TULSA,
Okla. – Magellan Midstream Partners, L.P.
(NYSE: MMP) announced today that it plans to construct new pipeline and
terminal infrastructure at the partnership’s Galena Park, Texas terminal to originate
crude oil to Magellan’s Gulf Coast crude oil distribution system for delivery
to refineries in the Houston and Texas City area.
“We are pleased to add
crude oil as a service offering at our Galena Park terminal, continuing to
expand Magellan’s growing crude oil footprint,” said Michael Mears, chief
executive officer. “Our Galena Park facility is ideally situated to handle crude
oil for delivery to the Gulf Coast refinery hub via Magellan’s own pipeline network.”
This project, estimated to cost approximately
$50 million, is supported by long-term committed volumes and is expected to be fully
operational by mid-2014 subject to necessary permitting.
About
Magellan Midstream Partners, L.P.
Magellan
Midstream Partners, L.P. (NYSE: MMP) is a publicly traded partnership that primarily
transports, stores and distributes petroleum products. The partnership owns the
longest refined petroleum products pipeline system in the country, with access
to more than 40% of the nation’s refining capacity, and can store 80 million
barrels of petroleum products such as gasoline, diesel fuel and crude oil. More
information is available at www.magellanlp.com.
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Forward-Looking
Statement Disclaimer
Portions
of this document constitute forward-looking statements as defined by federal
law. Although management believes any such statements are based on reasonable
assumptions, there is no assurance that actual outcomes will not be materially
different. Among the key risk factors associated with the project that may have
a direct impact on the partnership’s results of operations and financial
condition are: (1) its ability to obtain all required permits and regulatory
approvals on time; (2) its ability to complete construction of the project on
time and at expected costs; (3) price fluctuations and overall demand for crude
oil in the United States; (4) changes in the partnership’s tariff rates or
other terms imposed by state or federal regulatory agencies; (5) shut-downs or
cutbacks at major refineries or other businesses that use or supply the partnership’s
services; (6) the occurrence of an operational hazard or unforeseen
interruption for which the partnership is not adequately insured; (7)
disruption in the debt and equity markets that negatively impacts the
partnership’s ability to finance its capital spending and (8) failure of
customers to meet or continue contractual obligations to the partnership.
Additional information about issues that could lead to material changes in
performance is contained in the partnership's filings with the Securities and
Exchange Commission, including the partnership’s Annual Report on Form 10-K for
the fiscal year ended Dec. 31, 2011. The partnership undertakes no obligation
to revise its forward-looking statements to reflect events or circumstances
occurring after today's date.
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