Meritage Midstream Services II LLC, a Denver-based oil and natural gas gathering and transportation company, announced earlier this month that operations on the first 108-mile leg of the Thunder Creek NGL Pipeline will begin in January 2015.
The new NGL Pipeline serves natural gas liquid producers in Wyoming's Powder River Basin and is reported to consist of 22 miles of newly constructed pipeline and an additional 86 miles secured through a long-term lease from Phillips 66.
In addition, Meritage announced that it will begin construction of a
140-mile extension of the NGL pipeline in 2015 which is expected to
come into service during the first quarter of 2016. This
extension will link Douglas, Wyoming to a connection point near
Cheyenne, where the pipeline will connect with the Overland Pass
pipeline carrying NGLs to Kansas.
The Denver Business Journal reported that the low
oil prices are not affecting the plans for pipeline expansions.
These NGL pipeline expansions are not only great news for Wyoming producers and the economy of northeast Wyoming where the Powder River Basin is located, but for Kansas and Texas NGL markets and refineries.
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