Energy Transfer Partners Provides Details on Previously Announced Revolution Project
June 08 2015 - 8:00AM
Business Wire
Pipeline System Purchased from EdgeMarc
Energy
Major New Rich Gas Gathering, Processing
Plant, and Fractionation Facilities to be Built in Growing
Marcellus and Upper Devonian Shale Area
Energy Transfer Partners, L.P. (NYSE: ETP) today provided
further details on its previously announced Revolution Project that
will significantly increase its operations in the growing Marcellus
and Upper Devonian production areas of Western Pennsylvania. ETP
has entered into long-term gas gathering, processing, and
fractionation agreements with EdgeMarc Energy. To facilitate these
agreements, ETP has purchased approximately twenty miles of high
pressure pipeline from EdgeMarc and will build a new cryogenic gas
processing plant, a new fractionator and additional gas gathering
pipelines.
ETP plans to construct approximately 100 miles of high pressure
24- and 30-inch rich gas pipeline providing a total gathering
system capacity in excess of 440 million cubic feet per day. The
Revolution Pipeline originates in Butler County, Pennsylvania and
will extend to ETP’s Revolution Plant, a new cryogenic gas
processing plant to be constructed in Western Pennsylvania. The
Revolution Plant is expected to be in-service by the second quarter
of 2017 and will allow for future processing growth for additional
third party gas.
The residue gas from this plant will be delivered into ETP’s
Rover interstate pipeline for deliveries to downstream markets. The
natural gas liquids (NGLs) will be delivered to Sunoco Logistics’
(SXL) Mariner East pipeline system for delivery to domestic and
export markets. As a result, this new system and associated
facilities provide attractive incremental revenue benefits to both
the Rover pipeline and SXL’s Mariner East pipeline system, while at
the same time providing flow assurance for natural gas and
associated NGLs from well head to end markets for producers in
these areas.
The project also includes a fractionation facility that will be
constructed at SXL’s Marcus Hook Industrial Complex in Marcus Hook,
Pennsylvania. The fractionation facility is expected to be placed
in-service by the second quarter of 2017.
The overall expected capital cost for the pipeline system and
the associated facilities, which will be supported by long-term
fee-based agreements, is approximately $1.5 billion.
"We are extremely pleased to be working with ETP. This project
provides us with an effective gathering and processing solution for
our approximately 500 laterals that will be drilled to access rich
gas from the stacked Devonian and Marcellus shale formations
located in Butler County, Pennsylvania and enables access to highly
coveted markets for our residue gas and NGLs,” said Chuck VanAllen,
CEO of EdgeMarc Energy.
Energy Transfer Partners, L.P. (NYSE: ETP) is a
master limited partnership owning and operating one of the largest
and most diversified portfolios of energy assets in the United
States. ETP’s subsidiaries include Panhandle Eastern Pipe Line
Company, LP (the successor of Southern Union Company)
and Lone Star NGL LLC, which owns and operates natural gas
liquids storage, fractionation and transportation assets. In total,
ETP currently owns and operates more than 62,000 miles of natural
gas and natural gas liquids pipelines. ETP also owns the general
partner, 100% of the incentive distribution rights, and
approximately 67.1 million common units in Sunoco Logistics
Partners L.P. (NYSE: SXL), which operates a geographically
diverse portfolio of crude oil and refined products pipelines,
terminalling and crude oil acquisition and marketing assets. ETP
owns 100% of Sunoco, Inc. and 100% of Susser
Holdings Corporation. Additionally, ETP owns the general partner,
100% of the incentive distribution rights and approximately 44% of
the limited partner interests in Sunoco LP (formerly
Susser Petroleum Partners LP) (NYSE: SUN), a wholesale fuel
distributor and convenience store operator. ETP’s general partner
is owned by Energy Transfer Equity (NYSE: ETE). For more
information, visit the Energy Transfer Partners, L.P. web
site at www.energytransfer.com.
Forward-Looking Statements
This press release may include certain statements concerning
expectations for the future that are forward-looking statements as
defined by federal law. Such forward-looking statements are subject
to a variety of known and unknown risks, uncertainties, and other
factors that are difficult to predict and many of which are beyond
management’s control. An extensive list of factors that can affect
future results are discussed in the Partnership’s Annual Reports on
Form 10-K and other documents filed from time to time with the
Securities and Exchange Commission. The Partnership undertakes no
obligation to update or revise any forward-looking statement to
reflect new information or events.
The information contained in this press release is available on
our website at www.energytransfer.com.
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version on businesswire.com: http://www.businesswire.com/news/home/20150608005720/en/
Investor Relations:Energy TransferBrent Ratliff,
214-981-0700orLyndsay Hannah, 214-840-5477orMedia
Relations:Granado Communications GroupVicki Granado,
214-599-8785Cell: 214-498-9272
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