Permian produced water: injecting simple solutions into complex situations

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26 February 2019

Permian produced water: injecting simple solutions into complex situations

Report summary

There is no way to tiptoe around it. Produced water puts Permian tight oil production growth at risk. Water handling costs are rising and disposal options are becoming more complex. Standardised solutions from older projects are proving ineffective and expensive. To limit cost escallation and minimise operational risks, operators have turned externally to comprehensive water management programmes. The strategies of third-party providers connect infrastructure, disposal, and recycling into one integrated midstream model. The centralised systems of water specialist firms are also better set up to handle variability in water production from Wolfcamp drilling. Water expertise adds value, so opportunities are booming for water midstream companies to link operators' projects together. There is still no one-size-fits-all solution, but offering economies of scale is a starting point.

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