Enterprise Products Partners' Teague: 'Poseidon gas plant represents a strategic addition to our Permian Basin assets'

Houston-based midstream energy services provider Enterprise Products Partners announced on July 18 that it has commenced service at its sixth plant in the Midland Basin, the Poseidon cryogenic natural gas processing plant in Glasscock County, TX, according to Businesswire.

“This new processing plant, which was completed on time and on budget, represents a strategic addition to our Permian Basin assets,” co-chief executive officer (CEO) A.J. “Jim” Teague told Businesswire. “For the foreseeable future, the Permian Basin is expected to drive domestic production of crude oil, natural gas and (natural gas liquids) [NGLs], and the expansion of our midstream network will support producers as they meet growing demand in the U.S. and internationally. 

“The Poseidon gas plant is among $3.8 billion of major growth projects expected to begin service and generate new sources of cash flow by the end of 2023,” Teague said.

According to a report issued by Businesswire on July 18, the facility carries a nameplate capacity of 300 million cubic feet a day and is capable of extracting 40,000 barrels per day of NGLs. According to the report, Poseidon gives Enterprise the capability to generate 1.3 billion cubic feet per day of natural gas, as well as extract over 185,000 barrels per day of NGLs in the Midland Basin. Long-term acreage dedication agreements provide support for the plant, Businesswire reported.

With Poseidon in operation, the report said, Enterprise has turned its attention to its next and seventh project in the Midland Basin, the Leonidas cryogenic natural gas processing plant. Per Businesswire, Leonidas is under construction and is slated to begin operations in the early part of next year.

According to Enterprises’ website, the company traces its roots back to the 1960s when it was established as Enterprise Products Company.

“Today, our integrated energy infrastructure network provides midstream energy services to producers and consumers of natural gas, natural gas liquids, crude oil, refined products and petrochemicals,” the website said. “We link producers from some of the largest North American supply basins with domestic consumers and international markets.”