Spectra joins El Paso in Marcellus ethane pipeline

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, Oct. 28 -- El Paso Corp. subsidiary El Paso Midstream Group Inc. and Spectra Energy Corp. signed a memorandum of understanding to develop jointly the proposed Marcellus Ethane Pipeline System project previously announced by El Paso.

MEPS will transport as much as 60,000 b/d of ethane from fractionation plants in the ethane-rich Marcellus shale production region to interconnect points with third-party ethane pipelines and storage facilities in the Gulf Coast.

The agreement allows MEPS to use both existing rights-of-way and infrastructure of Spectra 's Texas Eastern pipeline system in Pennsylvania and Ohio and portions of El Paso's Tennessee Gas Pipeline system from Ohio to the Gulf Coast.

In addition to existing ROW, the MEPS project will primarily use existing facilities and utility corridors, with new construction including about 200 miles of pipeline and compression facilities, as well as vaporization and liquefaction facilities. MEPS is expected to be in service late-2013.

MEPS has a binding open season planned, with its schedule still to be determined. El Paso said the project is in discussions with interested parties and is jointly reviewing options for the project and various destination points. El Paso also says the deal will provide greater efficiencies for the market and participants, enhanced economics, and more favorable shipping rates.

El Paso Midstream and Spectra will hold equal interest in, and jointly operate MEPS. Spectra will operate its portion of MEPS, where Spectra ROW is used, and El Paso will operate its portion.

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

Related Articles

Three sentenced in fictitious-trade case

12/22/2009 A former managing director of North American natural gas sales at El Paso Merchant Energy (EPME) and two of the El Paso Corp. division’s gas ...

Haynesville buried-array seismic work set

11/18/2009 El Paso Corp. let contract to MicroSeismic Inc. for a buried-array seismic monitoring program in its Haynesville shale development program south of...

Tudor Pickering Holt forecasts dramatic rise in gas prices

11/05/2009 Tudor Pickering Holt & Co. (TPH) foresees a fairly dramatic recovery in natural gas prices next year, a spokesman told an Oct. 29 energy financ...

Texas-South

11/04/2009 El Paso Corp. said it has almost doubled its lease position to 112,000 net acres in the South Texas Cretaceous Eagle Ford shale gas-condensate play...

Oklahoma

09/23/2009 Credo Petroleum Corp., Denver, said the Southeast Hewitt Unit in which it holds 17% interest has produced 785,000 bbl of oil due to waterflooding f...

FERC issues final EIS for FGT expansion project

09/22/2009 The US Federal Energy Regulatory Commission’s staff issued a final environmental impact statement on Florida Gas Transmission Co.’s Pha...

Camamu-Almada basin block to be relinquished

09/21/2009 A group led by Petroleo Brasileiro SA (Petrobras) plans to relinquish the B-CAM-40 exploration block to Brazil’s Agencia Nacional do Petroleo...

El Paso settles SEC reserve reporting charges

07/15/2008 El Paso Corp. and five former employees settled federal charges of inflating, or participation in inflating, reported proved oil and gas reserves i...

El Paso moving forward with Ruby pipeline

06/26/2008 El Paso Corp.'s subsidiary, Ruby Pipeline LLC received more than 1.1 bcfd of binding commitments from gas shippers for its Ruby pipeline under 10-1...

White Papers

What is System Level Thermo-Fluid Analysis?

This paper will explain some of the fundamentals of System Level Thermo-Fluid Analysis and demonstrate...

Accurate Thermo-Fluid Simulation in Real Time Environments

The crux of any task undertaken in System Level Thermo-Fluid Analysis is striking a balance between ti...

6 ways for Energy, Chemical and Oil and Gas Companies to Avert the Impending Workforce Crisis

As many as half of the skilled workers in energy, chemical and oil & gas industries are quickly he...
Sponsored by

AVEVA NET Accesses and Manages the Digital Asset

Global demand for new process plants, power plants and infrastructure is increasing steadily with the ...
Sponsored by

AVEVA’s Approach for the Digital Asset

To meet the requirements for leaner project execution and more efficient operations while transferring...
Sponsored by

Diversification - the technology aspects

In tough times, businesses seek to diversify into adjacent markets or to apply their skills and resour...
Sponsored by

Engineering & Design for Lean Construction

Modern marketing rhetoric claims that, in order to cut out expensive costs and reduce risks during the...
Sponsored by

Object Lessons - Why control of engineering design at the object level is essential for efficient project execution

Whatever the task, there is usually only one way to do it right and many more to do it wrong. In the c...
Sponsored by

Available Webcasts



The Future of US Refining

When Fri, Feb 6, 2015

Oil & Gas Journal’s Feb. 6, 2015, webcast will focus on the future of US refining as various forces this year conspire to pull the industry in different directions. Lower oil prices generally reduce feedstock costs, but they have also lowered refiners’ returns, as 2015 begins with refined products priced at lows not seen in years. If lower per-barrel crude prices dampen production of lighter crudes among shale plays, what will happen to refiners’ plans to export more barrels of lighter crudes? And as always, refiners will be affected by government regulations, particularly those that suppress demand, increase costs, or limit access to markets or supply.

register:WEBCAST



On Demand

Oil & Gas Journal’s Forecast & Review/Worldwide Pipeline Construction 2015

Fri, Jan 30, 2015

The  Forecast & Review/Worldwide Pipeline Construction 2015 Webcast will address Oil & Gas Journal’s outlooks for the oil market and pipeline construction in a year of turbulence. Based on two annual special reports, the webcast will be presented by OGJ Editor Bob Tippee and OGJ Managing Editor-Technology Chris Smith.
The Forecast & Review portion of the webcast will identify forces underlying the collapse in crude oil prices and assess prospects for changes essential to recovery—all in the context of geopolitical pressures buffeting the market.

register:WEBCAST


Optimizing your asset management practices to mitigate the effects of a down market

Thu, Dec 11, 2014

The oil and gas market is in constant flux, and as the price of BOE (Barrel of Oil Equivalent) goes down it is increasingly important to optimize your asset management strategy to stay afloat.  Attend this webinar to learn how developing a solid asset management plan can help your company mitigate costs in any market.

register:WEBCAST


Parylene Conformal Coatings for the Oil & Gas Industry

Thu, Nov 20, 2014

In this concise 30-minute webinar, participants have an opportunity to learn more about how Parylene coatings are applied, their features, and the value they add to devices and components.

register:WEBCAST


Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected