Three U.S. midstream companies have announced the formation of a joint venture (JV) to provide natural gas liquids takeaway capacity from facilities in the Permian Basin.
The JV is made up of WhiteWater Midstream, MPLX and West Texas Gas, and will offer NGL transport from MPLX and WTG gas processing plants in the Permian Basin to the NGL fractionation hub in Sweeny, Texas.
The JV will provide a transportation service through the utilisation of existing infrastructure with limited initial construction, while allowing for future expansions if necessary. It is supported by volumes from key processing plants with long-term commitments from top-tier Permian producers.
WhiteWater Midstream’s investment in the JV is backed by Ridgemont Equity Partners, Denham Capital Management and the Ontario Power Generation Inc. Pension Plan.
As part of this NGL transportation solution, the JV has entered into multiple capacity arrangements from Orla to Sweeny, (both in Texas), including an agreement with EPIC Y-Grade Pipeline LP (EPIC) to own an undivided joint interest in EPIC’s existing 24” NGL pipeline from West Texas to the Eagle Ford Basin.
For more information visit whitewatermidstream.com