Atlas Pipeline Partners, L.P. (NYSE: APL) ("APL", "Atlas Pipeline", or the "Partnership") announced today that the Partnership has successfully brought into service its previously announced 200 million cubic feet per day ("MMCFD") Edward processing plant in the Permian Basin. The addition of the Edward facility increases the name-plate processing capacity on APL's WestTX system from 455 MMCFD to 655 MMCFD, an increase of approximately 44%. The incremental capacity, located in Upton county near the Benedum plant, is fully integrated into the WestTX system and can process producer volumes from anywhere across APL's best-in-class footprint.
Due to the continuing high level of dedicated producer activity across the Partnership's WestTX system, the initial utilization of the Edward processing plant's 200 MMCFD of processing capacity has exceeded APL's preliminary expectations. The WestTX system is currently processing in excess of 515 MMCFD, approximately 79% of the new system-wide capacity of 655 MMCFD. The Partnership anticipates volumes to increase throughout the remainder of 2014 and into the first half of 2015, and is expecting the system to be fully utilized by mid-2015. Management expects the next processing expansion, the previously announced Buffalo plant, to be in service in mid-2015. The addition of the Buffalo plant would add a further 200 MMCFD of processing capacity and would bring the WestTX system to 855 MMCFD of total name-plate processing capacity. Expected costs for both the Edward and Buffalo plant are anticipated to be $100-120 million (net) for each facility, not including field compression, gathering pipeline, and well connection costs. The Partnership continues to anticipate adding an incremental 200 MMCFD processing plant in each of the next five years.
Certain matters discussed within this press release are forward-looking statements. Although Atlas Pipeline Partners, L.P. believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Atlas Pipeline does not undertake any duty to update any statements contained herein (including any forward-looking statements), except as required by law. Factors that could cause actual results to differ materially from expectations include general industry considerations, regulatory changes, changes in commodity prices and local or national economic conditions and other risks detailed from time to time in Atlas Pipeline's reports filed with the SEC, including quarterly reports on Form 10-Q, current reports on Form 8-K and annual reports on Form 10-K.