DALLAS--(BUSINESS WIRE)--Energy Transfer Partners, L.P. (NYSE: ETP ) today announced it has entered into new multiple long-term, fee-based agreements with producers to provide natural gas gathering, processing, and liquids services from the Eagle Ford Shale in South Texas. To facilitate the agreements, ETP will further expand the previously announced Rich Eagle Ford Mainline (REM) pipeline and will construct another new cryogenic processing facility.
”We are pleased to announce the new expansions to our Eagle Ford infrastructure,” said Brian Beebe, Senior Vice President of Energy Transfer. “This latest REM pipeline expansion and new processing plant exemplify the continued robust demand by our customers for additional infrastructure in the Eagle Ford Shale. Since October 2010, when we announced the construction of our Dos Hermanas rich gathering pipeline, we have seen ever-increasing demand by customers for take away solutions for their production. In addition to the Dos Hermanas pipeline, Energy Transfer has shown its commitment to meeting producers’ needs in the Eagle Ford region by building the Chisholm and REM pipelines, and related plants/facilities, all supported by long-term fee-based contracts with total volume commitments now totaling more than 1.1 billion cubic feet per day.”
Rich Eagle Ford Mainline Expansion
Upon full completion, REM
will consist of approximately 257 miles of 30-inch and 42-inch pipe with
a capacity in excess of one billion cubic feet per day. The initial
phase of the REM pipeline, consisting of approximately 160 miles of
30-inch pipe, was placed in service in October 2011. The first
expansion, 60 miles of 42-inch pipe, is scheduled for completion in the
fourth quarter of 2012 and the second expansion, 37 miles of 30-inch
pipe, is scheduled to be completed by the fourth quarter of 2013.
New Processing Plant
The new processing plant, located in
Karnes County, Texas will provide approximately 200 million cubic feet
per day of capacity and is necessary to fulfill the new long-term
shipper commitments on REM. This new plant, which is scheduled to be
completed in the fourth quarter of 2012, and the previously announced
Chisholm and Jackson County Processing Plants, will provide
approximately 1.125 billion cubic feet per day of processing capacity.
Total cost for the Karnes County Processing Plant and the REM expansion
is estimated to be $210 million.
Energy Transfer Partners, L.P. (NYSE:ETP) is a publicly traded partnership owning and operating a diversified portfolio of energy assets. ETP has pipeline operations in Arizona, Arkansas, Colorado, Louisiana, Mississippi, New Mexico, Utah and West Virginia and owns the largest intrastate pipeline system in Texas. ETP currently has natural gas operations that include approximately 18,000 miles of gathering and transportation pipelines, treating and processing assets, and three storage facilities located in Texas. ETP also holds a 70 percent interest in Lone Star NGL LLC, a joint venture that owns and operates NGL storage, fractionation and transportation assets in Texas, Louisiana and Mississippi. For more information, visit the Energy Transfer Partners, L.P. web site at www.energytransfer.com.
Energy Transfer Equity, L.P. (NYSE:ETE) is a publicly traded partnership, which owns the general partner and 100 percent of the incentive distribution rights (IDRs) of ETP and approximately 50.2 million ETP limited partner units; and owns the general partner and 100 percent of the IDRs of Regency Energy Partners LP and approximately 26.3 million Regency limited partner units. For more information, visit the Energy Transfer Equity, L.P. web site at www.energytransfer.com.
This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. Among those is the risk that the anticipated benefits from the proposed transaction cannot be fully realized. An extensive list of factors that can affect future results are discussed in the Partnership’s Annual Reports on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. The Partnership undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.
The information contained in this press release is available on our website at www.energytransfer.com.