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Expanded Black River Processing Plant begins start-up

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Hydrocarbon Engineering,

Matador Resources Company and its midstream affiliate, San Mateo Midstream, have announced the completion and successful start-up of the expansion of San Mateo’s Black River cryogenic natural gas processing plant in Eddy County, New Mexico, US.

The expansion of the Black River Processing Plant adds an incremental designed inlet capacity of 200 million ft3 of natural gas per day to the previously existing designed inlet capacity of 260 million ft3 of natural gas per day for a total designed inlet capacity of 460 million ft3 of natural gas per day. The expanded Black River Processing Plant supports Matador’s exploration and development activities in the Delaware Basin and is expected to gather and process natural gas from Matador’s Stateline asset area and from the Stebbins area and surrounding leaseholds in the southern portion of its Arrowhead asset area. The Black River Processing Plant currently processes natural gas from the company’s Rustler Breaks asset area and also provides natural gas processing services for a number of other San Mateo customers in the area. Matador has also secured firm transportation via pipeline and fractionation for all anticipated NGLs and firm transportation via pipeline for all residue natural gas volumes, including those attributable to the newly increased inlet capacity, delivered at the tailgate of the Black River Processing Plant.

Joseph Wm. Foran, Matador’s Chairman and CEO, commented, “We are pleased to announce the completion of this most recent expansion of the Black River Processing Plant, which was initiated almost two years ago and was completed this summer on time and on budget. Along with the addition of the enhanced processing capacity and firm transportation and fractionation, the Black River Processing Plant and associated residue gas takeaway should provide Matador reliable transportation for the natural gas and NGLs from our Rustler Breaks and Stateline asset areas and the Greater Stebbins Area for years to come. The Board and I congratulate and thank the members of our midstream and asset teams – and especially the teams in the field – for the significant value they have created through their efforts and strong execution. We also greatly appreciate the support from our San Mateo joint venture partner, Five Point Energy LLC.”

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