SUMMARY

Two will leverage existing expertise to provide full-cycle produced water management

By Maureen McCall

US midstream company NGL Energy Partners announced a collaboration February 2 with XRI Holdings to implement full-cycle produced water management across the Delaware Basin.

NGL owns and operates the largest integrated produced water pipeline system in the basin, where it currently manages over 1.8mn b/d of produced water. XRI is the largest produced water recycling company in the Permian basin, employing patented treatment technology, and manages more than 1.2mn b/d of produced water water.

The companies will leverage existing infrastructure assets, technology, and experience and benefit from each companies’ expertise. At the same time, they can continue to operate produced water reuse and recycling activities independent of one another.

“We have created a set of capabilities unmatched in the industry,” said Doug White, executive vice president of NGL Water Solutions.

“As a leader in produced water management, we believe this approach will be the best way for us to continue to provide safe, efficient, reliable, and environmentally friendly solutions for our customers. The collaboration with XRI will enable each company to focus on its strengths, maintain capital spending discipline, and gain economies of scale that provide cost benefits to customers. The result is a win-win for the environment and the industry.”

NGL’s Water Solutions segment operates in several of the most prolific natural gas producing basins, including the Delaware, Midland, Eagle Ford and DJ basins.

XRI maintains over 400 mi (643 km) of midstream infrastructure, patented treatment technology, and more than 30 recycling facilities in the core operating regions of the Permian basin.