Plains All American To Construct Eagle Ford Infrastructure

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Plains All American Pipeline, L.P. has entered into a commitment to construct a 130-mile crude oil and condensate pipeline, a marine terminal facility and 1.5 MMbbls of storage capacity to service growing Eagle Ford production in south Texas. The project is expected to cost approximately $330 million and to be in service in the fourth quarter of 2012. To underpin the project, PAA has secured a long-term throughput agreement with Chesapeake Energy Marketing, Inc., a subsidiary of Chesapeake Energy Corporation. The project is designed to provide approximately 300,000 bpd of take-away capacity from the western region of the Eagle Ford play to Corpus Christi, TX and other Gulf Coast markets.