On line: New Haynesville pipe complete.
New line ups Haynesville takeaway
A consortium of midstream players have announced the opening of a pipeline that will add 2.1 billion cubic feet per day of takeaway capacity from the Haynesville shale play.
Regency Energy Partners, Alinda Capital Partners and an affiliate of GE Energy Financial Services said the Haynesville Expansion Project and Red River Lateral were brought on line today.
“The Haynesville Expansion Project was specifically constructed to provide much needed takeaway capacity for Haynesville Shale gas in North Louisiana and is the first major project to be placed in service in the region,” Regency boss Byron Kelley said in a release.
“We continue to see impressive drilling results in the Haynesville Shale, and the joint venture is evaluating additional expansions to RIGS, which we believe is well positioned for future growth in the region”.
The Haynesville Expansion Project and the Red River Lateral are underwritten by firm transportation agreements with 10-year terms, and about 85% of projected revenues are expected to come from reservation fees, the consortium said in a release.
RIGS will begin charging shippers for reservation fees beginning 1 February.
