Goodnight Midstream Breaks Ground on Estacado Water Pipeline in New Mexico
Dallas-based Goodnight Midstream has broken ground on the Estacado pipeline, a high-pressure produced water system spanning Eddy and Lea counties in southeast New Mexico, Permian Basin Oil & Gas Magazine reports. The 90-mile line is designed to serve upstream producers in the northern Delaware Basin and will connect with Goodnight’s existing Llano pipeline, which has been operating since 2019. CEO Grant Adams said the project is backed by long-term volume commitments from several of the largest producers in the Delaware Basin. Once in service, expected in the first quarter of 2027, Estacado will add 550,000 barrels per day of capacity, bringing the combined Estacado-Llano system’s takeaway capacity to more than 900,000 b/d.
What It Means for Subcontractors
- Pipeline construction crews, welders, and HDD contractors working the Eddy and Lea county corridor have a near-term project to track, with a target in-service date of Q1 2027 giving a rough construction window over the next several months.
- Civil and E&I contractors supporting produced-water infrastructure should watch for tie-in work where Estacado connects to the existing Llano system, since integration points typically require additional metering, pump station, and controls buildout.
- Water management and midstream service providers in the northern Delaware Basin should note the “several of the largest producers” commitments backing this line, signaling sustained demand for produced-water handling capacity that could support follow-on subcontract packages as the system scales toward 900,000 b/d of combined capacity.
