Navitas Midstream Partners LLC executed a long-term gas purchase agreement with Encana Oil & Gas (USA) Inc., under which Navitas will acquire Encana’s gas from its Howard County, Texas, acreage, Navitas said May 16.
Navitas will gather gas into a new system of low-pressure gathering lines, multiple compressor stations and a 38-mile, 16-inch high-pressure pipeline. There will be fully integrated services for natural gas and NGL.
Navitas also said it plans to construct new cryogenic processing capacity near its existing Spraberry processing complex to accommodate Encana and other producers' gas from Howard, Glasscock, Martin, Midland and Upton counties, Texas.
Navitas will then have about 155 million cubic feet per day of processing capacity, and carbon dioxide treating and nitrogen rejection capabilities.
The company will also loop much of its Spraberry system mainline with a new 20-inch high-pressure pipeline. The entire project is expected to be completed early in 2017’s second quarter.
Navitas also said that it is continuing installation of new, highly efficient field compression as part of efforts to improve operating run times, reduce losses and improve overall efficiencies.
Navitas Midstream Partners LLC is based in The Woodlands, Texas.
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