U.S. Midstream Companies Reach Final Investment Decision on $3.5 Billion Natural Gas Pipeline
A group of U.S. and Canadian midstream companies, including ONEOK, WhiteWater, MPLX LP, and Enbridge Inc., have made a final investment decision on a new pipeline project that will transport growing natural gas production from the Permian Basin to the Katy area near Houston, Texas. The Eiger Express Pipeline will have a capacity of approximately 26 billion cubic meters per year (bcm/year) and will source gas from processing facilities owned by ONEOK and MPLX. The project is expected to be completed by mid-2028, pending customary regulatory and other approvals.
Key Takeaways:
- The Eiger Express Pipeline will have a capacity of approximately 26 bcm/year and will transport natural gas from the Permian Basin to the Katy area near Houston, Texas.
- The pipeline will source gas from processing facilities owned by ONEOK and MPLX.
- The Matterhorn Joint Venture (JV) will own 70% of the Eiger Express Pipeline, while ONEOK and MPLX will hold 15% direct stakes each.
- WhiteWater will lead the construction and operation of the pipeline.
- The project is expected to be completed by mid-2028 pending customary regulatory and other approvals.
- The Eiger Express Pipeline will also have reserved capacity for deliveries to the Corpus Christi market.
- The pipeline will connect to pipelines in the Midland and Delaware basins, and its route will generally follow that of the existing Matterhorn Express Pipeline.
Statistics:
- Capacity: 26 billion cubic meters per year (bcm/year)
- Ownership:
+ Matterhorn Joint Venture (JV): 70%
+ ONEOK: 15% direct stake
+ MPLX: 15% direct stake
- Timeline: Completion expected by mid-2028
- Location: Transports natural gas from Permian Basin to Katy area near Houston, Texas, with reserved capacity for Corpus Christi market
Sources:
- "U.S. midstream companies reach final investment decision on $3.5 billion natural gas pipeline" (2022). Global Data Point. Provided by SyndiGate Media Inc.