Summit Midstream Partners Announces Start-Up of Crude Oil ipeline Systems in ND
Bakken Shale
Summit Midstream Partners, LP announced February 9 that it has commenced
operations of the Stampede Lateral crude oil transmission pipeline in North
Dakota and is currently in the final stages of completing the nearby Little
Muddy crude oil transmission pipeline, which includes an interconnect with
Enbridge's North Dakota Pipeline System.
These crude oil development projects provide customers on the Polar &
Divide gathering system with two new delivery points and enhanced optionality to
access additional downstream markets via rail and pipeline infrastructure.
Prior to the commissioning these projects, crude oil on the Polar &
Divide system was delivered exclusively to the Colt Hub rail terminal in Epping,
North Dakota.
The
Stampede Lateral connects SMLP's Polar & Divide crude oil gathering system with
Global Partners LP's ("Global") Basin Transload rail terminal located near
Columbus, North Dakota. The Stampede Lateral provides Global and other producers
in the region with up to 60,000 bbls/d of crude oil throughput capacity.
The 46-mile, 10-inch diameter transmission pipeline originates at SMLP's
newly-built, Divide Station, which offers truck unloading capabilities and
75,000 barrels of crude oil storage capacity.
The Stampede Lateral is underpinned by a long-term, fee-based contract
with Global, including minimum volume commitments.
Crude oil on the Stampede Lateral is delivered to Global's Basin
Transload rail terminal which offers single line haul rail access to Global's
Albany, New York terminal.
The
Little Muddy pipeline will connect SMLP's Polar & Divide crude oil gathering
system with Enbridge's North Dakota Pipeline System in Williams County, North
Dakota via Enbridge's Little Muddy Facility located near Marmon, North Dakota.
This development project includes 14-miles of 10-inch diameter crude oil
transmission pipeline with throughput capacity of 27,000 bbls/d. Crude oil
delivered to the Little Muddy Interconnect will gain pipeline access to various
downstream markets including Chicago, Patoka, Cushing, Eastern Canada, and the
Gulf Coast.
Steve Newby, President and Chief Executive Officer of SMLP commented, "The
start-up of the Stampede Lateral and Little Muddy Interconnect significantly
diversifies our downstream takeaway options for our customers on our crude oil
gathering systems in the Bakken. We
are excited to enhance the interconnectivity of our crude gathering system and
to provide our customers with to access multiple downstream markets".