American Midstream Notice of Binding Open Season for Crude Oil Deliveries to Dakota Access Pipeline at Watford City
HOUSTON–(BUSINESS WIRE)–American Midstream Partners, LP (NYSE:AMID) (“Partnership” or “AMID”)
announced today a binding open season for volume commitments from
existing receipt points on AMID’s Bakken pipeline system (“Bakken
System”) to a newly constructed delivery point interconnecting into the
Dakota Access Pipeline (“DAPL”) in Watford City. The Bakken System is an
established FERC-regulated, crude oil transportation pipeline located in
McKenzie County, North Dakota backed by a long-term acreage dedication
with a key producer. AMID intends to expand its current Bakken System to
have the capacity to accept over 40,000 barrels per day of crude oil
from field receipt points and numerous local lease tank batteries
through its truck facility south of Watford City for delivery into DAPL.
The new connection into DAPL is expected to commence service in August
2017. AMID also provides hydrogen sulfide treating in the Bakken System
allowing customers to meet pipeline specifications for crude oil
delivery thereby expanding customer service offerings and the
competitive footprint of the system. Leveraging off the recent additions
to the Partnership’s system and the new connection to DAPL, AMID will be
able to deliver an incremental 20,000 barrels per day to market.
Open Season Process
During the binding open season, AMID intends to obtain long-term volume
commitments for crude oil transportation to this newly constructed
delivery point. Successful bidders will be awarded long-term pipeline
transportation capacity to the DAPL delivery point.
The open season is scheduled to begin June 26, 2017 and end on July 17,
2017. Bona fide potential shippers that would like to receive copies of
the open season documents must first execute a confidentiality
agreement, a copy of which they can request from Philip Weigand. Upon
execution of a confidentiality agreement, AMID will provide such
potential shippers a form of Transportation Services Agreement (“TSA”)
(or a TSA amendment for existing shippers), and a proposed FERC tariff.
During the open season, AMID will entertain comments, questions or
proposed changes to the general terms and conditions of the proposed
tariff and TSA. Interested parties will have the opportunity to execute
committed agreements for crude oil transportation to the newly
constructed delivery point. All bids must be submitted to AMID by 5:00
PM CST, on or before July 17, 2017.
All requests for open season documents, presentation of bids, and other
correspondence should be directed to:
Philip Weigand
Commercial Manager, Bakken (346) 241-3569
[email protected]
About American Midstream Partners, LP
American Midstream Partners, LP is a growth-oriented limited partnership
formed to provide critical midstream infrastructure that links producers
of natural gas, crude oil, NGLs, condensate and specialty chemicals to
end-use markets. American Midstream’s assets are strategically located
in some of the most prolific onshore and offshore basins in the Permian,
Eagle Ford, East Texas, Bakken and Gulf Coast. American Midstream owns
or has an ownership interest in approximately 4,000 miles of interstate
and intrastate pipelines, as well as ownership in gas processing plants,
fractionation facilities, an offshore semisubmersible floating
production system with nameplate processing capacity of 80 MBbl/d of
crude oil and 200 MMcf/d of natural gas; and terminal sites with
approximately 6.7 MMBbls of storage capacity. The Partnership owns the
third largest cylinder exchange business and one of the largest regional
retail propane providers.
For more information about American Midstream Partners, LP, visit www.americanmidstream.com.
Disclaimer
This notification together with any and all documents related to the
open season is provided for informational purposes only. Notwithstanding
anything contained herein to the contrary, this notification, any
related agreements and any other documents related to the open season
are not intended to constitute, nor shall they be construed to
constitute, an offer or any binding obligation whatsoever on AMID until
AMID has countersigned and delivered a fully executed TSA (as defined in
the open season Process) to an interested party. AMID reserves the
right, in its sole discretion, to modify, terminate or extend the open
season, in whole or in part, at any time and without advance notice,
including without limitation, any ensuing discussions with any recipient
of any documents related to the open season. AMID further reserves the
right to modify or supplement any of the documents associated with the
open season without notice.
Under no circumstances shall AMID or any of its members or any of its or
their affiliated companies or any of its or their respective directors,
officers, employees, agents, attorneys, advisers and representatives be
responsible for any costs or expenses incurred by any recipient of any
documents associated with the open season or any other liability
incurred by any such recipient in connection with any investigation or
evaluation of the Pipeline project.
Forward-Looking Statements
This press release may contain forward-looking statements. All
statements that are not statements of historical facts, including
statements regarding our future financial position, business strategy,
budgets, projected costs and plans and objectives of management for
future operations, are forward-looking statements.. We have used the
words “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,”
“may,” “plan,” “predict,” “project,” “should,” “will,” “potential,” and
similar terms and phrases to identify forward-looking statements in this
press release. Although we believe that the assumptions underlying our
forward-looking statements are reasonable, any of these assumptions
could be inaccurate, and, therefore, we cannot assure you that the
forward-looking statements included herein will prove to be accurate.
These forward-looking statements reflect our intentions, plans,
expectations, assumptions and beliefs about future events and are
subject to risks, uncertainties and other factors, many of which are
outside our control. Actual results and trends in the future may differ
materially from those suggested or implied by the forward-looking
statements depending on a variety of factors which are described in
greater detail in our filings with the Securities and Exchange
Commission (“SEC”). Please see our “Risk Factor” and other disclosures
included in our Annual Report on Form 10-K for the year ended December
31, 2016, filed with the SEC on March 28, 2017, and Form 10-Q for the
quarter ended March 31, 2017, filed with the SEC on May 15, 2017. All
future written and oral forward-looking statements attributable to us or
persons acting on our behalf are expressly qualified in their entirety
by the previous statements. The forward-looking statements herein speak
as of the date of this press release. We undertake no obligation to
update any information contained herein or to publicly release the
results of any revisions to any forward-looking statements that may be
made to reflect events or circumstances that occur, or that we become
aware of, after the date of this press release.
Contacts
American Midstream Partners, LP
Investor Contact
Mark
Buscovich, 713-815-3967
Manager of Finance
[email protected]