EPP launches supplemental open season for ATEX ethane pipeline

Enterprise Products Partners LP (EPP) has started a binding open commitment period to determine additional shipper demand for capacity on its Appalachia-to-Texas (ATEX Express) pipeline. The 1,230-mile system will deliver ethane production from the Marcellus-Utica shale areas of Pennsylvania, West Virginia, and Ohio to Mont Belvieu, Tex.

The company says it already has enough shipper interest to proceed with development of ATEX Express, but is receiving sufficient subsequent interest to offer additional 15-year binding transportation agreements. The open commitment period closes Sept. 27.

ATEX Express will transport up to 190,000 b/d. The system’s first leg would involve construction of about 595 miles of new gas pipeline extending to Cape Girardeau, Mo., closely paralleling an existing Enterprise pipeline. At Cape Girardeau, Enterprise will reverse a 16-in. OD pipeline and place it into ethane service.

Enterprise expects ATEX Express to begin commercial operations first-quarter 2014, increasing to full capacity by 2018. Chesapeake Energy Corp. signed a long-term contract as anchor shipper on ATEX Express in November 2011.

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

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