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


by:Business Wire

Dallas, Texas–(BUSINESS WIRE)– 
Aug 30, 2018–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.

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