Grand Isle Gathering System

Gulf of Mexico | Subsea Midstream Pipeline System
Category
Assets, Midstream

The GIGS includes 153 miles of undersea pipeline that transports oil and water from six Energy XXI fields and one field operated by ExxonMobil in the Gulf of Mexico. The 16-acre terminal includes four storage tanks, a saltwater disposal facility with three injection wells, and associated pipelines, land, buildings and facilities. At the time of acquisition, the GIGS system transports approximately 60,000 barrels/day (18,000 oil and 42,000 water) and has a total capacity of 120,000 barrels/day.

Highlights
  • 153 miles of undersea pipeline and onshore terminal with separation, salt water disposal and storage facilities
  • Essential system to transport crude oil and produced water from 44 offshore platforms
  • Triple-net operating lease with Energy XXI subsidiary
  • System permits shore access to seven oil fields
  • Estimated to transport ~40% of EXXI’s production
Asset Snapshot
  • Real Property Asset I 11-year triple net lease
  • Lessee – Subsidiary of Energy XXI Ltd.
  • Acquired: June 2015 for $245 million
  • ~38% of CorEnergy total assets