Types of Cargo Carried by Pipeline
Crude oil pipelines
- There are many different types of crude oil pipeline.
- Some carry crude over short distances from wellheads to processing facilities while others carry very large volumes over thousands of kilometers.
- Pipelines carrying heavy and viscous crude oil have different characteristics compared to those carrying lighter crudes.
- The technical, environmental and economic risks associated with these different types of pipeline are distinct and project finance structures will usually include specific features to account for the variability of risks according to the specific circumstances.
Natural gas pipelines
- Gas transmission pipelines transport high volumes of gas at high pressure over long distances.
- These pipelines typically connect producing regions to final consumer markets.
- Distribution pipelines operate at lower pressures and link transmitted gas to the final consumers.
Product pipelines
- Product pipelines transport finished petroleum products such as diesel, petrol, jet fuel and chemicals from refineries and fuel storage terminals to final consumers.
- Product pipelines can be dedicated to a single type of material. Airports, for instance, are often serviced by large dedicated pipelines for the supply of jet fuel.
- Other pipelines are designed to carry more than one type of fluid.
- Product pipeline capacity is typically sold to multiple users.