That is their estimated cost. No one else is offering to pay them. That is the money they will spend with many different purchases including internal cost.
even as prices decline they are still going to profit.
Pipeline companies like this are not buying or selling oil. They transport other peoples oil. They could be considered similar to a train or shipping service. Oil could be $10 or $100. Their prices don't fluctuate with oil price, just demand for their services. But as a FERC regulated facility, prices don't change easily.
I said to myself, self you have no clue what you are saying and someone will point that out, I posted anyway, you see I learned something and am now less ignorant. Thanks FRiend!