OKLAHOMA CITY -- Access Midstream Partners LP says new commitments from existing customers and a new contract with American Energy-Utica LLC is expected to increase its UEO Buckeye processing system's "through-put" by 70%.
UEO Buckeye is a partnership between Access, M3 Midstream and EV Energy Partners and consists of a $900 million pipeline and processing network that runs from southern Columbiana County nto Harrison County. The system includes a cryogenic plant in Kensington, Columbiana County.
Access Midstream announced this morning that that new commitments from existing customers such as Chesapeake Energy Corp., Total Gas & Power North America and Enerves Ltd. will add capacity, while the contract with American Energy consists of 145,000 of leasehold acres and 50 miles of new pipeline construction.
American Energy Utica is a subsidiary of American Energy Partners LP, which is owned by former Chesapeake CEO Aubrey McClendon.
The expansion would bring UEO Buckeye's capacity to one billion cubic feet per day.
"Our investment in this expansion at UEO underscores our belief in the long-term viability of the Utica shale," said Mike Stice, CEO of Access Midstream, in a prepared statement. "This growth not only significantly increases our capacity but will improve access to downstream liquids markets. We are pleased to grow our partnership with M3 and EV Energy Partners and enhance our ability to providing excellent midstream solutions for our customers."