Saddle Butte launches binding open season for Rockies South Pipeline

Saddle Butte Rockies Midstream LLC

Saddle Butte Rockies Midstream LLC, a wholly owned subsidiary of Saddle Butte Pipeline II LLC, has begun a binding open season for the Rockies South Pipeline, a new interstate pipeline designed to transport multiple grades of crude oil and condensate produced in the Denver-Julesburg Basin (DJ Basin) to points in Cushing, Oklahoma.

Over the past several months, Saddle Butte has been actively negotiating commitments with potential shippers, including a major integrated oil and gas company. Saddle Butte believes these potential commitments will provide the needed commercial support to proceed with the Rockies South Pipeline.

Rockies South Pipeline would extend 600 miles from various receipt points in Weld County, Colorado, and terminate in Cushing. The integrated oil and gas company has made available its extensive network of storage assets at Cushing.

The project has a preliminary design capacity of up to 250,000 barrels per day. Saddle Butte will increase the project’s design capacity if sufficient commitments are received in the open season.

Subject to a successful open season and receipt of necessary permits and approvals, Rockies South Pipeline is expected to become operational in the third quarter of 2016.

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