Macquarie to invest up to $500 million in OKC’s Lagoon Water Solutions Holdings

Lagoon Water Solutions Holdings, LLC  announced an agreement for Macquarie Infrastructure Partners (MIP) to invest up to $500 million in Lagoon to fund the ongoing growth of the company.

Founded by President and CEO Blaine Dyer and Executive Vice President and CCO Gage Herrmann in 2017, Lagoon Water Solutions works with producers to reduce their operating costs through investing in, constructing, and operating reliable and efficient water midstream infrastructure.

MIP, which operates within the Macquarie Infrastructure and Real Assets division of Macquarie Group, will make the investment through one of its managed funds.

In partnering with Lagoon, MIP has committed a total investment of up to $500 million to support additional growth in the STACK, SCOOP and other basins. Initial investment capital will focus on the expansion of Lagoon’s current assets to support existing long-term contracts secured with Anadarko Basin producers covering more than 200,000 acres.

Following this expansion to serve these producers as well as other customers, Lagoon will have more than 350,000 barrels of water per day of disposal capacity across 17 facilities and over 150 miles of water gathering pipeline by the end of 2018. Lagoon also owns and operates a fleet of water hauling trucks that exclusively provide transition and reliability support to its customers during infrastructure buildout.

“We are very pleased to partner with Lagoon Water Solutions and its management team, which has extensive experience in developing water midstream infrastructure,” said Karl Kuchel, CEO of MIP. “Lagoon represents a unique opportunity to invest in a successful operator in the STACK and to build the leading water midstream company in the mid-continent region.”

“Partnering with a like-minded infrastructure investor like MIP is a perfect fit for Lagoon. The ability to invest in reliable and efficient infrastructure on a large scale is a huge benefit to our customers in Oklahoma,” said co-founder and CEO Blaine Dyer.

In addition to Dyer and Herrmann, leading Lagoon and its over 100 employees, the executive team includes Andrew Schroeder (General Counsel), Pete Hollis (COO), and Kevin Heasley (SVP of Operations).

Lagoon Water Solutions is an Oklahoma City based company providing produced water solutions to oil and gas producers in the Anadarko Basin.