Independent producers Rice Energy and Gulfport Energy said Thursday the companies are forming a joint venture to develop midstream assets to support Gulfport s dry gas Utica Shale development in eastern Ohio. Rice and Gulfport plan to invest roughly $520 million to develop gathering and compression assets and $120 million for water assets within the JV over the next six years. Initial construction of the system is expected to begin immediately and first deliveries are planned for mid-2016. “We are excited about furthering our midstream relationship with Gulfport across their position in the core of the Ohio Utica Shale,” said Daniel J. Rice IV, CEO of Rice. The JV will be supported by long-term, fee-based service agreements with Gulfport, Kallanish Energy understands. Rice will own 75% of the JV and be responsible for constructing and operating the JV s assets. “Gulfport has a strong history with Rice in the Utica Shale and we are excited to expand our relationship by creating f
http://www.shaledirectories.com/blog/gulfport-and-rice-energy-form-midstream-jv/
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