Our Gathering and Processing segment is a midstream natural gas system that provides the following services to our customers:
-sales of natural gas, NGLs and condensate
Our Gathering and Processing assets are located in Alabama, Louisiana, Mississippi, North Dakota, and Texas – as well as in shallow state and federal waters in the Gulf of Mexico off the coast of Louisiana – and are positioned in certain areas with active drilling programs and opportunities for organic growth. We continually seek new sources of natural gas supply to maintain and increase the throughput volume on our gathering systems and through our processing plants.
We generally derive revenue in our Gathering and Processing segment from fee-based, fixed-margin and POP arrangements, for our producer and supplier customers and our own account. We have no keep-whole arrangements with our customers.
The Lavaca system consists of approximately 200 miles of high- and low-pressure pipelines ranging from three to twelve inches in diameter with over 30,000 horsepower of compression, and associated facilities located in the Eagle Ford shale in Gonzales and Lavaca counties in Texas. The Lavaca system currently has a design capacity of approximately 220 MMcf/d. Natural-gas production gathered by the system is compressed and delivered to a third party for processing or redelivered to producers for gas lift.
The Longview gathering and processing system consists of approximately 620 miles of low- and high-pressure gathering lines with diameters ranging from two to twenty inches with a combined compression capacity of approximately 24,000 horsepower. Our Longview system also contains two cryogenic processing plants with a design capacity of approximately 50 MMcf/d, one fractionation unit with 8,500 Bbls/d of NGL fractionation capacity producing an ethane/propane and butane/natural gas product mix, product storage tanks, and truck racks to receive off-spec condensate. The Longview system is located near Longview in Gregg County, Texas, in the heart of the Cotton Valley shale play. Located adjacent to the Longview System is the East Texas Rail Facility allowing for receipt and delivery of NGLs and condensate by rail to the Longview processing plant.
The Chapel Hill gathering and processing system consists of approximately 90 miles of gathering lines with a combined compression capacity of approximately 2,500 horsepower. Our Chapel Hill system also contains a cryogenic processing plant with a design capacity of approximately 20 MMcf/d, one fractionation unit with 1,250 Bbls/d of NGL fractionation capacity producing spec propane, butane and natural gasoline, as well as product storage tanks and truck racks to deliver propane. The Chapel Hill system is located near Tyler in Smith County, Texas.
The Yellow Rose gathering and processing system consists of an approximately 50-mile low-pressure rich-gas gathering system and 40-MMcf/d cryogenic processing plant, which commenced operations in October 2014. The Yellow Rose system is located in Martin County, Texas.
The 50-mile Bakken crude oil gathering system is located in the core of McKenzie County, North Dakota and has a design capacity of up to 40,000 Bbl/d of crude oil for delivery to major intrastate and interstate pipeline systems. The system commenced operations in August 2015 and provides producers in the area with access to refinery, rail, and pipeline markets.
The Gloria gathering system provides gathering and compression services through our assets, as well as processing services through our elective processing arrangements. The Gloria system is located in southern Louisiana and consists of approximately 138 miles of pipeline with diameters ranging from three to 16 inches, and four compressors with a combined size of 2,962 horsepower. The Lafitte gathering system consists of approximately 40 miles of gathering pipeline with diameters ranging from four to 12 inches and a design capacity of approximately 70 MMcf/d. The Lafitte system originates onshore in southern Louisiana and terminates at the Alliance Refinery owned by Phillips 66.
The Main Pass Oil Gathering System consists of approximately 98 miles of crude pipelines with eight-inch and ten-inch laterals from four offshore platforms. The system is located offshore southeast Louisiana and has a design capacity of 160 Mbbls/d. It is 67% owned by GIS Midstream LP.
The Chatom system consists of a 25 MMcf/d cryogenic processing plant, a 1,900 Bbls/d fractionation unit, a 160 long-ton-per-day sulfur recovery unit, and a 24 mile gas-gathering system. The system is located in Washington County, Alabama, approximately fifteen miles from our Bazor Ridge processing plant in Wayne County, Mississippi. The Chatom system gathers natural gas from onshore oil and natural gas wells in Alabama and Mississippi.