Williams Partners LP and DCP Midstream Partners LP plan to expand their Discovery natural gas gathering pipeline system in the deepwater Gulf of Mexico by building the Keathley Canyon Connector, a 215-mile, 20-in. OD subsea gas gathering pipeline for production from the Keathley Canyon, Walker Ridge, and Green Canyon areas. Discovery has signed long-term agreements with owners of the Lucius (Anadarko, 35%; Plains Exploration & Production PEP, 23.33%; Apache, 11.7%; ExxonMobil, 15%; Petrobras, 9.6%; and Eni, 5.4%) and Hadrian South (ExxonMobil, 50%; Petrobras, 25%; Eni, 25%) fields for transport of their production.
The 400-MMcfd Keathley Canyon Connector will start in the southeast portion of Keathley Canyon and run to an interconnection with Discovery’s 30-in. OD mainline near South Timbalier Block 283 for shipment to Williams’ 600-MMcfd Larose gas processing plant and 32,000-b/d Paradis fractionator, both in Louisiana.
Construction will begin in 2013 to meet a mid-2014 in-service date. Saipem’s Castorone will perform pipelay for the project (OGJ Online, Jan. 19, 2012). Williams estimates total capital expenditures for the Keathley Canyon Connector at $600 million.
Williams Partners owns 60% of the Discovery system and operates it. DCP Midstream Partners LP owns the other 40%.
Contact Christopher E. Smith at [email protected].