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Enable Providing Newfield with NatGas Takeaway from Oklahoma's Stacked Reservoirs

Newfield Exploration Co. has secured a 10-year contract with a subsidiary of Enable Midstream Partners LP for 205,000 Dth/d of firm natural gas transportation from Oklahoma's stacked reservoirs.

Enable Gas Transmission LLC (EGT) agreed to provide the producer with capacity from its operations within the SCOOP and STACK, aka, the South Central Oklahoma Oil Province and the Sooner Trend of the Anadarko Basin, mostly in Canadian and Kingfisher counties.

The 10-year contract is associated with EGT's Cana and STACK Expansion (CaSE) project announced last fall.

"This project capitalizes on Enable's substantial transportation footprint in the basin while adding significant firm, fee-based revenues," CEO Rod Sailor said.

Newfield, which has 300,000-plus net acres in the Anadarko Basin, expects 1Q2017 production likely will exceed the high end of its guidance, thanks in large part to enhanced completions at 16 wells drilled recently in Oklahoma. U.S. onshore production is forecast to average 137,700 boe/d, slightly above guidance of 132,000-134,200 boe/d.

Together with existing and third-party system capacity, CaSE would provide residue takeaway from across the multi-stacked, active region. The proposed project provides transport options for volumes of 190,000-490,000 Dth/d.

CaSE is expected to ramp up in early 2018 with initial capacity of 45,000 Dth/d, building to contracted capacity by late next year.

Open seasons for the CaSE project and the Kingfisher Extension project on the Enable Oklahoma Intrastate Transmission LLC system closed late last month. Enable currently is evaluating the bids received to determine customer demand for additional capacity.

Oklahoma City-based Enable's assets include 12,900 miles of gathering pipelines, 14 processing plants with 2.5 Bcf/d of processing capacity, 7,800 miles of interstate pipelines, including Southeast Supply Header LLC of which it owns 50%, as well as 2,200 miles of intrastate pipelines and eight storage facilities comprising 85.0 Bcf of storage capacity.

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