Eagle Ford Gathering to build shale gas pipeline

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, July 8 -- Eagle Ford Gathering LLC (EFG), a joint venture of Kinder Morgan Energy Partners LP and Copano Energy LLC, will construct 85 miles of 24-in. and 30-in. OD pipeline to move natural gas produced in the Eagle Ford shale by SM Energy Co. from La Salle, Dimmit, and Webb Counties in Texas to the Freer compressor station in Duval County, Tex., for transport on KMEP’s Laredo-to-Katy (LK) pipeline. The LK line will in turn transport gas to Copano's Houston Central gas processing plant.

EFG expects the new line to enter service during summer 2011.

SM Energy announced July 6 entering into a long-term gas services agreement with EFG to gather, transport, and process as much as 200 MMcfd of its Eagle Ford gas production over a 10-year term.

SM Energy’s transport agreement is fee-based and will not require the company to invest any upfront capital in the line.

EPP announced expansions to its gas and NGL pipeline systems serving the Eagle Ford shale in late-June, with most of the work expected to be completed by early 2012 (OGJ Online, July 1, 2010).

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

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