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Alyeska Pipeline cuts TAPS back 50,000 barrels a day as oil stockpile builds

Alyeska Pipeline Service Co. announced it will reduce the amount of crude oil moving through the Trans Alaska Pipeline System by 50,000 barrels a day, or 10 percent, to help bring down crude oil inventory in storage tanks at the Valdez Marine Terminal.

The Alaska Department of Revenue reported 3.91 million barrels of crude oil were in storage tanks at the Valdez Marine Terminal as of April 23. Fourteen tanks at the terminal have about 7.14 million barrels of storage, although one tank is undergoing maintenance and is be back in service soon reports indicate.

In terms of “working” capacity that is actually available Alyeska can store about 6.6 million barrels because the terminal operators must leave some room for “surge,” or system upsets. TAPS has been moving about 500,000 barrels per day over the last year. The reduction would be shared on a pro-rata basis among North Slope producers.

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