The Crosstex Energy companies, Crosstex Energy L.P. and Crosstex Energy Inc., joined with the former management of Enerven Compression Services to form a new company (E2) that will provide services for producers in the liquids-rich window of the Utica Shale.
The initial investment of $50 million will include natural gas compression and condensate stabilization facilities to complement the partnership’s assets in the Ohio River Valley, which encompass crude oil, condensate and logistics operations in the Utica and Marcellus Shales.
E2 will build, own and operate two gas gathering compressor stations and condensate stabilization assets in Noble and Monroe counties in the southern portion of the Utica Shale in Ohio. The counties are located immediately east of the partnership’s assets in the Ohio River Valley. These initial facilities are supported by a long-term, fee-based contract with an active producer. E2 will serve as the manager and operator of these assets with expected commercial operations to start up during the third quarter.