NEW YORK, March 1 (Reuters) - Enterprise Products Partner and Enbridge Inc are planning to build a pipeline to move crude coming down the reversed Seaway pipeline from its terminus in Jones Creek, Texas to Enterprise’s ECHO terminal.
“The reversed line will bring crude to Jones Creek, northwest of Freeport,” said Brad Shamla, an executive with Canada’s Enbridge.
“We are shipping crude out over a dock to other destinations on the Gulf Coast,” he said.
The purging of the 500-mile (805-km) pipeline is ahead of schedule. The pipeline will begin by carrying 150,000 barrels per day by June 1 from the oil hub of Cushing, Oklahoma to Gulf Coast refineries, said Shamla.
The pipeline is the first of several projects to siphon the glut of crude oil sitting in Cushing to the refineries along the Gulf Coast.
The reversed Seaway pipeline capacity is expected to grow 400,000 bpd in 2014 but could increase more if the current open season seeking more firm shipping commitments is successful. .
Enterprise’s ECHO terminal along the Houston Ship Channel will be ready to receive the oil. When completed, the terminal will hold 6 million barrels. (Reporting By Janet McGurty; Editing by Marguerita Choy)