Linn Midstream LLC, a wholly owned subsidiary of Houston-based Linn Energy Inc., has been renamed Blue Mountain Midstream LLC and agreed with BCCK Engineering Inc. to build the 225-MMcfd Chisholm Trail cryogenic gas plant in the Merge play of central Oklahoma.
Construction on the plant is under way and it’s expected to be commissioned during second-quarter 2018. Linn acreage recently contributed to its Roan Resources LLC upstream joint venture with Citizen Energy II LLC remains dedicated to Blue Mountain’s Chisholm Trail midstream business (OGJ Online, June 28, 2017).
Roan’s 140,000 total net acres will be largely contiguous in Canadian, Carter, Cleveland, Garvin, Grady, Kingfisher, McClain, and Stephens counties of Oklahoma. Combined production on the acreage averaged more than 20,000 boe/d as of May and, at current rig pace, is forecast to have an exit rate of more than 40,000 boe/d by yearend, with additional growth expected as drilling increases.
Chisholm Trail is in the heart of the liquids-rich Merge-SCOOP-STACK and has 30 miles of existing gas gathering pipeline and 60 MMcfd of refrigeration capacity. Infrastructure expansions are under way to add 35 miles of low-pressure gathering and increase compression throughputs.