Energy Transfer Partners Says Restores Power To West Texas Facility
Friday Jun 08, 2018  
URL: https://www.rigzone.com/news/wire/energy_transfer_partners_says_restores_power_to_west_texas_facility-08-jun-2018-155876-article/

Reuters

HOUSTON, June 8 (Reuters) - Pipeline operator Energy Transfer Partners has restored power to a pumping station in West Texas and is in the process of restarting operations on two crude pipelines impacted by an outage following storms, a company spokeswoman said on Friday.

The storms knocked out the company's Colorado City pumping station and storage facility, and impacted its West Texas Gulf and Permian Express II pipelines, the spokeswoman said.

Operations would be restored shortly, the spokeswoman added.

The West Texas Gulf crude pipeline runs from Colorado City to Goodrich, Texas and the Permian Express II runs from origin points in West Texas to Nederland, Texas near the U.S. Gulf Coast.

News of the outages weakened WTI Midland differentials further on fears of more barrels being backed up in the region. WTI Midland weakened to trade as much as $9 a barrel under benchmark U.S. crude futures during the session.

WTI at East Houston, also known as MEH , strengthened on expectations of reduced flows to the region before easing to trade at about $8.20 a barrel over WTI.

The BridgeTex pipeline, a joint venture between Magellan Midstream Partners LP and Plains All American Pipeline LP which moves crude oil from West Texas to East Houston was also shut and decreased power consumption was observed late on Thursday, market intelligence firm Genscape reported.

BridgeTex was recently expanded from 300,000 bpd to a capacity of 400,000 bpd and is expanding again to about 440,000 bpd, to be operational in early 2019.

Traders said other lines affected include the Mesa Pipeline crude oil system and the 450,000 bpd Basin pipeline, which runs from the Permian basin, to Cushing, Oklahoma.

Plains, Magellan and Enterprise Products Partners did not immediately respond to requests for comment.

(Reporting by Liz Hampton in Houston and Devika Krishna Kumar in New York; editing by Chizu Nomiyama and Diane Craft)

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