NuStar extends South Texas Crude Oil pipeline open season

NuStar Energy LP’s affiliate, NuStar Logistics LP, will extend its South Texas Crude Oil pipeline open season to Sept. 30 from Aug. 30. NuStar is assessing shipper interest in committed space to transport Eagle Ford shale crude oil from terminal locations in Frio, McMullen, and La Salle counties to its Corpus Christi North Beach dock terminal for waterborne shipment. Shippers would also be able to access refineries along the route.

The South Texas Crude Oil pipeline and Corpus Christi terminal combined make up the South Texas System project, a two-phase capacity upgrade to pipeline segments between NuStar’s Gardendale terminal in LaSalle County, Tex., and its Corpus Christi terminal. Phase 1 would add 35,000 b/d and Phase 2 65,000 b/d for a total incremental expansion of 100,000 b/d, 90,000 b/d of which is available to committed shippers.

NuStar expects Phase 1 to enter service third-quarter 2014 and Phase 2 first-quarter 2015, pending sufficient interest and regulatory approvals.

NuStar bought the Gardendale terminal last year as part of a larger acquisition of crude oil pipeline, gathering, and storage, and NGL assets in the Eagle Ford shale from TexStar Midstream Services LP (OGJ Online, Nov. 9, 2012).

Contact Christopher E. Smith at chriss@ogjonline.com.

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