NGL Pipeline, L.P., an affiliate of Crosstex Energy companies, held a binding open season for volume commitments for interstate common carrier transportation service on the proposed Crosstex NGL Pipeline that will transport unfractionated NGLs produced in the Permian Basin, Barnett Shale, Eagle Ford Shale and other areas from the Mont Belvieu area to NGL fractionation facilities in Acadia and Ascension parishes, LA for one year and to NGL fractionation facilities in Acadia and Iberville parishes thereafter.
The 130-mile, 12-inch pipeline will be phase two of the Partnership’s 440-mile Cajun-Sibon NGL system that is connected to the Partnership’s Eunice NGL fractionation facilities in south-central Louisiana. This common carrier pipeline is expected to have a preliminary design capacity to Acadia Parish of 77,000 bpd for the first year and is expected to reach up to 132,000 bpd thereafter. The open season closed June 21.
The project includes expansion of the Partnership’s Eunice NGL fractionation facilities from 15,000 to 55,000 bpd of NGL, which will increase the Partnership’s interconnected fractionation capacity in Louisiana to 97,000 bpd. The Partnership’s investment is $180-220 million. Construction of the extension is expected to begin in 2013 and facilities should be operational in 2014.