EagleClaw Midstream Ventures, LLC entered a definitive agreement to acquire PennTex Permian LLC, which has a cryogenic processing plant and pipelines in the Permian Basin.
PennTex Permian is a wholly owned subsidiary of PennTex Midstream Partners LLC.
The processing plant, which is in Reeves County, Texas, can handle 60 million cubic feet per day (MMcf/d) of natural gas. There are about 90 miles of gathering pipeline and about 35 miles of condensate pipeline.
EagleClaw said the acquisition is likely to be completed in the third quarter of 2016.
EagleClaw will connect the PennTex system to its East Toyah System, bringing EagleClaw’s current processing capacity to 120 MMcf/d and total gathering pipeline to more than 200 miles served by nine field compressor stations.
The combined systems serve producers in the Delaware Basin, targeting stacked pay zones including the Upper and Middle Wolfcamp, Bone Spring and the Avalon Shale formations.
EagleClaw also said it broke ground on the installation of an additional cryogenic processing plant at its East Toyah Processing Complex in Reeves County. These wells include the last two wells drilled by Silverback Exploration LLC, each with IP rates of about 7 MMcf/d of natural gas and 820 barrels per day of crude oil.
Recommended Reading
Baker Hughes to Supply Compression Trains for Algerian Field
2024-05-23 - Baker Hughes will supply 20 compression trains, which are expected to boost gas production at Alergia’s Hassi R’ Mel gas field.
Piñon Midstream Increases Delaware Basin Sour Gas Treating Capacity
2024-05-22 - Piñon Midstream plans to expand operations at Lea County, New Mexico, facility, the company said.
Developer Seeks Permit to Send US Gas to Mexico for LNG Exports
2024-05-22 - The project is the latest in a series of developments to convert U.S. gas into LNG and export it from Mexico's Atlantic and Pacific coasts to meet global demand.
Trans Mountain Pipeline Begins Work
2024-05-21 - The first oil cargo tanker, Suncor’s Dubai Angel, will load at the expanded Trans Mountain Pipeline’s crude terminus in Vancouver.
Phillips 66 to Acquire Pinnacle Midstream for $550MM
2024-05-21 - Phillips 66 said the deal to acquire Pinnacle Midstream was a strategic move to expand its natural gas gathering and processing assets in the Midland Basin.