Energy Transfer has confirmed a final investment decision (FID) to invest $2.7bn in the Hugh Brinson Pipeline, a new intrastate natural gas infrastructure project in the US.
Formerly known as the Warrior Pipeline, the project is designed to link production in the Permian Basin with major markets and trading hubs in Texas.
The Hugh Brinson Pipeline will be executed in two phases. Phase I includes the construction of approximately 644km of 42-inch pipeline with a capacity of 1.5 billion cubic feet per day (Bcf/d).
The pipeline will run from Waha to Maypearl, Texas, near the Dallas-Fort Worth Metroplex, where it will connect to Energy Transfer’s extensive pipeline and storage infrastructure. Phase I is expected to commence operations by late 2026.
An integral part of Phase I is the Midland Lateral, a 68km, 36-inch segment that will connect processing facilities in Martin and Midland Counties to the Hugh Brinson Pipeline. This addition will enhance connectivity between Energy Transfer’s system and third-party processing plants.
Phase II, contingent on shipper demand, will involve adding compression to increase the pipeline’s capacity to 2.2Bcf/d. Energy Transfer indicated that Phase II could be constructed simultaneously with Phase I, depending on market requirements.
The project is supported by long-term, fee-based commitments with investment-grade counterparties, securing financial viability.
Once completed, the pipeline will connect shippers to Energy Transfer’s intrastate natural gas pipeline network and other downstream systems, providing access to markets and trading hubs, including Carthage and Katy.
Energy Transfer stated: “The Hugh Brinson Pipeline will connect shippers to Energy Transfer’s existing intrastate natural gas pipeline network and other downstream pipelines.
“In addition, it will provide shippers with the optionality to access prolific markets and trading hubs throughout Texas and beyond, including Carthage and Katy. This project is also expected to further establish Energy Transfer as the premier option to support power plant and data centre growth in the state of Texas.”
Earlier this year, Energy Transfer acquired rival midstream operator WTG Midstream from affiliates of Stonepeak, the Davis Estate, and Diamondback Energy. Through the acquisition, Energy Transfer added approximately 9,656km of gas-gathering pipelines to enhance its network in the Midland Basin.