SAN ANTONIO - January 21, 2015 - Tesoro Logistics LP (NYSE:TLLP) ("TLLP") announced today that in response to requests from potential shippers, the Partnership is extending the binding open season, to assess shipper interest in firm priority capacity on the Tesoro High Plains Pipeline system ("THPP") in North Dakota, until February 20, 2015 at noon CST.
THPP Expansion and Binding Open Season
As previously announced, the proposed THPP capacity expansion would provide additional pipeline capacity of approximately 50,000 barrels per day (bpd) from various points south of Lake Sakakawea to Ramberg Station, with an expected in-service date during the second quarter of 2016. This project, in addition to the previous open season successfully commissioned in 2014, would bring total capacity for shipments on THPP system to approximately 240,000 bpd. The project envisions pipeline origins on two legs of the THPP system, one which would originate at the Alexander Station. A minimum subscription of at least 15,000 bpd would be required for the Alexander origin shipments at higher tariffs than shipments from the other origin points, to reflect the higher level of capital investment for the Alexander line expansion. The expansion would provide additional takeaway capacity from the high crude oil producing areas in McKenzie County, N.D. to Tesoro Logistics' Bakken Area Storage Hub in Williams County, N.D. where crude oil is distributed to key take-away pipelines and rail loading facilities. The pipelines include Enbridge North Dakota Pipeline and a potential connection to the proposed Dakota Access Pipeline. The in-service time frame is subject to THPP obtaining sufficient commitments from shippers as well as regulatory and internal approvals.
The binding open season commenced on December 8, 2014 and will now end at noon CST on February 20, 2015. Bona fide potential shippers that would like to receive copies of the open season documents, the throughput and deficiency agreement and proposed tariff(s) must first sign a confidentiality agreement (requested by emailing THPPOpenSeason@tsocorp.com, or by going to www.tesorologistics.com and selecting the "High Plains Open Season" link on the left navigation bar). Confidentiality agreements that have been altered or amended in any way (other than by inserting the requested information) will not be accepted by TLLP. During the binding open season, comments, questions or changes to the general terms and conditions of the throughput and deficiency agreement, the proposed tariffs, services and/or routes are due at noon CST on February 20, 2015, and are to be submitted in writing in the relevant documents.
More information about the binding open season for pipeline expansion is available by contacting Greg Henderson (210) 626-4585 or Dana Holden (210) 626-6442 or by emailing THPPOpenSeason@tsocorp.com or visiting www.tesorologistics.com and clicking on the THPP Open Season link.
The THPP Pipeline System
The THPP Pipeline System is a common carrier system transporting crude to Tesoro's Mandan, N.D. refinery as well as various outbound pipeline and rail delivery points in Montana and North Dakota with approximate capacity of 190,000 bpd. Pursuant to the proposed Open Season approximately 50,000 bpd of incremental capacity would be added to the system.
About Tesoro Logistics LP
Tesoro Logistics LP is a leading full-service logistics company operating primarily in the Western and Mid-Continent regions of the United States. TLLP owns and operates a network of over 3,500 miles of crude oil, refined products and natural gas pipelines. TLLP also owns and operates 28 crude oil and refined products truck and marine terminals and has over 9 million barrels of storage capacity. In addition, TLLP owns and operates four natural gas processing complexes and one fractionation facility. TLLP is a fee-based, growth oriented Delaware limited partnership formed by Tesoro Corporation and is headquartered in San Antonio, Texas.
This press release contains certain statements that are "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, concerning the expectation of the stated completion timeframe and capacity of the High Plains Pipeline system expansion. For more information concerning factors that could affect these statements see our annual report on Form 10-K and current reports on Form 8-K filed with the Securities and Exchange Commission. We undertake no obligation to publicly release the result of any revisions to any such forward-looking statements that may be made to reflect events or circumstances that occur, or which we become aware of, after the date hereof.
Contact:
Investors:
Evan Barbosa, Investor Relations Manager, (210) 626-7202
Media:
Tesoro Media Relations, media@tsocorp.com, (210) 626-7702
This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Tesoro Logistics LP via Globenewswire
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