Magellan Midstream Wants To Move Forward With Fort Smith To Little Rock Pipeline

After more than six months of an “open season,” Magellan Midstream Partners says it will proceed with a potential pipeline from Fort Smith to Little Rock.

The project would transport up to 75,000 barrels per day of gasoline, diesel fuel and jet fuel.

“Open season” is an industry term for a process in which a project sponsor proposes a package of key terms and design parameters for a potential pipeline project to prospective customers and solicits bids for contracting capacity on that project. Federal regulators typically require the “open season” process.

Magellan said it received sufficient commitments during the last six months to move forward on the pipeline infrastructure project. The company expects to finalize the scope and engineering estimates for the potential project, which it said “may include utilization of an existing third-party pipeline for a portion of the route.”

The project would include construction of an approximately 160-mile, 12-inch diameter pipeline capable of transporting fuel across the River Valley to Little Rock. Last year, a Houston-based company announced plans to cease providing jet fuel to Little Rock from Jonesboro, a move that threatened fuel sources for aviation and some trucking interests in Arkansas.

Magellan must still receive permit and regulatory approval. It says the pipeline could be operational by late 2015, if it is allowed.