Natural Gas Pipelines
Advances in U.S. drilling techniques — horizontal drilling and hydraulic fracturing technologies in shale and other tight geological formations — led to a significant increase in U.S. natural gas and oil production throughout the 2010s. To move gas from the shale plays to market, and to feed the growing number of LNG export facilities as natural gas displaces so-called “black fuels” like oil and coal, the U.S. has also seen a corresponding rise in gas pipeline projects.
Austin, Texas-based infrastructure company WhiteWater Midstream LLC was founded in 2016 and needed to construct its first natural gas transportation asset, the Waha Connector, a 17-mile, 36-inch pipeline. WhiteWater engaged Lummus Consultants as its independent engineer for technical, environmental, social, health and safety advisory services to the lenders.
The Waha Connector went into service in October 2017. WhiteWater continued to extend its presence in the West Texas Delaware producing basin through the development of several large-diameter pipeline projects:
- The 42-inch Agua Blanca system with access to the Waha Hub.
- The 448-mile, 42-inch Whistler Pipeline, WhiteWater’s first pipeline to include compression that provides 2.5-bcf/d of capacity between Waha and the U.S. Gulf Coast.
- The Matterhorn Express Pipeline, a 411-mile, 42-inch mainline, together with laterals that following additional compression will provide 2.5 bcf/d of capacity between the Waha Hub and Katy and Bernhard, Texas.
Lummus Consultants served as the independent engineer to provide project financing due diligence, as well as construction monitoring and operations monitoring of the additional developments. With our assessments, successful financing and completion of these pipeline projects helped WhiteWater address strong market demand for cleaner, reliable energy while supporting corporate growth and portfolio development.
At-a-Glance
Technology: Natural gas pipelines
Our role: Independent technical, environmental and social advisor
Scope of services: Technical, environmental and social due diligence; construction monitoring
Location: West Texas, U.S.
Client: WhiteWater Midstream LLC
Highlights
- Construction of major pipeline systems to transport natural gas between West Texas and key markets
- Project financings helps client address end-market demands for cleaner fuels to displace other “black fuels” like oil and coal
- Partnership supports client’s corporate growth and portfolio goals