Elevate Midstream Partners said Monday it’s entered into an eight-year natural gas gathering and treating agreement with Sabine Oil and Gas, a Haynesville Shale producer in East Texas’ Harrison and Panola counties, Kallanish Energy reports.
The transaction was completed in partnership with Elevate’s financial sponsor, private equity firm Tailwater Capital.
Elevate will build roughly 19 miles of 16-inch gas gathering pipelines plus associated laterals, including amine, dehydration and compression facilities in the Carthage area of Panola County, with interconnections to downstream takeaway markets.
The system adds to Elevate’s existing asset base in the area and is designed to support both this agreement and aid other producers in moving gas to markets at the Carthage hub.
“We are pleased to announce the execution of this agreement with Sabine and commencement of this project,” said Roger Fox, CEO of Elevate. “With our existing assets strategically located in the core of the Haynesville and Cotton Valley formations, this new pipeline will both expand our footprint and provide access to the competitive Carthage hub markets for our customers.”
This post appeared first on Kallanish Energy News.