds a 51 percent stake in the line, with Plains All American Pipeline owning 34 percent, Western Gas Partners holding a 10 percent stake and Noble Energy holding 5 percent.