As production of crude, condensates, gas and NGLs in the Permian basin continue to soar, E&Ps require confidence that takeaway infrastructure will provide adequate capacity and link wells to optimally priced markets for each commodity. These challenges are exasperated by the glut of sweet light crude and condensates, which demand pipeline expansions, refinery retrofits and raise questions on safety and pricing across all modes of transports.
Midstream companies are keen to propose solutions across pipeline, rail, trucking and barge. The ability to understand production forecasts across each sub-basin and identify gaps in takeaway capacity to provide enhanced netback and flow assurance to competitors is more crucial than ever. Meanwhile operators need to understand how refinery upgrades, LNG exports and other market drivers will drive demand and pricing dynamics Permian Basin products.
Featuring a totally revamped agenda with 20+ fresh case studies from leading E&Ps and midstream operators, the 3rd Annual Permian Basin Takeaway Capacity & Product Markets Congress 2014, speakers at the event will be quantifying production volumes & examining timescales for establishing takeaway capacity & markets. The practical output will be to help the industry ensure that takeaway capacity and markets meet rising production of crude, condensate, natural gas & NGLs in the Permian Basin and ensure that infrastructure build-out keeps up with levels of supply
1. The Only Congress Focussed On Delivering The Very Latest Production
Forecasts And Takeaway Capacity For The Permian Basin.
Quantifying Production Volumes & Examining Timescales For
Establishing Takeaway Capacity & Markets
To Meet Rising Production Of Crude,
Condensate, Natural Gas & NGLs
In The Permian Basin
And Ensure That Infrastructure Build Out
Keeps Up With Levels Of Supply
WHAT’S NEW FOR 2014:
July 15-16, 2014 | Houston | Texas
Keith Skaar
Vice President Exploration
Element Petroleum
EXCLUSIVE NEW INSIGHTS FROM E&P AND
MIDSTREAM SPEAKERS:
M Follow us @UnconventOilGas
www.permian-takeaway-markets-2014.com
Register By Friday
May 16, 2014
SAVE
$400
• PRODUCTION FORECASTS: Providing a play-by-play analysis of projected volumes
of crude, condensate, NGL and natural gas being produced in key Permian Basin
plays, including the Wolfcamp, Bone Spring, Spraberry & Cline
• PIPELINE TAKEAWAY CAPACITY: Quantifying current & planned pipeline takeaway
capacity for crude, condensate, natural gas & NGLs in the Permian Basin to
determine whether it will be able to match rising production
• MARKET DESTINATIONS - GULF COAST & BEYOND: Breaking down market
locations and capacities for Permian crude, NGLs and natural gas in the Gulf
Coast & beyond to identify how demand for light sweet crude will impact producer
netbacks
• CRUDE TRUCKING, RAIL & BARGE CAPACITY & CRUDE QUALITY: Analyzing and
overcoming crude quality challenges specific to the Permian Basin and evaluating
the capacity of truck, rail & barge to help meet takeaway requirements
• CONDENSATE BLENDING CONSTRAINTS: Assessing how blending condensates
into crude pipelines is impacting the safety & economics of the product
• NATURAL GAS GATHERING & PROCESSING INFRASTRUCTURE: Examining
developments in gas gathering and processing plants to reduce flaring and provide
increased capacity for producers and midstream operators
Bob Dunn
President
Prism Midstream LLC
Sam Brown
VP Pipeline Business Development
Plains All American Pipeline LC
Colby D. Tiffee
Commercial Marketing Manager
Linn Energy
Danny Collier
Vice President Commercial Optimization
Valero Energy Corp.
Bernie Thomas
Co-Founder & Principal
Navigator Energy Services
Pat McGannon
Vice President Business Development
Rangeland Energy
Mike Latchem
Managing Director & Chief Executive Officer
Lucid Energy
Organized By:
2. Venue Information:
The Summit Will Be Held At:
George R. Brown Convention Center
Houston First Corporation
1001 Avenida de las Americas
Houston Texas 77010 USA
Tel: 800-427-4697
Web: www.houstonconventionctr.com
Register By Friday
May 16, 2014
SAVE
$400
www.permian-takeaway-markets-2014.com (1) 800 721 3915 info@american-business-conferences.com
Dear Colleague,
As production volumes rise in the Permian Basin and the glut of sweet light crude
puts pressure on existing infrastructure, E&Ps are keen to hear pipeline, rail
and trucking solutions to ensure takeaway capacity meets supply and reaches
the optimal markets to maximize netback. Meanwhile, midstream providers need
to quantify production forecasts on a play-by-play basis to assess the business
case for further build out.
