Crosstex Energy Companies Seek Permits For NGL Project

August 2011, Vol. 238 No. 8

Crosstex Energy, L.P. and Crosstex Energy, Inc. are completing engineering studies, pipeline routing work and environmental permitting for an NGL project that will expand Crosstex’s Louisiana fractionation facilities and expand access to these facilities and Louisiana product markets through a new NGL pipeline.

The pipeline will be an extension of the Partnership’s 440-mile Cajun-Sibon NGL pipeline that is connected to the Partnership’s Eunice NGL fractionation facilities in south-central Louisiana. The 130-mile, 12-inch NGL pipeline extension will connect the Eunice fractionation facilities to Mont Belvieu supply pipelines and will have an initial capacity of 70,000 bpd of raw-make NGLs. The project also includes expansion of the Eunice facilities from 15,000 bpd to 55,000 bpd, which will increase the Partnership’s interconnected fractionation capacity in Louisiana to 97,000 bpd of NGLs. The Partnership’s investment for the project is estimated at $180-220 million.

The extension will originate from interconnections with major Mont Belvieu supply pipelines, providing connections for NGLs from the Permian Basin, Midcontinent, Barnett Shale, Eagle Ford Shale and Rocky Mountain areas to the Partnership’s NGL fractionation facilities in South Louisiana.

Construction of the extension is expected to begin in mid 2012, and the facilities are expected to be operational in early 2013.