Pipeline in works to transport Northeast NGLs to Mont Belvieu

Kinder Morgan Energy Partners LP and MarkWest Utica EMG launched a binding open season to solicit commitments for a proposed Y-grade pipeline project to transport natural gas liquids (NGLs) produced from the Utica and Marcellus shales to Mont Belvieu, Texas. The binding open season began Nov. 11 and ends Dec. 20.

According to a press release, more than 1,000 miles of Kinder Morgan’s 24- and 26-inch Tennessee Gas Pipeline system, currently in natural gas service, from Mercer, Pa., to Natchitoches, La., will have to be converted to accommodate this endeavor. In addition, about 200 miles of new pipeline of similar diameter will have to be built from Natchitoches to a proposed Kinder Morgan and MarkWest Utica EMG fractionation facility with a third party that has existing facilities at Mont Belvieu.

The pipeline is targeted to be in service during the second quarter of 2016, according to Kinder Morgan, but it is subject to shipper commitments, timely regulatory approvals and necessary capital improvements. The pipeline will have an initial design capacity of 150,000 barrels per day (bpd) and would be expandable to 400,000 bpd with the addition of pump stations.