Phillips 66, Energy Transfer Partners and Sunoco Logistics Partners have formed a pipeline joint venture to deliver crude oil from Nederland, Texas to Lake Charles, Louisiana.
In addition to the Bayou Bridge Pipeline, the joint venture will also assess customer interest in an expanded service to the St James, La, market hub. Phillips 66 owns 40 percent of the venture, with Energy Transfer and Sunoco Logistics each holding 30 percent. Sunoco Logistics will operate the system.
The companies said construction is currently underway on the segment of the pipeline from the Nederland terminal to Lake Charles, which will have a 30 ins diameter and is expected to begin commercial operations in Q1 of 2016.
The three will also launch a binding expansion open season in Q3 2015 to assess additional shipper interest for service connecting existing terminals and refineries in and around St James. The results of the open season will be used to determine the size of the possible pipeline expansion to St James, which has an expected service date of second half of 2017.