Ford

RCW Energy Serviceshas expanded its water-transfer business serving the Eagle Ford and other shale plays. The company opened an office in Pleasanton, TX, south of San Antonio, to the Eagle Ford and another office in Midland, TX, to serve the Permian Basin. Besides these two plays, RCW serves the Haynesville Shale.

Plains All American Pipeline LPandEnterprise Products Partners LPare expanding their Eagle Ford Joint Venture (JV) crude oil pipeline to 470,000 b/d of light and medium crude grades to accommodate additional volumes expected from Plains’ Cactus pipeline, which is under construction. The expansion is expected to cost $120 million and be in service in the second quarter of 2015. The Eagle Ford system, most of which is in service and expected to be completed by Sept. 30, serves the Three Rivers and Corpus Christi refineries and other markets via marine transport facilities at Corpus Christi. The Cactus Pipeline is being constructed by Plains from McCamey, TX, in the Permian Basin area to Gardendale (seeShale Daily,April 16). It will have an initial capacity of 200,000 b/d and is expected to be in service in the second quarter of 2015.

A report by environmental group Earthworks on the Eagle Ford Shale alleges “reckless endangerment” by regulator Texas Commission on Environmental Quality (TCEQ); however, TCEQ has fired back that Earthworks is being reckless with the facts of its monitoring and enforcement of drilling, fracking and production in the region.

Calfrac Well Services Ltd.has agreed to acquire all of the operating assets ofMission Well Services LLC, a privately-held hydraulic fracturing and coiled tubing services provider focused on the Eagle Ford Shale, for $147 million. Calfrac will acquire 157,500 hp of conventional pumping equipment, along with high-rate blenders, related sand-handling and auxiliary equipment, three deep-capacity coiled tubing units with related fluid and nitrogen pumping units and a modern district facility in San Antonio. Calfrac will gain a foothold in the Texas market with the addition of locations in Houston, San Antonio and Fairfield. The company is assuming certain commitments with key suppliers of Mission and will be offering employment to a significant portion of Mission’s employees. Calfrac intends to transfer a portion of the assets to other active operating areas in the United States. With the acquired assets, Calfrac will have more than 1.18 million hp of conventional pumping capacity.

Sanchez Energy Corp. is buying up more of the Eagle Ford Shale, acquiring 11 million boe of proved reserves and 2,000 boe/d of production on 3,600 contiguous net acres in McMullen County, TX.

Millennium Pipeline Co. LLCis holding a binding open season through Friday (Sept. 13) on a proposal to ship more Marcellus Shale natural gas through an interconnection withDominion Transmission Inc.in Horseheads, NY, near Pennsylvania. The bid is being solicited for FT-1 capacity, with the interconnection expected to transport about 200,000 Dth/d by Nov. 1, 2014. Currently, the maximum reservation rate under Rate Schedule FT-1 is a daily rate of 64.99 cents/Dth. “This is a new open season, and it is to provide additional flexibility to the existing Millennium system,” Senior Vice PresidentStan BrownelltoldNGI’s Shale Daily. Brownell runs commercial operations. “This will be our first interconnect with the Dominion system.” For information call (845) 620-1300 or emailbrownell@millenniumpipeline.com.

NuStar Crude Oil Pipeline LP is holding a binding open season through Aug. 30 for capacity to transport Eagle Ford Shale crude oil from several terminal locations on its South Texas Crude Oil Pipeline System in Frio, McMullen, and La Salle counties, TX, to its Corpus Christi, TX, North Beach facility. The proposed South Texas System Project would include pipeline capacity upgrades to the segments of the South Texas System between NuStar’s Gardendale Terminal in La Salle County and NuStar’s Corpus Christi Terminal in Nueces County, TX, and would be constructed in two phases. The first phase would add incremental capacity to the South Texas System of 35,000 b/d; the second phase would add incremental capacity to the South Texas System of 65,000 b/d. For information, contact Mark Meador or Rick Webb at (210) 918-2000.

Williams’ board has voted to approve the company’s Bluegrass Pipeline project. The company has been engaged in development work on the proposed natural gas liquids (NGL) pipeline, which has a targeted in-service date of late 2015. The Bluegrass Pipeline will connect supply from the Marcellus and Utica shales to growing petrochemical and export markets in the U.S. Gulf Coast (see Shale Daily, May 30; March 7). The pipeline also will connect NGL supply with the developing petrochemical market in the U.S. Northeast. Williams and Boardwalk Pipeline Partners LP in May formalized joint-venture agreements tied to the project and related fractionation, storage and export projects.

Kirkpatrick Oil & Gas LLC has hired E-Spectrum Advisors LLC to sell its nonoperated, horizontal Eagle Ford and Pearsall shale properties in La Salle and Frio counties, TX. Kirkpatrick’s ownership includes 41 producing wells, operated by Cheyenne Petroleum Co., making approximately 6,000 gross/135 net boe/d, and nine wells in various stages of drilling and completion. In addition, nine locations are permitted for drilling. Kirkpatrick holds an approximate 3% working interest and the typical lease delivers a 77% net revenue interest. The properties hold 11,281 gross/338 net acres of leasehold. Reserves include net proved reserves of 1.18 MMboe (88% oil/liquids). Offers are due by July 30.