Producers Midstream has officially added a major new asset to its Delaware Basin footprint—The Dude Processing Plant, a natural gas processing facility located roughly 12 miles west-northwest of Monument in Lea County, New Mexico. Designed with long-term scalability in mind, the plant is already operational and positioned to become one of the region’s key midstream anchors as producers continue drilling deeper, longer, and more aggressively across southeastern New Mexico.
Facilities Engineer plays a critical role in ensuring the safe, efficient, and cost-effective construction and operation of oil and gas facilities. Do you provide services to Oil & Gas Operators related to new facility construction and looking to grow your sales?
A High-Capacity Plant Built for Growth
At initial startup, The Dude Processing Plant is configured for a 55 MMscf/d natural gas throughput, with integrated systems for oil/condensate, gas treating, dehydration, and produced water handling. The facility is built to run 24/7, 365 days a year, supporting uninterrupted flow from surrounding field operations.
Producers Midstream has already mapped its next-phase expansion: processing capacity is projected to scale to 240 MMscf/d by Q3 2026, a four-fold increase that aligns with continued development intensity across the Delaware Basin’s high-return acreage.
This expansion is not just plant optimization—it’s a calculated step in Producers Midstream’s broader regional build-out strategy. As more operators shift toward extended laterals, higher-intensity completions, and greater daily throughput, midstream reliability becomes a competitive advantage. The Dude Processing Plant sits at the center of that advantage.
Strategic Location for Delaware Basin Throughput
The plant’s coordinates—32.65984, -103.485108—place it directly inside a high-activity corridor of Lea County, where multiple operators are drilling multi-well pads and high-rate gas wells. Its proximity to private land and distance from Class I air quality zones supports low-risk siting and smoother permitting conditions. Carlsbad Caverns National Park, the nearest Class I area, sits nearly 100 km away.
With major operators pushing aggressive drilling schedules and high-inventory development plans, Producers Midstream is positioning itself exactly where demand is compounding.
Built With Control, Capture, and Reliability in Mind
The Dude facility incorporates the full spectrum of high-performance processing infrastructure:
Compression & Power
- Seven Caterpillar IC engines (G3516/G3606 models) providing primary compression power
- Solar SMT60 turbine (5,000 kW) for process reliability and redundancy
Gas Treating & Dehydration
- AMINE-1 treating system routing acid gas to the LP flare
- High-capacity TEG dehydrator (DEHY-1) controlled via enclosed combustor (COMB-1)
Emission & Capture Systems
- Oxidation catalysts on all compression engines
- VRU systems on tank batteries to minimize tank vapor losses
- Combustors and flares with 98% destruction efficiency for secondary routing
These systems collectively hold the plant’s requested allowable emissions to:
- NOx: 91.13 tpy
- VOC: 101.09 tpy
- CO: 87.44 tpy
- SOx: 84.66 tpy
For a midstream facility of this scale, these values position the plant well within regulatory operating boundaries while maintaining flexibility for throughput increases in upcoming expansions.
Condensate and Produced Water Management
Storage infrastructure showcases the facility’s planning for real-world production behavior:
- 8 x 500-bbl condensate tanks
- 4 x 500-bbl produced water tanks
- Truck loading stations for both condensate and produced water
A dedicated vapor recovery unit handles tanks under normal operations, while a backup ECD (COMB-2) is used during the 5% planned VRU downtime window—another sign of the facility’s emphasis on uptime and compliance.
Why This Plant Matters for the Delaware Basin
The Delaware Basin remains one of the most active drilling regions in the United States, with operators aggressively pursuing high-rate gas development and multi-zone stacked-pay exploitation. This has placed enormous strategic value on midstream partners who can:
- Keep pace with wellhead gas volumes
- Offer reliable takeaway capacity
- Manage compression, treating, and dehydration at scale
- Support multi-year development plans without bottlenecks
Producers Midstream’s expansion strategy—anchored by The Dude Processing Plant—signals a clear commitment to long-term basin presence. By targeting 240 MMscf/d by late 2026, the company is positioning itself ahead of the curve as operators plan multi-year drilling campaigns.
The Bottom Line
The Dude Processing Plant is more than just a new facility—it’s an infrastructure investment that reflects the future of the Delaware Basin: bigger pads, longer wells, higher gas volumes, and stronger midstream integration. With scalable design, advanced emissions controls, and near-term expansion plans, the plant will play a pivotal role in enabling regional growth through 2026 and beyond.
