Houston pipeline operator EVX Midstream Partners has completed the first phase of construction for what is being touted as the largest gathering system for oilfield wastewater in the Eagle Ford Shale of South Texas.
In a Wednesday morning statement, EVX Midstream said it completed the first phase of construction for its oilfield wastewater gathering system in the South Texas shale play.
“EVX is positioned to be the largest gatherer of produced water in the Eagle Ford basin,” CEO Herb Chambers IV said in the statement. “We have recently completed over 300 miles of large diameter water gathering systems and have pipe connected many of our 20-plus saltwater disposal wells to provide our producer customers and trucking companies unprecedented operational flexibility.
Know in the industry as produced water, oilfield wastewater is produced in two main ways: through fracking, which uses millions of gallons of water for each well, or by drilling, which brings up brackish water left behind by the ancient inland sea that covered central North America.
Some of that wastewater is treated to be used again in drilling or hydraulic fracturing operations but most of it pumped into deep underground reservoirs known as saltwater disposal wells.
EVX owns and operates 26 saltwater disposal wells throughout the Eagle Ford Shale that are permitted to inject up to 600,000 barrels of water per day. Saltwater was traditionally hauled by 18-wheelers to disposal sites, though the trucks are increasingly replaced by pipelines.
Closing Bell: Get daily energy news headlines in your inbox
In addition to the construction milestone, EVX also closed on an Aug. 28 deal to set up a new revolving credit facility at its affiliate company EVX Eagle Ford Partners. Financial terms were not disclosed.
“We appreciate the commitments from our financial partners which support EVX’s ongoing growth in a sustainable and cost-effective manner,” EVX Midstream Partners Chief Financial Officer Brian Keller said in a statement. “Our most recent financing allowed us to expand our lender base, bringing in new financial partners to support our continued expansion in South Texas.”
