Condensate Pipeline Planned To Service Utica Shale Customers

October 2014, Vol. 241, No. 10

The EnLink Midstream companies, EnLink Midstream Partners, LP ( (the Partnership) and EnLink Midstream, LLC (the General Partner), plan to construct a 45-mile, 8 inch condensate pipeline and six natural gas compression and condensate stabilization facilities that will service major producer customers in the Utica Shale, including Eclipse Resources.

The investment for the expansion project is over $250 million, roughly doubling the capital EnLink Midstream has invested in the Ohio River Valley to more than $500 million.

The Partnership has a long-term, fee-based agreement with Eclipse for compression and stabilization services and for the purchase of stabilized condensate. The new-build pipeline will connect to the Partnership’s existing 200-mile pipeline in eastern Ohio and West Virginia, providing producer customers access to premium market outlets through the Partnership’s Bells Run barge facility and Black Run rail terminal. The pipeline, expected to be complete in the second half of 2015, will have an initial capacity of 50,000 bpd and is expandable. The Partnership expects to hold an open season shortly.

The Partnership will also build and operate six natural gas compression and condensate stabilization facilities in Noble, Belmont, and Guernsey counties. Upon completion, the facilities will have a combined capacity of 560 MMcf/d of natural gas compression and 41,500 bpd of condensate stabilization. The first two compression and condensate stabilization facilities are expected to be operational shortly and the remaining four facilities operational by the end of 2015.

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