New Projects in the Eagle Ford Shale

Energy Transfer Partners LP (ETP) announced it has entered into multiple long-term agreements with shippers to provide additional transportation services from the Eagle Ford Shale located in South Texas, USA. To facilitate these agreements, ETP will construct a natural gas pipeline, a processing plant and additional facilities at an approximate cost of US$ 300 million. These projects will expand the partnership’s extensive midstream infrastructure in the Eagle Ford, which includes the recently completed Dos Hermanas Pipeline and the Chisholm Pipeline that is scheduled for completion in the second quarter of 2011.

“The pipeline is a significant organic growth project for our Partnership and represents another major step toward our goal of becoming a major player in the rich Eagle Ford play. The REM project will also add value to our existing downstream infrastructure.”

The 160 mile, 30 in. Rich Eagle Ford Mainline (REM) will have a capacity of 400 million ft³/d, with the ability to expand capacity to 800 million ft³/d. This rich gas gathering system, which is expected to be in service by the fourth quarter of 2011, will originate in Dimmitt County, Texas, USA, and extend to the Partnership’s Chisholm Pipeline for ultimate deliveries to the Partnership’s existing processing plants and to a new processing plant.

“The development of the REM is exciting for both our Partnership and producers in the Eagle Ford Shale who need this additional take away capacity,” said Tim Dahlstrom, Energy Transfer’s Senior Vice President. “The pipeline is a significant organic growth project for our partnership and represents another major step toward our goal of becoming a major player in the rich Eagle Ford play. The REM project will also add value to our existing downstream infrastructure.”

Read the article online at: https://www.worldpipelines.com/business-news/18022011/new_projects_in_the_eagle_ford_shale/