Midstream Texas: Water, Takeaway Concerns; Activity Sets Positive Tone

Hart Energy spoke with several companies during Hart Energy's recent Midstream Texas conference and exhibition in Midland, Texas, about the ongoing challenges facing the Permian Basin as well as what benefits exist for the industry in the prolific basin.

Cindy Jaggi, senior vice president of strategic process transformation at EnLink Midstream, said the biggest positive for the Permian is its rock.

“It’s just a really prolific area for oil and gas in the United States,”  Jaggi told Hart Energy. “The thing I think is so important about the Permian as well is just that it is a very oil and gas friendly community and environment.” 

Throughout the conference, a particular theme began to develop concerning takeaway issues and how that might affect the market, said Jim McTasney of Exterran Corp.

“All of that is really valuable to hear and really dig into the details of, but also, the challenge was thrown out a couple of times to people in the room and others in the industry,”  McTasney told Hart Energy. “There are definitely opportunities to step up and fill some of these gaps.” 

Porter Bennett, co-founder and CEO of B3, said he believes water management is the bigger challenge because it's a resource used in our daily lives.

“Whether it's right or wrong there's an assumption that it’s a zero-sum game. If the oil and gas industry uses water here, it’s not available to grow crops,” Bennett told Hart Energy adding that he expects this belief will be proven to not be true.

“A lot of the recycling, a lot of the reclamation work that the industry is developing is going to produce the amount of freshwater needed in the industry,” he said.

While the industry certainly faces challenges in the Permian Basin, morale remained high as the pace of activity in the basin has recently picked up. Those working in the area are optimistic that they'll solve the issues and said education is key.


Jessica Morales

Jessica Morales is the video reporter for Hart Energy. She contributes to the Digital News Group's interviewing and video production. 

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