New pipelines to increase crude oil takeaway capacity from major producing areas like the Permian and the Bakken to oil storage and distribution hubs like Houston, TX and Cushing, OK seem to garner most of the media’s attention. Just outside the spotlight’s glare, though –– and even during the ongoing slump in oil prices –– midstream companies are building several “demand-pull” pipelines to move crude to refineries more efficiently, and to give refineries easier, cheaper access to new, desirable supplies. Today, we begin a look at these new pipeline connections, their rationales, and their effects on other pipelines, barge deliveries and crude-by-rail.
