“The new pipeline will enhance ethane supply while building new and reliable infrastructure in a strategic growth market,” said John Hollowell, Executive Vice President, SPLC.
The location of the pipeline will be in a key area as more than 70 percent of the North American polyethylene market sits within a 700-mile radius of Pittsburgh. SPLC anticipates the proposed Falcon Ethane Pipeline System (Falcon) will connect three major ethane source points within Pennsylvania and Ohio, in the rich gas portions of the Marcellus and Utica shale reservoirs, to a petrochemical plant in Monaca, Pennsylvania. Construction of the pipeline is scheduled to begin in late 2018.
Falcon’s initial pipeline capacity is expected to be approximately 107,000 barrels per day of ethane. If shipper demand exceeds the initial offered capacity, the capacity will be expanded sufficiently to accommodate committed volumes, plus at least 10% for spot shipments. The binding open season begins October 17, 2016 at 8 a.m. CST and will continue until November 18, 2016 at 5 p.m. CST.