Medallion launches binding open season for Midland expansion

Medallion Pipeline on Tuesday initiated a binding open season for a two-part expansion of its existing crude oil pipeline system in the Midland Basin, Kallanish Energy learns.

The project includes the Wolfcamp Expansion, which will nearly double the capacity of Medallion’s existing Wolfcamp Connector mainline; and the Howard Expansion, which will increase the capacity of the existing Howard Lateral.

The Wolfcamp Expansion consists of a 16-inch partial loop of the Wolfcamp Connector mainline in the Texas counties of Howard, Glasscock, Mitchell and Scurry. The expansion will commence at the existing Howard-Wolfcamp Interconnect and extend 47 miles to the Colorado City Hub, where Medallion interconnects with several third-party carriers.

The expansion will nearly double the existing capacity on the Wolfcamp Connector mainline, from 105,000 barrels per day (BPD), to 200,000 BPD.

Irvin, Texas-based Medallion also will expand the capacity of the existing bidirectional Howard Lateral in Glasscock and Howard counties to 85,000 BPD, from the existing 60,000 BPD capacity.

The overall expansion project is expected to commence partial operation in the third quarter, and full operation by the end of 2017.

The open season ends on June 9.