NuStar Energy is the first in a series of RMR’s In Focus, which follows the midstream companies making noise in the oil and gas industry.
September 4, 2019. Brad Barron, CEO of San Antonio-based NuStar Energy, announces that the company he proudly oversees has brought three pipeline projects into service in a single day. “We completed the second stage of our Corpus Christi WTI export project and a new 8-mile, 30” pipeline from Taft to our Corpus Christi facility, as well as our project to double the capacity of our Valley pipeline to expand supply of refined products from Corpus Christi to the Rio Grande Valley and Northern Mexico, and phase one of our project to transport diesel from the Corpus Christi refining complex to our Nuevo Laredo terminal,” Barron said.
NuStar Energy L.P., is a publicly traded master limited partnership. The company is one of the largest independent liquids terminal and pipeline operators in the nation.
That was just for starters to wrap up not just a “banner” year as Barron described, but a most spectacular one that has heat on its heels into 2020.
NuStar Energy, previously Valero, entered the Permian in 2017 after a $1.5 billion acquisition of Navigator Energy Services and its 520-mile crude oil gathering system in the Midland sub-basin, which also included 1 MMbbl of crude storage capacity. Rather than expand that system by building long-haul pipelines from the Permian to the Gulf, NuStar chose to stick with gathering lines that now can flow 560,000 BPD to every major outbound pipeline out of the Permian.
NuStar is one of the largest independent liquids terminal and pipeline operators in the nation with 9,800 miles of pipeline and 84 terminal and storage facilities in the U.S., Canada and Mexico. It also operates 74 million Bbls of storage at the Cushing, Okla., hub. But its Permian Crude System, set to double capacity of refined products from Corpus Christi to the Rio Grande and Northern Mexico this year, is beating the banjo with record-breaking volumes.
Here’s a look at NuStar’s achievements in 2019.
- 4Q, net income up 84% from 4Q in 2018. Seriously.
- Permian Crude System volumes at 475 BPD, expected to exit 2020 at more than 550,000 BPD.
- Corpus Christi Crude System more than doubled volumes, averaging 613,000 BPD.
Looks like the stars have aligned.
What do you think?