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BKEP Provides Pipeline Transportation Services to XTO

Source: www.gulfoilandgas.com 5/1/2012, Location: North America

Blueknight Energy Partners, L.P. "BKEP", a midstream energy company focused on providing integrated services for companies engaged in the production, distribution and marketing of crude oil, asphalt and other petroleum products, announced plans to construct a crude oil pipeline as part of a long-term transportation agreement with XTO Energy Inc., a subsidiary of ExxonMobil Corporation.

In connection with the agreement, BKEP will construct a 65-mile pipeline from southern Oklahoma to Wynnewood, Oklahoma, where it will intersect with an existing BKEP pipeline. The pipeline will transport committed XTO crude oil production from the Woodford Shale area in Southern Oklahoma to BKEP's crude oil terminal in Cushing, Oklahoma.

"We're pleased to have the opportunity to provide XTO with an efficient and reliable way to transport their crude oil production from the Woodford Shale to the market hub in Cushing, Oklahoma," said J. Michael Cockrell, Blueknight Energy Partners' president and chief operating officer. "The new pipeline and associated infrastructure represents a significant expansion of our Oklahoma mainline system and positions the company to pursue additional crude oil transportation opportunities throughout southern Oklahoma."

BKEP expects construction of the new pipeline and associated enhancements to its Oklahoma mainline system to begin this quarter with completion targeted early-mid 2013 at an approximate total cost of $37 million.

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Related Categories: General  LNG Carriers  LNG Terminal  Natural Gas Storage  Oil and Gas Pipeline  Oil Storage  Railways  Tank Truck  Tankers 

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