Targa Resources Corp. announced significant new organic growth projects to support the continuing NGL and natural gas production growth in the Permian Basin. The company is moving forward with plans to construct the Speedway NGL Pipeline, a critical expansion of its Permian to Mont Belvieu NGL transportation system.
The Speedway NGL Pipeline will span approximately 500 miles with a 30-inch diameter, offering an initial capacity of around 500 thousand barrels per day, expandable to 1,000 MBbl/d. This project, estimated to cost approximately $1.6 billion, is expected to be in-service in the third quarter of 2027, leveraging existing assets and future plant additions.
To accommodate future growth on its Permian Delaware system, Targa is also constructing its next 275 million cubic feet per day gas processing plant, the Yeti plant, anticipated to be in-service in the third quarter of 2027. This is one of five gas processing plants Targa is building in the Permian, with an aggregate inlet capacity of 1.4 billion cubic feet per day.
Additionally, Targa announced the Buffalo Run project, which includes a new 35-mile natural gas pipeline and a 55-mile conversion of an existing pipeline. This project will enhance connectivity across several Permian Midland plants and connect Targa's Midland and Delaware intra-basin natural gas systems, with full completion expected in early 2028. These new projects have led Targa to revise its total net growth capital expenditures for 2025 to around $3.3 billion.
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