Untitled Document
Untitled Document

MarkWest Utica EMG, PDC Energy agree on Utica Shale developments

MarkWest Utica EMG

MarkWest Utica EMG LLC, a joint venture between MarkWest Energy Partners LP (NYSE: MWE) and The Energy and Minerals Group (EMG), has agreed with PDC Energy Inc. (NASDAQ: PDCE) (PDC) to provide gathering, processing, fractionation, and marketing services in the Utica Shale.

MarkWest Utica EMG expects to begin gathering and processing PDC’s liquids-rich gas production from Guernsey County, Ohio by the end of the second quarter of 2013. Initial production from PDC’s Utica operations will be processed at the Cadiz complex located in Harrison County, Ohio. In the second half of 2013, PDC’s gas will be transported via MarkWest Utica EMG’s high-pressure rich-gas header system to the Seneca complex located in Noble County, Ohio for processing. In addition to developing high-quality gathering and processing infrastructure on behalf of PDC, during the first quarter of 2014 MarkWest Utica EMG and MarkWest are expected to complete the installation of 100,000 barrels per day of C2+ fractionation capacity in Harrison County, Ohio that will include extensive marketing access by truck, rail, and pipeline. When completed, MarkWest Utica EMG and MarkWest will have the largest processing and fractionation capacity in the Utica Shale. The fractionation facility will also be connected by an NGL pipeline to MarkWest’s extensive NGL infrastructure in the Marcellus Shale and to its Houston, Pennsylvania complex, the largest fractionation and marketing facility in the Northeast.

MarkWest Utica EMG has announced long-term, fee-based agreements with Gulfport Energy Corp., Antero Resources, Rex Energy Corp., and PDC. These producers will have access to MarkWest Utica EMG’s fully-integrated midstream system extending throughout a multi-county area in eastern Ohio. MarkWest Utica EMG currently has 60 MMcf/d of refrigeration processing capacity available at the Cadiz complex and, during the second quarter of 2013, will begin operation of its 125 MMcf/d Cadiz I cryogenic processing facility. The 185 MMcf/d of combined processing capacity at the Cadiz complex is expected to provide the needed capacity to support the 2013 drilling plans of anchor tenants Gulfport and Antero, in addition to Rex, PDC and other producer customers. MarkWest Utica EMG expects to complete the first 200 MMcf/d Seneca facility by October of this year and will have sufficient capacity to meet all its producers’ priority requirements, as well as provide significant interruptible processing capacity as needed. To further meet the growing demand of its producer customers, MarkWest Utica EMG will complete the second 200 MMcf/d Seneca facility by the end of this year, bringing its total processing capacity in the Utica Shale to 585 MMcf/d. The Seneca and Cadiz complexes will be connected by a large high-pressure gas pipeline that can be operated as a single large processing complex to provide its producer customers with significant reliability and residue gas market flexibility.

 

Related Articles

ETP plans to build Marcellus-Utica pipeline project

06/26/2014 Energy Transfer Partners LP plans to build a pipeline to transport natural gas from processing facilities located in the prolific Marcellus and Utica shale areas to numerous market regions in the U...

Antero prices secondary public offering of common stock

05/14/2014 Antero Resources Corp. has priced an upsized underwritten public offering of 12 million shares of the company's common stock held by Antero Resources Investment LLC (the selling stockholder) at a p...

Antero begins secondary public offering of common stock

05/13/2014

Antero Resources Corp. has begun an underwritten public offering of 10 million shares of the company's common stock held by Antero Resources Investment LLC. 

Antero upsizes offering of senior notes

04/24/2014 Antero Resources Corp. has priced its private placement to eligible purchasers of $600 million in aggregate principal amount of 5.125% senior unsecured notes due December 2022 at par. The offe...

Tennessee Gas Pipeline has successful open season

04/14/2014 Kinder Morgan Energy Partners LP reports that KMP’s Tennessee Gas Pipeline Co. (TGP) has awarded Antero Resources 100% of the capacity offered in TGP’s binding open season for its proposed Broad Ru...

More Oil & Gas Financial Articles

ETP plans to build Marcellus-Utica pipeline project

Thu, Jun 26, 2014

Energy Transfer Partners LP plans to build a pipeline to transport natural gas from processing facilities located in the prolific Marcellus and Utica shale areas to numerous market regions in the US and Canada.

Antero prices secondary public offering of common stock

Wed, May 14, 2014

Antero Resources Corp. has priced an upsized underwritten public offering of 12 million shares of the company's common stock held by Antero Resources Investment LLC (the selling stockholder) at a price to the public of $62.00 per share. 

Antero begins secondary public offering of common stock

Tue, May 13, 2014

Antero Resources Corp. has begun an underwritten public offering of 10 million shares of the company's common stock held by Antero Resources Investment LLC. 

Antero upsizes offering of senior notes

Thu, Apr 24, 2014

Antero Resources Corp. has priced its private placement to eligible purchasers of $600 million in aggregate principal amount of 5.125% senior unsecured notes due December 2022 at par. The offering is expected to close on May 6.

Tennessee Gas Pipeline has successful open season

Mon, Apr 14, 2014

Kinder Morgan Energy Partners LP reports that KMP’s Tennessee Gas Pipeline Co. (TGP) has awarded Antero Resources 100% of the capacity offered in TGP’s binding open season for its proposed Broad Run Flexibility and Broad Run Expansion projects.

Most Popular

Oil & Gas Jobs

Search More Job Listings >>
Subscribe to OGFJ