Inergy Midstream And Enserco Midstream Form Crude Oil Rail Terminal JV

(RTTNews) - Inergy Midstream L.P. (NRGM) and Enserco Midstream, LLC announced that they have formed a joint venture to own and operate a crude oil rail terminal located in Douglas County, Wyoming or "Douglas Facility".

Inergy Midstream's subsidiary, Inergy Crude Logistics, LLC, and Enserco Midstream's subsidiary, Enserco Powder River Basin, LLC, each own an approximate 50% interest in Powder River Basin Industrial Complex LLC or "PRBIC", the owner of the Douglas Facility.

The Douglas Facility was placed into manifest service in August 2013, and unit train service is expected to begin during the first quarter of 2014.

The Douglas Facility is located in Converse County, Wyoming, atop the emerging Niobrara Powder River Basin shale play. After commencement of unit train service, Inergy Midstream and Enserco Midstream expect to expand throughput capacity to approximately 20,000 barrels per day.

The company said that the terminal's throughput capacity is further expandable to up to 60,000 barrels per day as production volumes increase in the developing Niobrara Powder River Basin shale play. PRBIC has an anchor agreement with a major producer for handling of crude oil volumes at the Douglas Facility.