Magellan Midstream Launches Open Season for Potential Kansas-to-Colorado Refined Products Pipeline Expansion

Rhea-AI Summary

Magellan Midstream Partners, L.P. (NYSE: MMP) announced an open season to gauge firm interest in expanding its refined petroleum products pipeline from Kansas to Colorado. This expansion aims to increase the pipeline's capacity by 5,000 barrels per day, totaling approximately 65,000 bpd, with potential completion by late 2022. The current pipeline, spanning around 450 miles, transports fuels to key Colorado markets, including Denver and Colorado Springs. Interested customers must submit binding commitments by December 17, 2021.

Positive

• Expansion could increase pipeline capacity by 5,000 bpd, totaling approximately 65,000 bpd.
• Access to refined products from Midcontinent and Gulf Coast refineries will enhance service to Colorado markets.

Negative

• None.

TULSA, Okla., Nov. 18, 2021 /PRNewswire/ -- Magellan Midstream Partners, L.P. (NYSE: MMP) announced today that it has launched an open season to assess firm customer interest in the potential expansion of the partnership's refined petroleum products pipeline system from Kansas to Colorado. Interested customers must submit binding commitments by 5:00 p.m. Central Time on Dec. 17.

The approximately 450-mile pipeline segment currently transports various grades of gasoline, diesel fuel and jet fuel from El Dorado, Kansas to Denver, Colorado. Magellan's pipeline network is capable of further distributing these essential fuels safely and efficiently to key markets within Colorado, including Colorado Springs, the greater Denver metropolitan area as well as the Denver International Airport.

Expansion of the pipe segment would provide the Colorado market additional access to refined products from Midcontinent and Gulf Coast refineries via Magellan's extensive pipeline system.

The capital-efficient expansion would increase the pipeline's capacity by an estimated 5,000 barrels per day (bpd), to a new total capacity of approximately 65,000 bpd. The higher capacity could be available by late 2022 following the addition of incremental pumping capabilities.

For customer inquiries about the open season, please contact Kelly Taylor at (918) 574-7713 or mountainopenseason@magellanlp.com.

About Magellan Midstream Partners, L.P.
Magellan Midstream Partners, L.P. (NYSE: MMP) is a publicly traded partnership that primarily transports, stores and distributes refined petroleum products and crude oil. The partnership owns the longest refined petroleum products pipeline system in the country, with access to nearly 50% of the nation's refining capacity, and can store more than 100 million barrels of petroleum products such as gasoline, diesel fuel and crude oil. More information is available at www.magellanlp.com.

Except for statements of historical fact, this news release constitutes forward-looking statements as defined by federal law. Although management of Magellan Midstream Partners, L.P. believes such statements are based on reasonable assumptions, such statements necessarily involve known and unknown risks and uncertainties that may cause actual outcomes to be materially different. Factors that could lead to material changes in performance are described in the partnership's filings with the Securities and Exchange Commission, including the partnership's Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2020 and subsequent reports on Forms 8-K and 10-Q. You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, especially under the headings "Risk Factors" and "Forward-Looking Statements." Forward-looking statements made by the partnership in this release are based only on information currently known, and the partnership undertakes no obligation to revise its forward-looking statements to reflect future events or circumstances.

Contact:	Investors:	Media:
	Paula Farrell	Bruce Heine
	(918) 574-7650	(918) 574-7010
	paula.farrell@magellanlp.com	bruce.heine@magellanlp.com

 

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SOURCE Magellan Midstream Partners, L.P.

FAQ

What is the purpose of Magellan's open season announced on November 18, 2021?

Magellan is assessing firm customer interest in expanding its refined petroleum products pipeline from Kansas to Colorado.

What is the new capacity of the pipeline after the proposed expansion by Magellan Midstream?

The expansion aims to increase the pipeline's capacity by 5,000 barrels per day to a total of approximately 65,000 bpd.

What is the deadline for submitting binding commitments for the pipeline expansion?

Binding commitments must be submitted by 5:00 p.m. Central Time on December 17, 2021.

When is the expected completion date for the pipeline expansion by Magellan?

The expansion could be available by late 2022.

How long is the pipeline segment that transports fuels from Kansas to Colorado?

The pipeline segment is approximately 450 miles long.