Targa Resources Corp shares rose 2.7% in after-hours trading Monday following the announcement of new 20-year midstream agreements with ExxonMobil subsidiaries. The Houston-based company signed long-term fee-based agreements with ExxonMobil for integrated natural gas gathering and processing and downstream services in the Permian Basin. The agreements establish an extensive area of mutual interest across the Permian Delaware for gathering and processing, and downstream services through 2046. To support the agreements, Targa announced three new natural gas processing plants in the Permian Delaware with aggregate capacity of approximately 825 million cubic feet per day. The company also announced a new approximately 70-mile natural gas pipeline in the Permian Delaware, called Bull Run II, to increase natural gas takeaway capacity to the Waha Hub. The company updated its full year 2026 net growth capital estimate to approximately $5.0 billion, incorporating expected investment in the new Delaware processing plants and the Bull Run II pipeline.
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