ONEOK To Activate Second Lateral In Pipeline From Bakken/Niobrara To Colorado -- May 16, 2015

Argus Media is reporting:

Oneok Partners today filed to activate a second lateral on its Oneok Bakken pipeline that moves mixed NGLs from the Bakken and Niobrara shale formations to Colorado.

Oneok began initial flow on the Little Missouri lateral on March 2, 2015, but failed to file for the tariff upon completion of the line because of an administrative oversight, the company said in a filing to the Federal Energy Regulatory Commission (FERC) today.

The lateral in McKenzie County, North Dakota, connects to the mainline system with a lateral fee set at $0.2988/bl (0.71¢/USG). Fees at the alternative Niobrara lateral that originates in Converse and Niobrara counties in Wyoming were set at $0.42/bl (1¢/USG).

The Oneok Bakken pipeline moves y-grade from origin points in North Dakota, Wyoming and Montana to connect with the Overland Pass pipeline in Weld County, Colorado. The rate between origins and the interconnection in Colorado stands at $3.4906/bl (8.31¢/USG).

The pipeline is currently moving about 70,000 b/d, Oneok said in its latest earnings report. Phase two of the pipeline is expected to finish in the second quarter of 2016, and will ramp up to 85,000 b/d.