The owners of the Capline crude pipeline today said they would review the pipeline’s future operations amid changes in crude demand patterns in North America. Co-owners Marathon Petroleum, BP and Plains All American Pipeline said they would complete a study in the first quarter of 2015.
Via Reuters, analysts have long speculated that the 632-mile pipeline could be reversed to carry Canadian crude to Gulf Coast refineries. Capline’s shipping volumes have fallen as Midwestern refiners replace Gulf Coast crude with oil from Canada and North Dakota. Marathon said a Capline connection to the Diamond Pipeline, which carries crude from Cushing, Okla., to Valero’s Memphis refinery, would be evaluated.
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