Exports and WTI

Phillips 66 Partners is launching an open season Tuesday to gauge interest in additional crude oil transportation capacity from the Permian Basin to South Texas.

The new takeaway capacity along the Gray Oak Pipeline would terminate in Victoria, 85 miles northeast of Corpus Christi. In-service is targeted in the first half of 2022.

The 850-mile Gray Oak began limited operations in November 2019, from West Texas to Central Junction near Three Rivers, about 75 miles southeast of San Antonio. It has since expanded service to include more grades of crude and extends south and east to the coast.

Work to connect Eagle Ford production to Gray Oak was completed this summer, expanding the system to deliver up to 900,000 b/d to destinations including Buckeye Partners LP’s South Texas Gateway Terminal, which went online July in Ingleside, and the Phillips 66 Sweeny Refinery.

Last year, Phillips 66 said that it would add delivery points on Kinder Morgan Crude & Condensates LLC’s system at or near the Houston Ship Channel. The Cactus II and Epic crude oil pipelines also started operations last year.For more information on the Gray Oak expansion, contact GrayOak@P66.com.