Tuesday, September 11, 2018

NGL Energy Partners LP Acquires Beckham and McCloy Ranches in Eddy and Lea Counties, New Mexico

- Expands service offerings to producers with capabilities to provide fresh water, recycling and treatment, cuttings landfill disposal, and produced water disposal in Eddy and Lea Counties

- Total cost of the acquisitions was approximately $93 million with an estimated full year run-rate Adjusted EBITDA contribution of $18 million

TULSA, Okla., Sept. 10, 2018 /PRNewswire/ -- NGL Energy Partners LP (NGL) ("NGL," "our," or the "Partnership") announced today that it has executed the latest phase of its Delaware Basin water infrastructure strategy. NGL completed the purchase of the approximately 36,000-acre Beckham Ranch on August 31, 2018. The Beckham Ranch sits atop the Carlsbad, Capitan, and Jal Water Basins located in southeastern Lea County, New Mexico and includes approximately 9.6 million barrels of annual fresh water rights. In July 2018, the Partnership acquired the McCloy Ranch, located in Eddy and Lea Counties, New Mexico, consisting of approximately 87,000 acres of land and an associated 2 million barrels of annual water rights in the core of the Delaware Basin in southern New Mexico. These acquisitions add to the Partnership's available freshwater volumes in the Delaware Basin, which now exceed 30 million barrels annually. "The ranch acquisitions represent our commitment to the Delaware Basin and development of oil and gas in New Mexico," stated Doug White, NGL's Executive Vice President of Water Solutions. "Our ranch investments are the foundation of our development in this major water infrastructure system which will serve oil and gas producers in the area for decades to come."...MORE

1 comment:

Anonymous said...

Frackers are pumping fresh water much faster than the rainfall can recharge the aquifer.
There is a fresh water "wreck" coming in the future