Phillips 66, Global Partners Announce LT Crude Transportation, Logistics Contract
Phillips 66 (NYSE: PSX) today announced that it has signed a five-year contract with Global Partners LP (NYSE: GLP) under which Global will use its rail transloading, logistics and transportation system to deliver crude oil from the Bakken region of North Dakota to the Phillips 66 Bayway refinery in New Jersey. This is one of several commitments to transportation infrastructure Phillips 66 has made that tie directly to its strategy of delivering advantaged crude oil to the company's U.S. refineries.
The terms of the contract include a take-or-pay commitment from Phillips 66 to receive approximately 91 million barrels of crude oil over the contract term, which equates to approximately 50,000 barrels per day.
© 2017 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.