DCP Midstream LP’s sees natural gas production levels rising, especially in the Permian Basin, and commodity prices remaining strong into 2023, supporting its “disciplined” strategy for capital expenditures.

During a second quarter conference call, the Denver-based management team said the natural gas gathering and processing (G&P) business led it to record earnings.

CFO Sean O’Brian said the midstream operator “saw increased volumes in all regions” during 2Q2022 after facing weather issues in the first three months. It also benefited from “an uptick in activity throughout the portfolio.” 

Operations are focused in the Permian Basin and the Denver-Julesburg (DJ) Basin. It also has assets in the Eagle Ford and Haynesville shales, as well as significant holdings...