Kinder Morgan, Howard Expand Eagle Ford Gas Network

Dos Caminos joint venture additions will be capable of delivering 2.0 Bcf/D of natural gas.

More than 120 miles of new large-diameter pipeline will make up the Dos Caminos expansion project in the Eagle Ford Shale of south Texas.
SOURCE: Kinder Morgan

Kinder Morgan Tejas Pipeline LLC (Tejas), a subsidiary of Kinder Morgan Inc. (KMI), and Howard Energy Partners (HEP), through its joint venture Dos Caminos LLC, will expand their respective Eagle Ford natural gas transportation systems. Dos Caminos is a joint venture between HEP and an affiliate of Eagle Ford Midstream LP (EFM). The green light was given after the receipt of the necessary binding commercial agreements.

Tejas is constructing a 67-mile, 42-in.-diameter pipeline originating at the existing Kinder Morgan Texas Pipeline (KMTP) compressor station near Freer, Texas, to the Tejas pipeline system near Sinton, Texas. Dos Caminos is constructing a 62-mile, 36-in.-diameter pipeline, as well as compression, treating, and dehydration facilities originating near HEP’s existing midstream pipelines and facilities in Webb County, Texas, to the KMTP compressor station in Freer.

“This approximately $251 million expansion project, referred to as the Eagle Ford project in our January backlog, will be a critical supply link for the impending growth being discussed with power generators, industrial customers, and LNG exporters along our Texas intrastate pipeline network,” said KMI’s Natural Gas Midstream President Tom Dender.

The projects are planned to be completed in the fourth quarter of 2023 and will be capable of delivering up to 2.0 Bcf/D of natural gas to US Gulf Coast markets.

“We are excited to have begun construction on our Spears expansion project,” said Mike Howard, chief executive of HEP. “We have a long history of helping producers in Webb County and surrounding areas find access to premier natural gas markets. We believe this expansion, in conjunction with Kinder Morgan’s expansion, will be an important next chapter in that history.”

Last July, HEP said Dos Caminos would expand its capabilities to gather, treat, and transport natural gas produced from the Austin Chalk and Eagle Ford Shale plays in and around Webb County.

Dos Caminos was created to develop additional natural gas transportation opportunities in the Eagle Ford region of south Texas and to jointly market capacity on HEP and EFM’s existing systems. HEP said then that through a combination of ongoing enhancements to existing systems and new greenfield pipelines, Dos Caminos planned to nearly double throughput capacity to a total of up to 2.0 Bcf/D.