Installation of Bypass to Make Trans Alaska Pipeline Non-Operational For the Weekend

Word came from Bloomberg today, on the January 13th that Trans-Alaska system will not be operational for the weekend. The line that is responsible of transporting 15 % of the total crude oil produced in US, had a leak. Consequently, Alyeska Pipeline Service Co. is up for a bypass installation, which evidently is unavoidable now.

Initially closed at January 8th, it was put back to work on the 11th.It will yet again come to a halt for another 36 hours as communicated by the state regulators. Matt Carle, a company spokesman said during an interview, that in a day the output of the line has dropped to 320,000 barrels of oil from 400,000 barrels.

Earlier the system was made operational again to avoid the production of unnecessary wax and ice under the present temperature conditions. The other day, temperature dropped to a harsh -24 C degrees in Barrow, Alaska. The line runs on 800 miles, from Prudhoe Bay south to Valdez. The leak that is the reason behind the bypass installation appeared at a pump station # 1.

The unexpected pause stopped the operations at BP Plc, ConocoPhillips and Exxon Mobil Corp. which are responsible for almost all the production as far as north slope is concerned. Eventually the prices soared. Earlier in December the same pipe used to transport 640,000 barrels per 24 hours, said Carle

For the next month, the rate fell by 46 cents to make up for the 91.40$ per barrel, that appeared on the New York Mercantile Exchange.