TULSA, Okla., Feb. 4, 2013 /PRNewswire/ -- 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.
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.
SOURCE Magellan Midstream Partners, L.P.