Pacific Energy Partners, L.P. Announces the Commencement of Construction of Its Salt Lake City Pipeline Project

  
    
  
  
    
      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.