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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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                                  CMEGroup                                     Icelogo

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Editorial Comment
-Adrienne Blume
At CERAWeek by IHS Markit, held in Houston in March, IEA Director Fatih Birol said that the world would soon see a major second wave of shale gas production from the US in response to higher energy prices and growing demand from India and China.
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-Shem Oirere
Mozambique and Tanzania hold an estimated 180 Tft3 and 57 Tft3 of proven natural gas reserves, respectively.


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