Pacific Energy Partners, L.P. (NYSE:PPX) (�Pacific Energy�) announced that Rocky Mountain Pipeline System LLC (�RMPS�), its wholly-owned subsidiary and primary operating entity in the Rocky Mountain region, is commencing construction of a new 16-inch pipeline from the terminus of Frontier Pipeline near Evanston, Wyoming, to the Salt Lake City, Utah, refining center. The new pipeline, which is approximately 93 miles in length, will be constructed parallel to and share much of the rights-of-way of RMPS�s existing U-Crude pipeline to Salt Lake City. The new pipeline is designed to transport multiple grades of crude oil in segregated batches, including Canadian heavy crude oil and synthetic crude oil. It will provide the capacity necessary to meet increasing crude oil demand in Salt Lake City, for the near-term and well into the future. The new pipeline will be constructed in two phases. The first phase, which will add 43.5 miles of pipeline and approximately 12,000 barrels per day of pumping capacity, is expected to be completed by year end 2006. Construction of Phase II, which will add the remaining 49.6 miles of pipeline, is expected to be completed in October, 2007. Capacity of the completed pipeline will be approximately 95,000 barrels per day. �After months of preparation including permitting, rights-of-way acquisition, engineering design and materials procurement, it is exciting to see the actual construction of this pipeline begin,� stated Irv Toole, President and Chief Executive Officer of Pacific Energy. �Crude oil demand in Salt Lake City continues to grow, and this pipeline will provide ample capacity for both light and heavy crude oil for the foreseeable future. This project is an important component of Pacific Energy�s strategy to serve the Rocky Mountain refining market by providing a strategic pipeline corridor from Edmonton, Alberta, to Salt Lake City for synthetic crude oil supplies accessed directly in Edmonton, as well as conventional Canadian and Rocky Mountain crude oil.� The expansion project has strong support from Salt Lake City refiners. Four of the five refiners in Salt Lake City have entered into 10-year transportation agreements with RMPS for firm commitments to dedicate all volumes shipped on Frontier Pipeline, which is owned 22.22% by Pacific Energy, to the new 16-inch pipeline. As previously announced, the total cost of the project is expected to be approximately $77 million. Approximately $31 million will be expended in 2006 with the balance spent in 2007 to complete the project. About Pacific Energy: Pacific Energy is a master limited partnership headquartered in Long Beach, California. Pacific Energy is engaged principally in the business of gathering, transporting, storing and distributing crude oil, refined products and other related products. Pacific Energy generates revenues by transporting such commodities on its pipelines, by leasing capacity in its storage facilities and by providing other terminaling services. Pacific Energy also buys and sells crude oil, activities that are generally complementary to its crude oil operations. Pacific Energy conducts its business through two business units, the West Coast Business Unit, which includes activities in California and the Philadelphia, PA area, and the Rocky Mountain Business Unit, which includes activities in five Rocky Mountain states and Alberta, Canada. For additional information about Pacific Energy, please visit www.PacificEnergy.com. Investor Notice: Pacific Energy and Plains All American Pipeline, L.P. (�Plains�) have filed a joint proxy statement/prospectus and other documents with the Securities and Exchange Commission (�SEC�) with respect to the proposed merger of Pacific Energy with and into Plains, which joint proxy statement/prospectus has been declared effective by the SEC. The definitive joint proxy statement/prospectus will be sent to security holders of Pacific Energy and Plains seeking their approval of the merger and related transactions. Investors and security holders are urged to carefully read the joint proxy statement/prospectus because it contains important information, including detailed risk factors, regarding Pacific Energy, Plains and the merger. Investors and security holders may obtain a free copy of the definitive joint proxy statement/prospectus and other documents containing information about Pacific Energy and Plains, without charge, at the SEC's web site at www.sec.gov. Copies of the definitive joint proxy statement/prospectus and the SEC filings that are incorporated by reference in the joint proxy statement/prospectus may also be obtained free of charge by directing a request to Pacific Energy or Plains. Pacific Energy or Plains and the officers and directors of the respective general partners of Pacific Energy or Plains may be deemed to be participants in the solicitation of proxies from their security holders in connection with the proposed transaction. Information about these persons can be found in Pacific Energy�s or Plains' respective Annual Reports on Form 10-K filed with the SEC, and additional information about such persons may be obtained from the joint proxy statement/prospectus. Pacific Energy