More processing, pipelines on tap for US shale plays

Shale development in the US continues to spawn support infrastructure.

MarkWest Energy Partners LP, Denver, will expand Marcellus shale processing at two sites in West Virginia. Regency Energy Partners LP, Dallas, plans a new processing plant and NGL pipeline in North Louisiana.

At its Sherwood complex in Doddridge County, W.Va., MarkWest will build an additional 200-MMcfd cryogenic processing plant to accommodate production from Antero Resources Corp., based on a long-term, fee-based contract (OGJ Online, Nov. 8, 2013).

The new plant will expand total capacity at Sherwood to 1.2 bcfd by second-quarter 2015. The announcement said Antero continues to develop rich-gas acreage in northern West Virginia and is the anchor producer for Sherwood.

At its Mobley complex in Wetzel County, W.Va., MarkWest will increase total processing capacity to 920 MMcfd with construction of an additional 200-MMcfd cryogenic plant—Mobley V—to handle production from EQT Corp. Plans target in service by second-quarter 2015.

Mobley currently consists of three plants with total 520 MMcfd of processing capacity. Later this year, MarkWest will start up Mobley IV, increasing capacity to 720 MMcfd (OGJ Online, Aug. 19, 2013). The complex processes production from Marcellus rich-gas production from EQT, Magnum Hunter Resources Corp., Stone Energy Corp., Consol Energy Inc., and Noble Energy Inc.

MarkWest said in 2014, it will complete 11 projects, bringing its total US Northeast processing and fractionation capacity to 4 bcfd and 250,000 b/d, respectively.

In North Louisiana, Regency Energy Partners will build a new processing plant and NGL pipeline at its Dubberly site.

The project will include addition of a new 200-MMcfd cryogenic processing plant, filled by gas from Regency’s recently completed Dubberly gathering trunkline. Residue gas from this plant will flow into the Regency Intrastate Gas System.

In addition, Regency will build a 160-mile, 8- and 10-in. NGL pipeline from Dubberly for delivery to fractionation. The pipeline will have initial capacity of 25,000 b/d, expandable with additional pump stations.

Combined project costs are to be about $260 million, said the Regency announcement, and both the new plant and the NGL pipeline are to be completed in mid-2015.

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