Targa Resources Corp. is investing in a suite of midstream infrastructure projects to support growing NGL and natural gas production in the Permian basin, including a new long-haul pipeline connecting the region to the operator’s fractionation and storage complex in Mont Belvieu, Tex.
The centerpiece of the expansion is the Speedway NGL pipeline, a 500-mile, 30-in. system designed to move up to 500,000 b/d of NGLs from Permian operations to Mont Belvieu.
Estimated at capital cost of $1.6 billion, Targa said the line—which is expandable to 1 million b/d—is scheduled to enter service in third-quarter 2027.
The Speedway line will accommodate growing production volumes, including those from the recently commissioned 275-MMcfd Pembrook II plant in Midland basin, which began operations in third-quarter 2025 and is currently running near full capacity.
In tandem with the new pipeline, Targa also confirmed plans to further expand its Permian gas processing footprint with construction of the Yeti gas processing plant, a 275-MMcfd installation proposed for the Delaware basin.
Also targeted for startup in third-quarter 2027, the Yeti plant joins four other Permian gas processing plants Targa is currently developing in the region that, together, will add 1.4 bcfd of total inlet capacity and yield 175,000–200,000 b/d of NGL output upon achieving full operations during the next 2 years, the company said.
Alongside the newly announced Yeti plant, Targa confirmed in a Sept. 30 presentation ongoing development of its:
- 275-MMcfd East Pembrook plant in Midland basin, which is due for startup in second-quarter 2026.
- Midland basin-based 275-MMcfd East Driver plant slated for commissioning in third-quarter 2026.
- 275-MMcfd Bull Moose II plant in Delaware basin targeted for operation in fourth-quarter 2025.
- Delaware basin-based 275-MMcfd Falcon II plant scheduled for startup in second-quarter 2026.
As part of its strategy to further enable natural gas takeaway and intrabasin integration, Targa also unveiled its proposed Buffalo Run Texas-intrastate pipeline project, consisting of a new 35-mile natural gas pipeline connecting multiple Midland-area locations, as well as the related conversion of an existing 55-mile pipeline to natural gas service that will link the operator’s Delaware and Midland systems.
Targa said the new Buffalo Run project combined with the company’s 43-mile, 42-in. Bull Run line extension already under way together will improve access to downstream markets—including connectivity to the Waha hub—and increase flow assurance and system reliability.
The full buildout of Buffalo Run is scheduled by early 2028, according to the operator.
With the addition of Speedway, Yeti, and Buffalo Run, Targa revised its total estimated net-growth capital expenditures for 2025 to $3.3 billion, accounting for early procurement of key materials such as pipe and long-lead equipment.
“Speedway is critical to the continued execution of our core integrated wellhead-to-water strategy,” said Matt Meloy, Targa’s chief executive officer.
“The strength of our outlook over the near, medium, and long term is supported by multiple factors, including our continued volume ramp during the third quarter [2025], the bottom-up forecast we see from our customer base, and the continued industry trend of rising gas-to-oil ratios in the basin,” Meloy added.
