Vaquero Midstream is expanding its natural gas gathering and processing system in the southern Delaware basin.
The natural gas gathering and processing midstream company has plans for a new 70-mile 24-in. OD high-pressure pipeline loop and a 200-MMcfd cryogenic processing plant, it said in a release Apr. 29.
“This expansion of our gathering system will be key in providing direct access on Vaquero’s system from northern Reeves and Loving Counties, Texas, to our processing complex near Waha,” said Harrison Holmes, chief executive officer, as part of the release.
The gathering system expansion includes a new pipeline that will originate at Vaquero’s processing complex near Waha in Pecos County, Tex., and connect to Vaquero’s existing high-pressure pipeline in Loving County, Tex. The expansion, expected to be in service by yearend 2025, will increase the company’s gathering footprint through parts of Ward, Winkler, and Loving Counties, increasing capacity to about 800 MMcfd from Vaquero’s legacy system of 400 MMcfd.
The planned cryogenic processing plant, expected in service in March 2026, will grow the operator’s processing capacity in the Delaware basin to 600 MMcfd.
Both projects are supported in part by a new $400-million credit facility.
