Corrosion Leads to Shut Down of Pipelines

ANCHORAGE, Alaska – Two oil pipelines on Alaska’s North Slope are being shut down because of internal corrosion

Together, the pipelines account for 22,000 barrels of the approximately 825,000 barrels that flows each day down the trans-Alaska pipeline to Valdez, where the crude is loaded onto tankers and taken to West Coast refineries. At Tuesday’s prices of $69.09 a barrel for Alaska crude, the shutdown means the loss of about $1.5 million a day.

The corrosion of the pipes comes as no surprise to BP, which runs the Lisburne line on behalf of itself and two other owners. BP is sole owner of the Milne line.

AP