US Infrastructure Holdings, LLC announced today that the company will acquire the Wildcat Sabine Gathering System located in the Bossier-Haynesville Shale. The newly constructed 28-mile pipeline is strategically located along the Texas-Louisiana border in the northwest corner of Sabine Parish, La., a core development area of the Bossier-Haynesville Shale trend. The Wildcat System gathers and transports natural gas for producers including Eagle Oil & Gas Co., which has dedicated substantial acreage from its North Toledo Bend Project in the company’s Bossier-Haynesville shale development program. The system has current takeaway capacity of 200 million cubic feet per day and includes treating and compression facilities.
USI will immediately begin construction of a 20-mile extension at the southern end of the Wildcat System to provide producers with direct access to markets served by Gulf South Pipeline Company, LP, and Tennessee Gas Pipeline. The expansion project will bring Wildcat’s total takeaway capacity to 400 MMcf/d and is expected to be complete by mid-2012. The Wildcat System currently offers interconnects to four regional gathering systems: Enterprise Products’ State Line Gathering System, KinderHawk’s Gas Services, Producers Gas Transmission and Tristate Sabine Gathering System.
USI CEO Gil Burciaga said, ‘We are looking forward to working with Eagle Oil & Gas Co. and other producers in the region to provide the expanded midstream infrastructure necessary to rapidly and effectively deliver gas from this exciting play to multiple high value markets. We have a very experienced team that understands that competition increases value. We want to provide our customers with strategic options for moving gas out of the play.’