The following information is provided by Energy Advisors Group (EAG). All inquiries on the following listings should be directed to EAG. Hart Energy is not a brokerage firm and does not endorse or facilitate any transactions.
Energy Advisors Group (EAG) is representing a private company in the sale of its water business necessary for “mission critical completions” and other oilfield service activities in a de-risked portion of the Midland Basin, the firm said.
The area is under active development across four benches with clear visibility, robust economics, and substantial running room. Customers include the most active operators utilizing high-intensity fracs and the business includes over 36,000 dedicated acres, according to EAG.
Gross revenue is forecast at about $15.7 million in 2023 with $3.5 million in cash flow. Aggressive drilling, water recycling/reuse and the purchase of land to reduce royalty burdens could see cash flow grow to over $17 million/year (on revenues of $34.4 million ) in 2026.