The EnLink Midstream companies, EnLink Midstream Partners LP and EnLink Midstream LLC, have completed the construction of Phase II of the Cajun-Sibon natural gas liquids (NGL) expansion project in South Louisiana.The partnership has also completed the construction of the Bearkat natural gas processing plant and rich gas gathering system in West Texas.
“We are pleased to announce the completion of these two strategic projects, which are significant steps in our growth plan,” said Barry E. Davis, EnLink Midstream’s president and CEO. “We will continue to take advantage of additional growth opportunities from our expanded platform of assets, creating significant value for our customers, unitholders and employees.”
Cajun-Sibon NGL expansion project
The expanded Cajun-Sibon system connects EnLink Midstream’s Eunice fractionator in South Louisiana to Mt. Belvieu supply pipelines in East Texas, improving the reliability and diversity of NGL supply to the region’s petrochemical and refining markets. Phase II of the Cajun-Sibon project, which is supported by long term, fee-based ethane and propane sales agreements with a major petrochemical company in the region, includes: the expansion of thepartnership’s Cajun-Sibon pipeline capacity by an additional 50,000 barrels per day (bpd) of raw-make NGL to 120,000 bpd; the installation of a 100,000 bpd fractionator adjacent to the partnership’s Plaquemine natural gas processing plant; the modification of the Riverside fractionator facility; and the construction and conversion of approximately 90 miles of NGL pipelines that originate at the partnership’s Eunice fractionator and connect to the new Plaquemine fractionator.
Bearkat processing complex and gathering system
The partnership has made progress on the expansion of EnLink Midstream’s footprint in the Permian Basin.The first phase of the expansion project includes the construction of a new 60 million cubic feet per day (MMcf/d) natural gas processing plant, known as Bearkat, and 65 miles of high pressure gas gathering pipeline. The Bearkat plant, which is located in Glasscock County, is complete. The partnership has also completed a portion of the gas gathering system, which includes 30-miles of high pressure pipeline that provides gas takeaway capacity for producers in Glasscock and Reagan Counties.
The additional 35-mile, high pressure pipeline, which will provide further gas gathering capacity for the Bearkat natural gas processing complex, is underway. The new build pipeline will have an initial capacity of 100 MMcf/d and provide gas takeaway solutions for constrained producer customers in Howard, Martin and Glasscock Counties. Right-of-way acquisition is complete and the pipeline is expected to be operational in the fourth quarter of 2014. The entire first phase of the expansion project is supported by long term, fee-based agreements with major oil and gas producers in the region.
The second phase of the expansion project includes a new 120 MMcf/d natural gas processing plant, multiple low pressure gathering pipelines and a new 23-mile high pressure gathering pipeline that will tie into the Bearkat gas gathering system. The natural gas processing plant, known as Ajax, will be located to the north of the Bearkat plant, and will increase the total transportation capacity of the Bearkat gas gathering system to over 400 MMcf/d. As part of this portion of the expansion project, the Partnership has signed a long-term, fee-based agreement with Devon Energy to provide gathering and processing services for over 18,000 acres under development in Martin County. The new pipelines are expected to be operational in the first quarter of 2015 and the Ajax gas processing plant is expected to be operational in the second half of 2015.