Diamond Pipeline LLC has received approval from the Arkansas Public Service Commission to build its 440-mile crude oil pipeline across five intrastate waterways, including the Arkansas and Mississippi rivers.
The commission filed its approval on August 31, a decision made after Diamond Pipeline settled a $6.6-million deal with Clarksville Light and Water Company last month to resolve conflict the utility had about the proposed pipeline pathway.
Under the deal, Diamond Pipeline will extend a pipe that feeds a water-intake facility that is north of the oil pipeline’s route, helping keep waterways safe from contamination.
The $900-million pipeline is a joint venture between Plains All American Pipeline and Valero Energy Corporation. It will move oil from Cushing, Oklahoma, to Valero’s refinery in Memphis, Tennessee and have a capacity of 200,000 barrels per day.
Construction is planned to start this year and finish in 2017.