Benchmarking Water Management Strategies in the Permian Basin: Insights and Best Practices for Unconventional Resource Development

Abstract This paper evaluates water management practices among leading operators in the Permian Basin to assess their strategies, technologies, regulatory strategies, and treatment methods. The aim is to identify key efficiencies, challenges, and lessons learned that could provide valuable insights for operators in the Middle East seeking to optimize water management in unconventional resources. This study utilizes a benchmarking process by gathering data from several sources such as publicly accessible sources, including regulatory filings and operators reports. The focus is on major operators based on their activity levels within the Permian Basin to ensure a representative sample of the most influential players. Key metrics are evaluated such as the number and location of saltwater disposal wells, ratio of water injected versus recycled, and water treatment and disposal practices along with estimated costs. This paper also examines transportation methods such as trucking, piping, and automation adoption, assessing each operator’s cost efficiency. Results clearly demonstrate that disposal wells are still a main conduit for removing water from the hydrogeologic cycle in the Permian. However, as seismic activity around certain locations near faults increases, new approaches for managed produced water in arid grasslands are being discussed and tested. Industry has already dramatically improved its ability to recycle within industry, with over 80% of New Mexico completion volumes, and an estimated 40-60% of Texas completion volumes now coming from treated Produced Water (14). However, the volumes of Produced Water are so great that even at peak recycling rates, only ~20-25% of produced water is recycled as a Completion fluid, leaving a balance of 75-80% of produced water which still needs to be safely dispatched (1). Major operating companies are now aggressively employing strategies for separating oil, gas and water, followed by further "clean up" of the water fraction by removing residual solids and oil plus organics to generate a clean brine for recycling. As a next step in treatment, salt removal or desalination is being investigated using innovative technologies such as thermal processes followed by condensation, mechanical vapor recompression, and various membrane technologies to produce treated water for agriculture and other potable water applications, with pilot studies underway. Results will be discussed more fully. The findings of this study contribute to the knowledge base for Middle East operators and engineers, providing valuable insight and guidance into water management practices in unconventional reservoirs. By analyzing recycling rates, treatment technologies, and regulatory impacts, this study identifies best practices that enhance operational efficiency and sustainability and reduce operating risks.