Plains All American’s Capline crude pipeline is expected to begin service in the third quarter of 2020, according to an announcement by the company on Tuesday.
The U.S. Midwest to Gulf Coast pipeline has the target in-service date for light oil service in third quarter 2020 while heavy oil service is expected in early 2022.
“The capacity from Cushing, Okla. down to St. James, Lou. should be available on a quicker time frame than heavy moving down from Illinois,” Chief Executive Officer Willie Chiang said on the call.
The Cushing to St. James shipment would include 200,000 barrels a day of expansion, pending a successful open season, and a modest extension of the Diamond JV pipeline that will connect to Capline, Plains said.
Currently, Capline is the largest crude pipeline running from the Gulf Coast to refineries in the Midwest. Volume on Capline have sharply declined as the U.S. shale boom pushed inland crude to East Coast and Gulf Coast.