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Home Terminal News

Concho & Frontier Midstream to create new storage & transportation system

April 16, 2019
in Terminal News
2 min read
Concho & Frontier Midstream to create new storage & transportation system
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Concho Resources and Frontier Midstream Solutions have announced plans to create Beta Crude Connector, a new gathering and transportation system in the Northern Midland Basin in the US.
Both companies will each own a 50% equity interest in BCC, with Frontier serving as operator. The new system will build and provide crude oil gathering, transportation and storage services to support continued oil production growth in the region.
It will consist of a 100-mile gathering system, 250,000 barrels of crude oil storage facilities as well as truck terminals. The pipeline system will have the initial capacity to deliver 150,000 barrels per day of crude oil to multiple delivery points, accessing local refineries and connecting to several downstream pipelines. Construction will start following an open season.
BCC will file for FERC authority to operate as a common carrier pipeline and solicit interest from other producers and marketers for capacity on the new system.
Jack Harper, president of Concho, says: ‘Through the joint venture, we will leverage Frontier’s midstream expertise and enhance the value of our high-quality footprint in the Midland Basin with a reliable, cost-efficient gathering and transportation solution.’
Frontier’s CEO Dave Presley adds: ‘We are pleased that Beta Crude Connector will be the latest of our full-service midstream solutions and our second joint venture partnership with Concho as we demonstrate our commitment to quality partnerships and solutions for producers once again.’

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