MAPCO

The need for natural gas processing capacity, new or expanded NGL pipelines and other infrastructure in the Permian Basin and the Eagle Ford has spurred a competitive frenzy among midstream companies. NGL production in the two prolific regions has more than doubled in the past four years; it now tops 1.1 MMb/d. Under RBN’s Growth Scenario that assumes output will continue to increase over the near term despite the recent price slump – production in the two regions would rise another 500 Mb/d by 2019. Given that infrastructure in parts of the Permian and Eagle Ford already is struggling to keep pace, it is quite possible that midstream companies will continue to develop new projects.  Today, we begin our company-by-company look at existing infrastructure and planned projects.

It’s still August, but there already is crispness in the Wisconsin mornings.  And to a propaner, that’s a signal that the heating season is on its way.  It is time to get those supplies lined out, and to make sure that customers are ready for the winter.  But Wisconsin is a long way from the centers of propane supply.  How does the propane get there?  How do the Distribution experts make sure the right volumes are in the right place at the right time?   In today’s blog we’ll continue our exploration of the Art of NGL Distribution by digging into the mechanics of moving supply on the Enterprise Mid-America Pipeline (“MAPL”) system from the Conway, KS hub to the Wisconsin market.  Along the way we’ll learn how propane is scheduled on a pipeline system, how a NGL pipeline tariff works, and why the word “allocation” sends shivers down the spine of an NGL shipper.