Second Expansion of the Rich Eagle Ford Mainline and New Processing
Facility in South Texas Necessary to Fulfill Long-Term Agreements with
Producers
DALLAS--(BUSINESS WIRE)--Feb. 16, 2012--
Energy Transfer Partners, L.P. (NYSE:
ETP ) today announced it has entered into new multiple long-term,
fee-based agreements with producers to provide natural gas gathering,
processing, and liquids services from the Eagle Ford Shale in South
Texas. To facilitate the agreements, ETP will further expand the
previously announced Rich Eagle Ford Mainline (REM) pipeline and will
construct another new cryogenic processing facility.
”We are pleased to announce the new expansions to our Eagle Ford
infrastructure,” said Brian Beebe, Senior Vice President of Energy
Transfer. “This latest REM pipeline expansion and new processing plant
exemplify the continued robust demand by our customers for additional
infrastructure in the Eagle Ford Shale. Since October 2010, when we
announced the construction of our Dos Hermanas rich gathering pipeline,
we have seen ever-increasing demand by customers for take away solutions
for their production. In addition to the Dos Hermanas pipeline, Energy
Transfer has shown its commitment to meeting producers’ needs in the
Eagle Ford region by building the Chisholm and REM pipelines, and
related plants/facilities, all supported by long-term fee-based
contracts with total volume commitments now totaling more than 1.1
billion cubic feet per day.”
Rich Eagle Ford Mainline Expansion
Upon full completion, REM
will consist of approximately 257 miles of 30-inch and 42-inch pipe with
a capacity in excess of one billion cubic feet per day. The initial
phase of the REM pipeline, consisting of approximately 160 miles of
30-inch pipe, was placed in service in October 2011. The first
expansion, 60 miles of 42-inch pipe, is scheduled for completion in the
fourth quarter of 2012 and the second expansion, 37 miles of 30-inch
pipe, is scheduled to be completed by the fourth quarter of 2013.
New Processing Plant
The new processing plant, located in
Karnes County, Texas will provide approximately 200 million cubic feet
per day of capacity and is necessary to fulfill the new long-term
shipper commitments on REM. This new plant, which is scheduled to be
completed in the fourth quarter of 2012, and the previously announced
Chisholm and Jackson County Processing Plants, will provide
approximately 1.125 billion cubic feet per day of processing capacity.
Total cost for the Karnes County Processing Plant and the REM expansion
is estimated to be $210 million.
Energy Transfer Partners, L.P. (NYSE:ETP)
is a publicly traded partnership owning and operating a diversified
portfolio of energy assets. ETP has pipeline operations in Arizona,
Arkansas, Colorado, Louisiana, Mississippi, New Mexico, Utah and West
Virginia and owns the largest intrastate pipeline system in Texas. ETP
currently has natural gas operations that include approximately 18,000
miles of gathering and transportation pipelines, treating and processing
assets, and three storage facilities located in Texas. ETP also holds a
70 percent interest in Lone Star NGL LLC, a joint venture that owns and
operates NGL storage, fractionation and transportation assets in Texas,
Louisiana and Mississippi. For more information, visit the Energy
Transfer Partners, L.P. web site at www.energytransfer.com.
Energy Transfer Equity, L.P. (NYSE:ETE)
is a publicly traded partnership, which owns the general partner and 100
percent of the incentive distribution rights (IDRs) of ETP and
approximately 50.2 million ETP limited partner units; and owns the
general partner and 100 percent of the IDRs of Regency Energy Partners
LP and approximately 26.3 million Regency limited partner units. For
more information, visit the Energy Transfer Equity, L.P. web site at www.energytransfer.com.
This press release may include certain statements concerning
expectations for the future that are forward-looking statements as
defined by federal law. Such forward-looking statements are subject to a
variety of known and unknown risks, uncertainties, and other factors
that are difficult to predict and many of which are beyond management’s
control. Among those is the risk that the anticipated benefits from the
proposed transaction cannot be fully realized. An extensive list of
factors that can affect future results are discussed in the
Partnership’s Annual Reports on Form 10-K and other documents filed from
time to time with the Securities and Exchange Commission. The
Partnership undertakes no obligation to update or revise any
forward-looking statement to reflect new information or events.
The information contained in this press release is available on our
website at www.energytransfer.com.
Source: Energy Transfer Partners
Investor Relations:
Energy Transfer
Brent Ratliff, 214-981-0700
or
Media
Relations:
Granado Communications Group
Vicki Granado,
214-599-8785
Cell: 214-498-9272