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Permalink Reply by Les Bamburg on May 15, 2010 at 2:31

Henry, please refer to attached map of the Exco Holly Gathering System. Gathering laterals are installed from various areas to larger diameter trunklines. At strategic locations, the system operator will install compression, amine treating (if required) and dehydration. These services will occur prior to gas being delivered to downstream interstate gas pipelines. The number and location of the "centralized" facilities would be variable dependent upon the layout of the specific gathering network.

These gathering and treating systems could be installed by an O&G company (Exco, Petrohawk, Chesapeake) or a third party (Centerpoint Field Services, TriState, M2, etc). In either case it will typically be utilized for several companies gas production in that particular area.

In most cases the gas would be sold at the point of delivery to the downstream interstate pipeline as the gathering company is only providing a service and not taking title to the gas. In some cases the gas could be sold at the wellhead into the gathering line. Finally, there are some O&G companies that will sell the gas further downstream at some point like Perryville (NELA) or NY City. This is the reason calculating an equivalent wellhead price can be complicated.

The following link describes some typical services:

http://tsmidstream.com/tssabine.php

Attachments:

• Exco Holly GS.pdf, 201 KB
• Amine Plant.jpg, 34 KB

Permalink Reply by Jack Blake on May 15, 2010 at 15:28

Boy Les B,
The Pipeline Operator is hatin' on the HS. Glad you set him straight. Jack Blake may have gone off on him for hatin' on the HS! Jack Blake will not take that sitting down!!! No siree Bob. No hating on the HS cried jack Blake!

Permalink Reply by eillos on May 15, 2010 at 2:02

The sand from the fracking is still coming back out of the well. It is mixed in the gas that is coming out of the well, this is not the only well where this is happening. Several valves & some pipe have had to be replaced. I wish someone could tell me how long this sand well continue to come back out of the well.

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