Breakwater Energy Partners Launches Midstream Division

A new midstream division has been launched by Breakwater Energy Partners to build and operate pipelines and other equipment to move freshwater and wastewater to and from oil and gas sites in the West Texas shale play.

The company has already pushed to boost oilfield wastewater recycling in the Permian Basin and the move to launch the midstream division is to unify its water sourcing, transfer and recycling businesses under the Breakwater name

"We are looking forward to providing our customers even more solutions as we continue our commitment to the quality of our work, integrity and continuous improvement," Breakwater CEO Jason Jennaro said in a statement.

The company’s headquarter is in Houston and has more than 400 employees. It recycles more than 16.8 million gallons of oilfield wastewater per day and has more than 350 miles of lay flat hose and 140 transfer pumps.

Source:
chron

Philips 66 Enters Joint Venture to Build $2.5 Billion Red Oak Pipeline

Phillips 66 has teamed up with Plains All American Pipeline LP to construct the $2.5 billion Red Oak Pipeline system that will deliver crude oil from Cushing, Oklahoma, and the Permian Basin in West Texas to Corpus Christi, Ingleside, Houston and Beaumont, Texas.

The plan is to build a 30-inch pipeline from Cushing to Wichita Falls and Sealy, Texas. It also will build a 30-inch pipeline segment from Sealy to Corpus Christi and Ingleside and a 20-inch pipeline segment from Sealy to Houston and Beaumont.

The company expects to commence initial service as early as the first quarter of 2021. As per the release, Plains will handle project construction and Phillips 66 will operate the pipeline.

“Red Oak represents a capital-efficient industry solution that will utilize existing assets and provide pull-through benefits to our systems,” Willie Chiang, CEO of Plains All American, said in the release. “We look forward to working closely with Phillips 66 and our committed shippers to bring Red Oak into service and further optimize our assets upstream and downstream of the new pipeline system. We also look forward to creating jobs and supporting economic growth in Oklahoma and Texas.”

Source:
bizjournals

Open Season Extended for the Proposed Voyager Pipeline

An extension of the open season to solicit commitments from shippers for the proposed Voyager Pipeline was announced by Magellan Midstream Partners, L.P. and Navigator Energy Services. The pipeline will transport crude oil from Cushing, Oklahoma and Midland, Texas to Houston.

The proposed Voyager Pipeline would include construction of 20 inch diameter pipelines from both Magellan’s Cushing and Midland terminals to Magellan’s terminal in Frost, Texas and a 24 inch diameter pipeline would be constructed from Frost, Texas to Magellan’s terminal in East Houston.

The Pipeline is expected to have an initial capacity of up to 400,000 barrels per day, with the ability to expand if necessary by industry demand. It is expected to be operational in early 2021, subject to receipt of sufficient customer commitments and all necessary permits and approvals. Binding commitments are now due by 12:00 pm CDT on 30 August 2019.

Source:
worldpipelines

Binding Open Season for Marketlink Pipeline System launched by TransCanada

TransCanada Corporation has announced an open season to solicit binding commitments for incremental capacity on Marketlink pipeline system.

Interested parties for transportation services of crude oil from Cushing, Oklahoma to markets on the US Gulf Coast may submit binding bids that will close at 12 pm MT on 21 May 2019. Shipper information regarding the open season is available online.

Marketlink transports shipments of U.S. crude oil from Cushing, Okla., to refineries in the U.S. Gulf Coast via the Keystone Pipeline System’s Gulf Coast extension. Delivery points include Sour Lake, Houston, and Port Arthur, Texas.

Source:
worldpipelines

Trump Heads to Houston to Boost Oil and Gas Sector

President Donald Trump will travel to Houston Wednesday to announce executive orders aimed at speeding up pipeline and other energy projects and expanding oil and natural gas production, a senior White House official said.

The president is scheduled to appear at the International Union of Operating Engineers International Training and Education Center in Crosby, a union-run training facility spread over 265 acres. There he is expected to speak about how he plans to aid the United States' booming domestic oil and gas production and further shift away from foreign imports.

For now the White House won't release the exact details of the executive orders. But the senior official said they would streamline permitting and help energy companies to ”avoid unnecessary red tape."

"American families and businesses in states with energy restrictions will be able to access affordable and reliable domestic energy resources," the official said.

Record oil and gas production, led by Texas, has played a large role in both domestic and foreign policy for the Trump administration. U.S. crude oil production now at more than 12 million barrels a day has surpassed both Saudi Arabia and Russia.

Domestically, shale drilling boom has provided a boost to the economy in generally lowering energy costs for consumer and businesses and moving the country ever closer to a once unimaginable goal of becoming a net energy exporter.

