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The corporation Summit Midstream formalized new commercial commitments on its main growth platforms through the execution of two long-term firm transportation contracts. These agreements add a volume of 150 million cubic feet per day to the Double E pipeline open season, located in the Permian Basin. Consequently, total binding commitments from this tender reach 250 MMcf/d, while total contracted capacity rises to approximately 1.9 billion cubic feet per day (Bcf/d).
The Increase in Double E Pipeline Contracted Capacity
Due to significant interest expressed by multiple shippers, the company decided to extend the binding tender period until June 30, 2026. Corporate management indicated that current demand exceeds available expansion capacity; therefore, allocation of remaining capacity will be conducted strictly on a first-come, first-served basis for customers who execute a binding precedent agreement.
The energy infrastructure project seeks to increase the operational capacity of the Double E pipeline by 50%, rising from the current 1.6 Bcf/d to an estimated limit of 2.4 Bcf/d. Company management projects issuing the final investment decision (FID) toward the end of summer 2026. To mitigate supply chain delays, an advance purchase order was executed to acquire the necessary gas turbine compressors.
Early procurement of long-lead equipment ensures that the estimated commercial operation date for the project remains fixed for late 2028. Additionally, the corporation plans to submit the formal application for a Section 7(c) certificate to the Federal Energy Regulatory Commission (FERC) during the fourth quarter of the current year. Furthermore, validation of a firm option to grant an additional 200 MMcf/d to a specific shipper was confirmed.
The company’s commercial development recorded parallel progress in the northern United States through the execution of a new crude oil gathering contract in Divide County, North Dakota. This agreement incorporates a dedicated acreage of more than 40,000 acres located contiguously to existing operational networks designated Polar and Divide.
Technical planning contemplates the connection of 15 four-mile lateral wells during the fourth quarter of 2026. This commercial strategy responds to the shift of operators’ drilling activities toward Williams and Divide counties. Through these logistical efforts, the corporation expanded its total dedicated acreage by more than 240,000 acres over the past six months, consolidating its infrastructure for transportation, gathering, and processing of unconventional resources.
Source and photo: Summit Midstream
