Trans-Panama Pipeline
Encyclopedia
The Trans-Panama Pipeline is an oil pipeline across Panama
near the Costa Rica
n border from the port of Chiriqui Grande
, Bocas del Toro
on the Caribbean
coast to the port of Charco Azul
on the Pacific coast
.
. Between 1982 and 1996 the pipeline transported 2.7 billion barrels of Alaskan oil to the U.S. Gulf Coast ports. After declining Alaskan oil shipments, the pipeline was closed in 1996. In November 2003, the Trans-Panama pipeline was re-opened for transportation of Ecuadorian
crude oil to U.S. Gulf ports.
In 2005, Venezuela began talks about reverse using the pipeline for its oil exports to China. In May 2008, BP
signed an agreement with Petroterminal de Panama S.A., according to which the pipeline was modernized and reversed to ship BP's Angolan and other crude oil to the U.S. West Coast refineries. BP acquired 5 Moilbbl of storage capacities and committed to secure shipments of 65 koilbbl/d. On 28 August 2009, Tesoro
oil company started reverse oil shipments through the pipeline to supply the Atlantic Basin oil to the Pacific Rim refineries.
On 15 October 2009, Petroterminal de Panama S.A. signed a contract with Chicago Bridge & Iron Company
to design and contsruct the second-phase expansion of terminal storage facilities.
Panama
Panama , officially the Republic of Panama , is the southernmost country of Central America. Situated on the isthmus connecting North and South America, it is bordered by Costa Rica to the northwest, Colombia to the southeast, the Caribbean Sea to the north and the Pacific Ocean to the south. The...
near the Costa Rica
Costa Rica
Costa Rica , officially the Republic of Costa Rica is a multilingual, multiethnic and multicultural country in Central America, bordered by Nicaragua to the north, Panama to the southeast, the Pacific Ocean to the west and the Caribbean Sea to the east....
n border from the port of Chiriqui Grande
Chiriquí Grande
Chiriquí Grande is a town in the Bocas del Toro province of Panama.- Sources :* – World-Gazetteer.com...
, Bocas del Toro
Bocas del Toro Province
Bocas del Toro is a province of Panama. Its extension is 4,643.9 square kilometers comprising the mainland and nine main islands. The province consists of the Bocas del Toro Archipelago, Bahía Almirante , Laguna de Chiriquí , and adjacent mainland. The capital is the city of Bocas del Toro on Isla...
on the Caribbean
Caribbean Sea
The Caribbean Sea is a sea of the Atlantic Ocean located in the tropics of the Western hemisphere. It is bounded by Mexico and Central America to the west and southwest, to the north by the Greater Antilles, and to the east by the Lesser Antilles....
coast to the port of Charco Azul
Charco Azul
Charco Azul is an area just outside Puerto Armuelles Panama. Charco Azul translates to blue ditch or puddle because it is very deep. Take a few steps into the ocean and where on a normal beach you might be up to your knees the water is above your head. The ocean floor drops off dramatically in a...
on the Pacific coast
Pacific Coast
A country's Pacific coast is the part of its coast bordering the Pacific Ocean.-The Americas:Countries on the western side of the Americas have a Pacific coast as their western border.* Geography of Canada* Geography of Chile* Geography of Colombia...
.
History
The Trans-Panama Pipeline was opened in 1982 as an alternative to carry crude oil from the Pacific to the Atlantic OceanAtlantic Ocean
The Atlantic Ocean is the second-largest of the world's oceanic divisions. With a total area of about , it covers approximately 20% of the Earth's surface and about 26% of its water surface area...
. Between 1982 and 1996 the pipeline transported 2.7 billion barrels of Alaskan oil to the U.S. Gulf Coast ports. After declining Alaskan oil shipments, the pipeline was closed in 1996. In November 2003, the Trans-Panama pipeline was re-opened for transportation of Ecuadorian
Ecuador
Ecuador , officially the Republic of Ecuador is a representative democratic republic in South America, bordered by Colombia on the north, Peru on the east and south, and by the Pacific Ocean to the west. It is one of only two countries in South America, along with Chile, that do not have a border...
crude oil to U.S. Gulf ports.
In 2005, Venezuela began talks about reverse using the pipeline for its oil exports to China. In May 2008, BP
BP
BP p.l.c. is a global oil and gas company headquartered in London, United Kingdom. It is the third-largest energy company and fourth-largest company in the world measured by revenues and one of the six oil and gas "supermajors"...
signed an agreement with Petroterminal de Panama S.A., according to which the pipeline was modernized and reversed to ship BP's Angolan and other crude oil to the U.S. West Coast refineries. BP acquired 5 Moilbbl of storage capacities and committed to secure shipments of 65 koilbbl/d. On 28 August 2009, Tesoro
Tesoro
Tesoro Corporation is a Fortune 100 and a Fortune Global 500 company headquartered in San Antonio, Texas, with 2008 annual revenues of $28.3 billion, and approximately 5,600 employees....
oil company started reverse oil shipments through the pipeline to supply the Atlantic Basin oil to the Pacific Rim refineries.
On 15 October 2009, Petroterminal de Panama S.A. signed a contract with Chicago Bridge & Iron Company
Chicago Bridge & Iron Company
Chicago Bridge & Iron Company , , known commonly as CB&I, is a large multinational conglomerate engineering, procurement and construction company. CB&I specializes in projects for oil and gas companies...
to design and contsruct the second-phase expansion of terminal storage facilities.