May 2011, Vol. 238 No. 5
In The News
Crestwood Midstream Acquires Fayetteville Shale, Granite Wash Assets
Crestwood Midstream Partners LP has completed acquisition of midstream assets in the Fayetteville Shale and the Granite Wash plays from Tulsa, OK-based Frontier Gas Services LLC for $338 million.
The acquired assets in the Fayetteville Shale, located in northwest Arkansas, consist of 127 miles of gathering pipelines with a capacity of 510 MMcf/d, treating capacity of 165 MMcf/d and 35,000 hp of compression serving dedicated acreage and natural gas production under contracts with BHP Billiton Petroleum, BP America and ExxonMobil’s XTO subsidiary.
The Granite Wash assets, located in the Texas Panhandle, include a 28-mile natural gas and natural gas liquids pipeline system and a 36 MMcf/d cryogenic processing plant serving dedicated acreage and natural gas production under contracts with Chesapeake Energy and Linn Energy. Crestwood LP plans to install a second processing plant with 60 MMcf/d of additional capacity with plans to be in service by year end to handle expected growth in volumes from the emerging Granite Wash play.
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