Targa Resources Corp. (NYSE: TRGP) said Jan. 29 it entered an agreement to expand its Centrahoma natural gas processing joint venture (JV) with MPLX LP (NYSE: MPLX) in Oklahoma.

Through its existing 60/40 JV, Centrahoma Processing LLC, Targa and MPLX will construct a new 150 million cubic feet per day (MMcf/d) cryogenic natural gas processing plant in Hughes County, Okla. The new plant, called the Hickory Hills Plant, will process growing natural gas production from the Arkoma Woodford Basin with operations expected to begin in fourth-quarter 2018, according to Targa's press release.

Targa is contributing to Centrahoma its existing 150 MMcf/d Flag City Plant, which was acquired in May 2017 and decommissioned shortly thereafter. That, along with the new additional required plant infrastructure, will become the Hickory Hills Plant, Targa said.

Targa will also contribute to Centrahoma its 120 MMcf/d cryogenic Tupelo Plant in Coal County, Okla.

In exchange for Targa's contribution of assets to Centrahoma, Targa will maintain its 60% interest in the expanded JV and will receive a cash distribution. MPLX will contribute cash to Centrahoma to maintain its 40% interest in the expanded JV.

The Centrahoma JV and the recently announced partnership to construct a new 200 MMcf/d cryogenic natural gas processing plant at Targa's existing Little Missouri facility in the Bakken with Hess Midstream Partners LP (NYSE: HESM) both highlight Targa's" continued focus to align with attractive strategic partners in opportunities that are capital efficient and expected to drive greater incremental volumes over time," the company said in the release.