Phillips 66 green-lights Zeus Gas Plant and Robstown NGL unit

Phillips 66 has confirmed plans to proceed with the Zeus Gas Plant successful the Permian Basin and a 3rd Coastal Bend Fractionator successful Robstown, Texas.

Both the projects are scheduled to statesman operations successful 2028.

These developments signifier portion of the company’s strategy to link accumulation straight from wellhead to market, targeting accrued state processing successful the Permian and expanded earthy state liquids (NGLs) fractionation connected the Gulf Coast.

The Zeus installation is planned arsenic a 300 cardinal cubic feet per time (mcf/d) state processing plant.

The task volition see the Midland Express (MEX) Pipeline, a caller 45-mile, 20in pipeline intended to link Phillips 66’s gathering systems successful the basin. Both assets volition travel online simultaneously.

Once the Zeus processing works comes online, MEX volition beryllium susceptible of transporting up to 230mcf/d of state from the wellhead. The pipeline is expected to alteration aboriginal bi-directional transportation betwixt respective processing locations.

The 3rd Coastal Bend Fractionator, formerly referred to arsenic the Corpus Christi Fractionator, volition grip up to 100,000 barrels per time of NGLs.

The works volition besides necessitate the enlargement of NGL purity pipeline infrastructure and caller h2o attraction facilities.

Phillips 66 midstream enforcement vice-president Don Baldridge said: “Zeus Gas Plant and a 3rd Coastal Bend Fractionator volition fortify our quality to determination increasing Permian volumes crossed an integrated worth chain, from the wellhead to cardinal marketplace centres.

“These projects volition heighten strategy connectivity, summation processing and fractionation capacity, and presumption america to service customers portion capturing further worth crossed our Midstream network.”

According to Phillips 66, some Zeus and the further fractionator are included successful a superior spending program ranging from $2bn to $2.5bn.

This aligns with Phillips 66’s stated extremity of lowering indebtedness to $17bn by the extremity of 2027 and distributing much than 50% of nett operating currency flow, excluding working-capital impacts, to shareholders.

These initiatives are designed to accommodate rising output from customers’ acreage successful the Permian Basin by expanding the processing and fractionation capableness required to grip larger volumes and determination them efficiently crossed Phillips 66’s integrated network.

With Permian accumulation projected to summation implicit the adjacent 5 years, the Zeus works and the 3rd Coastal Bend Fractionator are expected to nexus competitively sourced proviso with downstream operations and higher-value markets.

"Phillips 66 green-lights Zeus Gas Plant and Robstown NGL unit" was primitively created and published by Offshore Technology, a GlobalData owned brand.