Oryx Midstream Services II LLC operating subsidiaries, Oryx Delaware Oil Gathering NM LLC, Oryx Delaware Oil Gathering TX LLC, Oryx Western Delaware Oil Gathering LLC, and Oryx Delaware Oil Transport LLC, have launched a joint binding open season to secure volume commitments and/or acreage dedications to support the previously-announced regional crude oil gathering and trunk line transportation systems, which will serve the Delaware basin in Texas and New Mexico.
Oryx has expanded the scope of the original project to include additional capacity and a larger footprint across the Delaware basin. The new system is expected to consist of 400 miles of new gathering and transportation pipeline, with approximately 650,000 b/d of throughput capacity and more than 1.5 million bbl of storage capacity. The new system is expected to provide services to Lea and Eddy counties in New Mexico and Loving, Reeves, Ward, Winkler, and Culberson counties in Texas.
Construction has begun and the regional transportation pipeline, which will connect Oryx’s Carlsbad station to the Crane and Midland market hubs, is expected to be fully commissioned during this year’s fourth quarter. The full system is expected to be complete in second quarter 2019. Upon completion, and when combined with Oryx Midstream Services LLC’s assets (operated by Oryx Southern Delaware Oil Gathering and Transport LLC), Oryx’s total Delaware Basin system capacity will exceed 850,000 b/d.
The open season closes Aug. 9.
