MPLX LP, through its subsidiary MarkWest Energy Partners LP, has completed definitive agreements with Kaiser Francis Oil Co. (KFOC) to provide gathering and processing services in the Delaware basin as part of its plan to further expand its growing presence in the Permian basin.
As part of the agreements, with Kaiser Francis as an anchor, MarkWest will develop the 200-MMcfd Tornado gas processing plant in Loving County, Tex., as well as natural gas gathering infrastructure primarily in Lea County, NM, both of which are scheduled to be completed in August 2019, MPLX said.
MarkWest also owns and operates two gas processing plants in Culberson County, Tex., that—alongside other unidentified plants under development—also will be connected to the planned Tornado plant via a high-pressure gathering system, according to the company.
In addition to the proposed gas plant and gathering infrastructure, MPLX has acquired a 10% equity interest in the Agua Blanca pipeline originating in Orla, Tex., and terminating at Waha, Tex., which entered service in April.
With the pipeline already fully subscribed at 1.4 bcfd but expandable to 2 bcfd, MPLX said a lateral currently is under construction to connect Agua Blanca with MarkWest’s 200-MMcfd Argo processing plant in West Texas, which reached startup earlier this year (OGJ Online, June 13, 2017).
“We are pleased to support [KFOC] as they develop their proven acreage and anchor the Tornado plant in the Delaware basin,” said Mike Hennigan, president of MPLX.
“The commissioning of the Agua Blanca pipeline and construction of the Tornado midstream facilities with the related gathering and processing system further advance our objective of providing fully integrated gathering, processing and gas transportation services for our producer customers in this prolific producing region,” Hennigan added.
Contact Robert Brelsford at [email protected].