For Dallas-based Lucid Energy, there’s no sweeter place to offer custom midstream infrastructure and services than the Permian’s Delaware Basin. Activity in the Delaware isn’t just hot; it’s face-melting hot with the number of drilling rigs up 325% from two years ago and reserves estimated to be 212 billion BOE. Reese Energy Consulting today is studying the unique advantages Lucid holds in the Delaware to serve producers narrowing in on the Bone Spring and Avalon shale plays. The company’s South Carlsbad and Artesia gas-gathering and processing systems include 2,000 miles of pipeline, 120,000 hp compression, and five gas plants with 750 million cubic feet of natural gas processing capacity. Expansions continue to address a swath of geography where older infrastructure can’t handle higher production rates or high-pressure wells, or lack gathering lines. As the energy majors there ramp up their drilling programs—and look for flow assurance and reliability to connect their supplies with markets— Lucid finds itself in the proverbial catbird seat to seize on midstream opportunities right outside its back door.
Posted on June 18, 2019