Energy Transfer Partners and Regency Energy Partners have announced that their joint venture, Lone Star NGL, will construct an approximately 853 km natural gas liquids pipeline in Texas.
The pipeline will extend from Winkler County in west Texas to the Jackson County processing plant in Jackson County. In addition, Lone Star has secured capacity on Energy Transfer’s recently-announced natural gas liquids (NGL) pipeline from Jackson County to Mont Belvieu, Texas.
Lone Star's new pipeline will have a minimum capacity of approximately 130,000 bbl/d, with the potential to further increase pipeline capacity depending on ongoing negotiations. The project currently has over 65 per cent of the capacity subscribed with key producers and processors under 15-year agreements, and is expected to be completed by the first quarter of 2013.
The estimated cost of the project is $US700 million, of which Energy Transfer will pay 70 per cent and Regency will pay 30 per cent.
Basket is empty.
