DCP Midstream Board of Directors approved the construction of the Sand Hills Pipeline designed to provide critical new capacity for NGL transportation from the Permian and Eagle Ford producing basins to market centers along the Gulf Coast.
Planning and field work for Sand Hills has been under way for several months and now construction activities will accelerate.
The Sand Hills Pipeline will consist of approximately 720 miles of 20-inch pipeline with an initial capacity of 200,000 bpd, which can grow to 350,000 bpd with the addition of pumping stations. Sand Hills will be phased into service, with the first phase completed by the third quarter of 2012 to accommodate DCP’s growing Eagle Ford liquids volumes. Service to the Permian Basin will be available as soon as the second quarter of 2013.