Pipeline capacity, increasing Permian output… EIA

April 21, 2017 by Jim Colburn Leave a Comment

The EIA suggests pipeline capacity growth will be sufficient to move increasing Permian production:

“Pipeline infrastructure in the Permian is now better equipped to handle new production than it was in 2014. Several of the pipelines that came online to accommodate rising Permian production in 2014 (Magellan’s BridgeTex pipeline, Sunoco Logistics’ Permian Express pipeline, and Plains All American’s Cactus pipeline) are undergoing expansions set to come online later this year, adding approximately 340,000 b/d of capacity.”

Here is the recent historical price differential:

Here are production trends in the Permian:

Here is the link for This Week in Petroleum …

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