Tulsa’s NGL Energy Partners LP increased its Permian Basin water business with the announcement of a long-term agreement for the transportation of produced water.
NGL did not identify who the deal is with, only saying the agreement was “with a leading, investment grade independent producer operating within the Delaware Basin.”
The new dedicated long-term agreement spans an area over 300,000 acres in New Mexico and Texas and includes committed produced water volumes and recycled water services.
As it has with other recent dedications, NGL stated it plans to leverage its existing infrastructure and significant disposal capacity to service this new contract.
“We are pleased to announce this agreement with this long-standing customer as it allows us to grow with them as they continue to develop their resource and it significantly increases our dedicated acreage portfolio in the Delaware Basin to a total of more than 660,000 acres,” said Doug White, EVP of Water Solutions.
NGL owns and operates the largest integrated network of large diameter produced water pipelines, recycling facilities and disposal wells in the Delaware Basin. The company’s Water Solutions segment operates in a number of the most prolific crude oil and natural gas producing areas including the Delaware Basin in New Mexico and Texas, the Midland Basin in Texas, the DJ Basin in Colorado and the Eagleford Basin in Texas.
Source: NGL release
