Potential growth projects in excess of $500 million are being assessed by Magellan Midstream Partners.
In its second quarter financials, the company revealed that some of the projects include additional options to increase its Gulf Coast marine capabilities, including further development of its new Pasadena marine terminal and its Seabrook Logistics joint venture. Additionally, it is also evaluating potential development of a joint venture refined petroleum products pipeline between Corpus Christi and Brownsville, Texas.
Magellan is making progress on its current expansion projects, and expects to send $850 million in 2016. A further $250 million has been allocated for 2017 and a further $200 million in 2018 to complete its current slate of construction projects.
The Little Rock pipeline began operations in early July to deliver up to 75,000 barrels per day of refined petroleum products to Little Rock and construction is complete for the Platterville-to-Cushing segment of the Saddlehorn pipeline. It is expected to be fully operational by the end of August.
Magellan reported a net income of $187.9 million compared to $177.4 million for the same quarter in 2015.
CEO Michael Mears says: ‘Despite the challenging backdrop within the energy industry, Magellan continues to product sound financial results while delivering growth opportunities to strengthen our future.’