Tall Oak Midstream, LLC began natural gas gathering operations on its 150-mile STACK System, serving producers in Oklahoma’s STACK play (Sooner Trend, Anadarko basin and Oklahoma’s Canadian and Kingfisher counties). Long-term gathering and processing agreements with Felix Energy LLC and PayRock Energy LLC anchor STACK. Together, Felix and PayRock control more than 100,000 net acres in the STACK play. Tall Oak is also in discussions with other area producers to bring gas onto the STACK System.
Northwest of Oklahoma City, STACK targets liquids-rich Woodford and Mississippian-age shales, including the Upper and Lower Mississippian Meramec, Osage, Woodford shale and Hunton formations. The system will also be able to serve production from the Springer shale play and other portions of the South Central Oklahoma Oil Province (SCOOP).
Tall Oak expects to commission the system’s first processing plant, the 100-MMcfd Chisholm Plant in Kingfisher county, in this year’s third quarter. Residue gas can be shipped to market via Southern Star Central Gas Pipeline and Enable Gas Transmission (OGJ, Nov. 3, 2014, p. 38). The Chisholm site can accommodate expansion up to 400 MMcfd.
The company is also building a natural gas gathering and processing system to serve producers in Oklahoma’s Central Northern Oklahoma Woodford (CNOW) play. Tall Oak’s CNOW System consists of 250 miles of gas gathering pipeline and the 75-MMcfd Battle Ridge Plant in Payne County, Okla. Tall Oak expects to bring the cryogenic plant with nitrogen rejection capabilities into service at the end of this month.