Houston-based Western Midstream Partners, with assets in Delaware Basin in Texas and New Mexico and in four other states, said Feb. 23 it expects throughout to continue to grow in 2022. “We expect strong producer activity levels to continue in the Delaware Basin leading to increased throughput during 2022,” Michael Ure, president and CEO, said. “Our 2022 guidance includes the impact of reduced cost-of-service rates and allocates additional capital spending in preparation for expected increased Delaware Basin activity in 2023.”
Ure added, “Western surpassed our financial metric expectations for 2021 through continued producer outperformance in the Delaware Basin, commercial success in contracting additional third-party volumes, and sustainable cost savings… Our outperformance was aided by throughput increasing across all three products in Delaware Basin for the fourth consecutive quarter.” Capital spending guidance for 2022 is $375 million to $475 million after $324 million in 2021. Full-year throughput for 2021 declined for natural gas and for crude oil and NGLs from full-year 2020, but increased in 2021Q4 from 2021Q3 and from 2020Q4.