DCP secured an option to acquire up to 30% ownership interest in two, 150,000 bpd natural gas liquids fractionators to be constructed within Phillips 66’s Sweeny Hub in Old Ocean, Texas. DCP’s option is exercisable at the in-service date of the fractionators, which is expected to be in late 2020, with a capital investment of approximately $400 million.
The Joint NGL System Project is a combined effort of DCP Southern Hills Pipeline, LLC ("SoHi"), DCP Wattenberg Pipeline LLC ("Wattenberg") and White Cliffs Pipeline, L.L.C. ("WCPL"), jointly referred to as "Carriers", to provide natural gas liquids transportation service from natural gas processing plants in Northeast Colorado to Mont Belvieu, Texas.
A press release announcing the Open Season for the Joint NGL System Project, the Open Season Notice and the Open Season Extension are available at the following links:
Open Season Notice
Open Season Extension
Mewbourn 3 is a cryogenic natural gas processing plant in the DJ Basin. Mewbourn 3 will be DCP’s tenth plant in the basin. Located at the existing site of DCP’s Mewbourn Gas Plant, Mewbourn 3 will foster the development of oil and gas resources in Weld County by expanding and enhancing natural gas gathering and processing services in the area. The Mewbourn 3 project also includes the next phase of the Grand Parkway low pressure gathering and associated compression asset, which is also expected to be completed by the end of 2018. The Mewbourn 3 plant will connect to the Front Range Pipeline, one-third owned by DCP Midstream, for NGL takeaway to Mont Belvieu, Texas. Total capital investment for the plant and associated gathering is expected to be up to $395 million.
Mewbourn 3 fact sheet