(Adds details on Voyager pipeline, executive quotes)
HOUSTON, Oct 31 (Reuters) - Magellan Midstream Partners LP will redesign a major oil pipeline proposal to lower costs following an open season to solicit shipper interest ended in August, Chief Executive Michael Mears told investors on Thursday.
The proposed Voyager pipeline would run from the main U.S. storage terminal in Cushing, Oklahoma and from Midland, Texas, the heart of the Permian Basin, to its facilities in the Houston area.
Magellan has not made a final decision to proceed with the project. It said in March it expected the pipeline to come into service in late 2020 with an initial capacity of about 300,000 barrels per day.
Following the open season in August, Magellan realized "we will be only be successful with this project if (we) could develop a more capital efficient solution," Mears said.
Magellan in recent months has worked with other companies to reduce costs to "a fraction" of the original estimate, Mears said. "It's a very, very competitive market." (Reporting by Collin Eaton in Houston; Editing by Richard Chang)