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Gravity adds gathering, disposal agreements in Midland Basin
Permian Basin oil and gas companies continue to develop water management plans geared toward reducing freshwater use, and water midstream companies continue to benefit.
Houston’s Gravity, a water and power infrastructure company backed by affiliates of Clearlake Capital Group, announced a new long-term produced water gathering and disposal agreement with what it calls a premier Permian operator in the Midland Basin.
This comes about three months after the company announced a similar commitment that will prompt expansion of Gravity’s West Howard County System by 100,000 barrels.
This new agreement will add approximately 12,000 acres of core Tier-1 acreage to Gravity’s position and is forecast to add more than 50 million barrels of produced water in near-term development. To service the contract, Gravity will construct new pipelines transporting a minimum of 50,000 barrels of produced water for delivery into its Midland Basin Super System. This system has more than 500,000 barrels a day of permitted disposal capacity among 16 interconnected saltwater disposal wells and more than 1 million barrels a day of sourcing capacity. The new pipelines will allow for bilateral flow of produced water to the customer for reuse on future completions on the committed acreage.