Permian Gas Bottleneck Demands More Takeaway Capacity, Execs Say

Hart Energy

Despite a potential flattening of crude production, the natural gas pipeline network in the Permian Basin will keep filling up, according to executives from Kinetik Midstream, Brazos Midstream and Kinder Morgan.

E&Ps have discussed “peak oil” in the Permian Basin over the first quarter of 2025.

Peak Permian natural gas, however, may be a more immediate problem— chiefly because there seems to be no peak in sight. Gas production in the basin keeps growing, and with it the need to find a way to ship it out, according to a panel of midstream executives.

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Downward price pressure.

You got it, Quattro. As the Permian wells become more gassy, associated gas changes from an unwanted byproduct to a profit center.  Expect more Permian gas related infrastructure in the coming years.  The Corpus Christi area is seeing significant investments in gas infrastructure and LNG.

And for a multitude of reasons, companies will invest in Texas all things being equal.

If your in the oil business, you want to be in the Permian.  All other oily basins and states are something less.

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