Processing Plants

Chesapeake Energy | Columbiana County | Energy Companies | Energy Services | EV Energy Partners | Industrywide Issues | M3 Midstream | NGLs | Ohio | Processing Plants

M3 Midstream’s Kensington, OH NGL Plant Launch Date Slips
June 20, 2013June 20, 2013

In May 2012, MDN told you about a new $400 million natural gas liquids (NGL) processing plant that would be built in Kensington, about a mile south of Hanoverton, OH, by a joint venture involving M3 Midstream, Chesapeake Energy and EV Energy Partners (see Location for OH NGL Processing Plant Identified). M3 said the Kensington NGL plant was on track for an “aggressive” May 2013 opening as late as December last year (see Columbiana County NGL Plant On Track for May Opening). It’s end of June and the plant is still not running.

We do, however, have a new estimated start date…
Read More “M3 Midstream’s Kensington, OH NGL Plant Launch Date Slips”
Butler County | Energy Companies | Exxon Mobil | Industrywide Issues | NGLs | Pennsylvania | Processing Plants | XTO

XTO’s New NGL Recovery Plant in Butler County, PA Now Online
June 18, 2013June 18, 2013

Flying under the radar for more than year, XTO Energy (the Marcellus/Utica Shale subsidiary of Exxon Mobil) announced yesterday their natural gas liquids (NGL) recovery plant in Butler County, PA is now up and running. The plant will process wet gas coming from the the southwestern portion of PA, separating NGLs from methane. Although not referenced in the XTO announcement (see below), the recovered NGLs will be fractionated (further separated) and marketed by MarkWest (see MarkWest Signs Deal with XTO to Process NGLs in PA).

The announcement from XTO that their new NGL recovery plant is now up and running:
Read More “XTO’s New NGL Recovery Plant in Butler County, PA Now Online”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Pipelines | Processing Plants | Shell | Statewide PA | Statewide WV | West Virginia

Do More Wet Gas Pipelines to Gulf Coast = No NE Cracker Plants?
June 17, 2013June 17, 2013

With new wet gas pipelines being built from the Marcellus/Utica to the Gulf Coast, and with new cracker plants being built along the Gulf Coast, will any ethane cracker plants ever get built in the Marcellus/Utica? It’s a serious question that more and more people are asking.

Aside from West Virginia Secretary of Commerce Keith Burdette’s eternal optimism that WV will get a commitment for an ethane cracker plant any day now (see WV “Very Much in the Game” to Get a Cracker Plant), and aside from Pennsylvania Gov. Tom Corbett’s changing timeline on when Shell will make a final final final final final decision on building a cracker in Pennsylvania, MDN made the following observation more than a month ago:
Read More “Do More Wet Gas Pipelines to Gulf Coast = No NE Cracker Plants?”
Ethane | Industrywide Issues | Processing Plants | Statewide WV | West Virginia | Wood County

WV “Very Much in the Game” to Get a Cracker Plant
June 11, 2013June 11, 2013

Signs of spring: Cherry blossoms in Washington, D.C. Blossoms on the scrub apple tree in my back yard. Persnickety dandelions–everywhere!

Another sign of spring: West Virginia Secretary of Commerce Keith Burdette talking about his state getting an ethane cracker plant. Hope springs eternal for Mr. Burdette…
Read More “WV “Very Much in the Game” to Get a Cracker Plant”
Ashtabula County | Economic Impact | Geauga County | Industrywide Issues | Mahoning County | Ohio | Pipelines | Portage County | Processing Plants | Statewide OH | Trumbull County | Utica Shale

Ohio Group Promotes NE Counties for New Midstream Projects
June 4, 2013June 4, 2013

A group of business and political leaders from northeastern Ohio have crafted and are now marketing a plan to bring midstream infrastructure to the Mahoning Valley. A new report written and distributed by this committed group, titled “Mahoning Valley Midstream” (full copy embedded below) points out that currently there are no wet natural gas gathering lines in Trumbull, Mahoning, Geauga, Portage, or Ashtabula counties. This enterprising group has an ingenious plan to remedy that situation: repurpose abandoned or partially used rail lines, as well as use a web of strategic, divided (limited access) highways that converge on the closed “rust belt” steel mills.

