Magellan Midstream Extends Supplemental Open Season for West
TULSA, Okla., Dec. 20, 2019 /PRNewswire/ -- Magellan Midstream Partners, L.P. (NYSE: MMP) announced today an extension of the supplemental open season to solicit additional commitments for transportation volume on the western leg of its refined petroleum products pipeline system in Texas. Binding commitments are now due by 5:00 p.m. Central Time on Jan. 3, 2020. The extension provides interested shippers additional time to make commitments.
Magellan is in the process of expanding the capacity of its west Texas refined products pipeline system to approximately 175,000 barrels per day (bpd) from its current capacity of 100,000 bpd. In addition, the partnership is currently building a new refined products terminal in Midland, Texas.
Based on the timing of current construction activities, Magellan expects both the west Texas refined products pipeline expansion and new Midland terminal to be operational in mid-2020.
Magellan's west Texas pipeline system primarily transports gasoline and diesel fuel to demand centers in Abilene, Midland/Odessa and El Paso, Texas as well as New Mexico. The pipeline system also can access markets in Arizona and Mexico via connections to third-party pipelines.
Subject to the results of the supplemental open season, Magellan is considering the addition of another 25,000 bpd of capacity on the west Texas pipeline, for a total capacity up to 200,000 bpd, which could be operational by the end of 2021.
For customer inquiries about the open season, please contact Trey Barrow at (918) 574-7480 or [email protected]. More information about the open season is available at www.magellanlp.com/whatwedo/liquidpipelinetariffs.aspx.
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.
Portions of this document constitute forward-looking statements as defined by federal law. Although management of Magellan Midstream Partners, L.P. believes such statements are based on reasonable assumptions, actual outcomes may be materially different. Among the key risk factors that may have a direct impact on the opportunity described in this news release are: (1) the ability to negotiate and sign definitive agreements with potential customers; (2) the ability to obtain all required rights-of-way, permits and other governmental approvals on a timely basis; (3) price fluctuations and overall demand for refined petroleum products; (4) changes in the partnership's tariff rates or other terms as required by state or federal regulatory authorities; (5) the occurrence of operational hazards or unforeseen interruptions; (6) disruption in the debt and equity markets that negatively impacts the partnership's ability to finance its capital spending and (7) willingness to incur or failure of customers or vendors to meet or continue contractual obligations to the partnership. Additional information about issues that could lead to material changes in performance is contained 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, 2018 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 heading "Risk Factors." 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 events or circumstances learned of or occurring after today's date.
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SOURCE Magellan Midstream Partners, L.P.