Christopher E. Smith
OGJ Pipeline Editor
HOUSTON, May 12 -- Spectra Energy Partners LP acquired from EQT Corp. its Big Sandy natural gas pipeline. EQT also contracted capacity on the line for shipment of its Huron shale production.
The 70-mile, 20-in. OD pipeline entered service in April 2008 with a current capacity of 171 MMcfd. Big Sandy transports gas from the Langley, Ky., gas processing complex to interconnects with the US Mid-Atlantic and Northeast.
EQT said it will invest the majority of the $390 million price in developing its roughly 520,000 Marcellus shale acres, including associated midstream gathering; and to further developing its Huron reserves. EQT expects to drill 100 Marcellus wells and 120 Huron wells in 2011.
The transaction is expected to close in the third quarter.
Spectra partnered with El Paso Corp. in October 2010 to jointly develop the Marcellus Ethane Pipeline System between the Marcellus and the Gulf Coast (OGJ Online, Oct. 28, 2010).
Contact Christopher E. Smith at email@example.com.