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.


Natural Gas and NGL Infrastructure Expansions Announced by ONEOK

The plans to expand its natural gas and natural gas liquids infrastructure between now and 2021, was announced by ONEOK, Inc.

An expansion of a 200 million cubic feet per day Bear Creek natural gas processing facility and related infrastructure in the Williston Basin is expected to cost approximately $405 million and expecting to be completed in the first quarter of 2021. Following the completion of the Bear Creek expansion, ONEOK's Williston Basin natural gas processing capacity will increase to more than 1.6 billion cubic feet per day.

The 65,000 barrels per day expansion to ONEOK's Mid-Continent NGL fractionation facilities are expected to cost approximately $150 million. The expansion includes 15,000 barrel per day expected to be completed in the third quarter 2020 and 50,000 barrel per day expected to be completed in the first quarter 2021. 

The West Texas LPG pipeline expansion will add an additional 80,000 barrel per day on the West Texas LPG pipeline system and is expected to be completed in the first quarter 2020. The cost is expected to be approximately $145 million.

In expectation of accelerating volume growth from the Williston and Powder River basins, additional infrastructure will be constructed to increase connectivity between the Elk Creek and Arbuckle II pipelines.


Energy Transfer to Expand in Mont Belvieu with $385 Million Project in Response to Booming Permian

Energy Transfer Partners is expanding its Lone Star campus in Mont Belvieu, Texas by adding a $385 million fractionator and storage system as a response to increasing production from the Permian Basin.

A rebounding oil market and booming Permian Basin are bringing more competition to the area as pipeline companies work swiftly to build out more pipeline systems in order to move oil to refiners, processing plants, or other continents. Drilling rigs are consistently being added in West Texas, mainly in the Permian where more than half of the U.S. active drilling rigs reside.

Energy Transfer's added fractionator will take natural gas liquids that are collected during oil production and separate the liquids into ethane, propane, and butane. The expansion would also include a three million barrel underground storage cavern.

The fractionator will be able to process up to 120,000 barrels per day, which will increase Energy Transfer's processing capacity to 540,000 barrels per day at Mont Belvieu.

The project is expected to be complete by September of 2018.

Fuel Fix