Dallas-based Cogent Midstream LLC will build a new 200-MMcf/d refrigerated cryogenic processing plant in Texas to serve increasing natural gas production from the Wolfcamp formation.
The Big Lake II plant, which is being built in the same area as the Big Lake plant in Reagan County, Texas, is capable of high recovery rates for NGLs, including ethane and propane, according to an Aug. 22 news release. It will bring Cogent Midstream's total natural gas processing capacity in the Midland Basin to about 510 MMcf/d.
The plant is expected to begin service in the fourth quarter of 2019.
"Our investment in the Big Lake II plant is another example of the commitment Cogent has to this area and the growth opportunities presented by our customers' robust drilling programs," Cogent Midstream CEO Dennis McCanless said. "We look forward to continuing to provide top-tier midstream services to producers in the lower Midland Basin for years to come."
Cogent Midstream owns and operates the Midland Basin assets formerly operated under the name Lucid Energy Group I and is backed by growth capital commitments from EnCap Flatrock Midstream.