US Enterprise, Anadarko to develop Colorado-Texas NGL pipeline

12 April 2012 13:54  [Source: ICIS news]

A pipelineHOUSTON (ICIS)--Enterprise Products, Anadarko Petroleum and DCP Midstream have agreed to design and construct a 435-mile natural gas liquids (NGL) pipeline from Colorado to Texas, the US-based energy firms said in a statement on Thursday.

The pipeline, called Front Range, would ship NGL from the Denver-Julesburg basin to Skellytown, Texas. It would be connected to the recently announced Texas Express NGL pipeline from Skellytown to Mont Belvieu near Houston.

Depending on shipper interest, initial capacity on the Front Range is expected to be about 150,000 bbl/day, with a possible expansion to 230,000 bbl/day.

The companies will determine shipper interest on the Front Range during a binding open commitment period, running from 12 April to 14 May, they said.

If the project goes forward, Enterprise would construct and operate the pipeline, which is expected to start up service in the fourth quarter of 2013.

"We are very pleased to partner with Anadarko and DCP on this project, which will extend Enterprise’s integrated pipeline network into the liquids-rich Denver-Julesburg basin to address the area’s NGL transportation constraints, providing flow assurance and market choice for producers,” said Enterprise CEO Michael Creel.

Enterprise Products, Anadarko Petroleum and DCP Midstream will each hold a one-third interest in the project, the companies said. They did not disclose how much the pipeline is expected to cost.

By: Stefan Baumgarten
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