New Permian Pipeline to Gulf Coast Ships First Crude

San Antonio-based EPIC Midstream Holdings Inc., began shipping crude oil on its 400,000 barrel per day pipeline from the Permian Basin to the U.S. Gulf Coast on Thursday. EPIC is the second pipeline operator this year to open a major line from the top U.S. oil field to the Corpus Christi, Texas, area.

Plains All American Pipeline LP’s 670,000 barrel per day Cactus II pipeline stated its initial operations this week. Both new pipelines will help alleviate a crude oil bottleneck that has weighed on prices in the Permian of West Texas and New Mexico for more than a year.

Terminal operator Moda Midstream LLC confirmed it would be accepting the Permian crude from the EPIC line at its facility in Ingleside, Texas, by Friday. Oil prices in Midland, the heart of the Permian shale field, rallied to 50 cents per barrel over U.S. crude futures.

Source:
reuters

Grand Prix NGL Pipeline started up from Permian to Houston

The $1.4 billion Grand Prix natural gas liquids pipeline project that stretches from Permian Basin to the Houston area has been started up, Targa Resources said on Thursday. The pipeline can currently move 300,000 barrels per day, which can be expanded to 500,000 barrels daily.

"Our Grand Prix NGL pipeline recently commenced deliveries into Mont Belvieu, realizing the long-run strategic goal of integrating our leading gathering and processing position with our premier NGL logistics, fractionation and export platform," said Targa Chief Executive Joe Bob Perkins.

The pipeline system is also getting expanded to stretch into Oklahoma and that effort is under construction. The company also plans to expand the western portion of the Grand Prix pipeline into New Mexico.

Natural gas liquids products like propane, butane and ethane will flow through the pipeline from Permian Basin and will be separated into their individual components at processing facilities, called fractionators, in Mont Belvieu.

Source:
chron

Binding Open Season Announced by SCM Crude

The binding open season to solicit binding commitments for priority crude oil interstate gathering and transportation service was announced by SCM Crude, LLC. SCM Crude is a wholly-owned subsidiary of Salt Creek Midstream, LLC.

The binding open season was announced on its proposed Delaware Basin crude oil gathering and transportation system. The binding open season started on 2 August 2019 at 8:00 am CT, and will end on 31 August 2019 at 5:00 pm CT. Based on the results of the open season, the final volume of capacity of the project will be determined by SCM.

An opportunity will be provided by the open season for shippers to demonstrate support for the project by making acreage dedications for priority service, thereby becoming priority shippers for the term of their crude oil gathering agreements.

With interconnects to certain takeaway pipelines, including pipelines with direct, long-haul transportation to the Midland, Texas area and the Corpus Christi, Texas area, the crude oil gathering and transportation project will be constructed and operated by SCM, across multiple segments spanning from various tank battery receipt points in Eddy and Lea Counties, New Mexico, to SCM’s Wink Terminal and Orla Terminal.

Source:
worldpipelines

Open Season Announced for Touchdown Crude Oil Gathering System

LM Touchdown Crude II, LLC, a subsidiary of Longhorn Midstream Holdings, LLC has launched a binding open season to solicit commitments to support the development of its Touchdown Crude Oil Gathering System in the Northern Delaware Basin.

The Greenfield pipeline system will initially gather crude oil from origination points and deliver to destination points in Eddy County, New Mexico.

The binding open season process will provide potential customers with the opportunity to obtain crude oil gathering and transportation service by making commitments during the binding open season.

The binding open season for the initial phase of the gathering system commenced on 15 July, 2019 at 8 am CT. The open season is scheduled to conclude at 5 pm CT on 14 August, 2019.

Source:
worldpipelines

Stonepeak Buys Oryx Midstream in a $3.6 Billion Deal

In a $3.6 billion deal, New York private equity firm Stonepeak Infrastructure Partners bought all of Permian Basin-focused pipeline operator Oryx Midstream’s assets, the two companies announced the deal on Tuesday.

Oryx is publicized as the largest privately-held crude oil pipeline and storage terminal operator in the Permian Basin of West Texas and New Mexico, with more than 1,200 miles of pipeline and 2.1 million barrels of storage.

"As we begin our next chapter and new partnership with Stonepeak, we look forward to the operational and capital support they will provide our team as we continue to aggressively grow our footprint in the Permian Basin," Oryx Midstream CEO Brett Wiggs said in a statement.

"Our critical focus will be on continuing to provide Oryx's diversified customer base with best in class service offerings to accommodate their growing production while also pursuing new commercial opportunities across the value-chain," Stonepeak partner and energy business head Jack Howell said.

The Midland pipeline operator recently completed construction on the first phase of a crude oil gathering system in an area of the Permian Basin known as the southern Delaware Basin, which includes parts of southern New Mexico and West Texas. Oryx will be able to keep its name and headquarters in Midland, under the deal with Stonepeak.

Source:
chron

Final Phase of EPIC Natural Gas Liquids Pipeline to Begin Construction

The 700-mile EPIC Natural Gas Liquids Pipeline that will flow from New Mexico to Corpus Christi has entered the third and final phase of construction, company officials say.

The pipeline will be side-by-side with the previously announced 730-mile EPIC Crude Oil Pipeline for most of its route.

The NGL pipeline will have a throughput capacity of more than 440,000 barrels per day with different origin points in the Delaware and Midland Basins, and the crude oil pipeline will carry 550,000 barrels per day from the Permian to the Eagle Ford Basins.

The NGL project started in December and finished its first construction phase 3 months ago.

Source:
Caller Times

Enterprise Announces Natural Gas Plant Project for Delaware Basin

A Natural Gas Processing Facility By ReAl (Own work) [CC BY-SA 3.0 (http://creativecommons.org/licenses/by-sa/3.0)], via Wikimedia Commons

Enterprise Products Partners announced yesterday that they plan to construct a “new cryogenic natural gas processing facility and associated natural gas and natural gas liquids (NGL) pipeline infrastructure to facilitate growth of NGL-rich natural gas production in the Delaware Basin of West Texas and southeastern New Mexico.”

The processing plant, whose site location is currently undetermined, will have a nameplate capacity of 300 million cubic feet per day and the capability to extract more than 40,000 barrels per day of natural gas liquids. The plant is expected to begin operations mid 2018.

The announcement of this natural gas processing plant makes Enterprise’s third announced project in the region within the last 2 years. The South Eddy facility started operations earlier this year, and the Waha joint venture plant will begin operations late this year. These initiatives along with the third project announced today complement Enterprise’s ongoing growth in the region, bringing their processing capability in the Delaware Basin from 40 million cubic feet per day in 2012 to 800 million cubic feet per day.

Construction of the new natural gas processing plant also includes natural gas gathering lines, a residue pipeline to Waha, and an NGL pipeline to Enterprise’s Mid-America Pipeline system.

Source:
Enterprise Products Partners