#United States #Texas #Bayswater #Tejon Treating #Sour Gas

Tejon Treating Expands Midland Basin Facilities

Tejon Treating & Carbon Solutions, a key player in the midstream sector based in Texas, has recently announced the completion of an ambitious expansion of its Mongoose Gas Plant. This development aims to cater to the increasing need for reliable sour gas gathering in the Midland Basin, responding to the demands of multiple producers in the area.

Background of Tejon Treating

Founded in 2023 with the support of Bayswater Management Company and its affiliates, Tejon focuses on providing comprehensive gas gathering and treatment solutions specifically for sour gas in the Midland Basin region of Texas. The company started with a single customer and a dedicated area of 35,000 acres, equipped with a throughput capacity of 17 million cubic feet per day (mmcf/d). However, recognizing the burgeoning needs of the market, Tejon has dramatically expanded its operations, now servicing over 137,000 dedicated acres, which speaks to its responsiveness and flexibility in the evolving landscape of the natural gas industry.

Expansion Highlights

The recent expansion of the Mongoose Gas Plant has nearly quadrupled its processing capacity to 70 mmcf/d. Alongside this, Tejon has enhanced its pipeline network, now encompassing over 90 miles, which effectively connects with both Bayswater's operations and other regional producers. This strategic move not only increases Tejon's service capabilities but also positions the company as a cornerstone of sour gas infrastructure in Midland Basin.

Mike Solomon, the President of Tejon, underscored the importance of this growth, stating, "Tejon's recent expansion reflects the strong need for reliable sour gas gathering and treating infrastructure in this region. We have developed a flexible, high-performance system designed to grow alongside our customers."

In addition to the expanded plant capacity, Tejon has also introduced multiple downstream delivery points, enhancing market options for gas processing and facilitating the takeaway of NGL and residue gas. Furthermore, the company's connection to a new substation in Howard County allows for the complete electrification of the gas plant and associated compressor station. This upgrade represents a significant leap towards sustainability by improving system reliability while also reducing the overall emissions profile of the facility.

Commitment to Sustainability

The electrification of operations is a critical aspect of Tejon's strategy to promote environmentally responsible practices. By transitioning to more electrified systems, the company is not only adhering to modern regulatory standards but is also actively contributing to the reduction of its carbon footprint. This approach has been warmly received, with industry leaders like Steve Struna, President and CEO of Bayswater, emphasizing the critical service Tejon provides to the Midland Basin's producers.

Future Outlook

With its expansion, Tejon is uniquely positioned to fill a crucial gap in the sour gas treatment sector within the Midland Basin. The company's rapid growth since its inception, marked by an efficient and environmentally conscious service model, sets a precedent for others in the industry. As the demand for natural gas continues to rise, the strategic decisions made by Tejon beacons promising prospects in the years to come.

In summary, Tejon Treating's expansion efforts not only demonstrate the company’s commitment to its clients and community but also reflect a broader movement towards more sustainable practices within the aggressive energy landscape of Texas. For more information on Tejon and their services, visit Tejon Treating's Website.

About Bayswater

Bayswater has been a significant player in the oil and gas sector since its formation in 2004, managing institutional investments that focus primarily on upstream activities in the DJ and Midland Basins. With a commitment to driving innovation and growth, Bayswater and its affiliates have invested around $2 billion since inception, highlighting their strategic importance in the industry.