Kinder Morgan Inc. (NYSE: KMI) has launched a binding open season to solicit commitments for the proposed Utica Marcellus Texas Pipeline (UMTP), which would transport liquids produced from the Utica and Marcellus producing basins to delivery points along the Texas Gulf Coast, including connectivity to a Kinder Morgan dock.
The proposed project would involve the abandonment and conversion of 964 miles of natural gas service on KMI’s existing Tennessee Gas Pipeline, the construction of approximately 200 miles of new pipeline from Louisiana to Texas, new storage in Ohio, and 120 miles of new laterals to provide basin connectivity.
The $4 billion UMTP project will be designed to transport propane, butanes, natural gasoline, y-grade, and condensate in batches along the system, with a maximum design capacity of 430,000 barrels per day. Subject to shipper commitments and timely regulatory approvals, the pipeline will be in service by the fourth quarter of 2018.
The binding open season ends at 5 p.m. Central Time on Sept. 15.