Private equity backed WaterBridge Resources has signed a long-term produced water management services agreement with Concho Resources as well as acquired the water assets of its subsidiary COG Operating in the southern Delaware Basin. Financial terms of the deal were not disclosed. As per the agreements, WaterBridge will manage all of Concho’s produced water transportation and disposal subject within an 800,000-acre area in Reeves, Pecos and Ward counties of Texas. The acquired assets include three disposal wells with 45,000 bpd of capacity and around 44 miles of saltwater pipeline. WaterBridge chief commercial officer Jason Long said: “We have been very fortunate to grow our relationship with Concho through the evolution of our company from Pelagic Water Systems and EnWater into WaterBridge. “Concho is a top-tier operator and a leader in the Permian Basin. We are excited to strengthen our relationship with Concho and to further expand our operations to support Concho’s growth in the region.” The agreement with Concho comes after WaterBridge, in December 2018, secured a financing of $800m from a consortium of 16 banks and inked two different agreements to acquire saltwater wells and pipelines in Permian Basin from Texas-based oil company Halcon Resources and Oklahoma-based NGL Energy Partners. Sorry, there are no polls available at the moment. Set up in December 2015, WaterBridge has the backing of Texas-based private equity firm Five Point Energy. Five Point Energy CEO and managing partner David Capobianco said: “The Concho transaction represents another key milestone for the WaterBridge and Five Point teams. “Concho’s decision to expand their relationship with WaterBridge further validates our approach in developing a large, integrated produced water handling network that offers producers the capacity and flow assurance needed to scale their development programmes.” Currently, WaterBridge owns and operates more than 1.2 million bpd of water disposal capacity throughout the southern Delaware Basin that is linked through 300 miles of pipeline. The firm also owns and operates water gathering pipelines and saltwater disposal wells in Arkoma Basin of Oklahoma.
Five Point Energy - owned WaterBridge has acquired about 44 miles of saltwater pipeline and two disposal wells from Permian Basin driller Concho Resources . The agreement , whose terms were not revealed , will see it oversee all water transportation and removal within an 800,000-acre area in Texas ' Smith , Smith and Ward counties . It follows similar agreements made last year with Halcon Resources and NGL Energy Partners .