Hoover Energy Partners has announced the execution of three new substantial crude oil gathering agreements in the southern Delaware basin with its affiliate Hoover Energy Texas.
Pecos Crossing, Hoover Texas’ existing crude oil pipeline system in the Delaware basin, currently consists of 25 miles of 12in steel mainline, 12 miles of low pressure gathering pipeline and central delivery facilities that serve a large producer-owned gathering system.
Hoover has new long-term commitments with dedications totalling 70,000 gross acres.
The company will add infrastructure, including connecting central crude batteries totalling 18 miles of gathering pipeline and a 13-mile extension of the company’s Pecos Crossing 12in mainline.
Hoover anticiaptes needing an additional 49 miles of gathering infrastructure to serve the new commitments over the next several years.
Hoover president and COO Randy Hoover said that drilling activity continues to accelerate alongside improvement in completion quality for vertical and horizontal wells.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData"The southern portion of the Delaware Basin has lower GOR’s with 7 GPM gas and 45 to 47 gravity crude which translates into excellent returns for our producers," he added.
Image: Map of Hoover’s Pecos Crossing oil pipeline system in Delaware basin. Photo: courtesy of Mav.
