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Longhorn Midstream launches open season for Touchdown Crude Oil Gathering System

Published by
World Pipelines,


Longhorn Midstream Holdings, LLC has announced that one of its subsidiaries, LM Touchdown Crude II, LLC, has launched a binding open season to obtain 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 for the initial phase of the gathering system commenced today, 15 July, 2019 at 8am. Central time and is scheduled to conclude at 5pm Central time on 14 August, 2019.

Business update

The Touchdown Crude Oil System, which will support multiple customers willing to make long-term commitments, will initially consist of approximately 50 miles of gathering and transportation pipelines. Construction has begun and the gathering system is expected to enter partial service in September 2019 and to be fully commissioned in the first quarter of 2020.

In addition to the Touchdown Crude Oil System, Longhorn also announced it is constructing a gas gathering system in the Northern Delaware Basin. The Touchdown Gas Gathering System will initially provide low pressure gathering, dehydration, compression, and high-pressure gathering services for liquids-rich natural gas produced by customers in the area.

Management perspective

“The Northern Delaware Basin is one of the most economic areas in the country for oil and gas development,” said Elliot Gerson, Managing Partner at Longhorn. “The combination of prolific well results and insufficient existing infrastructure creates a compelling opportunity to offer our customers midstream solutions that will help unlock the underlying resource potential.”

Mike Davis, Managing Partner at Longhorn, added, “We are excited to develop our regional gathering systems, which will provide our customers with flow assurance and market optionality. The Touchdown Crude Oil and Gas Gathering Systems represent exactly the type of projects that the Longhorn team excels at developing and operating, and we look forward to continuing to expand our presence in the area by offering our customers a full suite of midstream solutions.”

Open season information

The binding open season process provides potential customers with the opportunity to obtain crude oil gathering and transportation service on the Touchdown Crude Oil System by making commitments during the binding open season. All binding commitments must be received by 5pm. Central time on 14 August, 2019.

Read the article online at: https://www.worldpipelines.com/business-news/15072019/longhorn-midstream-launches-open-season-for-touchdown-crude-oil-gathering-system/

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