KMP and Valero complete Parkway Pipeline in US

US-based Kinder Morgan Energy Partners (KMP) and Valero Energy have completed the construction of the $250m Parkway Pipeline in the US.

The 141-mile, 16-inch pipeline is a 50-50 joint venture between the two companies. It has been commissioned to transport refined petroleum products from refineries in Norco, Louisiania to a petroleum transportation hub in Collins, Mississippi.

Plantation Pipe Line is the owner of the petroleum transportation hub in Collins, which will transport the products by multiple pipeline systems to major markets in the eastern US.

Parkway Pipeline has the initial capacity to transport around 110,000 barrels per day (bpd), with the potential to expand to over 200,000 bpd.

KMP products pipelines president Ron McClain said that construction has been completed on schedule with the help of good local working environments in both Louisiana and Mississippi.

"This is an exciting project that provides greater connectivity between Gulf Coast refineries and East Coast markets with new pipeline infrastructure, while also increasing local property tax revenues by almost $6 million," McClain said.

KMP operates around 80,000 miles of pipelines and 180 terminals.

The pipelines transport natural gas, gasoline, crude oil and CO2. Terminals store petroleum products and chemicals and also handle products such as ethanol, coal, petroleum coke and steel.