The Dakota Access Pipeline and connected Energy Transfer Crude Oil Co pipeline will start interstate service May 14, opening access for up to 470,000 b/d of Williston Basin crude to move to the Texas Gulf Coast, according to regulatory filings.
The pipelines' developers announced the startup timing in separate tariff filings to the US Federal Energy Regulatory Commission posted Thursday.
Dakota Access' uncommitted rate is $6/b to move Bakken crude from one of several field points to Patoka, Illinois, and $7.50/b from the field to Nederland, Texas.
Shippers that sign a five-year agreement to move at least 5,000 b/d from the field to Illinois would pay $5.25/b.
Seven-year committed rates from the Bakken field points to Texas range from $5.60/b for more than 90,000 b/d to $6.50/b for 5,000-29,999 b/d.
Ten-year committed rates from the Bakken to Texas range from $5.50/b for more than 90,000 b/d to $6.25/b for 5,000-29,999 b/d.
The shipping cost to move crude only on ETCO, from Illinois to Texas, is $1.85/b, according to its tariff filing.
Dakota Access received the federal easement it needed to start work at the final unfinished segment in North Dakota on February 8 and has been racing to complete construction and put the delayed project into service.
Protests in North Dakota stalled the project for months until an appeals court in March denied tribes' request to block construction at the site, clearing the way for the pipeline to start up.
Sources expect Bakken differentials to improve $1-$2/b once Dakota Access starts up.
Platts Analytics' Bentek Energy expects Dakota Access to have muted price and flow impacts initially, given an estimated 50% utilization in the second half of 2017.
The four-state, $3.8 billion pipeline is designed to deliver Bakken and Three Forks crude to Patoka, Illinois, where it connects with the ETCO pipeline, which runs to Sunoco Logistics and Phillips 66 storage terminals in Nederland, Texas.
Energy Transfer Partners, Sunoco Logistics, Phillips 66, Enbridge Energy Partners and Marathon Petroleum own shares in Dakota Access and ETCO.
