NGL Energy expands water disposal facility in Eagle Ford

Fresh water
Source: DollarPhotoClub

Delaware-based NGL Energy Partners LP (NYSE: NGL) announced today that it has added five new salt water disposal facilities, which include a total of six recently completed disposal wells, for a cumulative cost of approximately $83 million. Annual EBITDA in the first year of operation is projected at $16 million.

These high quality, high volume, strategically located facilities will increase capacity by 140,000 barrels per day, bringing NGL’s total treatment and disposal capacity to 600,000 barrels per day. The new facilities were recently drilled and completed under certain development agreements with partners and are located in both the Eagle Ford shale and Permian Basin. A substantial number of attractive growth opportunities involving new disposal wells, facilities, and water pipelines are also in process under these agreements.

NGL Energy Partners owns and operates a vertically integrated energy business with five primary businesses: water solutions, crude oil logistics, NGL logistics, refined products/renewables, and retail propane.

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