The first phase of the 720 miles and 20 inch pipeline has started transporting natural gas liquids from the liquids rich Eagle Ford Shale to the address the growing demands of producers.
DCP Midstream chairman and chief executive officer Tom O’Connor said the Sand Hills Pipeline will offer a one-stop service to NGL producers.
"When finished, Sand Hills Pipeline will be a major link between the liquids-rich Eagle Ford and Permian producing regions and growing Gulf Coast markets," O’Connor added.
"Sand Hills adds to our well positioned assets in the Permian and Eagle Ford producing regions."
With an initial capacity of over 200,000 barrels per day (bpd), the capacity of the NGL Sand Hills Pipeline can be increased to 350,000bpd by installing additional pump stations.
DCP Midstream is constructing the second phase of the pipeline for the Permian Basin service and is expecting to put the pipeline into service by the second quarter of 2013.
The Sand Hills Pipeline will start in West Texas across South Texas and end at Mont Belvieu in the state.
