More, More, More - Permian Gas Production Growth Spurs Still More Infrastructure Projects

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Manage episode 314621813 series 2624419
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In early December, natural gas production in the Permian has been averaging a record 14.2 Bcf/d, a gain of 1 Bcf/d in only six months. That rapid pace of growth is putting pressure on every aspect of midstream infrastructure — gas gathering systems, processing plants, and takeaway pipelines — and resulting in a variety of efforts aimed at ensuring there will be sufficient capacity in place to support the increasing gas volumes being produced. New gas-gathering mileage is being added, some new processing plants are being built, and at least a couple of new large-diameter pipelines from the Permian to the Gulf Coast are being considered. However, reflecting the midstream sector’s financial discipline, there’s also a big push to make fuller use of existing assets, in some cases by relocating processing plants, compressors, and other assets to where they are needed most. In today’s RBN blog, we discuss the latest gas-related infrastructure developments in the Permian’s Midland and Delaware basins.

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