Meritage Midstream Services II, LLC announced today that it has successfully completed and brought onstream its new natural gas processing plant, 50 Buttes, strategically 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 in August 2013 and is actively expanding the system to meet producer needs. 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.
“The 50 Buttes plant is a strategic addition to our significant footprint of assets in the Powder River Basin, one of the country’s most exciting emerging shale plays,” said Meritage Midstream Chairman and CEO Steve Huckaby. “It is always our goal to stay ahead of our producer customers so that gathering, processing and transportation infrastructure is in place when and where they need it. The Powder River Basin is home to several stacked oil- and liquids-rich formations, and we have seen a significant increase in drilling activity in the area. We are fortunate to be in a great position to execute an aggressive expansion plan to meet the increased midstream needs of our customers.”