Houston-based Battalion Oil said Wednesday it agreed to a long-term contract for 50 percent additional capacity of sour gas compression at its assets in Ward and Winkler counties in Permian Basin. The agreement will increase flow capacity in Monument Draw from 35 million cfd to more than 50 million cfd to facilitate current production and future development.
Matt Steele, CEO, said, “We’re excited to partner with an industry leader that has a proven track record and is ready to grow with our assets.” The deal “positions the company to continue to increase production through current well optimization, new drilling activity and strategic M&A. We look forward to bringing new wells online in 2026.”
The additional capacity is expected to be available in early third quarter.
Leave a Reply