Strike Construction Gets to Work on $2.7 Billion in Active Projects, Most Underway

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Researched by Industrial Info Resources (Sugar Land, Texas)--Strike Construction LLC (The Woodlands, Texas) is at work on some of the highest-profile projects in the U.S. Oil & Gas Pipeline Industry, several of which are springing up as part of the buildout along the U.S. Gulf Coast, and others as part of the boom in natural gas development in the U.S. East. Industrial Info is tracking $2.7 billion in active projects involving Strike, more than 80% of which already is under construction.

Click on the image at right for a graph detailing active Strike projects, by U.S. state.

Among the highest-valued projects featuring Strike are three for Enbridge Incorporated (NYSE:ENB) (Calgary, Alberta) in Texas: the $1.1 billion Valley Crossing Pipeline, which will transport up to 2.6 billion cubic feet per day of natural gas 168 miles from Nueces County to Brownsville, which sits on the Mexican border and the Gulf Coast. The line originates at a $385 million compressor station in Agua Dulce and terminates at a $260 million compressor station in Brownsville. Each phase has been under construction since April 2017 and is expected to wrap up in the fourth quarter.

In March, the U.S. Federal Energy Regulatory Commission (FERC) approved construction of a separate segment of the Valley Crossing Pipeline, which will deliver natural gas to Mexico. Valley Crossing will connect with Mexico's Sur de Texas-Tuxpan Pipeline, which is being built by Infraestructura Marina del Golfo, a joint venture between TransCanada Corporation (NYSE:TRP) (Calgary, Alberta) and Sempra Energy (NYSE:SRE) (San Diego, California). For more information, see Industrial Info's project reports on the pipeline, Auga Dulce station and Brownsville station.

Also in Texas, Strike is serving as general contractor for Crestwood Equity Partners LP's (NYSE:CEQP) (Houston, Texas) $49 million gathering system in the Permian Basin, which will carry natural gas 33 miles to a Crestwood plant under construction in Orla. Both the line and the plant are expected to wrap up this summer. The project also will feature a 16-mile, $24 million additional pipeline that will carry natural gas liquids (NGL) from the Permian Basin to the main line. For more information, see Industrial Info's project reports on the gathering system and the NGL pipeline.

Strike is at work on two major pipelines for TransCanada in the U.S. East: the WB Xpress Project in Virginia and West Virginia, and the Gulf XPress (GXP) Project in Kentucky and Tennessee. The WB Xpress is proceeding despite a variety of setbacks, including increased costs due to delayed approval from FERC and other agencies. TransCanada and Strike expect to finish construction in the fourth quarter on a $100 million compressor station in Seneca Rocks, West Virginia, and a $70 million compressor station in Charleston, West Virginia, which will help to facilitate 1.3 billion cubic feet per day of additional natural gas bi-directional transportation. For more information, see Industrial Info's project reports on the Seneca Rocks and Charleston stations.

TransCanada and Strike also expect to finish construction on a series of compressor stations for the GXP Project in the fourth quarter, which will enable transportation of up to 860 million standard cubic feet per day of additional natural gas:

• $45 million station near Grayson, Kentucky; see project report
• $55 million station in Edmonton, Kentucky; see project report
• $55 million station near Nashville, Tennessee; see project report
• $55 million station in Waynesboro, Tennessee; see project report

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