Pipeline executives have urged Trump to assert federal authority over interstate pipelines and prevent states from blocking multi-billion dollar projects that are facing increasing uncertainty from investors.

Source:
chron

Open Season Extended for Cushing to Houston Voyager Pipeline

An extension of the open season to solicit commitments from shippers for the proposed Voyager Pipeline was announced by Magellan Midstream Partners, L.P. and Navigator Energy Service. The pipeline will transport various grades of light crude oil and condensate from Cushing, Oklahoma to Houston, Texas.

The pipeline would include construction of nearly 500 miles of 20 in. or 24 in. diameter pipeline from Magellan's terminal in Cushing to Magellan's terminal in East Houston. Binding commitments are now due by noon of 31 May 2019 CDT.

At the Cushing origin, the Voyager Pipeline would provide shippers option to originate deliveries at Cushing from the Magellan-operated Saddlehorn Pipeline serving the Rockies and Bakken production regions, Navigator's Glass Mountain Pipeline serving the Mid-Continent basin, as well as other connections within the strategic Cushing crude oil hub.

At the destination, Magellan's comprehensive Houston crude oil distribution system could further deliver the multiple grades of crude oil to the Houston and Texas City refineries or to crude oil export facilities, such as the terminal owned by Seabrook Logistics, LLC, which is owned 50% by Magellan.

The pipeline is expected to have an initial capacity of at least 300,000 bpd and it is planned to be operational in late 2020, subject to receipt of sufficient customer commitments and all necessary permits and approvals.

Source:
worldpipelines

Export Auction for WTI Crude Oil to Be Held by Enterprise Products Partners

An electronic auction will be held on April 4th by Enterprise Products Partners for its domestically produced West Texas Intermediate crude oil that will be exported from its Houston Ship Channel terminal.

Enterprise has become the largest exporter of crude oil in the United States since the federal government lifted a ban on exporting crude oil less than four years ago, which accounts for nearly 40 percent of crude oil shipments abroad. Chicago-based trading firm CME Group will conduct the online auction on behalf of Enterprise.

"With the recent success of the first ever electronic auction of U.S. crude oil for export, the market has demonstrated its demand for transparency, efficiency, accurate physical pricing and access to reliable supplies of crude oil with consistent quality standards," Enterprise Senior Vice President Brent Secrest said in a Wednesday morning statement.

Using Enterprise's distribution network, the Houston futures contract has access to more than 4 million barrels per day of crude oil, 45 million barrels of crude oil storage and 18 deep-water docks.

Source:
chron

Nuevo Midstream Enters Deal to Buy Republic Midstream

Nuevo Midstream, a Houston pipeline operator has entered into a deal to buy Republic Midstream, an Eagle Ford Shale pipeline operator, in a statement released Wednesday morning by Nuevo Midstream. The deal is expected to close during the second quarter.

Republic Midstream owns and operates 100 miles of crude oil gathering pipeline and 300,000 barrels' storage in the Eagle Ford Shale's DeWitt and Lavaca counties. The company's network also includes a 26-mile intermediate pipeline that moves crude oil from a central delivery point to the Kinder Morgan Crude and Condensate Pipeline.

"We are very excited about this acquisition and the opportunity to expand the footprint and service offerings of the Republic system," President and Chief Executive Randy Ziebarth said. "We really like these assets and their location within the Eagle Ford. The Eagle Ford is experiencing a resurgence and is advantaged by its proximity to the Gulf. Nuevo Dos looks forward to helping producers fully participate in moving crude and condensate to market."

Source:
chron

FERC Approves $680M Project: 200-Mile Pipeline Moving NatGas from Oklahoma to Gulf Coast Will Connect to Kinder & Boardwalk Pipe

Cheniere Energy and a Washington D.C. private equity firm have received approval from the Federal Energy Regulatory Commission on Wednesday to build the 200-mile Midship Pipeline. The project will move natural gas from Oklahoma to destinations along the Gulf Coast and southeastern United States in Oklahoma.

In a statement issued by the companies, $680 million in financing was secured for the 36-inch diameter natural gas pipeline and a notice was issued for contractors Strike LLC, M.G. Dyess, TRC Pipeline Services and Cenergy LLC to proceed with construction.

The Midship Pipeline is designed to move 1.4 billion cubic feet of natural gas per day from Oklahoma's SCOOP and STACK shale plays to delivery point just north of the Red River near Bennington, Oklahoma. The project is expected to be placed in service by the end of the year.

The pipeline will connect to Kinder Morgan's Midcontinent Express Pipeline and the Boardwalk Pipeline Partners-owned Gulf Crossing Pipeline, allowing natural gas from Oklahoma to move to the TexOk Hub near Atlanta, Texas and the Perryville Hub near Tallulah, Louisiana.

