Enterprise books Haynesville Extension; expands State Line system

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, June 2 -- Enterprise Products Partners LP and Duncan Energy Partners LP announced June 1 that Acadian Gas LLC had entered into an additional long-term contract with a shipper to transport natural gas on Acadian's Haynesville Extension pipeline, now under construction, increasing total capacity commitments by 200 MMcfd. Enterprise said it expects to “quickly” have the line fully contracted.

The Haynesville Extension is an expansion of the Acadian Gas intrastate natural gas pipeline system providing producers developing the Haynesville shale access to 150 end-use customers, including industrial and municipal consumers, on the Acadian system and markets across the eastern US through interconnects with 12 interstate pipelines, including the Florida Gas Transmission and Southern Natural Gas systems. Enterprise expects completion of the 270-mile Haynesville Extension at a capacity of 2 bcfd in third-quarter 2011 (OGJ Online, Oct. 28, 2009).

Acadian Gas LLC is 66% owned by Duncan Energy and 34% owned by Enterprise. Affiliates of Enterprise own the general partner of Duncan Energy and roughly 58% of the outstanding common units of Duncan Energy.

Enterprise also announced the expansion of its recently acquired State Line gas gathering system serving producers in the Haynesville shale area of Northwest Louisiana is scheduled for completion during June.

The expansion of the State Line system, acquired from M2 Midstream LLC in April (OGJ Online, Apr. 1, 2010), will increase capacity to about 700 MMcfd from roughly 400 MMcfd. State Line includes the 180 MMcfd Battlefield gas treatment facility in southern DeSoto Parish, La.

State Line’s expansion includes a new 250 MMcfd pipeline delivering gas from the Battlefield treating facility to the 42-in. OD Gulf South Pipeline at Kingston Station in DeSoto. Volume growth and demand for treating services have prompted Enterprise to expand its Battlefield and Keatchie treating facilities to add two amine units, each with a circulation rate of 700 gpm, the company said. The units will add up to 350 MMcfd of incremental treating capacity to the system, allowing producers in the region to bring newly drilled wells online, according to Enterprise. Enterprise expects these expansions to be completed in this year’s fourth quarter.

Contact Christopher E. Smith at chriss@ogjonline.com.

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