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

Service Started on 658-Mile Shin Oak NGL Pipeline From Permian Basin to Mont Belvieu

The Shin Oak NGL Pipeline project to move natural gas liquids from the West Texas town of Orla to a processing and storage facility in Mont Belvieu, has its service started, announced on Thursday by Houston pipeline operator Enterprise Products Partners.

Shin Oak is designed and built as a 24-inch diameter 658-mile pipeline and is starting its service with an initial capacity to move 250,000 barrels of ethane, propane, butane and other natural gas liquids per day.

"The Shin Oak Pipeline represents another important addition to our expanding network of integrated midstream assets in the Permian Basin," Enterprise Products Partners CEO A.J. "Jim" Teague said in a statement.

The company is building a third natural gas processing plant in Orla that is expected to be completed by June. Another natural gas processing plant in the Loving County of Mentone is expected to begin service by March 2020. Combined, the Orla and Mentone facilities will give Enterprise more than 1.6 billion cubic feet per day of natural gas processing capacity and more than 250,000 barrels of natural gas liquids production per day in the Permian Basin.

Source:
Chron

Enterprise Products Partners to Expand NGL Facilities in Midst of Permian Boom

Enterprise Products Partners announced it is further expanding its natural gas liquids facilities in the Houston area and West Texas to take advantage of the boom that forecasts the potential doubling of natural gas and NGL supply in the Permian within the next five years.

Enterprise will expand its butane refining capabilities at its Mont Belvieu complex and continue constructing its new NGL processing plant in Orla.

Enterprise plans to add 300 million cubic feet per day of capacity at its cryogenic natural gas processing facility near Orla as well as add 30,000 barrels per day of processing capacity to its butane isomerization facilities in Mont Belvieu.

Enterprise is also in the middle of constructing its 571-mile Shin Oak pipeline to transport more NGLs from West Texas to Mont Belvieu.

Source:
Houston Chronicle