North American Oil & Gas Pipelines

JUN 2018

North American Oil & Gas Pipelines covers the news shaping the business of oil and gas pipeline construction and maintenance in North America, including pipeline installation methods, integrity management innovations and managerial strategies.

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12 North American Oil & Gas Pipelines | JUNE 2 018 PRIMETECH PT-475 TRACKED PURPOSE-BUILT CARRIER FOR SUPERIOR PERFORMANCE AND PRODUCTIVITY. Joint Venture Pursues New Crude Oil Pipeline to Serve STACK Play in Oklahoma PrimeTech's PT-475 is a powerful tracked carrier characterized by a great versatility. Depending on the job you want to do, the PT-475 can be equipped with mulching head, soil stabilizer, rock crusher or stump cutter. All the attachments, made by FAE, can be switched easily and quickly, allowing you to use the PT-475 for land clearing and mulching applications (right-of-way, utility lines, fire breaks, vegetation management, etc.), as well as for land conversion (removal of stumps and roots, site preparation) and for road construction/maintenance. Standard Equipment: • Cat C13 engine, 12.5 liters and 6 cylinders with 475 hp • Danfoss hydraulic transmission • Berco oscillating undercarriage D5HD with two track guides each side, available in two track widths: LGP (tracks 36 in. – double grouser) — floating "swamp" track pads, sealed and dry track chain STD (tracks 24 in. – single grouser) — sealed and dry track chain • ROPS/FOPS cab • Heated and air ride operator's seat • Air conditioning • Side mirrors • Fixed pin attach system • Air compressor, air tank and 3 air sockets This unit also has several customizable options to bet- ter suit your work environment. For more information on the PT-475, visit or call at 1-877-FAEUSA1 (323-8721). A group of companies have formed a joint venture to build a new crude oil pipeline in Central Oklahoma. Kingfisher Midstream LLC, a wholly owned subsidiary of Alta Mesa Resources Inc., Blueknight Energy Partners LP and affiliates of Ergon Inc. announced on May 10 the execution of definitive agreements to form Cimarron Express Pipeline LLC. The venture will include the construction and operation of a new crude oil pipeline serving STACK producers in central Oklahoma with a 65-mile, 16-in. crude oil pipeline extending from northeastern Kingfisher County, Oklahoma, to Blueknight's crude oil terminal in Cushing. The pipeline will provide direct market access at Cushing for producers and will have an initial capacity of 90,000 barrels per day (bpd), expandable to more than 175,000 bpd. The new pipeline is expected to be completed in mid-2019. The ownership of Cimarron Ex- press will split 50/50, with 50 percent owned by Kingfisher Midstream and 50 percent Ergon. Ergon, owner of Blueknight's general partner, will hold its ownership in Cimarron Express through a newly created, wholly owned subsidiary, Ergon — Oklahoma Pipeline LLC (Devco). Ergon and Blueknight have also entered into an agreement that gives each party rights concerning the purchase or sale of Devco, subject to certain terms and conditions. "We are pleased to be participating in this important project with a leader in the development of the prolific STACK production area in Oklahoma," said Mark Hurley, CEO of Blueknight. "This pipeline will create a direct connection to our storage assets at our Cushing Crude Oil Terminal, enabling Alta Mesa Resources and other STACK producers to efficiently and safely move their production to the market. The addition of this pipeline underscores our commitment to work with exploration and production companies to build the needed infrastructure to support their capital investments." Concurrent with the formation of Cimarron Express, Alta Mesa ex- ecuted a long-term acreage dedica- tion and transportation agreement with Cimarron Express, which in- corporates approximately 120,000 net acres in Kingfisher and Garfield counties in Oklahoma. Under the terms of the agreement, Blueknight will construct and oper- ate the pipeline. Also, Blueknight will continue to operate its existing crude oil storage facilities in Cushing. The re- ceipt terminal for the Cimarron Express pipeline will be located at Kingfisher Midstream's crude oil storage facil- ity in northeastern Kingfisher County. The pipeline will connect to Kingfisher Midstream's crude oil gathering system and truck unloading facilities at the company's crude oil facility. "We are excited to participate in this project which will provide direct market access to the Cushing Oil Terminal for STACK producers and afford them the opportunity to maximize the value of their crude oil production," said Craig Collins, COO of Kingfisher Midstream. "We also see long-term value in this project for Kingfisher Midstream as we aggregate STACK oil volumes on our crude gathering system to deliver to Cimarron Express."

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