Canadian Shipper


Genesis Energy, L.P. announces open season for new crude oil pipeline

HOUSTON, Tex.–Genesis Energy, L.P. has announced plans to conduct a binding open season to solicit shipper interest in making commitments to a new crude oil transportation pipeline originating at the Express Pipeline LLC terminal in Casper, Wyoming and delivering to Genesis Energy’s existing operational Pronghorn unit train loading facility north of Douglas, Wyoming.

“Our proposed Casper Express pipeline will offer shippers significant optionality to transport barrels by rail via both the BNSF Railway and Union Pacific Railroad. The pipeline will also afford shippers direct rail access to a majority of the crude oil unloading destinations across the country, which not only is cheaper, but also increases rail car utilization,” said Genesis Energy Chief Executive Officer Grant Sims. “As Canadian volumes continue to increase over time, along with local production, Pronghorn is best positioned long-term to provide shippers with the flexibility to load trains and facilitate the movement of these barrels directly to the most attractive markets.”

The pipeline will include an origin pump station in Casper, a future intermediate pump station and approximately 70 miles of pipeline. If it chooses to move forward, Genesis would expect the new pipeline to be in-service by mid-2015, said a release.

Pronghorn is the only rail loading facility in the emerging Powder River Basin and Central Wyoming served by both the BNSF Railway and Union Pacific Railroad. The facility is a double loop design with sufficient track to accommodate two 118-car unit trains at one time and has a flexible 14-car loading system capable of loading a unit train in less than 24 hours, with a target loading time of 15-18 hours. Given its location in the Powder River Basin, Pronghorn also has competitive access to local production via truck and Genesis’ existing crude oil gathering system, said the release.

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