Williams Partners L.P. has executed agreements with Southwestern Energy Co. to expand its services to Southwestern in the Appalachian Basin of West Virginia where Williams Partners has established a strong operational footprint. The agreements call for Williams Partners to deliver gas processing, fractionation, and liquids handling services in Southwestern’s Wet Gas Acreage in the Marcellus and Upper Devonian Shale along with gas gathering services for Southwestern in its South Utica Dry Gas Acreage.
The company will provide Southwestern with 660 million ft3/d of processing capacity to serve a 135 000 acre dedication in West Virginia. It also expects to further build out its Oak Grove processing facility for Southwestern’s expanding production of wet gas. The Oak Grove processing facility has the ability to expand by an additional 1.8 billion ft3/d of gas processing capacity.
Williams Partners’ northeast gathering and processing operating area also secured a gathering dedication of Southwestern’s South Utica Dry Gas Acreage. The gathering and processing expansions will be supported by long-term, fee-based agreements and volumetric commitments.
Downstream gas connections into Columbia’s Leach Xpress and Mountaineer Xpress are being established to boost market access and diversify gas pricing opportunities.
“The new agreements with Southwestern are actually a ‘win-win-win’ opportunity,” said James Scheel, senior vice president for Williams Partners’ Northeast gathering and processing operating area. “We are able to grow our gathering and processing volumes, expand our services for a valued customer, and increase the takeaway hub by solidifying downstream connections from processing to new interstate pipelines – which benefits all producers in this area.”
Read the article online at: https://www.energyglobal.com/downstream/gas-processing/13102017/williams-partners-and-southwestern-energy-expand-gas-gathering-operations/