Crosstex Energy LP has struck a long-term, fee-based agreement with “a major oil and gas producer” in the Permian Basin that supports the expansion of its gas gathering and processing infrastructure, the company said Thursday.
Bearkat
Articles from Bearkat
Industry Briefs
Crosstex Energy LP plans to build a natural gas processing complex and rich gas gathering system to serve the Permian Basin. The initial investment of $140 million would include treating, processing and gas takeaway solutions for regional producers. The Bearkat project is to be fully owned by the partnership and is supported by long-term, fee-based contracts, Crosstex said. The complex would be near the partnership’s existing Deadwood joint venture assets in Glasscock County, TX, with an initial capacity of 60 MMcf/d, increasing the partnership’s total operated processing capacity in the Permian to 115 MMcf/d. The partnership also is building a 30-mile high-pressure gathering system upstream of Bearkat to serve Glasscock and Reagan counties. The entire project is scheduled to be operational in summer 2014.