Monarch Oil Pipeline Applies at FERC for Consideration of Terms It Would Adopt to Operate New Oil Pipeline in Texas Panhandle

摘要

On March 4, Monarch Oil Pipeline, LLC (OR15-21) lodged a petition with FERC for declaratory order (PDO)7 for a proposed 30,000 b/d crude oil pipeline project in the northeast corner of the Texas Panhandle, along the Oklahoma border. The area is home to several crude oil plays -- including the Cleveland formation and the Granite Wash formation - but there are very few pipelines providing takeaway capacity. Producers in the region mostly rely on trucking to move their production downstream. Monarch wants to place the facilities in service by 6/1/15, and requested that FERC take action no later than 5/18/15. Although this would give the Commission only 75 days to consider the PDO, the applicant said that expedited approval could permit Monarch to provide service to the producer consistent with the service agreement’s terms in timely fashion and help alleviate constraints in the region.