Seaway Crude Oil Pipeline Company Llc News

Judge For U.S. Regulator Strikes Committed Rates On Seaway Pipeline

A Federal Energy Regulatory Commission judge annulled committed shipper rates on the Cushing-to-Texas Seaway pipeline on Friday, despite objections from energy companies who say it could jeopardize billions in infrastructure investment. The case arose from motions filed by oil companies against uncommitted shipper rates on the 400,000 barrels-per-day pipeline, which gives U.S. Gulf Coast refiners access to Canadian heavy crude and American oil. The federal regulator had struck the judge's initial decision in March and remanded it to her review, saying her arguments misconstrued long-held commission policy. The commission honors so-called committed shipper rates, which midstream companies enter with long-term shippers in order to finance their costly projects.