Duke Expands DJ Basin Processing Plant

Duke Energy Field Services (DEFS) completed an expansion at its Roggen gas processing plant northeast of Denver, CO. The expansion more than doubles the plant's capacity to 58 MMcf/d, increasing producer capabilities to develop additional gas reserves in gas-rich Weld County and easing processing constraints in the area.

"With natural gas and NGL prices near all-time highs, we are expecting producer development activity to continue at very high levels over the next few years," said Michael J. Bradley, senior vice president of DEFS' Northern division. "We are already looking at several additional 'bolt-on' expansion projects to our facilities in the Denver-Julesburg (D-J) Basin in anticipation that even more capacity will be needed to meet the needs of our producer customers." DEFS presently owns and operates six plants and more than 2,200 miles of gas gathering lines in the area.

The D-J Basin has been a tremendous growth area for DEFS with plant inlet volumes increasing from 160 MMcf/d one year ago to more than 186 MMcf/d today. Gas liquid (NGL) production also has increased from 12,600 b/d to more than 14,600 b/d. The completion of the Roggen expansion will allow production growth in the D-J Basin to continue to help meet the rapidly increasing demand for natural gas and NGL products, adding incremental inlet capacity of 30 MMcf/d and increased NGL production of 2,200 b/d. This expansion represents DEFS' second expansion in the area within the last 18 months.

"This expansion offers a much-needed solution to the processing constraints in the D-J Basin," said Jay Decker, president of Denver-based Patina Oil & Gas. "With this increased capacity Patina plans on increasing its development capital expenditures in 2001 by over 40% above the 2000 level."

DEFS was formed by combining the Duke Energy and Phillips Petroleum natural gas gathering and processing businesses. Duke Energy owns 70% of the joint venture and Phillips Petroleum owns about 30%.

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