Unconventional oil and gas: ARM Midstream to build new crude gathering system in Bakken/Three Forks shale play Unconventional oil and gas: ARM Midstream to build new crude gathering system in Bakken/Three Forks shale play

ARM Midstream to build new crude gathering system in Bakken/Three Forks shale play

Source:Asset Risk Management

The system will provide greater access and takeaway options for unconventional oil and gas producers.

Asset Risk Management (ARM) (www.asset-risk.com) announced today that ARM Midstream, a wholly owned subsidiary of ARM, intends to construct a crude oil gathering system in the prolific Bakken shale gas play and underlying Three Forks formation. The gathering system project is the first phase of ARM's desire to serve area producers via direct access and greater optionality to crude takeaway markets.

ARM also announced that Zavanna, LLC (www.zavanna.com), an exploration and production company that has been operating in the Williston Basin of North Dakota and Montana since 1981, has executed a letter of intent to be an anchor customer of the system. Zavanna intends to support the project through an acreage dedication in the core of its McKenzie County, ND, operations.

In the coming weeks, ARM intends to commence an open season to gauge market interest in producers making long-term commitments for a new crude oil gathering and transportation pipeline system in the Bakken shale play in North Dakota.

The system will gather crude oil from points in McKenzie County and transport to interconnections with both downstream pipelines and rail takeaway facilities. The open season provides potential shippers with the opportunity to make long-term acreage dedications for crude oil gathering and transportation service over the system.

"We're very pleased to be working with Zavanna to launch the project. Zavanna is a highly successful producer with a stellar track record and more than 30 years of operating experience in the Williston Basin," said Zach Lee, ARM's chief executive officer.

William Coleman, Zavanna's president, said, "ARM's decade of experience in helping oil and gas producers assess and manage commodity risks and issues will be invaluable as we jointly develop this region."

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


Logistics Risk Management in the Transformer Industry

Transformers often are shipped thousands of miles, involving multiple handoffs,and more than a do...

Secrets of Barco UniSee Mount Revealed

Last year Barco introduced UniSee, a revolutionary large-scale visualization platform designed to...

The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs