Caiman Energy LLC
Dallas, Texas-based Caiman Energy LLC is a provider of midstream services to the oil and natural gas industry. It has a gas gathering exposure in the Marcellus shale of nearly 500,000 acres.
Update: Caiman Eastern Midstream, LLC was acquired by Williams Partners L.P. for $2.4 billion effective April 30, 2012. The new combined operations will be headquartered in West Virginia.
According to a January, 2010 press release, Caiman was business partner to Chief Oil and Gas in southwestern Pennsylvania, West Virginia and Maryland. It had an agreement with the latter company to provide midstream gathering services in a nine county, tri-state area comprising 267,000 acres of Chief's leasehold. As part of this agreement, Caiman purchased Chief's interstate taps and right-of-ways in the included areas. Caiman has also partnered with Chesapeake Energy for gas processing and has agreements with several other producers including AB Resources, Drilling Appalachian Corp, Grenadier Energy Partners and Stone Energy.
The company was also involved in building gathering pipelines in northern West Virginia and a cryogenic processing plant in Fort Beeler, Marshall Co., WV. Caiman's natural gas pipelines interconnect with the Texas Eastern Transmission Pipeline that delivers gas to the northeastern U.S.
A November, 2010 news account provided additional information about the Fort Beeler cryogenic plant--giving its location as along Route 250 between Moundsville and Cameron--9 miles southeast of Moundsville in Marshall County. The article mentioned that Caiman had already spent $150 million in Marshall and Wetzel counties and planned to invest another $200 million over the next 18 months--that is a total of $400 million by year-end 2011. As of February, 2011 this corresponded to 60 miles of completed gathering line with an additional 60 miles still under construction. The Fort Beeler Processing Plant I went on stream in January, 2011 with capacity of 120 Mmcf/d. Also in January, a second gas processing plant was announced with planned completion by year-end 2011.
Natural gas liquids (NGLs) were to be collected at the Fort Beeler facility and then fed into a 25-mile-long pipeline connected to a "fractionation" plant Caiman Energy still had under construction immediately north of the Wetzel-Marshall county line on the Ohio River. The pipeline, as well as fractionation plant, were scheduled for completion in 2012. The plant was initially expected to have capacity to process 12,500 bbl of blended NGL feedstock known as Y Grade per day and produce pure propane, butane and gasoline. This Ohio River facility was to support barge, rail and truck loading for shipping product to market.
EnCap Energy Infrastructure Fund, L.P. (EEIF) is a major financial backer of Caiman Energy.
- Jack Lafield is President and CEO of Caiman Energy and a founding partner.
- Danny Thompson and Rick Moncrief are also founding partners.
- Bill Waldrip, President, Flatrock Energy Advisors is a contact for EEIF.