Colonial Press Release

Colonial Pipeline Announces Expansion Projects In North Carolina, Virginia

Big Boost in Deliveries Planned for Raleigh-Apex-Selma-Fayetteville Market 

ATLANTA, Ga. — Colonial Pipeline today announced a series of system improvements which will dramatically increase deliveries of gasoline and other refined petroleum products to eastern North Carolina in a low-cost, environmentally safe manner. 

The improved service is prompted by forecasts of continued growth in the region’s economy and population, and by the fact that Colonial’s pipeline is already running at or near capacity. The North Carolina expansion and a smaller expansion in Roanoke, Va., will help ensure both area’s regional economies remain strong, said Dave Lemmon, Colonial President and CEO. 

We are excited by the opportunity to work with our shipping customers in North Carolina and Virginia to supply the very fuels these communities need to continue growing and developing,” Lemmon said. Pipelines remain the safest and most efficient way to meet a region’s fuel needs.” 

In eastern North Carolina, the demand for fuel currently exceeds the available supply from Colonial about 15 percent of the year. The population of the region — including Raleigh, Apex, Selma and Fayetteville — is forecast to grow significantly over the next 10 years. Selma has grown to be the second largest delivery facility on the Colonial system. 

The expanded service will position Colonial to exercise future plans to extend service to markets further east, said Dwaine Shroyer, Colonial’s Team Leader for Strategic Planning and Business Development. 

The North Carolina improvements will be accomplished by re-configuring the current pipeline system to take advantage of an existing underutilized 16-inch pipeline and by replacing pumps with stronger units. In eastern North Carolina, the current capacity will be increased by over 115,000 barrels per day (BPD) by the completion of the project in late 2003. In Roanoke, delivery capacity will rise by 12,000 BPD (One barrel is equal to 42 gallons.) 

Colonial’s first commitment is to operate safely and in a way that protects the communities we serve, our employees and the environment,” Lemmon said. Beyond that, we are committed to grow and expand along with our customers so that communities have the fuels they need to power their factories, drive their cars, operate their airports and heat their homes.” 

In Roanoke, Colonial’s pipeline was allocated a significant portion of 2002 due to heavy demand. The expansion will allay concerns that fuel shortages could limit the Roanoke area’s future growth. 

Colonial Pipeline, with headquarters in Atlanta, Ga., delivers approximately 93 million gallons of refined petroleum products daily. A vital piece of the nation’s infrastructure, Colonial’s pipeline stretches from Houston to the New York harbor.