DCP Midstream, LLC committed capital investments to support further infrastructure in the rapidly expanding Permian Basin. DCP Midstream will construct a 200 million cubic foot per day (MMcf/d) sour natural gas processing plant, Zia II Plant, in Lea County, N.M., with associated gathering system expansions to service producers in both southeast New Mexico and west Texas regions of the Permian Basin.
In addition to the Zia II Plant, the project includes front-end treating for sour gas, two acid gas injection wells, a 50-mile, 20-inch high pressure trunk line that will intersect DCP Midstream’s existing New Mexico gathering system, and new high-pressure pipelines and compression in west Texas. The project is expected to be in commercial operation during the first half of 2015.
The Zia II Plant and new gathering systems will augment DCP Midstream’s existing footprint in the Permian Basin, where the company owns and operates 18 gas processing plants with a capacity of more than 1.3 Bcf/d and produces in excess of 130,000 barrels per day of natural gas liquids.
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