Longhorn Midstream Holdings announced Monday its LM Touchdown Crude II LLC unit launched a binding open season to support development of its Touchdown Crude Oil Gathering System in the Northern Delaware Basin, Kallanish Energy reports.

The greenfield pipeline system will initially gather crude oil from origination points in Eddy County, New Mexico, and deliver to destination points within said county.

The Touchdown system will initially consist of roughly 50 miles of gathering and transportation pipelines. Construction has begun and the gathering system is expected to enter partial service in September, and to be fully commissioned in the first quarter of 2020.

In addition to the Touchdown crude system, Longhorn also announced it’s constructing a gas gathering system in the Northern Delaware Basin.

The Touchdown Gas Gathering System will initially provide low pressure gathering, dehydration, compression, and high-pressure gathering services for liquids-rich natural gas produced by customers in the area.

“The Northern Delaware Basin is one of the most economic areas in the country for oil and gas development,” said Elliot Gerson, managing partner at Longhorn. “The combination of prolific well results and insufficient existing infrastructure creates a compelling opportunity to offer our customers midstream solutions that will help unlock the underlying resource potential.”

The binding open season for the initial phase of the gathering system began Monday and is scheduled to conclude on Aug. 14.

Longhorn is supported by equity commitments from Dallas-based private oil and gas investment firm Old Ironsides Energy, which Longhorn executives have partnered with for over a decade.

This post appeared first on Kallanish Energy News.