Nustar, Texstar to Deliver Shale Oil to Gulf Coast via New Pipeline
04.06.2011 - NEWS

April 5, 2011 [OPIS] - NuStar Logistics LP and TexStar Midstream Services LP said on Tuesday that they have signed a letter of intent to develop a new pipeline system to transport Eagle Ford Shale crude and condensate to Corpus Christi.


TexStar will build and operate a new 65-mile, 12-inch pipeline that will have the capacity to move 120,000 b/d of crude and condensate from Frio County to Three Rivers.   TexStar will build at least two truck unloading facilities which will be located along the pipeline to gather crude oil produced in Atascosa, Frio, LaSalle, McMullen and Live Oak counties.  

At Three Rivers, the TexStar pipeline will be interconnected with a new storage facility to be constructed by NuStar.   That storage facility will be connected to NuStar’s existing 16-inch pipeline that will have the capacity to transport 200,000 b/d into NuStar’s Corpus Christi North Beach Terminal.  

That terminal has approximately 2 million bbl of storage capacity, and the Port of Corpus Christi Authority recently approved a land lease option agreement for 15 acres contiguous to the existing property, which will provide terminal expansion capabilities. TexStar and NuStar expect to complete construction and begin service on the projects in the second quarter of 2012.

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