Phillips 66 Partners is launching an open season Tuesday to gauge interest in additional crude oil transportation capacity from the Permian Basin to South Texas. The new takeaway capacity along the Gray Oak Pipeline would terminate in Victoria, 85 miles northeast of Corpus Christi. In-service is targeted in the first half of 2022. The 850-mile…
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Kinder Morgan Inc. (KMI) ramped full operation of the 2 Bcf/d Gulf Coast Express (GCX) natural gas pipeline on Wednesday, unleashing long-stranded supply from the Permian Basin.
In long-term agreements with Chevron Corp., Enterprise Products Partners on Tuesday agreed to provide more Permian Basin oil takeaway, and it pulled the trigger on a Texas offshore oil terminal.
U.S. natural gas producers are guiding toward 4.2 Bcf/d in output gains this year versus 2017, based on a survey of 50 of the largest onshore operators, but the biggest question is whether there will be enough takeaway capacity in the country’s two largest producing regions.
Pioneer Natural Resources Co. is working to assuage investor concerns about Permian Basin pipeline constraints, noting that oil contracts to the Gulf Coast have insulated the company from price differentials, while three-quarters of its natural gas production is under firm contract to sell in Southern California.
With a bevy of larger Appalachian infrastructure projects slated to come online over the next three years to help move out nearly 20 Bcf/d, the midstream sector’s next challenge could be connecting them to more production fields in-basin, executives said last week at an industry conference in Pittsburgh.
The current slate of Marcellus and Utica shale takeaway expansions exceeds expected supply growth, a dynamic that points to shrinking Appalachian basis differentials and major upside for regional production over the next few years, according to analysts with Raymond James & Associates Inc.
More crude oil takeaway is set to be built from the Permian Basin to Cushing, OK, following a successful open season by a subsidiary of Plains All American Pipeline LP (PAA).
Natural gas takeaway from the Permian Basin’s Waha Hub still has room to grow on existing pipelines, with “considerable upside” on potential exports across the border to Mexico, according to an analysis by RBN Energy LLC.