Source:
chron

SkyX Drone Company Visions Expansion in Texas Oil and Gas Market

In hopes to expand its presence in Texas, an Ontario-based SkyX drone company specializing in performing oil and natural gas pipeline inspections has set up shop in downtown Houston. Live demonstrations of the company's technology will be provided through a test facility the company plans on opening in the Houston area.

"I admire the innovation and impact that SkyX has delivered and the company-wide dedication to offering the most effective solutions to midstream and other long-range assets the world over," a company executive said in a statement. "I am honored to have the opportunity to contribute to the success and expansion of this impressive company."

SkyX drones can be used to inspect pipelines and provide high-quality visual data along their routes that can be used for surveying right-of-way or detecting leaks and corrosion. When paired with specialized cameras fixed to its drones, the company's proprietary software can detect anomalies such as ground depressions and cracks, large corrosion patches on above-ground pipelines and above-ground pools of oil resulting from a leak.

Source:
Chron

Open Season Extended on 650-Mile Jupiter Pipeline

Jupiter Energy extended an open season until May 31 for the 650-mile, 36-inch Jupiter pipeline stretching from the Permian to the Port of Brownsville.

“We're very pleased with the results of the initial open season period for the Jupiter Pipeline,” said Albert Johnson, president of Jupiter Pipeline. “The supplemental period validates our belief that the interest for transportation commitments on the pipeline is as substantial as expected.”

The pipeline will be originating near Crane, Texas, and Gardendale/Three Rivers, Texas and is the only pipeline out of the Permian Basin with access to all three deep water ports in Texas (Houston, Corpus Christi and Brownsville). It is expected to be operational in fourth quarter of 2020.

It will have direct access to a fully capable VLCC loading facility off coast at Brownsville, where the Jupiter Brownsville Terminal will consist of up to 10 million barrels of storage, three docks and an offshore VLCC loading facility.

Source:
pgjonline

Two Houston Pipeline Companies Joining Forces to Add Crude Oil, NatGas & Saltwater Lines in the Permian

Five Point Energy of Houston and Matador Resources of Houston are partnering to form San Mateo Midstream II LLC. This will allow their customers to move more crude oil, natural gas and produced water on the New Mexico side of the Permian Basin.

"The Delaware remains one of the most promising producing basins in North America, yet it lacks sufficient permanent 'in-basin' midstream infrastructure," Five Point Energy CEO David Capobianco said in a statement.

The joint partnership plans to process 200 million cubic feet of natural gas per day, by building a cryogenic natural gas plant near Carlsbad, New Mexico. There are also plans to build two saltwater disposal wells and pipelines to move crude oil, natural gas and produced water from remote wells to nearby storage tanks.

San Mateo Midstream II is the second joint venture between Five Point Energy and Matador Resources. Matador Resources will own 51 percent of San Mateo Midstream II and Five Point will own 49 percent. The companies already launched San Mateo Midstream I LLC in Feb. 2017 to build pipelines and other infrastructure in Eddy County, New Mexico and Loving County, Texas.

Source:
Chron

Open Season on Magellan Midstream's 500-Mile Voyager Pipeline to Be Extended

Magellan Midstream Partners LP and Navigator Energy Services are extending the open season to book capacity on the proposed Voyager Pipeline after they announced a significant rise in interest.

Binding commitments are now due on March 29.

The Voyager Pipeline is a proposed 500 mile pipeline project that will move crude oil and condensate from storage terminals in Cushing, Oklahoma to refineries and export terminals in Houston.

This project is a joint venture project that would include the construction of a 20-inch or 24-inch pipeline, which could move up to 300,000 barrels of crude oil and condensate per day from Magellan's terminal in Cushing to the company's terminal in East Houston.

At the Houston terminal destination, Magellan's pipeline network would be able to deliver crude oil and condensate to all refineries in the Houston and Texas City area or to crude oil export facilities.

Magellan said the Voyager Pipeline could be operational by late 2020, if approved by regulators and the project receives enough interest.

Source:
Chron

Louisiana Receives More Good News as Phillips 66 and Harvest Midstream Team Up for Ace Pipeline System

Houston’s Phillips 66 Partners LP is leading a joint venture to develop the ACE Pipeline System in Louisiana.

Phillips 66 Partners, Harvest Midstream Company and PBF Logistics LP announced the project in a joint statement issued on Monday morning.

The ACE Pipeline System will have an initial throughput capacity of 400,000 barrels per day and move crude from the market hub in St. James, Louisiana to refining destinations in Belle Chasse, Meraux, and Chalmette.

Harvest Midstream’s CAM Pipeline will contribute to the ACE Pipeline System. A new-build segment will connect the St. James market center.

The pipeline system is expected to be placed in service in second half of 2020, subject to regulatory approvals.

