Diamondback itself will have 50,000 barrels per day capacity of the pipeline.
Via subsidiary Rattler Midstream, the company will also have the option to acquire up to 5 percent equity in the pipeline, until the first quarter of 2019.
Primary shippers secured 200,000 barrels per day, read an EPIC news release, with minimum volume commitments of 150,000 barrels per day.
These shippers will also distribute from the
Due to “strong commercial” interest, EPIC announced it is holding another open season on
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He said such a move is essential to capitalize on the expanding development.
“EPIC continues to add value to our pipeline with the addition of Diamondback as a strategic partner and our new primary shippers,” Mezey said. “We are pleased to work with our customers and producers to ensure takeaway capacity from both the
The pipeline will be anchored by commitments from
At least 10 percent of system capacity will be reserve for uncommitted shippers, the release read.
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“Diamondback’s transportation on and equity option in the EPIC Crude Oil Pipeline are important steps as we make progress on our broader long-term takeaway strategy,” Stice said.
“Our agreements secure a firm solution for a majority of our
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“We are excited to add new partners to the project,” Walton said. “The EPIC Crude Oil Pipeline is a demonstration of the alignment of interests with our customers.”
EPIC’s crude oil pipeline will run alongside the company’s natural gas liquids (NGL) line, extending from
The line will push east from the
Further down the line it will connect to terminals in
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