Meritage Midstream Services’ New Plant More than Doubles Its Natural Gas Processing Capacity in Wyoming’s Powder River Basin
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Company is constructing a new, cryogenic processing plant located in
Converse County, Wyoming.
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Long-term acreage dedications to Meritage Midstream’s natural gas
supersystem, a combination of multiple processing plants and an
extensive network of gathering pipelines spanning the breadth of the
Powder River Basin, have reached more than 1 million acres.
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Meritage has the largest footprint for midstream infrastructure in the
Powder River Basin.
Meritage
Midstream Services II, LLC (“Meritage
Midstream” or “Meritage”) today announced it will more than double the
natural gas processing capacity on its supersystem in Wyoming’s Powder
River Basin. Meritage subsidiary Thunder Creek Gas Services, LLC
(“Thunder Creek”) currently is constructing a new, cryogenic processing
plant in Converse County, Wyoming, several miles west of the town of
Douglas. Known as Steamboat I, the new plant will have a nameplate
capacity of 200 million cubic feet per day (MMcf/d) and is expected to
come into service early in the third quarter of 2019, bringing Meritage
Midstream’s total processing capacity in the basin to 380 MMcf/d. The
Steamboat complex is large enough to accommodate two additional 200
MMcf/d cryogenic processing plants as customer demand warrants.
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Construction of Steamboat I, Meritage Midstream’s natural gas cryogenic processing plant in Wyoming’s Powder River Basin (Converse County). (Photo: Business Wire)
Strategically located in the southern portion of the basin, the
Steamboat plant complements Meritage Midstream’s 50 Buttes plant located
in Campbell County near Gillette, Wyoming, approximately 100 miles north
of the Steamboat complex. Now under construction and nearing completion,
a 20-inch trunk line will connect the Steamboat I plant to Meritage
Midstream’s Thunder Creek gas gathering system. Steamboat I will connect
to the Wyoming Interstate Company (WIC) mainline system for residue gas.
NGLs currently flow to Phillips 66 and ONEOK.
Construction of the Steamboat I plant is supported by multiple long-term
acreage dedications of more than 1 million acres. Meritage is the
preeminent midstream provider in the basin with more than 1,200 miles of
pipeline in operation, approximately 190 miles under construction and
150,000 of compression horsepower (map
here).
CEO Perspective
“Meritage has grown year over year since we acquired Thunder Creek in
2013, and we now have the largest midstream footprint in the Powder
River Basin,” said Meritage CEO Steve Huckaby. “Our growth is the result
of the strong relationships we have developed with most of the basin’s
leading producers as well as the qualities of the basin itself. The PRB
is a long-lived generational basin with multiple economic formations.
Wyoming is an industry-friendly state that does an outstanding job of
balancing economics with stewardship of the environment. We look forward
to continuing to provide our producers with best-in-class
infrastructure, customer service and connectivity.”
About Meritage Midstream Services
Based in Denver, Meritage Midstream provides oil and gas producers with
a full complement of midstream services through affiliated companies
that operate in the U.S. Meritage is currently focused on Wyoming’s
Powder River Basin. Capabilities include natural gas gathering,
compression, treating and processing; NGL transportation and
fractionation; crude oil gathering, blending and storage; and rail hub
services for outbound crude oil and condensate. The company’s senior
management team has more than 250 years of collective experience in the
midstream business. Meritage Midstream is backed by equity commitments
from Riverstone Holdings LLC. Please visit www.meritagemidstream.com
for more information.
About Riverstone Holdings LLC
Riverstone is an energy- and power-focused private investment firm
founded in 2000 by David M. Leuschen and Pierre F. Lapeyre, Jr. with
approximately $39 billion of capital raised to date. Riverstone conducts
buyout and growth capital investments in the exploration & production,
midstream, oilfield services, power and renewable sectors of the global
energy industry. With offices in New York, London, Houston and Mexico
City, the firm has committed over $38 billion to more than 160
investments in North America, Latin America, Europe, Mexico, Africa and
Asia. Visit www.riverstonellc.com
for more information.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190513005495/en/
Copyright Business Wire 2019
Source: Business Wire
(May 13, 2019 - 3:00 PM EDT)
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