A petition was submitted to the U.S. Federal Energy Regulatory Commission by Tallgrass Energy LP to expand capacity on its Pony Express crude pipeline by about 70,000 barrels per day.
The current capacity of the pipeline that runs from Guernsey, Wyoming to Cushing, Oklahoma is 400,000 barrels per day. 15,000 barrels per day of new capacity was made available to committed shippers in a recent open season and about 2,000 barrels per day of new capacity will be available for spot shipments.
The expansion will provide crucial capacity to relieve existing constraints that will intensify with the U.S. Energy Information Administration’s predicted production increases for the Bakken region, said Tallgrass.
The company also said that the expansion project will increase capacity to move crude sourced from the Bakken and Powder River basins for delivery to the Cushing oil hub, once placed in service.