The Kingfisher Midstream (KFM) oil and natural gas gathering and processing system in the Stack play is expanding from its original footprint in Kingfisher County, Okla., into Blaine and Major counties, Okla., according to ARM Energy and HPS Investment Partners LLC Dec. 21.
The western expansion will add an additional 50 miles of high-pressure and low-pressure gathering pipeline to the existing system, which already includes more than 250 miles of gas gathering line, more than 100 miles of crude gathering line, six crude oil truck loading stations, a 50,000 barrel crude storage facility and condensate stabilization systems, making it the largest private midstream operator in the Stack.
KFM is now backed by long-term acreage commitments from six Stack producers. Beginning in second-quarter 2017, the project will have 260,000 cubic feet per day of processing capacity at the Lincoln Plant site, and residue gas transportation to downstream markets.
KFM also secured incremental residue gas takeaway to markets outside of Oklahoma.
Don Dimitrievich, a managing director at HPS, said that ARM secured takeaway capacity, expanded the gathering footprint and connected third-party producers.
Construction on KFM began in September 2015 and commercial operations started in June 2016.
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