A joint venture between MarkWest Energy and The Energy and Minerals Group (EMG), called MarkWest Utica EMG, has just signed a deal with Gulfport Energy to build new gathering pipelines for Utica wells in Harrison, Guernsey and Belmont counties (Ohio). The deal also includes MarkWest Utica processing the gas produced by Gulfport, including natural gas liquids, at its Harrison County processing complex.
MarkWest Utica EMG, L.L.C., a joint venture between MarkWest Energy Partners, L.P. and The Energy and Minerals Group (EMG) focused on the development of significant natural gas gathering, transportation, and processing and natural gas liquid (NGL) transportation, fractionation, and marketing infrastructure in the Utica shale in eastern Ohio, today announced the execution of a letter of intent with Gulfport Energy Corporation to provide gathering, processing, fractionation, and marketing services in the liquids-rich corridor of the Utica.
Under the terms of the LOI, which requires the execution of definitive agreements, MarkWest Utica will develop extensive natural gas gathering infrastructure with Gulfport and other producers primarily in Harrison, Guernsey, and Belmont counties that is expected to come online beginning in 2012. MarkWest Utica will process the gas at its Harrison County processing complex, and will provide NGL fractionation and marketing services at the Harrison County fractionator, where NGL purity products will be marketed by truck, rail, and pipeline.
"We are very excited to announce the development of midstream infrastructure with Gulfport and other producers to fully develop the rich-gas acreage in the southern Utica shale," said Frank Semple, Chairman, President and Chief Executive Officer of MarkWest. “The full spectrum of natural gas midstream services, particularly the fractionation and marketing of NGLs at a world-scale fractionation complex, is essential to the success of Utica producers, and we are excited to work closely with our producer customers to develop this prolific shale play.”*
*MarkWest Utica EMG (Mar 6, 2012) – MarkWest Utica Announces Letter of Intent to Develop Significant Midstream Infrastructure in the Utica Shale