Plains All American Pipeline, L.P. has announced it is expanding its Gardendale Gathering system and constructing a new condensate stabilization facility in the Eagle Ford. In addition, it is building a new pipeline along the Gulf Coast. The projects cost approximately $190 million and are expected to be completed by the end of 2013.

The Gardendale Gathering system expansion is comprised of four crude oil gathering pipelines extending from Dimmitt and La Salle counties, terminating at PAA’s Gardendale Terminal in South Texas. The gathering lines, which range in size from 6 inches to 10 inches, and total approximately 90 miles in length are designed to provide 115,000 barrels per day on incremental gathering capacity. The lines will connect at Gardendale to long-haul pipelines, enabling shippers to deliver to Three Rivers, Corpus Christi, or Houston area refiners. The expansion pipelines are underpinned by producer agreements and are expected to be placed into service between the fall of 2012 and 2nd quarter 2013.

The new 80,000 barrel-per-day Eagle Ford condensate stabilization facility will be constructed adjacent to the Gardendale terminal. The facility is designed to extract Natural Gas Liquids (NGLs) from condensate, enabling the condensate to meet the shipping specifications of long-haul pipelines originating at Gardendale. The first 40,000 barrel-per-day phase, which also will include constructing related pressurized storage capacity, is expected to be in service in early October 2012. The second 40,000 barrel-per-day phase is expected to come into service near the end of 2012. The facility has the ability to be expanded based on increased production and is underpinned by long-term commitments from producer’s on PAA’s Gardendale Gathering system.

PAA owns a network of approximately 18,000 miles of liquids pipelines, approximately 120 million barrels of liquids storage capacity and handles more than 3 million barrels of physical product on a daily basis. Plains All American Pipeline, L.P. is a publicly traded master limited partnership oil and gas company in Houston, TX. It is engaged in the transportation, storage, terminalling and marketing of crude oil and refined products, as well as in the processing, transportation, fractionation, storage and marketing of natural gas liquids.