$44.61 | -0.01
June 26, 2019 1:47 AM ET

Gathering System

Owned by EQM Midstream Partners, LP (EQM), as of December 31, 2018, the gathering system included approximately 700 miles of high-pressure gathering lines with approximately 2.4 Bcf per day of total firm contracted gathering capacity, compression of approximately 333,000 horsepower, and multiple interconnect points with the transmission and storage system and five interstate pipelines. EQM also has gathering acreage dedications of approximately 265,000 gross acres in Pennsylvania and approximately 176,000 gross acres in Ohio. The gathering system also included approximately 1,500 miles of FERC-regulated low-pressure gathering lines.

On April 10, 2019 EQM Midstream Partners completed the acquisition of a 60% interest in Eureka Midstream Holdings, LLC and a 100% interest in Hornet Midstream Holdings, LLC. Eureka Midstream is a 190-mile gathering header pipeline system in Ohio and West Virginia that services both dry Utica and wet Marcellus production. Hornet Midstream is a 15-mile, high-pressure gathering system in West Virginia that connects to the Eureka system.

EQM pursues gathering expansion projects for various producers in the region.  In 2019, EQM expects to invest approximately $900 million in gathering expansion projects, including the continued gathering infrastructure expansion of core development areas in the Marcellus and Utica Shales, primarily in southwestern Pennsylvania and eastern Ohio. A major focus in 2019 is building and completing the Hammerhead project, a 1.6 Bcf per day gathering header pipeline that is designed to connect natural gas produced in Pennsylvania and West Virginia to the MVP. The project is supported by a 1.2 Bcf per day firm capacity commitment from EQT and is expected to cost a total of approximately $555 million.