This article was updated June 8.
ETP has entered into long-term gas gathering, processing, and fractionation agreements with EdgeMarc Energy, Canonsburg, Pa. To execute the agreements, ETP has bought 20 miles of high-pressure pipeline from EdgeMarc and will build a cryogenic gas processing plant, a fractionator, and additional gas gathering pipelines.
The announcement did not disclose the planned capacities of the gas plant or NGL fractionator; a company spokesperson declined to provide further details to OGJ.
ETP plans to build 100 miles of high-pressure, 24-in. and 30-in. rich-gas pipeline resulting in a total gathering system capacity of more than 440 MMcfd. The Revolution pipeline originates in Butler County, Pa., and will extend to ETP’s Revolution cryogenic gas plant to be built in western Pennsylvania. The Revolution plant is to be in service by second-quarter 2017 and will, ETP said, “allow for future processing growth for additional third-party gas.”
Residue gas from this plant will be delivered into ETP’s Rover interstate pipeline. The NGLs will be delivered to Sunoco Logistics’ Mariner East pipeline system for delivery to domestic and export markets.
The project also includes fractionation to be built at Sunoco Logistics’ Marcus Hook industrial complex in Marcus Hook, Pa. The fractionation plant is to be in service by second-quarter 2017.
Overall expected capital cost for the pipeline system and associated facilities, which will be supported by long-term agreements, is about $1.5 billion, ETP said.
According to Chuck VanAllen, chief executive officer of EdgeMarc Energy, the project provides EdgeMarc effective gathering and processing for about 500 laterals that will be drilled to access rich gas from the stacked Devonian and Marcellus shales in Butler County.