The Permian Basin Takeaway Capacity & Product Markets Congress
2014 brings together a diverse variety of E&Ps and midstream companies across
the Basin to compare production forecasts play-by-play with the roll out of
pipelines for crude, condensate, gas and NGL.
Presentations will also assess markets and destinations, such as the retrofitting
of refineries in the gulf coast to cater for sweet light crude and industry leading
insights will identify current and future bottlenecks including trucking availability,
market saturation and condensate blending limitations.
As the 3rd event in the successful series, this is the only congress to focus purely
on the Permian midstream, analysing production play-by-play and takeaway
commodity-by-commodity. This is the annual event trusted and attended by
every major E&P and midstream company looking to stay in the loop with the ever
changing infrastructure and markets attributed to the Permian Basin.
Please take a look through the enclosed agenda and visit
www.permian-takeaway-markets-2014.com to register.
We look forward to welcoming you in Houston in July.
Kind Regards,
Permian Basin Team
Engage In Open Discussions
Extended Networking Opportunities
Strategic Insights And Interactive Discussion
3. PRODUCTION FORECASTS, PIPELINE TAKEAWAY CAPACITY AND MARKET DESTINATIONS
Forecasting Permian Production, Mapping Out Takeaway Infrastructure Capacity And Identfying
Markets With The Highest Netbacks To Match Each Well To Its Destination
Day 1
Tuesday July 15, 2014
PRODUCTION FORECASTS
QUANTIFYING THE VOLUME OF CRUDE, NGL AND
NATURAL GAS BEING PRODUCED IN THE PERMIAN BASIN
TO DETEREMINE TAKEAWAY CAPACITY REQUIREMENTS &
PRICING DYNAMICS
8.30 Chair’s Opening Remarks
CRUDE PRODUCTION FORECASTS: PLAY-BY-PLAY
8.40 Providing A Play By Play Forecast Of Crude Oil
Production Volumes And Qualities Across The Permian
Basin To Quantify Takeaway Capacity Requirements
• Providing an analysis of drilling activity across the Permian
and expected crude quantities produced from key play
including the:
• Wolfcamp
• Bone Spring
• Spraberry
• Cline
• Examining how production volumes will interact with other
factors including takeaway capacity and global market
dynamics to determine impact on pricing
• Contrasting previous forecasts with actual production and
assessing causes for disparities to evaluate the reliability of
today’s forecasts
• Evaluating existing deals between E&P and midstream
companies for today and the future to establish takeaway gaps
and opportunities for new business
KeithSkaar,VicePresidentExploration,ElementPetroleum
9.10 Question & Answer Session
GAS PRODUCTION FORECASTS
9.20 Examining Drilling Expectations, Flaring Quantities
And Gas Price Trends To Determine Likely Gas
Production Volumes And Producer Takeaway Needs
• Quantifying expectations for gas production volumes and
the scale of flaring across each play to identify the existing
takeaway capacity demands
• Understanding how future gas drilling is affected by factors such
as the weather through the influence of gas prices and markets
and evaluating likely trends for short term gas price rises
• Determiningthereliabilityofgassupplyfromeachbasinto
understandandmitigateriskofinfrastructureinvestment
• Comparing previous gas price and production volume forecasts
to the quantities delivered to markets in recent years to assess
viability and confidence in new forecasts
ColbyD.Tiffee,CommercialMarketingManager,LinnEnergy
9.50 Question & Answer Session
NGL PRODUCTION FORECASTS
10.00 Examining How Wet Gas Production Volumes
& Fractionation Capacity In The Permian Basin
Will Interact To Determine Projected Quantities Of
Recoverable NGLs
• Reviewing current production of NGL across each Permian play
and expectations for future volumes based on drilling plans
• Providing an overview of what NGL production volumes would
look like if flaring could be eliminated and all gases were
efficiently captured
• Understanding the production limitations based on existing
takeaway infrastructure and fractionator capacity
• Evaluating how future NGL production will be affected by
