Increased demand from Eagle Ford Shale producers and new gathering and processing agreements support the construction of an additional 300 MMcf/d of processing capacity at Enterprise Products Partners LP’s cryogenic gas processing facility in Lavaca County, TX, the partnership said. It is planning to construct 62 miles of 24-inch diameter and 30-inch diameter pipeline loops and increasing compression horsepower. The expansion is expected to begin service in the first quarter of 2013. Enterprise is currently constructing its Eagle Ford rich natural gas mainline system and associated laterals consisting of about 300 miles of pipeline and representing gathering and transportation capacity of more than 600 MMcf/d (see Shale Daily, Aug. 10). The Yoakum facility currently has 600 MMcf/d of capacity under construction, which is expected to begin service during the second quarter of 2012. With the additional 300 MMcf/d train, the plant will have total capacity of 900 MMcf/d when service begins, which is expected in the first quarter of 2013.
Sept
Articles from Sept
Transportation Notes
CIG canceled Wednesday a Strained Operating Condition (SOC) that had been declared Sept. 23 due to high storage inventory levels at that point in the injection season. See the bulletin board for service changes that went into effect upon the ending of the SOC.
Poll: Pennsylvanians Support Drilling But Want It Taxed
A new poll reveals that while most Pennsylvania voters, 62-30%, believe the economic benefits of drilling for natural gas in the Marcellus Shale outweigh any environmental concerns, a majority, 64-27%, also want to see the industry taxed.
Transportation Notes
After implementing capacity allocations last week in the East of Wrens, Savannah Line and Cypress Line delivery groups (see Daily GPI, Sept. 21) and then canceling them Friday, Southern declared new allocations Monday for those groups and said because their demand continues to exceed scheduled deliveries, they will be subject to an OFO Type 3 Level 1 Wednesday until further notice.
Anadarko Eyeing Ohio’s Utica Shale
Anadarko Petroleum Corp. appears to be joining a growing list of companies interested in the Utica Shale of Ohio.
Transportation Notes
Columbia Gas Transmission LLC said gas days Sept. 17-19 were to be deemed to be a “critical days” for storage. “Based on storage injection capacity and on forecasted firm storage injection requirements, transporter projects that all available storage injection capacity will be required to meet firm service obligations,” the company said. “Transporter projects no availability of interruptible storage injection services. Storage withdrawal services are not impacted by this notice.”
Marcellus Tops Fall Agenda for Pennsylvania Lawmakers
When they return from summer recess on Monday (Sept. 19), Pennsylvania lawmakers will take up a tax or fee on natural gas developers, pipeline safety measures and a model ordinance for local governments, but they probably won’t discuss forced pooling, legislative leaders told an audience in Philadelphia last week.
Industry Briefs
The recently formed Eagle Ford Task Force, which was created by Texas Railroad Commissioner David Porter (see Shale Daily, July 29), outlined its agenda for the rest of the year at a meeting last week. The 24 task force members plan to focus on water usage and hydraulic fracturing; the impact of oil and gas production on community infrastructure; the need for public education about oil and gas production; and the promotion of economic development through the industry. At the meeting members discussed workforce issues affecting the region. Industry representatives estimated that approximately 120 jobs are connected to each drilling rig and currently there are about 200 rigs operating in the Eagle Ford. However, employers are often battling failed drug tests and background tests or the lack of commercial drivers licenses when trying to fill jobs in the burgeoning oil and natural gas play, they said.
National Fuel, Tennessee Marcellus Projects Get Approvals
FERC has issued a favorable environmental assessment of National Fuel Gas Supply Corp.’s Northern Access Project and Tennessee Gas Pipeline’s 230C Project, both of which would provide for the bidirectional flow of 320,000 Dth/d of Marcellus Shale gas to the system of TransCanada PipeLines Ltd. at Niagara, NY.
FERC: BP Gamed Market at Houston Ship Channel
FERC’s Office of Enforcement said last Thursday it made a preliminary determination that units of BP plc violated Commission rules against manipulation of the natural gas market in a case involving trading at the Houston Ship Channel (HSC).
