Houston-based Western Midstream Partners said last week it will construct a new cryogenic natural gas processing plant in Loving County in its west Texas gathering, processing and treating complex in Delaware Basin. The proposed plant, expected to be in service by yearend 2024, will have processing capacity of 250 million cfd.
Western Midstream said expansion of North Loving follows an increase in firm longterm processing commitments of up to 950 million cfd from regional producers secured over the past year. Michael Ure, president and CEO, said May 22 a new processing agreement of up to 300 million cfd with Occidental Petroleum, which owns 50.6 percent of Western’s stock, “provides greater certainty regarding our future profitability and underpins our decision to sanction an additional plant.” Enverus said the Oxy gas gathering contract also was extended by three years to 2035.
A third 300 million cfd train at the operator’s Mentone plant, also part of the west Texas complex, is expected to complete construction in Q4. Ure said processing capacity by yearend 2024 at the complex will increase from 1.54 Bcfd currently to 2.09 Bcfd.