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Enterprise Products and Duncan Energy Announce Extension of Acadian Gas System into Growing Haynesville Shale Play
Tuesday, October 27, 2009 5:51 PM


(Source: Business Wire)trackingEnterprise Products Partners L.P. (NYSE:EPD) and Duncan Energy Partners L.P. (NYSE:DEP) today announced plans for their jointly-owned Acadian Gas LLC subsidiary to extend its Louisiana intrastate natural gas pipeline system into Northwest Louisiana to provide producers in the rapidly expanding Haynesville Shale play with access to attractive markets through connections with Acadian's existing 1,000-mile pipeline system in South Louisiana and nine major interstate pipelines. Known as the Haynesville Extension, this project, as currently designed, will have the capacity to transport up to 1.4 billion cubic feet per day (Bcf/d) from the Haynesville area through a 249-mile, 36-inch and 30-inch diameter pipeline that will connect to Acadian's existing system as well as its affiliated Cypress Gas Pipeline. If additional long-term commitments are received before pipe orders are placed within the next week, the capacity of the Haynesville Extension could be increased to 2.0 Bcf/d. The pipeline is expected to be in service in September 2011.

The existing Acadian natural gas pipeline system has access to more than 150 end-use markets along the Mississippi River corridor between Baton Rouge and New Orleans, includes a rapid-cycle salt dome storage cavern and has the ability to make physical deliveries into the Henry Hub. The Haynesville Extension project will have two interconnects to the existing Acadian system in Pointe Coupee and Assumption parishes and will have two interconnections to the Cypress system in Pointe Coupee and West Baton Rouge parishes. The Haynesville Extension will also have interconnects with Florida Gas, Texas Eastern, Transco, Sonat, Columbia Gulf, Trunkline, ANR, Tennessee Gas and Texas Gas. Together with the capacity into the existing Acadian systems, the extension project will provide approximately 5.5 Bcf/d of meter capacity into an estimated 12 Bcf/d of available downstream pipeline takeaway capacity. Initially, the project will connect to nine Haynesville Shale producer locations in DeSoto and Red River parishes. As part of the project, Acadian expects to construct two compressor stations with approximately 67,000 combined horsepower.

"We are excited to announce our Haynesville Extension project," said Richard H. Bachmann, president and chief executive officer of the general partner of Duncan Energy Partners. "By leveraging our existing Acadian system, we will be able to provide Haynesville producers with much needed takeaway capacity in a timely manner.



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