Phillips 66 Advances Permian, Gulf Coast Expansion with Zeus Gas Plant

Phillips 66 is moving forward with the Midland Express Pipeline, the Zeus Gas Plant in the Permian Basin and a new Gulf Coast fractionator as part of a broader midstream expansion plan targeting rising natural gas and NGL volumes.

(P&GJ) — Phillips 66 is moving ahead with two new midstream projects aimed at increasing natural gas processing and NGL fractionation capacity across the Permian Basin and Gulf Coast.

The company announced plans to build the Zeus Gas Plant, a 300 million cubic feet per day processing facility in the Permian, along with a third Coastal Bend Fractionator in Robstown, Texas. Both projects are expected to enter service in 2028.

The Zeus project will also include the new Midland Express Pipeline, an approximately 45-mile, 20-inch pipeline designed to connect Phillips 66 gathering and processing systems in the Midland Basin. The line will initially transport up to 230 million cubic feet per day of wellhead gas and provide future bidirectional flow flexibility between processing facilities.

Meanwhile, the new Coastal Bend Fractionator will add 100,000 barrels per day of NGL fractionation capacity on the Texas Gulf Coast. The project will also include pipeline expansions and water treatment infrastructure tied to the facility.

Phillips 66 said the projects are intended to support rising Permian production volumes and strengthen connectivity between upstream supply and downstream markets.

Don Baldridge, executive vice president of midstream at Phillips 66, said the additions will expand the company’s integrated value chain from the wellhead to key market hubs.

The projects are included within Phillips 66’s previously announced capital spending plans and are expected to support long-term production growth across the Permian Basin.