Apache Corp., Houston, has let a contract to Saulsbury Industries, Odessa, Tex., to build three 200-MMcfd cryogenic processing plants at Apache’s Diamond processing site in the Permian basin of southern Reeves County, Tex.
Saulsbury will be responsible for construction of the processing plants, which will include liquid stabilization, slug catchers, gas treating, gas processing, and residue gas compression, the service provider said.
The new processing plants will be equipped with technology that allows for higher recovery of valuable propane, ethane, and heavier liquids to maximize NGL production.
Saulsbury said it will begin work on the project this month, with the first train to be completed during first-half 2019 and the remaining two trains scheduled for completion sometime during third-quarter 2019.
The contract follows Apache’s September 2016 announcement of its discovery of the major Alpine High resource play, acreage of which lies in the southern portion of the Delaware basin, primarily in Reeves County (OGJ Online, Sept. 7, 2016).
In its 2017 annual report, Apache said it would continue to expand gas processing capacity in the region with new installations, including cryogenic processing units, and expansions at existing installations throughout 2018-19.
Contact Robert Brelsford at [email protected].