WaterBridge Holdings has agreed to acquire the produced water infrastructure associated with Colgate Energy’s recent asset acquisition from Occidental.
As part of the acquisition, WaterBridge and Colgate have entered into a new 15-year, produced-water management agreement for all of Colgate's operated acreage within a significantly expanded area of mutual interest in Reeves and Ward Counties, Texas.
The acquired assets include 10 water handling facilities and associated water midstream infrastructure with aggregate handling capacity of 100,000 barrels per day (bpd), as well as 50 miles of produced-water pipelines. WaterBridge will manage the newly acquired produced-water infrastructure and integrate these assets into its broader southern Delaware platform.
In addition, WaterBridge and Colgate have consolidated existing produced-water management contracts into a new produced-water management services agreement, whereby Colgate has dedicated all of the operated