Water is always a major concern for Oklahoma and other energy firms taking part in the quickly-moving exploration of the Permian Basin in West Texas and New Mexico, but a Houston-based company has closed on an acquisition of a significant New Mexico water supply business. It’s a move that will have an impact on the amount of frac water available to drillers.
Solaris Water Midstream LLC closed on the deal with Vision Resources, Inc. a family owned business whose customers include the largest oil and gas producers operating in the Permian Basin. But no purchase price was revealed.
Vision’s assets strategically complement Solaris Water’s Pecos Star System in the Delaware Basin and include water rights for more than 15 million barrels of industrial water a year.
It also includes access to significant sources of water, freshwater storage ponds and more than 200 miles of water supply pipelines. the Pecos Star System is located in Eddy and Lea counties in New Mexico and Culberson and Loving counties in Texas.
Solaris Water also announced it started construction of a new 11-mile water supply line connecting into the Pecos Star system. It will be capable of moving nearly 150,000 barrels of water a day from Loving County, Texas to Eddy County, New Mexico. The line should be in service by July of this year.
Solaris Water Midstream is a wholly owned subsidiary of Solaris Midstream Holdings, LLC and is based in Houston but has operations offices in Midland, Texas and Carlsbad, New Mexico.