UPDATE 1-Destin works on Pascagoula, Miss. gas plant for July 24 restart

Tue Jul 23, 2013 3:00pm EDT
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NEW YORK, July 23 (Reuters) - Destin Pipeline Co LLC on Tuesday said it continued to remove liquids from the Pascagoula liquid handling facility in Mississippi and estimates work will be completed on or around midday on Wednesday, versus a previous completion estimate of July 28.

Destin said in a website posting that the force majeure event on its natural gas pipeline system will be lifted when the work is completed and the Pascagoula plant will be able to restart operations.

The company added that there is still a significant amount of liquids remaining in their offshore Gulf of Mexico segment, and in the event that the remaining liquids exceed handling capacity, the system will be shut down again.

Destin on Sunday declared force majeure on an offshore portion of its pipeline system and said it would not be able to provide service through the Pascagoula plant.

The 225-mile Destin gas pipeline system is majority-owned by BP Plc's Amoco Destin Pipeline Co, with Enbridge Inc's Enbridge Offshore owning a 33 percent stake.

Trading sources told Reuters on Monday that BP's 250,000 barrel-per-day Thunder Horse oil production platform in the Gulf was shut while the work was done at the Pascagoula plant.