Canyon Midstream announces new gathering and processing agreement

Source:Canyon Midstream Partners, LLC

Canyon Midstream announced it has entered into a gathering and processing agreement with one of the Permian Basin's largest producers. Canyon Midstream Partners, LLC ("Canyon") today announced it has entered into a gathering and processing agreement with one of the Permian Basin's largest producers for midstream services on Canyon's James Lake System.

"Canyon is pleased to add another world-class producer to our James Lake system," said Michael Walsh, President and CEO of Canyon. "Our customers have made significant acreage commitments to our project, and Canyon is responding by increasing our processing capacity and gathering footprint to ensure that our assets are in place to accommodate their production growth. This approach is consistent with Canyon's vision to create a distributed and integrated midstream system in the Permian Basin."

Phase I of Canyon's James Lake System is currently under construction and will begin interim service in June 2014. When completed in Q4 2014, Phase I will consist of a 105 MMcf/d cryogenic gas processing plant in Ector County, Texas; 60 miles of 12" trunkline; and six field compressor stations providing low pressure gathering services in Ector, Andrews, Winkler, Martin, Dawson and Gaines counties, Texas. Canyon has commenced development of Phase II of the James Lake System, which will add a second 100 MMcf/d cryogenic gas processing plant in Martin County and approximately 60 miles of 12" trunkline, expanding the system's service territory into Howard and Borden counties, Texas. Canyon expects Phase II to begin operations in the first half of 2015.

Canyon was formed by former senior management of Delphi Midstream Partners, LLC and Laser Northeast Gathering Company, LLC. The Canyon team is led by Michael Walsh; Mark Fuqua, SVP Business Development; and Dale Harper, SVP Engineering & Operations. Inquiries regarding the James Lake System or Canyon's midstream services should be directed to

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