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American Midstream commences deliveries on Cayenne pipeline

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World Pipelines,

American Midstream Partners, LP (AMID) has announced its completion and commencement of deliveries on the previously announced Cayenne pipeline joint venture between AMID and Targa Resources Corp (Targa). The Cayenne pipeline will initially have a transport capacity of 40 000 bpd of Y-grade NGL, with the ability to expand to more than 50 000 bpd. The pipeline will originate from the Targa-operated Venice gas processing plant and deliver to fractionation in southern Louisiana (USA).

The commencement of the Cayenne pipeline provides AMID with strategic transport capabilities for the majority of all NGL volumes out of the Gulf of Mexico's deepwater Mississippi Canyon region where AMID has developed an integrated gathering and transportation network. The Cayenne pipeline is supported by a 15 year dedication for all NGL production from Targa's 750 million ft3/d Venice plant with inlet from six offshore Gulf of Mexico pipelines.

"The commencement of Cayenne demonstrates AMID's ability to react to market demand and simultaneously execute on highly attractive commercial opportunities. Cayenne not only benefits offshore producers with a substantial increase in NGL take away capacity, but also creates meaningful value to AMID by taking an underutilised pipeline and altering its services into a strategic project," stated Lynn Bourdon III, President and Chief Executive Officer.

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