ExxonMobil, Plains All American Pipeline, L.P. (Plains), and Lotus Midstream, LLC recently announced they formalized the previously announced Wink to Webster Pipeline LLC Joint Venture (JV) and ordered approximately 650 miles of domestically sourced 36-inch-diameter line pipe.
The common-carrier pipeline system will provide more than 1 million barrels per day of crude oil and condensate capacity. It will provide transport for ExxonMobil and other Permian producers to market destinations in Texas. The project will be constructed from the Permian Basin in West Texas to the Texas Gulf Coast and will have origin points at Wink and Midland to multiple locations near Houston, including Webster and Baytown, with connectivity to Texas City and Beaumont. The JV noted that the project is underpinned by long-term commitments.
Plains will lead project construction on behalf of the JV and has initiated pre-construction activities. The project is expected to generate more than 3,100 construction jobs.
The project will be supported by new operational storage capacity at the origin points to facilitate the segregation of multiple crude qualities before shipment. It is targeted to begin operations in the first half of 2021.
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