Sidebar: ConocoPhillips KTC filing
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Petroleum News
As previously reported in the June 12 issue of Petroleum News, Kuparuk Transportation Co. applied to the Regulatory Commission of Alaska on May 24 for approval of a connection permit allowing Oil Search (USA) to connect the east end of its proposed Pikka Sales Oil Pipeline to KTC’s Kuparuk Pipeline and for approval of a connection agreement between KTC and OSU.
In its application, ConocoPhillips Alaska-owned KTC said the proposed Pikka Sales Oil Pipeline would be a 16-inch diameter line some 22.2 miles long, from the Nanushuk Processing Facility tie-in to the proposed Kuparuk Oil Pipeline tie-in on the southeast end of the Pikka line with a 1,000-foot 12-inch transmission pipeline from the tie-in pad to the Kuparuk Oil Pipeline.
KTC said the connection agreement between KTC and OSU would become effective upon RCA granting a connection permit and approving the connection agreement.
According to KTC, the commission’s longstanding precedent holds that a connection permit would be granted without formal proceedings when the connecting party and the pipeline carrier agreed on terms and conditions, there were no protests and the terms and conditions were reasonable.
The Pikka line “is expected to support throughput in both the Kuparuk Oil Pipeline and TAPS, slowing or offsetting throughout declines and keeping transportation rates lower on both of those pipelines than they would otherwise be without the Pikka unit production throughput.”
Connection equipment cost, estimated at $1,756,000, will be paid by OSU, the connecting party, KTC said, and would not be included in KTC’s intrastate crude oil transportation rates.
RCA’s notice, dated June 1, said any comments on the filings were due by 5 p.m. June 22.
- Petroleum News
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