Houston-based Summit Midstream said last week it made final investment decision to expand the Double E pipeline. Supported by new transportation agreements, Summit will install a bi-directional mainline compressor station to increase the pipeline’s forward haul capacity to Waha hub by about 900 million cfd. And the company executed a new long-term transportation agreement with an investment grade shipper for 200 million cfd to bring total contracted capacity on Double E to about 2.2 billion cfd.
Heath Deneke, president, CEO and chairman, called the decision “a significant milestone for Summit and Double E.” It “demonstrates the importance of the pipeline to producers and processors in the Delaware Basin.” Deneke also referred to “a new phase of demand-pull growth opportunities that are emerging from data center development in Texas and New Mexico as well as additional egress pipelines that are hungry for enhanced access to Permian gas supply.” In-service date for the expansion project is 2028Q4.
Double E has about 550 million cfd of binding commitments. Summit said discussions with shippers are continuing for the remaining 450 million cfd.
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