Under the current administration in the United States, the nation’s energy sector has been growing at an unprecedented rate. Donald Trump has effectively increased the US output capacity of energy resources to reach unthinkable levels of production. Cardinal Midstream, a major independent midstream energy company based in Dallas, has recently strengthened its position in the lucrative Delaware Basin through a significant asset buildout.
The US recently reversed a major emissions legislation, which could affect the energy industry
As the US sees a litany of new pipelines coming into service this year, Trump and his U.S. Environmental Protection Agency (EPA) Administrator Lee Zeldin have announced a major reversal of emission legislation through the single largest deregulatory action in US history.
Trump and the EPA have recently reversed the Obama-era 2009 Greenhouse Gas (GHG) Endangerment Finding and all subsequent federal GHG emission standards. While this reversal only affects the mobility and automotive sector, it represents the current administration’s feelings towards emissions.
“The Endangerment Finding has been the source of 16 years of consumer choice restrictions and trillions of dollars in hidden costs for Americans.” – U.S. Environmental Protection Agency (EPA) Administrator Lee Zeldin
Cardinal Midstream has announced a significant expansion of its operations in the Delaware Basin
The Delaware Basin falls under the wider Permian basin in Texas and New Mexico, the cornerstone of the US energy sector. Cardinal Midstream has been operating in the region for the past few years and has now outlined the expansion plans for the company as part of its initiative to enhance its presence in the prolific Permian basin.
As the US energy sector grows, the current trend of energy companies increasing operations has become all too common. One can understand the impact of stagnation as the US energy market grows, and Cardinal Midstream has taken the initiative and has boosted its already notable presence in the Delaware Basin through several development buildouts.
Cardinal Midstream: an exemplar of how to expand US operations
Cardinal Midstream was created in 2022 with the singular focus of midstream asset acquisition and development in the North American energy sector, and has recently increased its presence in one of the most prolific energy-producing regions of the United States.
The company has recently announced the completion of approximately 36 miles of new large-diameter, high- and low-pressure natural gas gathering pipelines in the Delaware Basin, specifically in Eddy County, New Mexico, and Loving County, Texas.
Through this strategic acquisition, Cardinal now owns and operates approximately 150 miles of natural gas infrastructure in one of the nation’s most active oil and gas producing regions. This reflects the current administration’s targets of increasing energy production across the United States over the coming years, if all goes to plan.
As other energy majors in the United States outline their capex budgets for the year ahead, Cardinal Midstream is the latest and newest addition to the US energy sector that is focused on midstream growth throughout the nation. Cardinal has also announced the expansion of the Pecos River Processing Complex in Loving County, which is scheduled for completion in Q1 2026.
“These significant expansion projects provide high-quality energy infrastructure that ensures reliable midstream services for our customers’ future development.” – Doug Dormer, Cardinal Chief Executive Officer
The midstream growth is not limited to the United States
Cardinal Midstream’s asset buildout exemplifies the remarkable growth of the US energy sector; however, it should be noted that the midstream growth is not limited by geography and that Canada is making similar moves to strengthen its midstream sector. The reality is that North America now dominates the global output capacity of essential energy resources and shows no signs of easing up anytime soon.
