Tallgrass Energy Partners LP is planning to connect its Pony Express Pipeline to a refinery in El Dorado, Kansas. The company announced Feb. 22 that it has reached an agreement with Holly Frontier Corp. and its affiliates to build facilities to connect the pipeline to Holly Frontier’s El Dorado Refinery complex.
The El Dorado connection facilities have been designed to meet the needs of the refinery and will have a design capacity in excess of 100,000 barrels per day (bpd) for any of the batched common stream crude types transported by the Pony Express Pipeline. The construction of the connection facilities is expected to be completed by the fourth quarter of 2017.
“This agreement is another important milestone for Pony Express as we continue to diversify the supply and demand connections on the pipeline to provide the most flexible transportation system for our customers,” said Tallgrass president and CEO, David G. Dehaemers Jr. “This connection to Holly Frontier’s refinery complex does exactly that, and in addition it supports the long-term growth of the pipeline.”
Tallgrass Pony Express Pipeline LLC is a 764-mile crude oil pipeline running from Guernsey, Wyoming, to the U.S. oil hub of Cushing, Oklahoma. With a design capacity to transport 320,000 bpd of oil, the pipeline links new and emerging oil plays such as the Bakken, the Powder River Basin and the Niobrara Shale to markets across the country.
Pony Express system consists of the Pony Mainline and the Northeast Colorado Lateral (NECL). The Pony Mainline is comprised of a converted 433-mile natural gas pipeline and a 265-mile southward pipeline extension completed in 2014. The NECL is a 66-mile extension built in 2014-2015 that interconnects with the Pony Mainline near Sterling, Colorado. The lateral provides transportation service from the Niobrara Shale in Northeastern Colorado and Southeastern Wyoming. The Pony Mainline and NECL were placed in service in October 2014 and April 2015 respectively.
Pony Express is owned jointly by Tallgrass Energy Partners (98 percent) and Tallgrass Development LP (2 percent).