Denver, CO – July 13, 2017 – Energy Storage Ventures LLC, a company that constructs and operates bulk hydrocarbon storage facilities, has completed all due diligence on its lead project, the Mountaineer NGL Storage project in a Salina-bedded salt formation in the Ohio River Valley.
The Mountaineer NGL Storage project completed its open season in mid-2016, which resulted in requests for more than three times the amount of initial planned capacity. David Hooker, president of Energy Storage Ventures, said that scaled development will begin upon acceptance of all permits by the Ohio Environmental Protection Agency and the Ohio Department of Natural Resources.
“We are excited to break ground and are in the process of contract negotiation with several multinational oil and gas companies,” he said. “In the meantime, we are lining up next steps to commence leaching operations in the Salina salt formation though Powhatan Salt Company, one of ESV’s operating companies. This will include construction of freshwater intake facilities and required pipelines and pumps for brining operations as well as drilling the first UIC well.”
The Mountaineer NGL Storage Project will offer up to 2 million barrels of initial storage capacity with more than 40,000 bbls per day of load-in and load-out. The project will store ethane, propane, butane and y-grade products for a growing number of gas processors, producers, markets and commodity traders that are interested in exploiting the wet gas production from the Marcellus/Utica shales.
Mr. Hooker said that Energy Storage Ventures purchased the land upon which the project will reside in March of this year. The project is located on a 200-acre site approximately 35 miles south of Wheeling, West Virginia, and one mile north of Clarington, Ohio, along the Ohio River. Phase 2 of the project contemplates an additional 1.3 to 2 million barrels, based on market demand.
“This is a strong project that will satisfy the growing demand for reliable storage services to the many pipelines, rail, truck, and barge infrastructure currently being built to transport Marcellus and Utica natural gas liquids throughout the Northeast and Mid-Atlantic,” said Mr. Hooker. “We are eager to move into the construction phase and fulfill this critical need for storage.”
About Mountaineer NGL Storage, LLC
Mountaineer NGL Storage, LLC, is a Denver, Colorado-based privately held energy company that develops, owns and operates the Mountaineer NGL Storage Project. Mountaineer is owned by its management team and has a project development agreement with private equity sponsor West Street Energy Partners, LP, an investment fund managed by Goldman, Sachs & Co. Learn more at www.mngls.com.