Howard Energy Partners Made Deals to Enter into Natural Gas Gathering System in Oklahoma

Howard Energy Partners, a San Antonio pipeline operator has announced on Tuesday that the company had made a deal with a major North American oil and gas producer to enter Oklahoma market. They plan to build, own and operate a new natural gas gathering located in Sooner State's prolific STACK shale play that needs more pipeline capacity.

Although the financial terms of the deal were not disclosed, Howard's new pipeline system will be anchored by fee-based, long-term acreage dedications totaling approximately 10,000 acres in Dewey and Custer counties in central Oklahoma.

The service is expected to begin by the end of the third quarter of this year with an initial capacity of 110 million cubic feet of natural gas per day, which can be expanded to support more wells and companies in the area. Gathering pipelines are used to move natural gas from individual wells to high-capacity and large transmission pipelines.

Source:
chron