Jupiter Pipeline slated for 2021 startup
The Jupiter Pipeline will extend for 650 miles, at 36 inches
in diameter. The pipeline will start near Crane, Texas – near the Midland Odessa
Basin in the heart of the Permian – and proceed southeast to another intake
point in Three Rivers, Texas within the Eagle Ford shale region.
The project is expected to be operational in the third quarter
of 2020, with origination points near Midland, Pecos and Crane, and offtake
points near Three Rivers. The company is planning to build a loading facility
for VLCCs 6 miles (10 km) off the coast near Brownsville, which is due to come
online in early 2021.
It cleared all government regulatory hurdles last May, with
permits to also construct more than 2.8 million barrels of storage in
Brownsville. Permits are on file to add 6 million barrels, providing more than
10 million barrels of total storage capacity.
The company was also working to secure a permit to construct a
170,000 barrel per day facility to process domestic crude oil into U.S gasoline
and diesel fuel.
“We are excited about our investment in the Jupiter pipeline
along with Jupiter management and our investment partners,” said Adrayll Askew,
Charon partner. “We are fully committed to Jupiter’s long term global strategy
that focuses on integration of the midstream supply chain and distribution of
Permian crude oil to the world.”
Todd Staples, president of the Texas Oil and Gas Association
said pipeline projects are essential to continued growth across the Permian
Basin.
The growth in southeast New Mexico and West Texas, he said, is
driving the U.S. to be a global leader in energy production.
“The Permian Basin is the most prolific oil field in the
nation, and has made the U.S. the global energy leader," Staples said.