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Epic Reaffirms Startup in 3Q for Permian-to-Gulf Coast Oil Project

Epic Midstream Holdings LP said its crude oil pipeline, which is expected to provide much-needed takeaway service from the Permian Basin to the Texas coast, remains on schedule, with interim service beginning in 3Q2019 and permanent service in January 2020.

The San Antonio, TX-based company said it has secured all of the right-of-way (ROW) for the mainline of the Epic Crude Oil Pipeline, which would connect Crane, TX, with Corpus Christi. Initial delivery of 30-inch diameter pipe is expected by the end of the month, with construction to begin shortly thereafter. In a nod to ongoing tariffs on imported steel enacted by the Trump administration, the company said "all pipe has been ordered from domestic mills."

Epic announced last year that it would use a portion of a parallel natural gas liquids (NGL) system for the project through a lease agreement. The company said it expects "significant construction synergies between the crude and NGL pipeline given the same construction crews will be utilized over the same ROW.

"The company continues to work diligently with all governmental stakeholders and its shippers to ensure that all features of the project comply with current policies. The company is committed to addressing and resolving any issues that may arise during the ongoing administrative review process."

Epic does not foresee any problems obtaining the necessary regulatory approvals for the 700-mile pipeline, which would originate in Orla, TX, and terminate on the South Texas coast.

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