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PennTex Midstream Partners, LP

PennTex announces completion of its 2nd Louisiana gas plant

On Monday, PennTex Midstream Partners, LP announced that its Mt. Olive, Louisiana natural gas processing plant and network of natural gas liquids (NGL) pipelines are now in operation.

According to a press release from PennTex, the new processing plant and its related pipelines will increase the Partnership’s natural gas processing capacity to 400 million cubic feet per day (MMcf/d). Located near Ruston, LA, the Mt. Olive facility consists of a 200 MMcf/d design-capacity cryogenic natural gas processing plant. In addition, the facility contains on-site liquids handling for inlet gas as well as additional residue gas and NGL pipelines.

Aside from the additional 400 MMcf/d the new pipeline will add to the processing plant, the 41-mile NGL pipeline has throughput capacity of more than 36,000 barrels per day and provides transportation to downstream markets for NGLs produced from the partnership’s processing plants.

In related news, Louisiana oil and gas lease sales slump in September.

“Today marks yet another significant achievement for the PennTex operations team with the completion of our second plant – proving to both our customers and our unitholders that PennTex will deliver midstream projects on time and on budget,” said Rob Bond, President and Chief Operating Officer. “The addition of the Mt. Olive plant positions us for continued growth across the Terryville Complex.”

PennTex stated that to date, the project has generated 22 full time jobs, approximately 600 construction jobs and has involved approximately 20 local firms.

“Working with our partner companies and the local, state and federal agencies, PennTex has been able to successfully design, build and commission these facilities in an extremely safe and efficient manner to meet the processing requirements of our customers,” stated Tommy Stone, Senior Vice President and Chief Operations and Engineering Officer.

The company’s operations receive natural gas from the producing fields in Louisiana, which have continued producing despite low prices.

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