Double E Pipeline Construction on Track for Startup This Year

By Maddy McCarty, P&GJ Digital Editor

Summit Midstream’s Double E Pipeline is under construction and on track to be commissioned by the end of the year, Summit Midstream Partners' CEO said.

"We achieved several key milestones on the Double E project during the first quarter, including closing $175 million of non-recourse senior secured credit facilities and commencing construction activities, which were both critical steps towards remaining on schedule,” said Heath Deneke, President, Chief Executive Officer and Chairman, during a report on the company’s first quarter financial and operating results.

The Double E system will provide firm natural gas transportation service from various receipt points in the Delaware Basin in the Permian Shale in New Mexico and Texas to various delivery points in and around the Waha Hub, connecting a growing associated natural gas supply basin to a liquid trading point, according to Global Energy Infrastructure’s project data. It should transport about 1.35 billion cubic feet per day of gas.

It will be 134 miles (217 km) long and 43 inches in diameter. The Federal Energy Regulatory Commission in January gave its approvals for the pipeline’s construction and implementation plan.

“Our wholly owned, unrestricted subsidiary, Summit Permian Transmission, LLC, utilized the credit facilities to fund all of Summit's $4.6 million investment in Double E in the first quarter, and we expect that these credit facilities will fund the vast majority of Summit's remaining Double E capital commitment,” Deneke said in the news release.

Summit expects Double E to be completed at or below the $425 million cost estimate, which includes about $35 million of project contingency, he said. Summit Permian Transmission received $175 million of commitments from three leading commercial banks to finance the development.

The pipeline should be commissioned in the fourth quarter of 2021, Deneke said.

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