Southern Union Company announced July 18 that its Trunkline Gas Company subsidiary has completed the initial phase of construction to isolate its South Texas system to provide bi-directional flow for liquids-rich gas service.
Trunkline will also begin implementation of its FERC-approved tariff changes and put into service a 15-year transportation agreement with DCP Midstream, LLC on the South Texas system.
The Trunkline transportation services will integrate DCP’s South and Central Texas area gathering systems with Trunkline’s 165-mile South Texas system. This project ties together six DCP processing facilities including the new DCP Eagle gas plant and integrates DCP’s more than 1 billion cubic feet per day of gas processing and associated natural gas liquids fractionation capacity in the Eagle Ford shale area.
Trunkline Gas and DCP announced their plans for this venture in October 2010 when the parties signed a precedent agreement for Trunkline Gas to provide long-term, firm transportation service on a portion of the company’s South Texas pipeline system.