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Santa Fe Midstream begins construction of midstream facilities in Permian Basin

PLANO, Texas — Santa Fe Midstream LLC announced the start of construction of a natural gas gathering, treating and processing system in the San Andres play in the Permian Basin. Construction commenced in August 2017 and the initial natural gas facilities will be operational by the Q2 2018.

Santa Fe is also developing a crude oil gathering system in the area. Santa Fe’s natural gas and crude oil midstream facilities will be located in Yoakum, Gaines and Cochran counties in Texas as well as Lea County, New Mexico. The facilities will initially serve a substantial dedication from a leading producer sponsored by a large energy private equity fund.

Residue from the natural gas processing plant and treating facilities located near Denver City, Texas, will be delivered to El Paso Natural Gas’ interstate pipeline with access to the WAHA hub and Western US natural gas markets. Natural gas liquids will be delivered to Enterprise Products’ Chaparral Pipeline for transportation to Mt. Belvieu, Texas.


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FEATURED COLUMNS

Editorial comment
-Adrienne Blume
According to GIIGNL’s 2018 Annual Report, global LNG trade expanded by 3.5 Bft3d in 2018, to 38.2 Bft3d—a record 10% increase.
Power, LNG projects drive pipeline construction in Africa
-Shem Oirere
Increasing public investment in gas-fired power plants in Africa, the continuing recovery in global oil prices and persistent insecurity in key producer markets, such as Nigeria, are likely to impact gas transmission pipeline projects on the continent, even as more international companies express interest in the region’s stranded gas resources.


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