(MENAFN - PR Newswire) FINDLAY, Ohio, June 5, 2019 /PRNewswire/ -- MPLX LP (NYSE:MPLX ), WhiteWater Midstream (WhiteWater) backed by First Infrastructure Capital, and a joint venture between Stonepeak Infrastructure Partners (Stonepeak) and West Texas Gas, Inc. (WTG) have reached a final investment decision to move forward with the design and construction of the Whistler Pipeline after having secured sufficient firm transportation agreements with shippers. The majority of available capacity on the planned pipeline has been subscribed and committed by long-term transportation agreements. WhiteWater and MPLX expect that the remaining capacity will be fully subscribed in the coming months.
The Whistler Pipeline is being designed to transport approximately 2 billion cubic feet per day (Bcf/d) of natural gas through approximately 475 miles of 42-inch pipeline from Waha, Texas, to the Agua Dulce area in South Texas. Supply for the Whistler Pipeline would be sourced from multiple upstream connections in the Permian Basin, including direct connections to plants in the Midland Basin through an approximately 50 mile, 30-inch pipeline lateral, as well as a direct connection to the 1.4 Bcf/d Agua Blanca Pipeline, a joint venture between WhiteWater, MPLX and Targa. The Agua Blanca Pipeline crosses through the heart of the Delaware Basin, including portions of Culberson, Loving, Pecos, Reeves, Winkler and Ward counties.
"The decision to move forward with this project after securing sufficient commitments from shippers demonstrates our disciplined approach to investing," said Michael J. Hennigan, MPLX president. "Whistler is expected to provide reliable residue gas transportation out of the Permian Basin, which is vital to our growing gas processing position and producers in the region."
"The WhiteWater team is excited to partner with MPLX and develop incremental transportation out of the Permian Basin, as production continues to dramatically outperform consensus estimates," added Christer Rundlof, CEO of WhiteWater. "Whistler will tie directly into the most attractive markets in South Texas, including the growing LNG and Mexican markets."
The Whistler Pipeline is expected to be in service in the third quarter of 2021, pending the receipt of customary regulatory and other approvals.
About MPLX LP
MPLX is a diversified, large-cap master limited partnership that owns and operates midstream energy infrastructure and logistics assets, and provides fuels distribution services. MPLX's assets include a network of crude oil and refined product pipelines; an inland marine business; light-product terminals; storage caverns; refinery tanks, docks, loading racks, and associated piping; and crude and light-product marine terminals. The company also owns crude oil and natural gas gathering systems and pipelines as well as natural gas and NGL processing and fractionation facilities in key U.S. supply basins. More information is available at www.MPLX.com
About WhiteWater Midstream
WhiteWater Midstream is an Austin based, independent midstream company that provides transportation services to domestic oil and gas plays. WhiteWater was founded in 2016 and is backed by significant commitments from First Infrastructure Capital. For more information about WhiteWater Midstream, visitwww.whitewatermidstream.com .
About First Infrastructure Capital
First Infrastructure Capital Advisors, LLC is a Houston-based investment firm specializing in greenfield projects and companies operating in the midstream, downstream, electric power, telecommunications, and renewable energy industries. First Infrastructure Capital Advisors, LLC is affiliated with Quanta Services and operated separately as an SEC-registered investment adviser, which manages funds affiliated with First Infrastructure Capital, L.P. For more information about First Infrastructure Capital, visitwww.firstinfracap.com .
About Stonepeak Infrastructure Partners
Stonepeak Infrastructure Partners ( www.stonepeakpartners.com ) is an infrastructure-focused private equity firm with over $15 billion of assets under management and with offices in New York, Houston and Austin. Stonepeak invests in long-lived, hard-asset businesses and projects that provide essential services to customers, and seeks to actively partner with high-quality management teams, facilitate operational improvements, and provide capital for growth initiatives.
WTG (West Texas Gas, Inc. & affiliates) is composed of a family of related natural gas midstream and downstream entities headquartered in Midland, TX since 1976 with operations in more than 90 Texas and Oklahoma counties. These WTG entities operate more than 700 MMcfd of gas processing capacity with more than 10,000 miles of gathering systems, 1,800 miles of transmission pipelines and distribution systems serving approximately 25,000 LDC customers.
MPLX LP Investor Relations: Kristina Kazarian (419) 421-2071
WhiteWater Midstream Investor Relations:www.whitewatermidstream.com
Stonepeak Infrastructure Partners Investor Relations: Dan Schmitz (212) 907-5119
WTG Investor Relations: David B. Freeman (432) 682-4349
This press release contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements relate to, among other things, statements with respect to forecasts regarding capacity and timing for becoming operational for the opportunities discussed above. You can identify forward-looking statements by words such as "anticipate," "believe," "design," "estimate," "expect," "forecast," "intend," "plan," "project," "potential," "could," "may," "should," "would," "will" or other similar expressions that convey the uncertainty of future events or outcomes. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the control of the companies and are difficult to predict. Although management of the respective companies believe any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. Among the key risk factors associated with the project that may have a direct impact on completion of the project and construction of the pipeline or the pipeline's and the companies' results of operations and financial condition are: (1) the ability of the companies to obtain all required rights-of-way, permits and other approvals on a timely basis; (2) the ability to complete construction of the project on time and at expected costs; (3) price fluctuations and overall demand for natural gas; (4) changes in the pipeline's tariff rates or other terms as required by state or federal regulatory authorities; (5) the occurrence of an operational hazard or unforeseen interruption; (6) disruption in the debt and equity markets that negatively impacts the companies' abilities to finance capital spending and (7) willingness to incur or failure of customers or vendors to meet or continue contractual obligations related to this project. Additional information about issues that could lead to material changes in performance is set forth under the heading "Risk Factors" in MPLX's Annual Report on Form 10-K for the year ended Dec. 31, 2018, filed with the Securities and Exchange Commission (SEC). In addition, the forward-looking statements included herein could be affected by general domestic and international economic and political conditions. Unpredictable or unknown factors not discussed here or in MPLX's Form 10-K could also have material adverse effects on forward-looking statements. Copies of MPLX's Form 10-K are available on the SEC website, MPLX's website athttp://ir.mplx.comor by contacting MPLX's Investor Relations office. The companies undertake no obligation to revise these forward-looking statements to reflect events or circumstances occurring after today's date.
SOURCE MPLX LP
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