prices, land royalty disputes over flaring and midstream
partnership costs
DarrelHagerman,VicePresidentCommercialDevelopment,Crestwood
MidstreamPartners
10.30 Question & Answer Session
10.40 Morning Refreshments In The Exhibition Showcase Area
PIPELINE TAKEAWAY CAPACITY
QUANTIFYING CURRENT & PLANNED PIPELINE TAKEAWAY
CAPACITY FOR CRUDE, CONDENSATE, GAS & NGLS IN
THE PERMIAN BASIN TO DETERMINE WHETHER IT WILL
BE ABLE TO MATCH RISING PRODUCTION
INTRA BASIN TAKEAWAY CAPACITY
11.10 Analyzing The Latest Developments In Intra-
& Inter-Basin Infrastructure To Find Solutions For
Gathering Products From Isolated Wells And Deliver
Them To Key Takeaway Hubs
• Reviewing the locations served, capacity and time until operation
for in-field infrastructure planned and under construction
• Understanding the financial operations for new intra-basin
takeaway services, including costs per mile and tariff rates to
assess affordability for producers
• Determining the optimal transportation method for in-field
gathering infrastructure, comparing trucks, rail and pipelines to
aggregate commodities into injection sites
• Examining the scalability of in-field infrastructure solutions
through their ability to affordably connect single wells, either by
small independent producers or test wells from larger producers
BernieThomas,Co-Founder&Principal,NavigatorEnergyServices
11.40 Question & Answer Session
CRUDE PIPELINE TAKEAWAY CAPACITY
11.50 Comparing Current & Planned Crude Pipeline
Takeaway Capacity To Projected Production Volumes
To Determine Whether It Will Be Able To Meet Producer
Needs Going Forward
• New Pipelines: Revealing the locations, time to service, total
capacity volumes and capacities already sold and remaining
for business to map out areas still facing capacity shortages
• Comparing the value of re-purposing and expanding old
pipelines to the costs, capacities and right of way difficulties
associated with new takeaway infrastructure
• Understanding the midstream company preferences for
developing gathering systems straight from the well head to a
refinery or only between central collection points
• Scrutinizing options for structuring the deal - comparing acreage
and volume commitments and understanding the criteria and
collection profiles that midstream companies require
RickVanEyk,VicePresidentPermianMidstreamStrategicDevelopment,
OccidentalPetroleum
BrianMelton,VicePresidentPipelineMarketing&BusinessDevelopment,
BlueknightEnergyPartners
12.40 Question & Answer Session
12.50 Networking Lunch In The Exhibition Showcase Area
CONDENSATE PIPELINE TAKEAWAY CAPACITY
1.20 Evaluating The Readiness Of Existing Crude
Pipeline Infrastructure To Handle Condensates To
Determine What Upgrades Will Be Required To Meet
Rising Condensate Production Volumes
• Breaking down takeaway capacity for condensates at each stage
from gathering and stabilizing to delivering to key markets
• Benchmarking transportation costs between dedicated
condensate takeaway infrastructure with combined crude and
condensate blended options
• Examining options for converting existing crude pipelines to
optimize the handling of condensates
1.30 Question & Answer Session
NGL TAKEAWAY CAPACITY
2.30 Providing Insight Into Steps Being Taken To
Speed Up The Process Of Getting NGLs To Market &
Whether Companies Are Prioritizing Propane, Ethane
Or Unfractionated Liquids
• Understanding how companies can optimally take advantage of
new NGL takeaway infrastructure in a price constrained market
• Analyzing recent trends in commodity trading to determine
whether companies are prioritizing propane, ethane
or unfractionated liquids and how this could impact
infrastructure requirements
• Assessing the saturation of the NGL markets following recent
pipeline completions and the criteria required to justify additional
takeaway infrastructure in the near future
• Evaluating the role of rail in a pipeline dominated market
and comparing the ability of rail and pipe to rapidly increase
capacity to meet future market demands if and when required
DavidBarth,ManagingDirectorNGL,DCPMidstream
