Targa Resources Corp. plans to construct a common carrier natural gas liquids (NGL) pipeline, the Grand Prix, from the Permian Basin.
Grand Prix will transport volumes from the Permian Basin and from Targa’s North Texas system to Targa’s fractionation and storage complex in the NGL market hub at Mont Belvieu, Texas. Both Targa’s volumes and third-party customer commitments will support the pipeline. The company estimates Grand Prix will be in service by the second quarter of 2019.
The capacity of the pipeline from the Permian Basin will be about 300,000 barrels per day (bpd), expandable to 550,000 bpd.
“We are excited to be moving forward with Grand Prix, which will enhance our ability to move our customers’ volumes from the wellhead in the Permian Basin and North Texas to key petrochemical and export markets,” says Joe Bob Perkins, CEO of Targa. “One of our key strategic objectives has been to identify attractive opportunities to leverage our growing [gathering and processing] volumes from one of the best hydrocarbon basins in the world into additional downstream opportunities for Targa and our customers.”