They even have a site picked out for an ethane cracker plant…
Read More “Ohio Group Promotes NE Counties for New Midstream Projects”
EMG | Energy Services | Harrison County | Industrywide Issues | MarkWest Energy | Noble County | Ohio | Pipelines | Processing Plants | Utica Shale

MarkWest Announces Third Processing Plant in Noble County, OH
May 31, 2013May 31, 2013

MarkWest Energy is the biggest midstream company (pipelines and processing plants) in the Marcellus Shale. They’ve also set their sights on becoming the biggest midstream player in the Utica Shale, and they’re well on their way. Yesterday, MarkWest announced their joint venture with EMG, called MarkWest Utica, will build a third cryogenic gas processing plant at its Seneca processing complex in Noble County, Ohio. The new plant, which will add an additional 200 million cubic feet per day of capacity (MMcf/d), is scheduled to be completed in about a year and will service wet gas from Antero Resources’ Utica Shale wells. The first two Seneca plants will be online later this year.

Apparently MarkWest has cleared up any funding issues for building the new plant. Previously the MarkWest Utica jv ran low on money while building the first two Seneca plants and scrambled to get more cash, which they did in February (see MarkWest: We Just Banked $450M from EMG, Another $2.8B Available). Funding problems seem to be behind them now and it’s full speed ahead. Here’s the MarkWest press release which also gives a quick update on their Cadiz processing plant along with a fairly complete list of their customers for all of their Utica processing plants:
Read More “MarkWest Announces Third Processing Plant in Noble County, OH”
Ethane | Industrywide Issues | Processing Plants | Statewide WV | West Virginia

Gov Tomblin Comments on WV Prospects for a Cracker Plant
May 30, 2013May 30, 2013

At a ceremony to launch the new Appalachian Petroleum Technology Training Center yesterday in Fairmont, WV, Gov. Earl Ray Tomblin was asked the perennial question by reporters: Hey, what about an ethane cracker plant? To which he responded, “I am confident we will eventually get one.” His response seems to indicate, disappointingly, a cracker plant in WV won’t happen any time soon. Of course even if an agreement were announced today, it would take several years to build even a small cracker plant.

A quick update on the status (or rather non-status) of a cracker plant in West Virginia:
Read More “Gov Tomblin Comments on WV Prospects for a Cracker Plant”
Blue Racer Midstream | Caiman Energy | Dominion Energy | Energy Services | Industrywide Issues | Marshall County | NGLs | Processing Plants | West Virginia

Natrium, WV NGL Processing Plant Start-up Close
May 28, 2013May 28, 2013

Processing plants in the Marcellus and Utica Shale region are a critical component of the drilling picture that frankly is holding up further development right now. Without the ability to separate “wet gas” (gas containing compounds in addition to methane, like ethane, butane, propane and pentane), drillers in wet gas areas are either drilling and capping their wells, or not drilling them in the first place. All eyes are on infrastructure projects like the processing plant in Natrium, WV being built by Blue Racer Midstream, a joint venture between Dominion and Caiman Energy.

The $500 million Natrium plant was due to be finished last December. Then the start-up date was changed to be “late spring” of this year (see Natrium, WV NGL Plant Behind Schedule, Will Open “Late Spring”). It’s almost summer and the plant is still not open. However, the signs point to an imminent start:
Read More “Natrium, WV NGL Processing Plant Start-up Close”
Economic Impact | Harrison County | Industrywide Issues | NGLs | Ohio | Processing Plants | Statewide OH | Utica Shale

New 1-Mile Railroad Siding in Utica Shale will be “Game-Changer”
May 24, 2013May 24, 2013

If you’ve read MDN for any length of time, you know we love a good railroad story. Here’s another one, this one in the Utica Shale…
Read More “New 1-Mile Railroad Siding in Utica Shale will be “Game-Changer””
Energy Services | Industrywide Issues | MarkWest Energy | Pipelines | Processing Plants | Research | Sunoco Logistics | Williams

3 Marcellus Midstream Companies Top Customer Satisfaction Survey
May 15, 2013May 15, 2013

EnergyPoint Research released an overview of their biannual Midstream Services Study this morning. Three companies with large Marcellus operations top the list Read More “3 Marcellus Midstream Companies Top Customer Satisfaction Survey”
Anti-Drilling/Fossil Fuel | Dominion Energy | Energy Services | Exporting | Industrywide Issues | Maryland | Processing Plants | Statewide MD

Sierra Club, Others Trash Talk Cove Point LNG Export Terminal
May 7, 2013May 6, 2013

A group of the same old, tired “we’re against all progress” groups–including the Sierra Club, Earthjustice and a variety of X Riverkeeper groups–keeps making noise (increasingly just ignored by everyone) that, “OMG! the Cove Point LNG terminal in Maryland will kill off life as we know it in the Chesapeake!” Their tone is shrill and their argument (“because we hate fracking and this will cause more it”) is fallacious.

