The significant growth of the United States’ gas processing sector has been a sight to behold. Amid the calls to diversify global energy markets to include more renewable energy projects over the coming years, as a litany of nations aim to meet their respective clean energy and emissions targets by the end of the decade, the US federal government is taking a much, much different approach to its energy sector. A new 70-mile gathering line and processing upgrade in the Delaware Basin is expected to increase the processing power of the US midstream market.
Vaquero Midstream announces plan to construct new gathering line in the Delaware Basin
The company recently unveiled its plan to increase its operations in the Delaware Basin. The Delaware, along with the Permian Basin, has become the backbone of the American gas and oil sectors through their vast energy resources that have attracted several of the US and international energy companies over the years. Vaquero Midstream is a US-based company that is singularly focused on natural gas gathering and processing in the Delaware Basin in Texas.
The company plans to construct a new 70-mile, 24-inch high-pressure pipeline loop and a cryogenic processing plant that will enable it to handle substantial amounts of gas over the coming years. The plan calls for a new cryogenic processing plant with a capacity of 200 million cubic feet per day that will boost the company’s processing power in 2026 and beyond.
Vaquero Midstream’s plan is to expand its already impressive assets in the Delaware Basin
The company has noted that the plan calls for the new 70-mile pipeline to connect to its processing complex near Waha and, additionally, tie into its already substantial existing high-pressure system in Loving County, Texas. The US gas market has been growing rapidly since the US President, Donald Trump, initiated a new drive for the conventional gas and oil sector in the United States.
Despite the calls to integrate renewable energy, the US gas and oil sectors are standing strong
The US currently has the welcomed status as the top producer of gas anywhere in the world, with significantly huge projects spread across its midstream sector. Vaquero stated that the expansion of its energy infrastructure and assets will enable it to double the current gathering capacity from 400mcf/d to approximately 800mcf/d.
“Vaquero is dedicated to maintaining its position as one of the most reliable midstream operators in the Delaware Basin. This expansion of our gathering system will be key in providing direct access on the Vaquero’s system from northern Reeves and Loving Counties, Texas, to our processing complex near Waha. Our continued goal is to offer producers a unified gathering platform, supported by downstream market connectivity and reliable power infrastructure.” – Vaquero Midstream chief executive officer Harrison Holmes
With several companies outlining their plans to boost energy output in the Permian, such as the new Algonquin Gas Transmission pipeline upgrade, the future of the US energy market is going to be led by the substantial upgrades to gas infrastructure this year.
The growth of the US gas market is set to reach for the stars this year
Building on Valquero Midstream’s plans for its energy assets in the Delaware Basin comes as Targa Resources announces its plan to construct an astonishing, and potentially game-changing, 500-mile ‘Speedway’ pipeline in the Permian. With 2026 bringing in new possibilities for the US gas and oil industries, the future of the market will depend on the substantial plans of the sector, driven by the new pipeline and associated energy assets that Valquero Midstream has planned. 2026 is set to see the rapid growth of the US gas and oil industry continue.
