Boardwalk Pipeline Partners, LP subsidiary, Boardwalk Field Services LLC will be constructing a cryogenic gas processing plant to serve producers in the Eagle Ford Shale and will be expanding its gathering system. The processing plant and gathering expansion are estimated to cost about USD180 million and will be supported by long-term, fee-based gathering and processing agreements for approximately 50% of the plant’s capacity, with anchor customers such as Statoil Natural Gas LLC and Talisman Energy USA. To design, manufacture and construct the processing plant, Boardwalk has arranged a fixed-price contract with Exterran. Construction has begun and service is expected to start in the first quarter of 2013.
Approximately 55miles of 20” and 24” gathering pipeline will be added to Boardwalk’s existing 340mile gathering system in south Texas and once complete, the system will be able to move over 300MMcf/d of liquids-rich gas from Dewitt and Karnes counties in the Eagle Ford play to the Flag City processing plant located near Edna, Texas. The plant will have the capacity to process 150MMcf/day. Re-delivery of processed residue gas to a number of interstate and intrastate pipelines, including their Gulf South Pipeline will be provided by Boardwalk Field Services.