Unlike pizza orders, this purchase will take longer than 30 minutes to be delivered. NGL Energy Partners LP through its wholly owned subsidiary Grand Mesa Pipeline LLC, announced April 23 that it has placed a purchase order for approximately 558 miles of 20-in. diameter pipe in support of the Grand Mesa Pipeline system project. The purchase order was placed with Welspun Tubular LLC, with final delivery scheduled for November.
The Grand Mesa Pipeline system project will include more than 550 miles of new crude oil transportation pipeline, multiple truck injection bays, more than 1 million barrels of operational storage and at least two collection points located near Lucerne and Kersey (Riverside Station) in Weld County, Colorado. The system is in active development and is currently tracking both on schedule and on budget with right-of-way, survey, engineering, procurement and permitting. Rimrock Midstream LLC will construct and operate the pipeline system.
NGL Energy previously announced plans to increase the pipe size on the Grand Mesa system to the higher capacity 20-in. design, which will be capable of transporting more than 200,000 barrels per day (bpd).
The decision to expand was announced in February and was based on initial shipper commitments and additional volumes committed to Rimrock Midstream’s 150-mile DJ Basin gathering system, which will tie into Grand Mesa when completed.