Colorado City could very well become a western terminal for a gigantic pipeline that would stretch from west Texas to south of Houston, a distance of 400 miles! Magellan Midstream Partners are considering the project and right now they are in an "open season," a 30 day time period in which they are soliciting interest from prospective shippers.
After the 30 day period, which we are now in, a determination will be made to evaluate the level of interest in the project.
A Megellan spokesman told KVMC KAUM that they were excited about the possibilities and the next step in the decision making process will be considered.
The proposed pipeline system would offer shippers access to over 2.2 million barrels of oil per day. If plans come to fruition, it would take some 14 to 24 months to complete construction of the pipeline and work might get underway by mid 2014.
Colorado City citizens could gain new employment opportunites from the venture, but the number is unknown at this time. The storage capacity here is expected to be a million gallons of crude. So as a terminal for the project, we would get some payroll from the project.