Market Overview

OWL Expands Northern Delaware Basin Produced Water Gathering System and Executes New Long-Term Contracts

Share:

Oilfield Water Logistics, through its wholly-owned subsidiary OWL SWD
Operating, LLC, ("OWL") has completed its high capacity Hat Connection
pipeline project, linking over 200 miles of water pipeline gathering,
re-use and disposal across the Northern Delaware Basin in Lea County,
New Mexico. OWL also broke ground on its Red Hills Water Gathering
System pipeline expansion project with a new 11-mile extension into
Loving County, Texas. These projects will provide producers on the OWL
system access to disposal capacity and re-use capabilities across OWL's
interconnected network of pipelines and disposal wells, while also
allowing for necessary redundancies to optimize volume flows and
mitigate downtime. Additionally, OWL has selected a contractor, secured
a rig and spud its most recent saltwater disposal well in connection
with its system capacity expansion plans. The Titan SWD will be located
in Loving County and will be tied into OWL's produced water pipeline
network.

OWL executed two new long-term contracts around these projects in its
core Delaware Basin footprint. The Titan SWD and pipeline expansion
projects are part of OWL's commitment to handle its customers' and the
broader industry's growing water volumes. OWL is pleased to have
partnered with the leading E&P companies in the Permian Basin and
through its extensive contract portfolio is committed to helping its
customers achieve their growth plans by serving their water gathering,
disposal and re-use needs. OWL is backed by NGP Energy Capital
Management ("NGP"), NGP Energy Technology Partners, Pearl Energy
Investments and private investors, and has a $250 million credit
facility with Texas Capital Bank with ample available borrowing capacity
to fund future expansions and capacity additions.

OWL also signed two disposal agreements with leading producers and
committed volumes in the Powder River Basin, and is currently expanding
its Thunder Basin facility in Converse County, Wyoming to meet growing
demand in the Powder River Basin.

About OWL

Oilfield
Water Logistics, LLC
(OWL) provides midstream water infrastructure
and services to the energy industry in Texas, New Mexico, Colorado, Utah
and Wyoming, with offices in Midland, Denver and Dallas. OWL is an
established leader in the Permian Basin and owns and operates the
largest commercial produced water gathering system in the northern
Delaware and Lea County, New Mexico. OWL is a portfolio company of NGP
Energy Capital Management. www.oilfieldwaterlogistics.com

View Comments and Join the Discussion!