Canyon Midstream Begins Operations at James Lake

Phase 2 of the James Lake system will add a second cryogenic gas processing plant with a capacity of 100 MMcfd in Andrews County and additional trunk line to expand the system’s service territory into Lea County, N.M. and Martin and Howard counties, Texas. Canyon Midstream expects to begin Phase 2 operations in the first half of 2016.

“Canyon is excited to announce that our James Lake system commenced operations on Dec. 1, 2014, less than 12 months after execution of our first process­ing agreement in the Permian Basin,” said Michael Walsh, president and CEO. “Our success in permitting, design­ing and constructing a system of this scale in less than one year, with the ability to gather, treat, and process sour gas, demonstrates the world-class capabilities of the Canyon team.

“The tremendous commercial interest in this proj­ect supported our decision to increase the initial capacity of the James Lake plant by over 300% during construc­tion. Canyon believes the Permian Basin is a long-term growth opportunity for our company, so we are continuing to invest in our team, processing assets, and pipeline foot­print in anticipation of further production growth.”