Despite the media narrative, the majors are still very much into shale expansion.


Will Burton, vice president, midstream operations said that what’s different about the company’s Permian Basin presence is the significant investment it plans.

The first step is building up the company’s midstream infrastructure, expanding the midstream assets the company acquired from BHP, Burton said. While declining to provide a specific amount, he said the company is making significant capital expenditures in infrastructure, including pipeline and gathering lines for gas, oil and water and nine central delivery points with adjoining water disposal facilities.

The first central delivery point is currently under construction in the Orla region of Reeves County. The first two are expected to be completed by the end of the year, at which time BPX will begin ramping up its drilling operations later and carrying through the next four to six years, Burton said.

BPX overview

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