Meritage Midstream Services II, LLC is expecting to more than double its natural gas production capacity on its Powder River Basin at Wyoming, thanks to its new plant at in Converse County. Thunder Creek Gas Services, a division of Meritage Midstream is building a new, cryogenic processing plant called Steamboat I in Converse County, Wyoming on the outskirts of Douglas, Meritage Midstream announced today.
According to sources at Meritage Midstream, the new factory could start its gas production from the third quarter of 2019. Once started, the factory is expected to produce 200 million cubic feet per day (MMcf/d), taking the total gas processing capacity of Midstream to 380 MMcf/d on its Powder River Basin at Wyoming. If required, the Steamboat plant could use its extra space to accommodate two more 200 MMcf/d gas processing plants, says Meritage Midstream.
Strategically located in the southern portion of the basin, the Steamboat plant complements Meritage Midstream's 50 Buttes plant located in Campbell County near Gillette, Wyoming, approximately 100 miles north of the Steamboat complex. Now under construction and nearing completion, a 20-inch trunk line will connect the Steamboat I plant to Meritage Midstream's Thunder Creek gas gathering system. Steamboat I will connect to the Wyoming Interstate Company (WIC) mainline system for residue gas. NGLs currently flow to Phillips 66 and ONEOK.
Construction of the Steamboat I plant is supported by multiple long-term acreage dedications of more than 1 million acres. Meritage is the preeminent midstream provider in the basin with more than 1,200 miles of pipeline in operation, approximately 190 miles under construction and 150,000 of compression horsepower.