The assets acquired include a 21% undivided interest in Capline and a 100% interest in 720,000 barrels of tankage at Patoka, Illinois. As a result of this transaction, PAA is now the 43% aggregate interest owner in Capline. The partnership acquired its initial 22% interest in Capline in 2004.
Capline is a 633-mile, 40-inch mainline crude oil pipeline that originates in St. James, Louisiana, and terminates in Patoka, Illinois. This system is one of the primary transportation routes for shipping crude oil and condensate to the Midwestern US, accessing approximately 3 million barrels per day of refining capacity in PADD II.
With two active docks capable of handling 600,000-barrel tankers as well as access to the Louisiana Offshore Oil Port and PAA’s St. James terminal, Capline is a transporter of sweet and light sour foreign crude to PADD II. Total designed operating capacity of Capline is approximately 1.1 million barrels per day, with approximately 470,000 barrels per day of capacity attributable to PAA’s interest.
Capline is also connected to PAA’s existing St. James and Patoka terminal facilities, which upon the completion of the expansions are designed to have capacities of approximately 7 million barrels and 4 million barrels, respectively.
