Colonial Pipeline said Friday it would auction a total of 150,000 barrels of surplus heating oil on Tuesday.
The heating oil is to be sold over the course of two 10-minute auctions of 50,000 barrels each and two auctions of 25,000 barrels each and will be delivered into Linden, New Jersey, Colonial said in a notice to shippers Friday.
The four auctions will take place consecutively starting at 10 am EDT Tuesday. The auctions are restricted to delivery for the 51st and 52nd shipping cycle cycle.
The minimum bid is $2.45/gal and the product will be nominated into the buyer's available line space.
Year to date, Colonial will have put 525,000 barrels of heating oil with less than 2,000 ppm sulfur up for auction when Tuesday's sale ends.
