SCOOP-STACK-Merge play due gas gathering, processing system

Cardinal Midstream has started construction on Cardinal Midstream III's Iron Horse natural gas gathering and processing system that will span Oklahoma’s Canadian, Grady, Caddo, and McClain counties to serve producers in the SCOOP-STACK-Merge play of the Anadarko basin.

Cardinal Midstream LLC, Dallas, has started construction on Cardinal Midstream III LLC’s Iron Horse natural gas gathering and processing system that will span Oklahoma’s Canadian, Grady, Caddo, and McClain counties to serve producers in the SCOOP-STACK-Merge play of the Anadarko basin.

Construction is under way on the development’s first phase, which includes a gathering system that will consist of more than 100 miles of high and low-pressure natural gas gathering pipeline and multiple compressor stations, the operator said.

First-phase development also will include construction of a proprietary UOP Russell 200-MMcfd modular cryogenic natural gas processing plant in Grady county that will be designed and fabricated to meet Cardinal’s requirements for increased NGL recoveries from the area’s gas stream.

Scheduled for startup in this year’s third quarter, the Iron Horse gas plant is designed to accommodate additional expansions to bring total processing capacity to 600 MMcfd to serve future production growth, Cardinal said.

While the Iron Horse system already is anchored by a long-term acreage dedication from Austin-based Travis Peak Resources LLC, Cardinal III also is in discussions with other producers in the area to bring gas onto the system.

Supported by a capital commitment of $250 million from EnCap Flatrock Midstream, San Antonio, Cardinal III is the third company the Cardinal management team has formed in partnership with EnCap Flatrock, following the previous successes of Cardinal Midstream I LLC and Cardinal Midstream II LLC.

Contact Robert Brelsford at rbrelsford@ogjonline.com.

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