Jen Kneale: And I’d just add that our commercial team has done a great job of putting ourselves in a position to continue to invest for producers by getting those fee floors in place. But ultimately, if commodity prices are higher and our percentage of fee margin is going down from our gathering and processing business because commodity prices are higher. I think that will be a huge win for us and our shareholders and that’s one of the reasons that we really like the fee floor structure. Ultimately, where we’d like to get to is having fee floors and really all of our gathering and processing contracts or have them be fee-based because that combined with our fee-based downstream business just provides us with a lot more cash flow stability across commodity price environment. So ultimately, that’s sort of the direction that we’re heading in. And our teams have done a great job of pushing us towards that.
Jake Nivasch: Got it. Thank you. If I could just squeeze one more in and I know we’ve touched on this a few times but I just want to clarify something. So the compression issues that you guys have seen it sounds like things have improved – but does that mean – because things have been delayed and I know you guys mentioned, you have a good amount coming in 2024 as well. Does that mean the delays pushed back the initial 2024 orders? Or should we just expect I guess more of an acceleration or just a little bit more in 2024, given these delays here. Just trying to get clarification here.
Matt Meloy: Yes, I mean for the most part those have been ordered. Part of it was delivery delays. So I don’t know that the CapEx it shifts – necessarily shift all that much. We’re just really constantly kind of buying compressors and adding to inventory. So there’s some flex there but it just does take some time there. And then one thing to note too, as we’re kind of waiting on those compression delays, we’re still coordinated for the most part with our producers such that we can capture the initial production from there. So we’re working with them to make sure we’re there for the IP and that we’re getting that production. So it’s not really lost it’s just kind of deferred and pushed into other periods.
Jake Nivasch: Yeah. That’s makes sense. Okay. That’s it for me. Thank you, guys.
Jen Kneale: Take care.
Matt Meloy: Thank you.
Operator: Thank you so much. [Operator Instructions] All right. Our final question comes from the line of Brian Reynolds with UBS. Your line is now open.
Sanjay Lad: Good morning, Brian. We can’t hear you.
Brian Reynolds: Hello. Can you hear me?
Matt Meloy: Yeah. There you go, Brian.
Sanjay Lad: Yeah. There you are. We can hear you.
Brian Reynolds: Okay. Thank you. I’m sorry about that this morning. Just a follow-up on the Permian, at this point it seems like Targa is not close to its potential full integration of GMP assets to NGL long haul at this point. So I know basically all the Midland volumes make it downstream on the Targa integrated system. But could you talk about maybe the process Delaware volumes that are — that are not being transported on Targa downstream is it like roughly 50%? And kind of how should we think about those volumes rolling on to Targa’s long-haul system on 2024 or 2025 to kind of get to that 100% number.
Matt Meloy: Yeah. Sure. I mean, I’d say we have a lot of our G&P business is pointing liquids into our downstream business. I don’t know that we ever get to 100%. That’s not really a goal. There’s going to be some amount of volumes that are going on third-party pipes. The vast majority on the Midland side move, but it’s not 100% on the Midland side. And in the Delaware, I’d say it’s a majority, but because of some acquisitions and just legacy dedications onto other pipes that’s going to take time. But as we grow, I’d say, a disproportionate amount of the growth is tied to target. And I think that’s going to continue. So I think we have a majority out there. I see that number moving north just as you go — as we go forward. But I think we’re in a really strong position of capturing the majority of volumes across the Permian and moving those into the downstream assets.
Brian Reynolds: Great. Thanks. And as a follow-up I know you talked about CapEx a little bit but kind of curious if you could help sensitize us a little bit if we think about G&P capital three processing plants and perhaps the need for frac 11, as we look ahead of 2025 how would that look to 2024? Is it 1.5, 1.7 or something like that? And then, ultimately ethane exports is very intriguing part of the business an NGL value chain at this point seems to be getting more competitive based on announced projects. Is there an opportunity for Targa to participate as we look to the middle to end of the decade? Thanks.
Matt Meloy: Yeah. I think on CapEx we pointed to with Daytona multiple fractionation trains we see 2024 being kind of similar-ish levels which I’d characterize as kind of higher than a normal run rate levels because the downstream projects are a bit lumpier. So that’s why we have some confidence as we get into 2025 and beyond potentially having urgent 2025 having it be lower and then maybe a more normalized rate thereafter. As you look at ethane exports there’s, a number of expansions and parties that do that. That is something we have talked about in the past. We have the capability to do that. Right now what we’re really focused on is increasing our connectivity to the domestic pet chem market and flexibility to other I’d say just other customers for ethane demand. I’d say that’s — it’s out there. We don’t — I wouldn’t put that on the front of our list of something we are looking at right now but that is on the potential that we kind of keep on the list.
Scott Pryor: Yeah. And I would just add Matt this is Scott. That — again Matt alluded to the fact, we are continuously improving our deliverability out of our system to the domestic petrochemical operators in and around Mont Belvieu and the surrounding area. So that will be a primary focus as we see volume growth continue over the course of the next several years. And given the increase in ethane consumption with those petrochemical plants we believe we’ll get a large proportion of that just based upon our own upstream growth and into our assets.
Brian Reynolds: Great. Thanks. Appreciate all the colour and have a excellent morning.
Sanjay Lad: Okay. Thank you.
Jen Kneale: Thanks Brian.
Operator: All right. Thank you so much for that. This concludes the question-and-answer session. I would now like to turn it back to Sanjay Lad for closing remarks.
Sanjay Lad: Thanks to everyone that was on the call this morning. And we appreciate your interest in Targa Resources. The IR team will be available for any follow-up questions you have. Have a great day.
Operator: Thank you for your participation in today’s conference. This does conclude the program. You may now disconnect.
