Crude Oil Processing Co. Says Pipeline Co. Owes It $3.1M

Law360, Houston (August 2, 2016, 4:18 PM EDT) -- Crude oil company Buckeye Texas Processing LLC told a district judge in Houston on Monday that Magellan Pipeline Holdings LP owes the company more than $3 million because it and its contractor, Bobcat Contracting LLC, caused a power outage during excavation work at Buckeye's facility, halting production.

In December 2015, according to the petition, Magellan damaged a critical power supply, shutting down all plant operations for 15 hours. Restoring power to all functions at the Buckeye facility in Corpus Christi took weeks, Buckeye told the court. According to the petition, the capacity of Buckeye's 50,000-barrel-a-day crude processing facility is contracted to...

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