Kinder Morgan Energy Partners LP, Houston TX, will invest almost $10 million in new construction and upgrades at two terminals on its approximately 550-mile CALNEV Pipeline system, according to company information.
The CALNEV system originates at KMP's Colton CA terminal and is primarily comprised of an eight-inch pipeline that transports jet fuel, a 14-inch pipeline that transports gasoline, diesel, and jet fuel, and terminal facilities in Barstow CA and Las Vegas.
One project includes construction of two new 80,000-barrel tanks at CALNEV's Las Vegas terminal, which will store gasoline and diesel. The new tanks are expected to become operational in the first quarter of 2007. In addition, the Las Vegas terminal project will realign several existing storage tanks to provide additional ethanol and transmix storage capability.
The other project involves piping upgrades at CALNEV's liquids terminal in Barstow where the existing six-inch delivery line to the terminal will be replaced with 12-inch pipe. This will increase the overall delivery capacity of the 14-inch pipeline serving Las Vegas by more than 3,000 barrels per day (Bpd) to approximately 113,000 Bpd. The Barstow terminal expansion is slated for completion in the third quarter of 2006.