New JV Pipeline Adventure for Permian Basin to Texas Gulf Coast

Four energy companies signed a letter of intent to jointly develop a natural gas pipeline from the Permian Basin to the Texas Gulf Coast, according to a recently issued press release.

The Whistler Pipeline Project is the focus of Houston-based Targa Resources Corp., Florida-based NextEra Energy Pipeline Holdings LLC, Austin-based WhiteWater Midstream LLC, and Ohio-based MPLX LP. When completed, the proposed project will have a capacity of about 2 billion cubic feet per day.

Nearly 450 miles of 42-inch pipeline would run from Waha, Texas, to NextEra’s Agua Dulce market hub, with another 170 miles of 30-inch pipe continued from Agua Dulce and ending in Wharton County. It would be supplied by multiple upstream connections in both the Midland and Delaware Basins, including direct connections to Targa plants and a direct connection to the 1.4 billion cubic feet per day Agua Blanca Pipeline, a joint venture between WhiteWater, WPX Energy, MPLX and Targa.

NextEra will build the pipeline,and Targa will operate it, according to the press release. Operations are anticipated to begin in the fourth quarter of 2020.