Houston-based Palisade Pipeline said recently it will build a 100-mile pipeline to transport treated wastewater from Lubbock to customers in Permian Basin. The company signed an agreement to purchase 6 million gallons of treated wastewater a day from City of Lubbock; pumps along the route will transport water to a reservoir near Hobbs, N.M., for distribution to end users. Reagan Kneese, executive vice president, told Midland Reporter Telegram after meetings with potential customers Palisade diversified its user base beyond oil and gas producers expected to be primary customers. The company will order pipeline system materials in early 2021 for six months of construction. Kneese told Albuquerque Journal the project should be completed by yearend 2021.
Phillip Laughlin, president, told Journal, “When you think about how concentrated oil and gas is in one region of New Mexico, it’s a tremendous amount of water used in a very water-starved region. Every barrel of water we bring offsets a barrel of potable groundwater that would have been taken out of the hydrologic cycle.”