WhiteWater Midstream and Partners Reaches FID for Blackcomb Pipeline
[Click image to enlarge]
[Click image to enlarge]
[Click image to enlarge]
Energy infrastructure company WhiteWater Midstream and its partners have reached a final investment decision (FID) for the Blackcomb Pipeline.
The 42in pipeline stretches nearly 590km and will be built to carry up to 2.5bcf/d of natural gas.
It will run from the Permian Basin in West Texas to the Agua Dulce region in South Texas.
WhiteWater, MPLX, and Enbridge, through their joint venture (JV) WPC, reached the FID in collaboration with an affiliate of Targa Resources.
The decision follows the securing of sufficient firm transportation agreements with a roster of predominantly investment-grade shippers such as Devon Energy, Diamondback Energy, Marathon Petroleum, and Targa Resources.
The supply for the Blackcomb Pipeline will be sourced from multiple connections in the Permian Basin including gas processing facilities in the Midland Basin and the Agua Blanca Pipeline in the Delaware Basin.
WhiteWater will manage the construction and operation of the Blackcomb Pipeline, which is expected to enter service in H2 2026.
This timeline is contingent on receiving all necessary regulatory and other approvals.
Ownership of the Blackcomb Pipeline is divided among the JV partners, with WPC holding a 70 percent stake, Targa Resources 17.5 percent, and MPLX 12.5 percent. This is in addition to MPLX’s existing ownership interest in WPC.
The WPC JV itself is owned by WhiteWater (50.6 percent), MPLX (30.4 percent) and Enbridge (19 percent).
“We are excited to partner with Targa by leveraging Whistler’s expansive footprint in Waha and Agua Dulce to develop the Blackcomb Pipeline. Blackcomb will provide much needed incremental natural gas takeaway capacity for Permian shippers,” said WhiteWater CEO Christer Rundlof.
WPC’s portfolio includes long-haul natural gas pipelines and storage assets that are crucial for transporting natural gas from the Permian Basin to South Texas, directly connecting to export markets.
The JV’s assets include the Whistler Pipeline, the Rio Bravo Pipeline, 70 percent of the ADCC Pipeline and 50 percent of the Waha Gas Storage facility.
The investment in WPC by WhiteWater is backed by I Squared Capital, highlighting the financial confidence in the project.
Source: GlobalData
Be in-the-know when you’re on-the-go!
FREE eNews delivery service to your email twice-weekly. With a focus on lead-driven news, our news service will help you develop new business contacts on an on-going basis.
CLICK HERE to register your email address.
