Brazos Midstream, the Permian Basin’s largest private gathering and processing firm, has completed the firm’s newest 200 MMcf/d cryogenic gas processing plant in the Midland Basin. The facility is expected to begin operation in October.
The new installation is the focus of a gathering system consisting of 175 miles of 16- to 24-inch diameter high-pressure pipe, according to the company’s Aug. 15 press release. The pipeline network includes six counties in the Midland Basin.
With the expansion, Brazos’ Midland Basin network includes about 260 miles of natural gas gathering pipeline and 10 compressor stations. The new system is backed by Old Ironsides Energy, Encap Flatrock Midstream, Brazos management and other investors, according to the announcement.
The company also recently closed a preferred equity investment with EOC Partners, Elda River Capital and other co-investors to grow its revolving credit facility, led by BOK Financial.
The Fort Worth-based company expects midstream demand to increase. Brazos also announced the upcoming construction of an even larger 300 MMcf/d gas processing plant. The facility is expected to be operational in the second half of 2025.
“The Permian Basin accounts for a quarter of all marketed natural gas production in the Lower 48 and, despite being discovered over a century ago, production is estimated to continue increasing for years to come,” said Brazos CEO Brad Iles in a press release. “Our asset base represents mission-critical infrastructure that provides reliable capacity for existing Permian gas production that has been historically underserved.”
Including the company’s Delaware Basin assets, the company operates 1,200 of natural gas, NGL and crude pipelines in the Permian and expects to have 1 Bcf/d of total processing capacity by 2025.
Recommended Reading
Hollub: Oxy Low Carbon Ventures Bolsters US Energy Independence
2024-11-18 - Occidental Petroleum is making a number of low-carbon moves in the Permian—a maneuver that will bolster the U.S.' energy independence, CEO Vicki Hollub told Hart Energy in an exclusive interview.
PHX Insists Shareholders Reject WhiteHawk’s Latest Offer
2024-11-14 - PHX Minerals’ board maintained its stance on Nov. 14 that WhiteHawk’s latest offer was not in the best interest of its stockholders.
Ovintiv Swaps the Uinta for Montney in Multiple M&A Moves
2024-11-15 - Ovintiv is expanding greatly in the Canadian Montney Shale play through a US$2.38 billion deal with Paramount Resources and exiting the newly booming Uinta Basin in Utah with a $2 billion sale to FourPoint Resources.
Oxy CEO Sheds Light on Powder River Basin Sale to Anschutz
2024-11-14 - Occidental is selling non-core assets in the Lower 48 as it works to reduce debt from a $12 billion Permian Basin acquisition.
Coterra Eyes Wolfcamp D, Penn Shale Upside with $3.95B Permian M&A
2024-11-15 - With $3.95 billion in Permian M&A, Coterra is adding new Delaware Basin locations in the Bone Spring, Harkey and Avalon benches—and eyeing upside from deeper zones.
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.