Aris Water Solutions, Inc. Announces Creation of Strategic Agreement with Chevron and ConocoPhillips for Beneficial Reuse of Produced Water

Rhea-AI Summary

Aris Water Solutions (NYSE: ARIS) has entered a strategic agreement with Chevron and ConocoPhillips to develop and pilot technologies for treating produced water for beneficial reuse. The initiative aims to establish cost-effective methods for creating water sources for industrial and agricultural purposes. Aris will lead the project, utilizing the expertise of its partners, and aims to complete testing by the end of 2023. This collaboration reinforces a commitment to responsible water management in water-scarce regions.

Positive

• Strategic partnership with Chevron and ConocoPhillips enhances growth prospects.
• Opportunity to develop innovative solutions for produced water reuse.
• Potential for positive environmental impact and sustainability.

Negative

• No immediate financial metrics or projections provided.
• Dependence on successful testing and regulatory approval to move forward.

HOUSTON--(BUSINESS WIRE)-- Aris Water Solutions, Inc. (NYSE: ARIS) (“Aris,” “Aris Water,” or the “Company”) announced today that it has entered into a strategic agreement (the “Agreement”) with Chevron U.S.A. Inc. (“Chevron”) and ConocoPhillips Company (“ConocoPhillips”) to develop and pilot technologies and processes to treat produced water for potential beneficial reuse opportunities. Aris, Chevron, and ConocoPhillips’ goal is to develop cost effective and scalable methods of treating produced water to create a potential water source for industrial, commercial, and non-consumptive agricultural purposes.

This Agreement demonstrates Chevron, ConocoPhillips, and Aris’ continued commitment to responsible water management and leadership in working towards beneficial reuse of treated produced water in a water scarce region.

“We are very pleased to reaffirm our commitment to water stewardship and join our customers, Chevron and ConocoPhillips, in the creation of this Agreement focused on the development of sustainable beneficial reuse solutions,” said Aris President and CEO Amanda Brock. “Aris is excited to collaborate with our customers and lead the commercialization of produced water treatment in new and innovative applications.”

Aris will lead the engineering, construction, and execution of the testing protocols and pilot projects while leveraging the combined technical expertise of Chevron and ConocoPhillips. The treated water will then be reused in a variety of ongoing research projects, including non-consumptive agriculture, low emission hydrogen production, and the direct air capture of atmospheric carbon dioxide.

“By joining forces with Chevron and Aris on this project, we bring together our collective knowledge to accelerate technology, conversation and regulation around beneficial reuse of produced water,” said ConocoPhillips Senior Vice President of Lower 48 Assets and Operations Kirk Johnson.

“At Chevron, using water responsibly is integral to our values and we are continuing to strengthen our water management practices to ensure safe, reliable, and sustainable operations in the Permian Basin,” said Brent Gros, Chevron’s Mid-Continent Business Unit General Manager of Operations. “We believe innovative solutions for produced water reuse will come from collaboration among a variety of stakeholders, which is why we’re pleased to participate in this agreement with Aris and ConocoPhillips.”

Aris, Chevron, and ConocoPhillips will work with appropriate regulators, with a goal to complete testing and performance evaluation of pilot technologies by the end of 2023.

Forward Looking Statements

Certain matters contained in this press release include “forward-looking statements.” All statements, other than statements of historical fact, included in this press release may constitute forward-looking statements. Although we believe that the expectations reflected in these forward-looking statements are reasonable, we cannot assure you that these expectations will prove to be correct. These forward-looking statements are subject to certain known and unknown risks and uncertainties, as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. Factors that might cause actual results to differ include, but are not limited to, the risk factors discussed from time to time in each of our documents and reports filed with the Securities and Exchange Commission.

Readers are cautioned not to place undue reliance on any forward-looking statements contained in this press release, which reflect management’s opinions only as of the date hereof. Except as required by law, we undertake no obligation to revise or publicly release the results of any revision to any forward-looking statements.

About Aris Water Solutions, Inc.

Aris Water Solutions, Inc. (NYSE: ARIS) is a leading, growth-oriented environmental infrastructure and solutions company that directly helps its customers reduce their water and carbon footprints. Aris Water delivers full-cycle water handling and recycling solutions that increase the sustainability of energy company operations. Its integrated pipelines and related infrastructure create long-term value by delivering high-capacity, comprehensive produced water management, recycling and supply solutions to operators in the core areas of the Permian Basin. Additional information is available on our website, www.ariswater.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20221107006163/en/

David Tuerff

Senior Vice President, Finance, and Investor Relations

(281) 501-3070

IR@ariswater.com

Source: Aris Water Solutions, Inc.

FAQ

What is the agreement between Aris Water Solutions, Chevron, and ConocoPhillips about?

The agreement focuses on developing technologies to treat produced water for beneficial reuse.

What are the objectives of the Aris Water Solutions and Chevron agreement?

The objective is to create cost-effective methods for treating produced water for industrial, commercial, and agricultural use.

When does Aris Water Solutions expect to complete testing of the pilot technologies?

Aris Water Solutions aims to complete testing and performance evaluation by the end of 2023.

How will Aris Water Solutions contribute to the agreement with Chevron and ConocoPhillips?

Aris will lead the engineering, construction, and execution of testing protocols and pilot projects.

What potential benefits does the agreement suggest for water management?

The collaboration aims to enhance responsible water management practices and promote sustainability.