Marathon Subsidiary Signs Contracts with Solaris Water
Solaris Water Midstream, LLC will manage all produced water transportation, disposal, fresh water, and recycled water needs within a 369,000-acre region in Lea County, N.M.
Houston-based Solaris Water Midstream, LLC announced Feb. 12 that its flagship Pecos Star System has begun recycling operations and has added new acreage and volume commitments that support a major expansion of the system. The company has signed long-term contracts with a subsidiary of Marathon Oil Company to provide full-cycle water solutions from the Pecos Star System, with Solaris Water managing all produced water transportation, disposal, fresh water, and recycled water needs within a 369,000-acre region in Lea County, N.M.
The system is located in Eddy and Lea counties in New Mexico and Culberson and Loving counties in Texas. It serves several oil and gas producers working in the Delaware Basin with services that include produced water gathering, transportation, disposal, and treating, as well as the delivery of treated produced water and non-potable brackish water for use during drilling and hydraulic fracturing.
"Our large-diameter produced water pipeline system provides reliable, low-cost water disposal capacity to our customers while enabling Solaris Water to aggregate significant produced water volumes for recycling. We provide significant cost savings to our customers and reduce their reliance on brackish and fresh water,” said Amanda Brock, Solaris Water's chief operating and commercial officer. "Our customers understand the benefits of having shared infrastructure in place to provide redundancy and lower costs."
The agreements with Marathon support a 125-mile expansion of the Pecos Star pipeline network into Lea County that is currently under construction. When it is completed, the Pecos Star System will include more than 300 miles of large-diameter permanent pipelines and more than 200 miles of temporary pipelines.
Solaris Water is a wholly owned subsidiary of Solaris Midstream Holdings, LLC, with operations offices in Midland, Texas, and Carlsbad, N.M.