MarkWest Utica EMG LLC, a joint venture of MarkWest Energy Partners LP and Energy & Minerals Group, will provide Rex Energy Corp. with natural gas gathering, processing, fractionation, and marketing services in the Utica shale.
The JV expects to begin gathering and processing Rex's liquid-rich gas production in June. MarkWest Utica EMG is building an extensive gathering system, two large-scale processing complexes, and a C2+ fractionation and marketing complex and expects them to enter service early 2014.
Fractionation also will be connected by an NGL pipeline to MarkWest’s Marcellus shale NGL infrastructure, including its Houston, Pa., complex. The companies say the new project will give them the largest processing and fractionation capacity in the Utica shale.
Rex Energy holds 4,100 net acres in its Warrior South prospect. The company has drilled and completed three wells in Warrior South. These wells have been shut-in since completion and will enter sales service once the related infrastructure is in place. Rex Energy plans to drill and complete four additional Warrior South wells in 2013.
MarkWest Utica EMG began operations at its Cadiz refrigeration plant late last year, serving Gulfport Energy Corp. Utica production (OGJ Online, Dec. 3, 2012).
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