This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

PVR Partners Announces $380 Million Of Planned Marcellus Shale Pipeline Project Investments Anchored By Agreements With Marcellus Producers

Stocks in this article: PVR RDS.A RRC SWN

RADNOR, Pa., May 21, 2012 /PRNewswire/ -- Penn Virginia Resource Partners, L.P. (NYSE: PVR) ("PVR") today announced that its midstream subsidiary has entered long-term agreements to extend its natural gas pipeline in Lycoming County, Pennsylvania and provide various gathering, compression and related services to four Marcellus Shale natural gas producers in northeast Pennsylvania.  The agreements with a Royal Dutch Shell (NYSE: RDS.A) subsidiary, SWEPI LP, ("Shell"), affiliates of Southwestern Energy Company ("Southwestern") (NYSE: SWN), Range Resources Corporation ("Range") (NYSE: RRC), and privately-held Inflection Energy LLC ("Inflection"), are all fee-based with no direct commodity price risk.

(Logo: )

William H. Shea, Jr., Chief Executive Officer of PVR's general partner, said, "We are extremely pleased to announce these fee-based producer agreements and our plans for the continued build-out of our Lycoming County pipeline system.  The further expansion of PVR's Lycoming County system, ultimately with a connection to the Tennessee Gas Pipeline 300, will allow us to realize our long-term vision of providing our Marcellus producers with access to multiple gas markets and further expand our midstream business in the Marcellus Shale.  We are gratified that, based on our demonstrated record of responsive and reliable performance, these recognized companies, all with a commitment to the long-term development of the Marcellus Shale, have entrusted us to meet their midstream service requirements."

"We believe that the continued development of our Lycoming County system, together with our Wyoming County system and the recently completed addition of Chief Gathering LLC's midstream assets, position PVR as the midstream service provider of choice in six of the most prolific counties in the Marcellus Shale region in northeast Pennsylvania," concluded Mr. Shea.

Under the agreements with Southwestern, Shell and Range, PVR will extend its existing 30-inch trunkline approximately 19 miles north through Lycoming County and into Tioga County, Pennsylvania.  Construction of Phase III of the trunkline is expected to begin within two weeks and be completed in the fourth quarter of 2012.  PVR will also construct lateral pipelines for Shell and Range to bring gas from the wellheads to the trunkline for transport to the Transcontinental Pipeline ("Transco") and, by early 2014, to the Tennessee Gas Pipeline 300 ("TGP").

The 15-year agreement with Southwestern provides for a firm take-or-pay capacity commitment in years two through eight, with an option to increase that commitment during this period.  The agreement also provides Southwestern with interruptible capacity subject to availability.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs