Magellan Midstream Launches Open Season for Potential New Mexico Refined Products Pipeline Expansion

Rhea-AI Summary

Magellan Midstream Partners, L.P. (NYSE: MMP) has launched an open season to gauge customer interest for expanding its New Mexico refined petroleum products pipeline. Interested customers must submit binding commitments by March 19, 2021. The nearly 250-mile pipeline fetches gasoline and diesel from El Paso, Texas to Albuquerque, New Mexico. The proposed expansion could increase capacity by over 5,000 barrels per day, pushing total capacity beyond 30,000 bpd, potentially available by late 2022.

Positive

• Planned expansion could increase pipeline capacity by over 5,000 barrels per day.
• Total capacity post-expansion may exceed 30,000 barrels per day.
• Expansion aligns with market demand for refined products in New Mexico.

Negative

• None.

TULSA, Okla., Feb. 16, 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 New Mexico refined petroleum products pipeline. Interested customers must submit binding commitments by 5:00 p.m. Central Time on March 19.

The nearly 250-mile pipeline segment currently transports various grades of gasoline and diesel fuel from Magellan's terminal in El Paso, Texas to terminals in Albuquerque, New Mexico owned by Marathon and Vecenergy. Expansion of the pipe segment would provide the New Mexico market additional access to refined products from El Paso-area and Gulf Coast refineries via Magellan's extensive pipeline system.

The capital-efficient expansion would increase the pipeline's capacity by more than 5,000 barrels per day (bpd), to a new total capacity in excess of 30,000 bpd. The higher capacity could be available in late 2022 following the addition of incremental pumping capabilities.

For customer inquiries about the open season, please contact Trey Barrow at (918) 574-7480 or trey.barrow@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 more than 40% of the nation's refining capacity, and can store over 80 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, 2019 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

 

View original content to download multimedia:http://www.prnewswire.com/news-releases/magellan-midstream-launches-open-season-for-potential-new-mexico-refined-products-pipeline-expansion-301228415.html

SOURCE Magellan Midstream Partners, L.P.

FAQ

What is the open season launched by Magellan Midstream Partners for its New Mexico pipeline?

Magellan Midstream Partners has launched an open season to assess customer commitment for the potential expansion of its New Mexico refined products pipeline.

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

The deadline for submitting binding commitments is March 19, 2021, at 5:00 p.m. Central Time.

What is the current capacity of the New Mexico refined products pipeline?

The current capacity of the New Mexico refined products pipeline is approximately 25,000 barrels per day.

When could the increased capacity be available for the New Mexico pipeline?

The increased capacity could be available by late 2022 following the addition of incremental pumping capabilities.

How long is the New Mexico refined products pipeline segment?

The New Mexico refined products pipeline segment is nearly 250 miles long.