New Commitments, New Customer Spur Growth
OKLAHOMA CITY--(BUSINESS WIRE)--Access Midstream Partners, L.P. (NYSE:ACMP) announced today a major expansion of the Utica East Ohio (UEO) midstream service complex in eastern Ohio. The expansion will increase UEO's nameplate capacity to 1 billion cubic feet per day (bcf/d) and allows for a processing capacity of over 1.1 bcf/d. UEO is a joint venture owned 49% by Access Midstream, 30% by M3 Midstream LLC and 21% by EV Energy Partners, L.P. (NASDAQ:EVEP).
“Our investment in this expansion at UEO underscores our belief in the long-term viability of the Utica Shale”
Additional capacity is needed to meet new commitments from existing customers Chesapeake Energy Corporation (NYSE:CHK), Total Gas & Power North America, Enervest Ltd. and new customer, American Energy - Utica, LLC, an affiliate of American Energy Partners, LP. These new commitments are expected to increase UEO’s ultimate throughput by 70% over existing commitment levels.
The UEO complex will provide gathering, compression and dehydration services for American Energy - Utica. The new long-term agreement between UEO and American Energy - Utica includes a 145,000-acre area of mutual interest, installation of 50 miles of gathering pipeline and compression services.
The UEO expansion will include the construction of a second processing train at the Leesville, Ohio facility and extension of an existing high-pressure pipeline from UEO’s Harrison Hub to Cardinal Gas Services’ (CGS) Archer Compression Facility in Harrison County. Additional services also will be added at Harrison Hub, including downstream liquids interconnects and expanded propane and butane storage.
“Our investment in this expansion at UEO underscores our belief in the long-term viability of the Utica Shale,” commented Mike Stice, CEO of Access Midstream. “This growth not only significantly increases our capacity but will improve access to downstream liquids markets. We are pleased to grow our partnership with M3 and EV Energy Partners and enhance our ability to continue providing excellent midstream solutions for our customers.”
ABOUT ACCESS MIDSTREAM
Access Midstream Partners, L.P. (NYSE:ACMP) is the industry’s largest gathering and processing master limited partnership as measured by throughput volume and owns, operates, develops and acquires natural gas gathering systems and other midstream energy assets. Headquartered in Oklahoma City, the Partnership's operations are focused on the Barnett, Eagle Ford, Haynesville, Marcellus, Niobrara and Utica Shales and the Mid-Continent region of the U.S.
ABOUT M3 MIDSTREAM:
M3 Midstream, LLC (“Momentum”) is an independent midstream energy company formed to build, acquire, own and operate midstream oil and gas assets in growth areas of the United States. The company’s focus is the development of greenfield projects that include oil and gas gathering, compression, treating and processing. More information is available at http://www.m3midstream.com.
ABOUT EV ENERGY PARTNERS, L.P.:
EV Energy Partners, L.P., (NASDAQ:EVEP) is a master limited partnership engaged in acquiring, producing and developing oil and natural gas properties. More information about EVEP is available athttp://evenergypartners.com.
ABOUT AMERICAN ENERGY PARTNERS, LP:
American Energy Partners, LP was founded by Aubrey K. McClendon in April 2013 to capitalize on opportunities available in unconventional resource plays onshore in the U.S. For additional information, please visitwww.americanenergypartners.com.
This press release includes forward-looking statements that relate to, among other things, the closing of the offering of the Notes and the expected use of proceeds from such offering. Forward-looking statements give our current expectations or forecasts of future events. We caution you not to place undue reliance on our forward-looking statements, which speak only as of the date of this release, and we undertake no obligations to update this information. Although we believe the expectations and forecasts reflected in these and other forward-looking statements are reasonable, we can give no assurance they will prove to be correct. They can be affected by inaccurate assumptions or by known or unknown risks and uncertainties. Factors that could cause actual results to differ materially from expected results are described under “Risk Factors” in our 2013 Annual Report on Form 10-K and our other SEC filings.
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