Piñon Midstream increases Delaware basin sour gas treating capacity

May 22, 2024
Piñon Midstream has commissioned and placed into service its third 450-GPM amine treating unit at its sour natural gas treating and carbon capture plant in the Delaware basin.

Piñon Midstream LLC, Houston, has commissioned and placed into service its third 450-gpm amine treating unit (Amine Train III) at its sour natural gas treating and carbon capture plant in the Delaware basin in Lea County, New Mexico (Dark Horse).

The company also has received a critical New Source Review (NSR) air permit, which enables the execution of additional capital expansion projects at Dark Horse, including construction of Amine Trains IV, V and VI, as well as two cryogenic processing plants, the company said in a release May 22.

On May 8, Piñon placed Amine Train III in-service at Dark Horse, increasing the sour natural gas treating capacity of the plant by 50% to 270 MMcfd. Dark Horse includes a total of 1,350 gpm of amine treating and two operational Devonian acid gas injection wells, each with depths of 18,000 ft, permitted for 20 MMcfd of acid gas injection.

Since initiating operations in August 2021, Piñon has reduced the environmental impact of oil and natural gas production in the Delaware basin through the capture and geologic sequestration of more than 225,000 MT of carbon dioxide and hydrogen sulfide, the company said.

In February 2024, Piñon received the NSR air permit. Incremental infrastructure and expansions that are included in the newly approved air permit include:

  • Three additional 900 gpm amine treating units, each with capacity up to 220 MMscfd.
  • Two cryogenic processing plants with total permitted processing capacity of 460 MMscfd.
  • Three TEG dehydrators for Amine Trains IV, V, and VI.
  • One 10,000 b/d condensate stabilizer.
  • 4,400 bbl of storage capacity.

Sour gathering system, compression additions

In April 2024, Piñon completed the expansion of its sour natural gas gathering system through the addition of 5 miles of high pressure pipeline. It also completed installation of its fifth compressor station (Commanche Peak). Piñon now owns and operates over 15 miles of NACE-compliant 16-in. high pressure steel pipeline and five compressor stations with 270 MMcfd of total sour gas compression capacity.

Piñon’s Grande sweet gas pipeline system, consisting of 22 miles of 20-in. high-pressure steel pipe, connects the Dark Horse treating facility with multiple downstream processors. Piñon recently executed a sixth interconnect agreement with a new downstream processor, which will increase downstream takeaway and processing capacity to more than 500 MMcfd.