Tall Oaks plans STACK gas gathering, processing system

Tall Oak Midstream LLC, Edmond, Okla., plans to build a natural gas-gathering system spanning southeast Oklahoma’s Hughes County and portions of Seminole, Pontotoc, Coal, Pittsburg, Atoka, and McIntosh counties to serve producers’ development of multiple stacked pay zones of the state’s East Sooner Trend Anadarko basin Canadian and Kingfisher counties (STACK) play, including the Woodford, Caney, and Mayes formations.

Tall Oak Midstream LLC, Edmond, Okla., plans to build a natural gas-gathering system spanning southeast Oklahoma’s Hughes County and portions of Seminole, Pontotoc, Coal, Pittsburg, Atoka, and McIntosh counties to serve producers’ development of multiple stacked pay zones of the state’s East Sooner Trend Anadarko basin Canadian and Kingfisher counties (STACK) play, including the Woodford, Caney, and Mayes formations.

Scheduled for startup by yearend, subsidiary Tall Oak III LLC’s East STACK system initially will include more than 50 miles of 12-20-in. pipeline, two compression facilities, a 5,000-b/d stabilizer, an associated slug catcher, and condensate storage, according to Tall Oak.

The company also said discussions are under way with area producers to determine the best size and strategic location for a proposed cryogenic natural gas processing plant to be added to the system sometime in the future.

“The East STACK is an exciting play that lacks the infrastructure required to handle the emerging growth in production from rich, horizontal gas wells,” said Carlos Evans, chief commercial officer of the Tall Oak companies.

The new system comes as part of the company’s strategy to develop infrastructure required to stay ahead of its customers’ immediate and long-term needs, according to Evans.

Announcement of the new East STACK system comes just 2 months after the formation of Tall Oak III, which is backed by an initial equity commitment of up to $200 million from EnCap Flatrock Midstream and the Tall Oak III management team.

Tall Oak, which sold subsidiary Tall Oak Midstream I LLC to the EnLink Midstream companies in January 2016, said Tall Oak Midstream II LLC will continue focusing on operating and expanding its midstream assets in the Northwest STACK play (OGJ Online, Dec. 7, 2015).

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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