Midstream

Arroyo Midstream Partners LLC, a unit ofCanyon Midstream Partners LLC, andGoodrich Petroleum Co. LLChave struck an agreement for acreage in Louisiana and Mississippi that is prospective for the Tuscaloosa Marine Shale (TMS). Arroyo is currently providing Goodrich with wellhead gas processing services at two recently completed wells in southwestern Mississippi and expects to add gas processing facilities to process gas volumes from an additional two wells by the end of 2013. Goodrich recently said it is stepping up its activity in the TMS (seeShale Daily,Aug. 8). The wellhead processing approach allows Canyon, through Arroyo, to participate in the delineation phase of exploration and production projects and share formation risk with its partner. Arroyo is a joint venture of Canyon andGas Processors Inc.”The partnership of Canyon and GPI is a unique combination of engineering, operational and local expertise to provide producers with the midstream services required for the development of acreage in the TMS,” said Canyon President Michael Walsh.

Inergy Midstream LP and Enserco Midstream LLC have formed a joint venture to own and operate a crude oil rail terminal in Douglas County, WY. They expect to expand the facility to take advantage of growing production from the Niobrara formation.

In a bid to loosen the natural gas capacity constraints that are plaguing the Marcellus Shale region and wreaking havoc on associated pricing points, upgrades in the form of pipeline loops and compression upgrades are coming online virtually every week.

Meritage Midstream Services II LLC has bought Thunder Creek Gas Services LLC and its more than 500 miles of gathering pipelines in Wyoming’s Powder River Basin, the company said Tuesday.

ConocoPhillipshas completed an estimated $600 million sale of subsidiaryTrinidad and Tobago Holdings LLCtoNational Gas Company of Trinidad and Tobago Ltd.The subsidiary holds a 39% stake in Phoenix Park Gas Processors Ltd., which operates a natural gas midstream facility at Point Lisas, Trinidad. The Houston operator expects to recognize an after-tax gain of about $290 million. Including the latest transaction, ConocoPhillips said it has received around $14.1 billion by selling nonstrategic assets as part of its 2012-13 disposition program, which originally was to pare about $8.5 billion (seeDaily GPI,May 17). Between January and June, ConocoPhillips received $3.8 billion in proceeds from completed sales, with the remainder expected by the end of the year.

The rupture of a 12-inch DCP Midstream pipeline Friday night in Jackson County, LA, resulted in no injuries and was under control soon after, according to a report filed with the U.S. National Response Center.

Kinder Morgan Energy Partners LP and MarkWest Utica EMG LLC (MarkWest Utica) are putting up a $2 billion y-grade natural gas liquids (NGL) processing and transportation combo project that competes with the Bluegrass Pipeline, which has been proposed by Boardwalk Pipeline Partners LP and Williams.

The number of Marcellus Shale natural gas wells waiting on infrastructure provided by Access Midstream Partners LP has fallen by more than half since the end of 2012, CEO J. Mike Stice said Wednesday.

NiSource Midstream Services LLC’s Big Pine Gathering System in the heart of the Marcellus Shale has begun serving XTO Energy Inc. under a long-term agreement. The 57-mile, 20- and 24-inch diameter system stretches into Pennsylvania’s Allegheny, Butler, Armstrong, Indiana and Westmoreland counties and interconnects to the Columbia Gas Transmission system, as well as Texas Eastern Transmission and Dominion Transmission. The system is anchored by XTO; a separate gathering agreement was recently signed with PennEnergy.