Energy Transfer Partners LP
) has received approval from its board of directors to manufacture
a roughly 1,100-mile pipeline (Bakken Pipeline). The publicly
traded energy pipeline operator will transport crude oil from the
oil producing region in the Bakken shale to Patoka, IL. Bakken
Pipeline will thereafter join the partnership's existing Trunkline
Energy Transfer Partners added that the shippers will get the
opportunity to access the Midwest and East Coast markets by
transporting crude from Patoka via rail. The shippers can also use
the Trunkline to carry crude to the Gulf Coast market and
Sunoco Logistics Partners LP's
) crude oil terminal at Nederland, TX.
The partnership's plan to build the Bakken Pipeline stems from
sufficient interest that shippers showed in transporting the
produced crude oil from the Bakken shale to the multiple markets.
The pipeline will be able to carry 320,000 barrels per day crude
oil initially. Later on, Energy Transfer Partners will boost the
capacity as per customer demand. The partnership expects the Bakken
Pipeline to start operating by the latter half of 2016.
Energy Transfer Partners believes that the pipeline will not only
open up multiple markets for shippers, the carrying cost of crude
in this route will also be the bare minimum.
Dallas, TX-based Energy Transfer Partners, a master limited
partnership, engaged primarily in the gathering, processing,
storage and transportation of natural gas. The partnership
currently carries a Zacks Rank #2 (Buy), implying that it is
expected to outperform the broader U.S. equity market over the next
one to three months.
One can also look at better-ranked players in the same industry
Boardwalk Pipeline Partners LP
Magellan Midstream Partners LP
). Both partnerships sport a Zacks Rank #1 (Strong Buy).
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SUNOCO LOGISTIC (SXL): Free Stock Analysis
MAGELLAN MDSTRM (MMP): Free Stock Analysis
ENERGY TRAN PTR (ETP): Free Stock Analysis
BOARDWALK PIPLN (BWP): Free Stock Analysis
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