Nuevo Midstream completes expansion in West Texas

Nuevo Midstream said this week that it has completed the Phase II expansion of its natural gas gathering, processing and treating system in the Delaware Basin near Orla, in West Texas.

Houston-based Nuevo, formed in 2011, serves crude oil and natural gas producers in the Delaware Basin, with operations focused on production from the Bone Springs and Wolfcamp formations, along with the Avalon Shale in southeast New Mexico and West Texas.

The company said it expects to bring a third plant online at the Ramsey site in Reeves County in early 2014, bringing its total cryogenic processing capacity to 310 million cubic feet per day.

The company said it also expects to begin a build-out of a crude oil gathering system to complement its gas gathering system. Construction on the first phase of the crude system should begin in the second quarter of 2013.