Kinder Morgan, Valero launch US Gulf products line
Construction of the 141-mile, 16-inch diameter Parkway Pipeline, a 50-50 joint venture between Kinder Morgan Energy and Valero Energy, is complete and is now transporting refined petroleum products from refineries in Norco, Louisiana, to an existing petroleum transportation hub in Collins, Mississippi, owned by Plantation Pipe Line Company.
Kinder Morgan owns 51% of Plantation Pipe Line Company and operates the system. From this hub, the products will be transported by multiple pipeline systems, including Plantation, that serve major markets in the eastern US.
The approximately $250 million pipeline system has an initial capacity of 110,000 bpd with the ability to expand to over 200,000 bpd.
"We are pleased to have completed the construction of Parkway on schedule with the help of good local working environments in both Louisiana and Mississippi, said Ron McClain, president of Kinder Morgan's pipeline business.
"This is an exciting project that provides greater connectivity between Gulf Coast refineries and East Coast markets with new pipeline infrastructure while also increasing local property tax revenues by almost $6 million," he added.
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