This $235m Red Bluff project will be built by the company’s midstream segment, Southern Union Gas Services (SUGS).
The new facilities will help SUGS accommodate gas production from existing and future producer commitments in the Avalon, Bone Spring and Wolfcamp plays of West Texas and Southeast New Mexico, US.
SUGS will build about 60 miles of pipeline as part of the project to deliver up to 20,000bpd of natural gas liquids into Lone Star NGL’s Permian-to-Mt. Belvieu pipeline expansion, under a 15-year firm arrangement.
According to the company, the Red Bluff project is expected to be complete in mid-2013.
US-based Southern Union Company is engaged primarily in the transportation, storage, gathering, processing and distribution of natural gas.
