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:
Commercial Manager, Bakken (346) 241-3569
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.
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.
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.