Houston-based Eagle Rock Energy Partners said it has shut in “substantially all” of its East Texas oil and gas production for the duration of an unscheduled turnaround of the Eustace processing facility, which is owned and operated by Tristream Energy LLC.

Eustace, a condensate sweetening plant in Myrtle Springs, TX, was shut down Aug. 11 due to an electrical failure that significantly damaged the sulfur recovery unit, according to Eagle Rock’s shut-in announcement. The turnaround will involve replacing all of the tubes in the reaction furnace’s waste heat recovery unit and replacing the catalyst in the sulfur recovery unit and Tristream expects the turnaround to last for 30-45 days.

The Eagle Rock partnership said it expects the shut-in to negatively impact net revenues in its Upstream Business unit during the third quarter by $1.3-2 million.

Tristream, based in Sugar Land, TX, had originally planned to conduct a 30-day turnaround of the Eustace facility in early 2011, according to Eagle Rock. The current turnaround, while unscheduled, should shorten or eliminate the need for the 2011 turnaround, it added.

Spokespeople for Eagle Rock and Tristream were unavailable for press inquiries Wednesday.

Eustace was the primary feature of a mid-July sale by Dallas-based Regency Energy Partners of its East Texas gathering and processing assets to an affiliate of Tristream for about $70 million (see Daily GPI, July 16). The transaction included about 371 miles of gathering lines, approximately 20,000 hp of compression, and treating and processing facilities in Eustace, TX. Also included were two idle processing facilities and an idle fractionation tower.

The Tristream website calls Eustace Gas Plant “a state of the art gas treating and processing facility.”

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