February 21, 2011 / 7:08 PM / 7 years ago

Kinder Morgan rations space on Trans Mountain

CALGARY, Alberta (Reuters) - Kinder Morgan Energy Partners is again rationing capacity on its Trans Mountain pipeline system, which takes Alberta crude to southern British Columbia and Washington’s Puget Sound, as shippers wanted to put more oil on the line than it could carry.

Kinder Morgan said on Monday that it cut back shipper nominations for space on the system next month by 25 percent, meaning the system’s customers will only get to ship 75 percent of the volumes requested.

Capacity on Canadian oil pipelines has been tight since this summer, when two of Enbridge Inc’s major lines in the U.S. Midwest ruptured, backing crude up in Alberta.

Kinder Morgan said the accepted volumes on the system next month are 300,550 barrels per day for the Trans Mountain line, 174,400 bpd for Puget Sound and 49,200 bpd for the Westridge Dock.

Reporting by Scott Haggett; Writing by Nicole Mordant

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