Andeavor announces development of Conan Crude Oil Gathering Pipeline system in Delaware Basin
SAN ANTONIO, TEXAS — Andeavor announced that it received sufficient commitments from third party shippers to warrant construction of the Conan Crude Oil Gathering Pipeline system in the Delaware Basin.
As previously announced, the Conan Crude Oil Gathering Pipeline system will be approximately 130 mi in length and transport crude oil from origins in Lea County, New Mexico and Loving County, Texas to a terminal to be constructed in Loving County, Texas, where the gathering system interconnects with long-haul pipeline carriers. The first phase of the Conan Crude Oil Gathering Pipeline system will provide capacity of approximately 250,000 bpd. Future phases of the system may expand capacity up to 500,000 bpd.
The system is under construction and is expected to begin commercial service in mid-2018. The estimated capital investment for the first phase of the gathering system is approximately $225 MM of which $75 MM is expected to be spent in 2017.
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