Here’s the latest claptrap to be issued by the Sierra Club, et al:
Read More “Sierra Club, Others Trash Talk Cove Point LNG Export Terminal”
Chesapeake Energy | Energy Companies | Industrywide Issues | Pipelines | Processing Plants

Chesapeake Sells Mississippi Lime Midstream Operation for $300M
May 2, 2013

Yesterday, SemGroup Corporation announced it had signed an agreement with Chesapeake Energy to purchase all of the assets of Mid-America Midstream Gas Services (a Chessy subsidiary), which owns gas gathering pipelines and processing plants in the Mississippi Lime play. SemGroup is paying Chessy $300 million in cash.

Technically it’s not a Marcellus/Utica deal, but MDN is covering this story because…
Read More “Chesapeake Sells Mississippi Lime Midstream Operation for $300M”
Energy Companies | Energy Services | Hilcorp Energy | Industrywide Issues | Mahoning County | NGLs | NiSource | Ohio | Pipelines | Processing Plants | Utica Shale

Location ID’d for Mahoning County, OH Cryo Processing Plant
May 1, 2013May 1, 2013

In December, MDN told you the name of a newly formed joint venture between drilling company Hilcorp and midstream company NiSource would be Hickory Bend. The new joint venture will build a wet gas (natural gas liquids) pipeline and processing plant somewhere in the Youngstown, OH area (see Mahoning Utica Pipeline/Processing Plant “Moving Forward”). At the time, no plans had been announced about where the pipeline or cryogenic gas processing plant will be located.

Although the jv is still mum on a pipeline route (they’re acquiring lease rights to build it), we do know where the processing plant will be built…
Read More “Location ID’d for Mahoning County, OH Cryo Processing Plant”
Beaver County | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell | Statewide PA

Did PBT “Badger” PA Gov Corbett on Shell Cracker Plant Date?
April 30, 2013April 30, 2013

Yesterday MDN told you about comments from PA Gov. Tom Corbett that seemed to indicate he’s changed his story about when a final final final decision may come from Shell about whether or not they will move forward with building an ethane cracker plant in Monaca, PA (see Corbett Story Changes: Decision on PA Cracker Plant Delayed Again). However, Corbett’s may not be the only story that got changed. According to a spokesman for the governor, the editorial board of the Pittsburgh Business Times “badgered” Corbett into forecasting the 2014 date when a decision may be made, and then shaded their coverage to make it seem as though Corbett has changed his story…

Read More “Did PBT “Badger” PA Gov Corbett on Shell Cracker Plant Date?”
Ethane | Industrywide Issues | Processing Plants | Statewide WV | West Virginia

WV Says Deal for Ethane Cracker Coming This Year
April 30, 2013April 30, 2013

The race to secure an ethane cracker between Pennsylvania, Ohio and West Virginia continues. Last week, WV’s Secretary of Commerce, Keith Burdette, said he is “100% certain” that WV will have a deal for an ethane cracker plant signed sometime this year. Bluster or quiet confidence? We’d bet the later if we were betting…

MDN friends from the excellent Gas Business Briefing attended a conference last week in WV and filed this report:
Read More “WV Says Deal for Ethane Cracker Coming This Year”
Beaver County | Economic Impact | Energy Companies | Ethane | Industrywide Issues | Pennsylvania | Processing Plants | Shell | Statewide PA

Corbett Story Changes: Decision on PA Cracker Plant Delayed Again
April 29, 2013April 29, 2013

In what looks to be like more backpedaling, PA Gov. Tom Corbett told the Pittsburgh Business Times on Friday he now doesn’t expect a final decision on whether Shell will build a new $2 billion ethane cracker plant in Monaca, PA until 2014. Last December he said Shell needed another six months (until the end of June) for lawyers “dotting I’s and crossing T’s” (see Gov Tom Corbett: Shell Cracker Plant in PA Not “Off the Rails”). Now the story is, “I’ve always thought it would be early next year,” meaning 2014. Hmmm. Then why didn’t he say that last December?

From the Pittsburgh Business Times:

Read More “Corbett Story Changes: Decision on PA Cracker Plant Delayed Again”