3.00 Question & Answer Session
GAS PIPELINE TAKEAWAY CAPACITY
3.10 Analyzing The Interaction Between Gas Pipeline
Capacity, Residue Line Upgrades And Current Prices
To Quantify The Business Case For New Takeaway
Infrastructure To Reduce Flaring Volumes
• Revealing the capacity and storage abilities of the existing gas
takeaway infrastructure compared to transportation demands
from producers
• Analyzing the ability of midstream companies to adapt to rising
gas prices and rapidly expand pipeline capacity if and when
required by market forces
• Reviewing the ability of midstream providers to gain viable
commitment for a new gas pipeline and identify an anchor
tenant by getting several producers to share infrastructure
• Assessing the capacity of gas residue lines compared to
takeaway demand to mitigate any bottlenecks before they occur
• Examining the state of existing gas infrastructure and reducing
the scale of gas loss due to leakages to maximize capacity of
product arriving at market
MikeLatchem,ManagingDirector&ChiefExecutiveOfficer,
LucidEnergy
3.40 Question & Answer Session
3.50 Afternoon Refreshments In The Exhibition Showcase Area
MARKET DESTINATIONS: GULF COAST AND BEYOND
EXAMINING OPTIMAL MARKETS FOR PERMIAN CRUDE,
NGLS AND NATURAL GAS TO MAXIMIZE NETBACKS AND
OPTIMIZE FLOW ASSURANCE
GULF COAST - CRUDE REFINING CAPACITY
4.20 Specifying The Plans Of Gulf Coast Refiners To
Retrofit Their Refineries To Increase Capacity For Light
Sweet Crude
• Comparing the Permian light sweet crude with the sour
crudes gulf refineries are designed to run to assess the threat
of light sweet saturation
• Quantifying the volumes of light sweet crude oil that Gulf
Coast refineries are capable of taking compared to the
forecasts in production out of the Permian
• Detail plans for modifying refineries in preparation for
increases in sweet light crude production to maximize the size
of the gulf coast market
• Assessing the quality of Permian basin production and the
impact of grades getting lighter to understand the point which
refiners will simply not accept it
DanCollier,VicePresidentCommercialOptimization,ValeroEnergyCorp.
LesHarding,ExecutiveDirectorCrudeTrading,ValeroEnergyCorp.
4.50 Question & Answer Session
CRUDE DESTINATIONS BEYOND GULF COAST
5.00 Evaluating Market Options On The East & West
Coast And The Appetite For Crude Exports To Identify
Optimal Netbacks And Flow Assurance If The Gulf
Coast Becomes Saturated With Light Sweet Crude
• Determining the readiness of East Coast refineries for
absorbing supply of light sweet crude if the Gulf Coast
becomes saturated
• Examining the demand and price drivers of refineries in
California for light sweet crude
• Gaining insight into the latest developments in the debate over
crude exports to determine how regulatory changes would
impact crude market dynamics
• Evaluating the existing takeaway infrastructure between the
Permian and markets beyond the Gulf Coast to assess the
requirements for new midstream business
5.30 Question & Answer Session
5.40 Chair’s Closing Remarks
5.50-6.50 Networking Drinks In The Exhibition Showcase Area
www.permian-takeaway-markets-2014.com (1) 800 721 3915 info@american-business-conferences.com
4. CRUDE TRUCKING, RAIL, BARGE CAPACITY & CRUDE
QUALITY
ANALYZING AND OVERCOMING CRUDE QUALITY
CHALLENGES SPECIFIC TO THE PERMIAN BASIN AND
EVALUATING THE CAPACITY OF TRUCK, RAIL & BARGE TO
HELP MEET TAKEAWAY REQUIREMENTS
8.50 Chair’s Opening Remarks
CRUDE QUALITY
9.00 Understanding How The Trend Towards Lighter
Crudes In The Permian Basin Will Affect Pipeline,
Refinery & Rail Transportation & What Can Be Done To
Mitigate The Impact On Economics
• Evaluating what capabilities are in place to control which
crude qualities are injected into pipelines
• Outlining the capacity of pipelines to transport lighter
crudes due to be completed and planned expansions in
gravity specifications
• Understanding the impact of lighter crudes upon the
volatility of the product and implications for the safety,
regulatory challenges and netbacks of rail takeaway
• Examining whether modifications to refinery crude slates