Source:
Chron

Open Season Launched for Gladiator Pipeline Linking Oklahoma and Houston

An open season will be held to solicit binding commitments for development of a pipeline system that will transport segregating batches of light crude from Cushing, Okla. to Houston.

SemGroup Corp. and DCP Midstream LP (jointly known as “Carriers”) are the involved companies for the proposed Gladiator Pipeline that would start at SemGroup’s Cushing terminal.

SemGroup said that Gladiator will offer DJ basin and other Midcontinent producers an additional outlet to the US Gulf Coast.

Pending sufficient interest and regulatory approvals, Gladiator could be operational by third-quarter 2020 and have a capacity of 300,000 bpd.

The open season ends Jan. 31, 2019.

Source:  SEMGroup

Source:
SEMGroup

Open Season Launched for Phillips 66 Proposed Pipelines

Phillips 66 launched open seasons for the newly proposed Red Oak pipeline and Liberty pipeline.

Both projects will be joint ventures with Bridger Pipeline LLC and will deliver crude oil to the Texas Gulf Coast.

The Liberty Pipeline will start in the Rocky Mountains and Bakken Formation production areas and end in Corpus Christi, Texas and will have an initial throughput capacity of 350,000 barrels per day with potential to expand further depending on shipper interest, per the release.

The Red Oak Pipeline will run from Cushing, Oklahoma, to Corpus Christi, Houston and Beaumont, Texas and will have 400,000 bpd capacity while also possibly expanding depending on interest.

Source:
Biz Journals

Temporary Evacuations Occur as CenterPoint Investigates Reports of Gas-Odor In Houston

CenterPoint Energy is investigating reports of a gas-like odor throughout the Houston area, a company spokeswoman said.

The company said that it hasn’t found any actual gas leaks so far, however it is still investigating every single call about the odor.

The Houston Fire Department tweeted about the odor at around 10:45 a.m. on Wednesday, saying many of the reports were coming from northeast Houston.

According to the city’s Office of Emergency Management, the odor began moving south and southeast throughout the city.

The Municipal Courts Building near downtown Houston was temporarily evacuated Wednesday morning because of the odor.

The fire department is working with CenterPoint Energy to locate the source of the smell. 

The emergency management office has urged residents who smell the odor to remain indoors, close their windows and turn off air conditioning and heating systems.

Source:
Chron

ArcLight Capital to Buyout American Midstream Partners

ArcLight Capital, a Boston-based private equity firm, said Friday that it plans to buy out the Houston pipeline company American Midstream Partners and take it private.

The deal puts American Midstream’s value at nearly $330 million.

American Midstream, which owns pipelines in Texas, the Gulf of Mexico and North Dakota, moved from Denver to Houston about two years ago.

Bottle necks in the pipeline systems are slowing the pace of growth in the Permian and is forcing producers to sell their crude at substantial discounts to prices on the Gulf Coast.

The burst of activity in the pipeline sector is driven by the record crude and natural gas production in the Permian Basin in West Texas. The shortage of pipeline capacity is allowing private equity money to flow into the region.

Source:
Houston Chronicle

Lotus, Exxon and Plains All American to Team up on Multibillion-dollar Pipeline System

Lotus Midstream, backed by the San Antonio private equity firm EnCap Flatrock Midstream, plans to join Exxon Mobil and Houston’s Plains All American to construct a multibillion-dollar crude oil pipeline system from West Texas to Houston and Beaumont.

Lotus Midstream was formed earlier this year, and made waves a month ago as they announced their agreement to purchase a Texas pipeline system, the Centurion pipeline system, from Occidental Petroleum.

Lotus is planning to create a formal joint venture with Exxon and Plains who announced the pipeline in June.

Earlier this year, Exxon announced its intentions to triple its Permian oil and gas production by 2025.

Plains and Magellan Midstream Partners of Oklahoma recently expanded their BridgeTex oil pipeline. The BridgeTex serves as the major artery from West Texas to the Houston region.

Source:
Houston Chronicle

$550 Million Pipeline Project Proposed by CenterPoint in Louisiana and Texas

A $550 million natural gas pipeline project is being proposed by a pipeline company backed by Houston’s CenterPoint energy to feed the liquefied natural gas exporting business along the Gulf Coast.

Oklahoma-based Enable Midstream Partners said the proposed 165-mile gas pipeline will stretch across the Texas state line from northwestern Louisiana to southwestern Louisiana, taking gas from the Haynesville shale and other regions to be shipped down to new LNG export terminals in Louisiana and Texas.

"We are excited about this opportunity to diversify and expand Enable's transportation footprint to connect directly to U.S. Gulf Coast markets," said Enable Chief Executive Rod Sailor.

The goal is to complete the project as early as 2022.

Source:
Houston Chronicle