Partners, L.P. (NYSE:PPX) ("Pacific Energy") announced that Rocky Mountain Pipeline System LLC ("RMPS"), its wholly-owned subsidiary and primary operating entity in the Rocky Mountain region, is commencing construction of a new 16-inch pipeline from the terminus of Frontier Pipeline near Evanston, Wyoming, to the Salt Lake City, Utah, refining center. The new pipeline, which is approximately 93 miles in length, will be constructed parallel to and share much of the rights-of-way of RMPS's existing U-Crude pipeline to Salt Lake City. The new pipeline is designed to transport multiple grades of crude oil in segregated batches, including Canadian heavy crude oil and synthetic crude oil. It will provide the capacity necessary to meet increasing crude oil demand in Salt Lake City, for the near-term and well into the future. The new pipeline will be constructed in two phases. The first phase, which will add 43.5 miles of pipeline and approximately 12,000 barrels per day of pumping capacity, is expected to be completed by year end 2006. Construction of Phase II, which will add the remaining 49.6 miles of pipeline, is expected to be completed in October, 2007. Capacity of the completed pipeline will be approximately 95,000 barrels per day. "After months of preparation including permitting, rights-of-way acquisition, engineering design and materials procurement, it is exciting to see the actual construction of this pipeline begin," stated Irv Toole, President and Chief Executive Officer of Pacific Energy. "Crude oil demand in Salt Lake City continues to grow, and this pipeline will provide ample capacity for both light and heavy crude oil for the foreseeable future. This project is an important component of Pacific Energy's strategy to serve the Rocky Mountain refining market by providing a strategic pipeline corridor from Edmonton, Alberta, to Salt Lake City for synthetic crude oil supplies accessed directly in Edmonton, as well as conventional Canadian and Rocky Mountain crude oil." The expansion project has strong support from Salt Lake City refiners. Four of the five refiners in Salt Lake City have entered into 10-year transportation agreements with RMPS for firm commitments to dedicate all volumes shipped on Frontier Pipeline, which is owned 22.22% by Pacific Energy, to the new 16-inch pipeline. As previously announced, the total cost of the project is expected to be approximately $77 million. Approximately $31 million will be expended in 2006 with the balance spent in 2007 to complete the project. About Pacific Energy: Pacific Energy is a master limited partnership headquartered in Long Beach, California. Pacific Energy is engaged principally in the business of gathering, transporting, storing and distributing crude oil, refined products and other related products. Pacific Energy generates revenues by transporting such commodities on its pipelines, by leasing capacity in its storage facilities and by providing other terminaling services. Pacific Energy also buys and sells crude oil, activities that are generally complementary to its crude oil operations. Pacific Energy conducts its business through two business units, the West Coast Business Unit, which includes activities in California and the Philadelphia, PA area, and the Rocky Mountain Business Unit, which includes activities in five Rocky Mountain states and Alberta, Canada. For additional information about Pacific Energy, please visit www.PacificEnergy.com. Investor Notice: Pacific Energy and Plains All American Pipeline, L.P. ("Plains") have filed a joint proxy statement/prospectus and other documents with the Securities and Exchange Commission ("SEC") with respect to the proposed merger of Pacific Energy with and into Plains, which joint proxy statement/prospectus has been declared effective by the SEC. The definitive joint proxy statement/prospectus will be sent to security holders of Pacific Energy and Plains seeking their approval of the merger and related transactions. Investors and security holders are urged to carefully read the joint proxy statement/prospectus because it contains important information, including detailed risk factors, regarding Pacific Energy, Plains and the merger. Investors and security holders may obtain a free copy of the definitive joint proxy statement/prospectus and other documents containing information about Pacific Energy and Plains, without charge, at the SEC's web site at www.sec.gov. Copies of the definitive joint proxy statement/prospectus and the SEC filings that are incorporated by reference in the joint proxy statement/prospectus may also be obtained free of charge by directing a request to Pacific Energy or Plains. Pacific Energy or Plains and the officers and directors of the respective general partners of Pacific Energy or Plains may be deemed to be participants in the solicitation of proxies from their security holders in connection with the proposed transaction. Information about these persons can be found in Pacific Energy's or Plains' respective Annual Reports on Form 10-K filed with the SEC, and additional information about such persons may be obtained from the joint proxy statement/prospectus.
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