Delaware Basin Water Pipeline Extension Finished
Layne Christensen Company today announced the early completion of the six-mile extension of its Hermosa water pipeline that began in early December 2017.
”We are pleased that the extension was completed ahead of schedule and on budget and is now in operation,” J. Michael Anderson, Chief Financial Officer and President of Layne Water Midstream, said. “We have already sold water through the extended pipeline, which expands our water midstream business further north into Reeves County where access to water is more limited for oil and gas producers. We expect to see continuing demand growth for water in the energy sector, especially in the Delaware Basin, due to attractive producer economics, longer horizontal drilling lengths, and more use of water per foot of lateral length.”
Layne’s 26-mile Hermosa Pipeline system extends from company-owned land near Pecos, Texas northward in Reeves County and can deliver 175,000 barrels of water per day through 18 different delivery points along the route for use in energy drilling and completion operations.
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