Meritage brings natural gas processing plant onstream in PRB

Meritage Midstream

Meritage Midstream Services II LLC has completed and brought onstream its new natural gas processing plant, 50 Buttes, located in Campbell County, Wyoming, to serve natural gas producers in the Powder River Basin. The 50 Buttes plant has an initial processing capacity of 70 million cubic feet per day (MMcf/d). Meritage expects to add 70 MMcf/d in processing capacity by late 2015. The 50 Buttes plant is large enough to accommodate up to 300 MMcf/d. The plant is supported by long-term acreage dedications by some of the basin’s top producers.

The 50 Buttes plant is part of Meritage Midstream’s Thunder Creek system, which includes more than 700 miles of high- and low-pressure natural gas pipelines, compression facilities, NGL and liquids handling facilities, and natural gas treating and processing facilities including the 450 MMcf/d Buckshot Treating Facility in Converse County, Wyoming, and the 34 MMcf/d 4-43 Processing Plant in Campbell County.

Meritage Midstream acquired the Thunder Creek system Devon Energy Corp. (NYSE: DVN) and PVR Partners LP (NYSE: PVR) in August 2013. The comapny has been expanding the facility with the help of a $125 million revolving credit facility entered into in February of this year. By the end of this year the company will complete the construction of another 100 miles of gathering pipeline and will have more than 110 wells connected to the Thunder Creek system.

 

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