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Project(s): View 6 related projects in PECWeb
Plant(s): View 6 related plants in PECWeb
Released January 05, 2017 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--The newly formed DCP Midstream LP (NYSE:DCP) (Houston, Texas) will become the largest natural gas liquids (NGL) producer and gas processor in the U.S. when it officially bows on January 23. The company will be a combination of DCP Midstream LLC, a 50:50 joint venture between Phillips 66 (NYSE:PSX) (Bartlesville, Oklahoma) and Spectra Energy Corporation (NYSE:SE) (Houston), and DCP Midstream Partners LP (NYSE:DPM) (Houston). Industrial Info is tracking $1.05 billion in projects involving the engaged couple.
The marriage could finally end long-running confusion among investors and market-watchers: DCP Midstream LLC is the entity that owns DCP Midstream GP LLC, the general partner and manager of DCP Midstream GP LP, itself the general partner and manager of DCP Midstream Partners LP, a midstream master limited partnership that gathers, processes, transports and stores natural gas, and produces, transports and stores natural gas liquids (NGL) across 17 U.S. states, according to the company's website. Phillips 66 and Spectra Energy will continue to hold 50:50 joint ownership of the venture.
The Denver-Julesburg (DJ) Basin is one of the top destinations for DCP's plans: The DCP family announced it would construct its tenth plant in the basin, a 200 million-cubic-foot-per-day cryogenic natural gas processing plant, by the end of 2018, with another plant with identical capacity set to be completed by mid-2019. DCP says these projects will increase the company's capacity in the DJ Basin 50% to 1.2 billion cubic feet per day.
Among the projects already planned in the area is the $450 million Mountain View Cryogenic Natural Gas Processing Plant in La Salle, Colorado. The project, which also has a 200 million-cubic-foot-per-day capacity, is currently set to be completed in fourth-quarter 2017, although many factors could push back the completion date. For more information, see Industrial Info's project report.
DCP also is building out its field compression and plant bypass infrastructure in the area to add about 40 million cubic feet per day of incremental capacity during the summer of 2017. These include two compressor stations, each valued at $10 million, in Platteville and Keenesburg, Colorado. The stations will use similar components to support natural gas-gathering activities in the DJ Basin. For more information, see Industrial Info's project reports on the Platteville and Keenesburg facilities.
DCP also announced it would expand NGL takeaway capacity on its Sand Hills Pipeline by 30% to 365,000 BBL/d; the pipeline system services Texas' Mont Belvieu market by connecting it with DCP-owned and third-party plants in the growing Permian Basin. This area in Texas features three more proposed cryogenic natural gas-processing plant projects: a $200 million facility in Cotulla, the $120 million Midway facility near Stanton and the $80 million Eagle facility in Edna.
As currently designed, the Cotulla and Midway facilities would be new plants with capacities of 200 million and 75 million standard cubic feet per day, respectively, while the Eagle facility project would double the existing site's capacity to 400 million standard cubic feet per day. For more information, see Industrial Info's project reports on the Cotulla, Midway and Eagle proposals.
The companies expect DCP Midstream LP's enterprise value to be about $11 billion.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
The marriage could finally end long-running confusion among investors and market-watchers: DCP Midstream LLC is the entity that owns DCP Midstream GP LLC, the general partner and manager of DCP Midstream GP LP, itself the general partner and manager of DCP Midstream Partners LP, a midstream master limited partnership that gathers, processes, transports and stores natural gas, and produces, transports and stores natural gas liquids (NGL) across 17 U.S. states, according to the company's website. Phillips 66 and Spectra Energy will continue to hold 50:50 joint ownership of the venture.
The Denver-Julesburg (DJ) Basin is one of the top destinations for DCP's plans: The DCP family announced it would construct its tenth plant in the basin, a 200 million-cubic-foot-per-day cryogenic natural gas processing plant, by the end of 2018, with another plant with identical capacity set to be completed by mid-2019. DCP says these projects will increase the company's capacity in the DJ Basin 50% to 1.2 billion cubic feet per day.
Among the projects already planned in the area is the $450 million Mountain View Cryogenic Natural Gas Processing Plant in La Salle, Colorado. The project, which also has a 200 million-cubic-foot-per-day capacity, is currently set to be completed in fourth-quarter 2017, although many factors could push back the completion date. For more information, see Industrial Info's project report.
DCP also is building out its field compression and plant bypass infrastructure in the area to add about 40 million cubic feet per day of incremental capacity during the summer of 2017. These include two compressor stations, each valued at $10 million, in Platteville and Keenesburg, Colorado. The stations will use similar components to support natural gas-gathering activities in the DJ Basin. For more information, see Industrial Info's project reports on the Platteville and Keenesburg facilities.
DCP also announced it would expand NGL takeaway capacity on its Sand Hills Pipeline by 30% to 365,000 BBL/d; the pipeline system services Texas' Mont Belvieu market by connecting it with DCP-owned and third-party plants in the growing Permian Basin. This area in Texas features three more proposed cryogenic natural gas-processing plant projects: a $200 million facility in Cotulla, the $120 million Midway facility near Stanton and the $80 million Eagle facility in Edna.
As currently designed, the Cotulla and Midway facilities would be new plants with capacities of 200 million and 75 million standard cubic feet per day, respectively, while the Eagle facility project would double the existing site's capacity to 400 million standard cubic feet per day. For more information, see Industrial Info's project reports on the Cotulla, Midway and Eagle proposals.
The companies expect DCP Midstream LP's enterprise value to be about $11 billion.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
