XRI Announces New Delaware Basin Water Infrastructure System
XRI Holdings, a leading water midstream company with infrastructure throughout the Permian Basin, has announced the completion of its Northern Delaware Basin water pipeline infrastructure system.
The system spans more than 125 miles throughout the New Mexico’s Lea and Eddy Counties. The new system will be supplied by environmentally responsible, non-potable and industrial water resources owned or controlled by XRI as well as recycled produced water from regional XRI terminals. This Delaware Basin system expansion complements the company’s existing Delaware Basin infrastructure situated in Texas’ Reeves and Loving Counties.
XRI has also signed a long-term exclusive agreement with Kinder Morgan whereby XRI holds exclusive, long-term rights to source and deliver industrial-use water owned by Kinder Morgan in New Mexico. XRI’s combined Delaware Basin system will be capable of producing more than 100 million barrels per year of industrial and non-potable water with pipeline throughput capacity exceeding 350,000 barrels per day.
The water is delivered via a network of buried, permanent 16-inch and 20-inch pipelines, pump stations and storage facilities under multi-year, fee-based contracts with customers, including major international and large independent E&P companies. XRI is also in discussions with additional Delaware Basin producers to grow system capacity and non-potable water supplies over time.
The expanding Delaware Basin system complements XRI’s existing Midland Basin water networks, which have been operational since 2013 and serve producers in Midland, Upton, Reagan, Howard, Martin and Glasscock Counties. In total, XRI’s Midland Basin systems are comprised of nearly 200 miles of wide-diameter, high-capacity, permanent buried pipelines.
“We are excited to see the impressive drilling results that our customers are delivering in the Delaware, and we are committed to continuing to expand our water infrastructure footprint to serve producers’ growing water needs efficiently and effectively across both the Delaware and Midland Basins,” said XRI CEO Matthew Gabriel.
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