Williams Partners Executes Agreements with Southwestern Energy to Expand Gas Gathering, Processing and Liquids Handling Services in the Northeast
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Williams Partners to provide gas processing, fractionation and
liquids handling services for Southwestern in its Wet Gas Acreage in
the Marcellus and Upper Devonian Shale
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Williams Partners to provide gas gathering services for
Southwestern in its South Utica Dry Gas Acreage
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Service area is in Appalachian Basin of West Virginia in Williams
Partners’ Northeast Gathering & Processing Operating Area
Williams Partners L.P. (NYSE: WPZ) today announced the execution of
agreements with Southwestern Energy Company (NYSE: SWN) (“Southwestern”)
to expand its services to Southwestern in the Appalachian Basin of West
Virginia where Williams Partners has established a strong operational
footprint. The agreements call for Williams Partners to deliver gas
processing, fractionation, and liquids handling services in
Southwestern’s Wet Gas Acreage in the Marcellus and Upper Devonian Shale
along with gas gathering services for Southwestern in its South Utica
Dry Gas Acreage.
Williams Partners will provide Southwestern with 660 million cubic feet
per day (MMcf/d) of processing capacity to serve a 135,000-acre
dedication in Southwestern’s Wet Gas Acreage in the Marcellus and Upper
Devonian Shale in Marshall and Wetzel counties in West Virginia. As a
result of this agreement, Williams Partners expects to further build out
its Oak Grove processing facility for Southwestern’s expanding
production of wet gas. The Oak Grove processing facility has the ability
to expand by an additional 1.8 Bcf/d of gas processing capacity.
Williams Partners’ Northeast Gathering & Processing Operating Area also
secured a gathering dedication of Southwestern’s South Utica Dry Gas
Acreage – 71,500 acres in Marshall and Wetzel counties in West Virginia.
The gathering and processing expansions will be supported by long-term,
fee-based agreements and volumetric commitments.
“Executing these agreements with a premier customer like Southwestern is
a direct reflection of how well-positioned our existing assets are in
our Northeast Gathering & Processing Operating Area footprint,” said
Micheal Dunn, chief operating officer and executive vice president of
Williams Partners’ general partner. “We look forward to expanding our
business relationship with Southwestern in the Northeast where our
access to multiple gas takeaway markets and the ability to efficiently
expand our infrastructure showcases our ability to serve the rapidly
growing gas production in the Marcellus and Utica.”
Downstream gas connections into Columbia’s Leach Xpress and Mountaineer
Xpress are being established to boost market access and diversify gas
pricing opportunities.
“The new agreements with Southwestern are actually a ‘win-win-win’
opportunity,” said James Scheel, senior vice president for Williams
Partners’ Northeast Gathering & Processing Operating Area. “We are able
to grow our gathering and processing volumes, expand our services for a
valued customer, and increase the takeaway hub by solidifying downstream
connections from processing to new interstate pipelines – which benefits
all producers in this area.”
About Williams Partners
Williams Partners is an industry-leading, large-cap natural gas
infrastructure master limited partnership with a strong growth outlook
and major positions in key U.S. supply basins. Williams Partners has
operations across the natural gas value chain including gathering,
processing and interstate transportation of natural gas and natural gas
liquids. Williams Partners owns and operates more than 33,000 miles of
pipelines system wide – including the nation’s largest volume and
fastest growing pipeline – providing natural gas for clean-power
generation, heating and industrial use. Williams Partners’ operations
touch approximately 30 percent of U.S. natural gas. Tulsa, Okla.-based
Williams (NYSE: WMB), a premier provider of large-scale U.S. natural gas
infrastructure, owns approximately 74 percent of Williams Partners.
Portions of this document may constitute “forward-looking statements”
as defined by federal law. Although the partnership believes any such
statements are based on reasonable assumptions, there is no assurance
that actual outcomes will not be materially different. Additional
information about issues that could lead to material changes in
performance is contained in the partnership’s annual and quarterly
reports filed with the Securities and Exchange Commission.
View source version on businesswire.com: http://www.businesswire.com/news/home/20171012005333/en/
Copyright Business Wire 2017
Source: Business Wire
(October 12, 2017 - 8:00 AM EDT)
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