Marathon Petroleum's Utica pipeline could spur more projects-exec

Wed Dec 4, 2013 9:28am EST
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HOUSTON Dec 4 (Reuters) - Marathon Petroleum Corp's planned 50-mile pipeline in Ohio's Utica shale play could lead to other projects to move condensate further west or into Canada, an executive told analysts on Wednesday.

The $140 million Utica pipeline project, dubbed Cornerstone, "could be the foundation for other projects to ship excess condensate west to refineries or on to Canada to use as a diluent," Garry Peiffer, executive vice president of corporate planning and investor and government relations, said during a webcast of the company's annual analyst meeting in New York.

Chief Executive Gary Heminger earlier told analysts that the company aims to invest aggressively in its midstream and retail segments to help balance the volatility of its refining segment.

Condensates are very light hydrocarbons that can be sold as crude oil, a diluent to blend into heavy Canadian crude, or processed in a condensate splitter and sold.