will allow them to absorb more light sweet crude
SamBrown,VicePresidentPipelineBusinessDevelopment,
PlainsAllAmericanPipelineLLC
9.30 Question & Answer Session
TRUCKING AVAILABILITY & CAPACITY
9.40 Examining Solutions For Securing Truck And
Qualified Driver Supply For Hauling Permian Crude In
The Context Of Limited Trucking Capacity
• Examining trends in trucking use across the Permian to
gather crude and comparing demand with capacity to
establish the need for an increase in truck supply
• Detailing the challenges associated with finding qualified
truck drivers with appropriate licenses to ensure every
truck remains in service when required
• Evaluating the fluctuating demand in trucking across
each area of the Permian to ensure that trucks are in the
optimal location to maximize product volumes getting to
market
BrianMelton,VicePresidentPipelineMarketing&Business
Development,BlueknightEnergyPartners
10.10 Question & Answer Session
CRUDE BY RAIL
10.20 Quantifying the contribution of rail as a backup
to pipeline, including the ability to rapidly ramp up
takeaway capacity when the price is right
• Evaluating the pros & cons of rail vs. pipelines in terms of
safety, economics and flow assurance
• Understanding the pricing mechanisms and market
destinations required for rail to become a long term
competitive option to pipelines
• Dealing with the shortage of rail carts across the basin to
ensure that rail is available when required
AllanRoach,SeniorVicePresident,Kinder-WatcoExpress
10.50 Morning Refreshments Served In Exhibition Showcase Area
11.20 Question & Answer Session
CRUDE BY BARGE
11.30 Evaluating The Destinations, Dock Infrastructure,
Capacity, Netbacks And Demand Forecasts Of Crude
By Barge To Determine Which Crude Markets Can Be
Viably Served Via Water Transportation
• Mapping out the key destinations that US crude can be
transported to by barge & in what volumes to ascertain
how it can help increase takeaway capacity
• Examining transportation methods from the Permian to
the docks and infrastructure required for barge to become
a mainstream takeaway solution
• Understanding the growth expectations of barge
companies and their plans for capacity expansion, based
on forecasts of the saturation of the Gulf Coast crude
market
• Comparing netback and flow assurance expectations
compared to traditional takeaway infrastructure to assess
the long term financial viability of crude by barge
AdamBedard,SrDirector,StrategicPlanningAndMarket
Analysis,HighSierraEnergy
12.00 Question & Answer Session
CONDENSATE BLENDING CONSTRAINTS
EXAMINING HOW BLENDING CONDENSATES INTO CRUDE
PIPELINES IS IMPACTING THE SAFETY & ECONOMICS OF
THE PRODUCT
CONDENSATE & HIGH GRAVITY CRUDE
12.10 Reviewing Regional Blending Constraints And
Options For Condensate Takeaway By Rail To Ensure
Condensates & High Gravity Crudes Can Be Safely &
Economically Transported To Market
• Evaluating trends in condensate blending and market
appetite for receiving blended condensate with crude,
including Gulf Coast splitters
• Examining the capacity and flow assurance of condensate
by rail and identifying optimally priced destinations
• Assessing the value of keeping pipeline and rail takeaway
solutions available to allow for market fluctuations and
maximize flow assurance
PatMcGannon,VicePresidentBusinessDevelopment,
RangelandEnergy
12.40 Question & Answer Session
12.50 Networking Lunch Served In Exhibition Showcase Area
NATURAL GAS GATHERING & PROCESSING
INFRASTRUCTURE
EXAMINING DEVELOPMENTS IN GAS GATHERING AND
PROCESSING PLANTS TO REDUCE FLARING AND PROVIDE
INCREASED CAPACITY FOR PRODUCERS AND MIDSTREAM
OPERATORS
GAS GATHERING
1.50 Determining The Role Of New Gas Gathering
Systems And The Demands For Additional Takeaway
Capacity On A Play By Play Basis To Reduce Flaring
• Reviewing the construction plans for new gathering
systems and timelines for coming online to quantify the
increase in gas takeaway capacity for each play
• Identifying bottlenecks and the cause for excessive flaring
through a play by play analysis of takeaway capacity versus
