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HOUSTON, June 25 (Reuters) - Kinder Morgan Inc aimsto start up its second condensate splitter at its Houston ShipChannel complex next month, a spokeswoman said.
The 50,000 barrels per day splitter is slated to begincommissioning next week to test all systems leading to startup,the spokeswoman said.
Kinder Morgan started up the first of two 50,000 bpdsplitters in late March after delays in delivery of manufacturerparts and weather issues pushed startup from mid-2014.
Due to the boom in output of condensate in the U.S. shaleplays, the oil industry is investing up to $2.4 billion incondensate splitters to "split" the very light form of crudeinto components like jet fuel, diesel and naphtha, a buildingblock for gasoline, to sell domestically or export.
It is more sophisticated than an oilfield stabilizer, whichremoves natural gas liquids from condensate, but does not makefinished motor fuels like a refinery.
BP Plc has a 10-year deal to buy all the output fromboth splitters.
Magellan Midstream Partners has a similar deal withTrafigura for a 50,000 bpd splitter underconstruction in Corpus Christi, Texas.
U.S. regulators say stabilized condensate qualifies as anexportable refined product, so companies can export it withouthaving to run it through a splitter first.
Some planned splitter projects have been altered or put onhold as companies gauge whether to move forward or build cheaperstabilizers.
(Reporting by Kristen Hays; Editing by Marguerita Choy)