gas production volumes
• Understanding the price mechanisms on offer by
midstream companies to ensure a fair deal that sees
producers and land owners getting the product to market
DavidStone,PermianBasinVicePresidentofBusiness
Development,DCPMidstream
2.20 Question & Answer Session
GAS PROCESSING
2.30 Quantifying The Capacity Of New Gas Processing
Facilities Compared To The Volumes Currently Being
Flared To Assess Opportunities For Additional Plants
And New Business
• Examining the capacity of new processing plants under
construction and the timelines towards operation
compared to the demands of producers
• Evaluating what impact new gas plants could have on the
drive towards flare reduction
• Revealing the proportion of new capacity that is already
contracted out for and how much is remaining for
producers looking to open up new business
• Assessing advances in the handling and removal of
nitrogen and CO2 for natural gas streams
BobDunn,President,PrismMidstreamLLC
3.00 Question & Answer Session
3.10 Afternoon Refreshments Served In Exhibition Showcase Area
MARKET DESTINATIONS: GAS & NGL
EXAMINING OPTIMAL MARKETS FOR PERMIAN GAS &
NGL, INCLUDING THE IMPACT OF LNG EXPORTS ACROSS
MONT BELVIEU AND BEYOND
LNG EXPORTS: IMPACT ON GAS PRICES
3.40 Examining How LNG Exports Will Impact Market
Dynamics & Prices For Permian Basin Natural Gas
• Providing an update on current and planned LNG export
projects to determine volumes of natural gas they will
requireEvaluating what role Permian Basin natural gas
will play in supplying LNG export terminals based on the
suitability of current takeaway infrastructure
• Forecasting how LNG export developments will affect
overall pricing dynamics for natural gas in the U.S.A. and
what impact that will have on the economics of producing
gas in the Permian Basin
• Understanding the impact of LNG exports upon the
destinations and capacity demands placed upon takeaway
infrastructure
4.10 Question & Answer Session
NGL DESTINATIONS
4.20 Analyzing How Current Fractionation Capacity
In Mont Belvieu Will Impact NGL Price Differentials &
Examining Alternative Market Destinations To Maximize
Netbacks
• Determining the extent to which Mont Belvieu can
continue to serve as such a dominant market for Permian
Basin NGLs in the context of increased production
volumes
• Identifying fractionation capacity outside of Mont Belvieu
to determine alternative market destination options in the
long term
• Evaluating the netback available within and beyond
Mont Belvieu to establish business cases for taking NGL
elsewhere
• Understanding the flow assurance on offer through
midstream companies taking NGL to other destinations
4.50 Question & Answer Session
OVERCOMING LABOR SHORTAGES
ATTRACTING WORKERS TO THE PERMIAN BASIN TO
DRIVE TRUCKS, BUILD PIPELINES AND ULTIMATELY GET
PRODUCTS TO MARKET
LABOR SHORTAGES
5.00 Brainstorming Strategies For Securing Skilled
Labor For Permian Basin Takeaway Infrastructure
Projects
• Evaluating methods to entice qualified staff out of the
cities and into West Texas and understanding how staffing
shortages exist at a time of high unemployment
• Developing attractive pay structures and plans for staff
that are affordable and reflect the lost business caused by
staff shortages to optimize work done
• Examining the role of hired contractors across each job
sector, from engineering to truck driving to enhance
flexibility of the staff roster
• Reducing the costs of training new staff such as graduates
without sacrificing quality of the work done
AllanRoach,SeniorVicePresident,Kinder-WatcoExpress
5.30 Question & Answer Session
5.40 Chair’s Closing Remarks
5.50 End Of Congress
Day 2
Wednesday July 16, 2014
CRUDE BY RAIL, TRUCK & BARGE CAPACITY, CONDENSATE BLENDING CONSTRAINTS &
GAS GATHERING & PROCESSING INFRASTRUCTURE DEVELOPENTS
www.permian-takeaway-markets-2014.com (1) 800 721 3915 info@american-business-conferences.com
DCP Midstream
“I enjoyed the diverse
information offered through
different speakers
presentation”
WHC Inc
“I enjoyed the information
regarding the long term
opportunities in the permian”