Aris Water Solutions, Inc. Announces Long-Term Full Cycle Water Management Agreement with Chevron U.S.A. Inc.

Rhea-AI Summary

Aris Water Solutions (NYSE: ARIS) has secured a long-term water management agreement with Chevron U.S.A. in the Permian Basin. This contract involves produced water handling and recycling services, enhancing Chevron’s sustainability by increasing recycled water usage and reducing groundwater reliance. CEO Amanda Brock emphasized the significance of this milestone, noting it expands Aris's acreage, securing a premier position in the Northern Delaware Basin. The company continues to grow its recycling capabilities and fosters collaborations for beneficial water reuse.

Positive

• Long-term agreement with Chevron enhances revenue stability.
• Increases Aris's acreage in the Northern Delaware Basin.
• Strengthens sustainability initiatives by promoting recycled water use.

Negative

• None.

HOUSTON--(BUSINESS WIRE)-- Aris Water Solutions, Inc. (NYSE: ARIS) (“Aris,” “Aris Water,” or the “Company”) announced today a long-term full cycle water management agreement with Chevron U.S.A. Inc. (“Chevron”) in the Permian Basin. Under the arrangement, Aris will provide produced water handling and recycling services in a portion of Chevron’s core position in the Delaware Basin, including acreage in Eddy and Lea Counties, New Mexico and Culberson and Reeves Counties, Texas. The agreement will facilitate Chevron’s increased use of recycled water in their operations and reduce their use of groundwater, improving their water sustainability footprint.

“We are excited Chevron has chosen to expand their existing relationship with us in such a meaningful manner. We have worked with Chevron for a number of years and have repeatedly proven our ability to deliver secure takeaway and re-use solutions. This is a significant contract for Aris and we are very proud of our entire team that helped achieve this milestone. We continue to make great progress expanding our system, capabilities, and customer base. This agreement increases Aris’s overall acreage giving Aris the premier dedicated acreage position in the Northern Delaware Basin,” said Amanda Brock, President and CEO of Aris Water Solutions.

Aris has repeatedly demonstrated its commitment to delivering sustainable and comprehensive water solutions to its customers in the Permian Basin. The Company continues to rapidly expand its recycling system and enter into new contracts with customers who are increasing their use of recycled water. Aris is also closely collaborating with a number of its customers to identify and pilot additional opportunities for the beneficial reuse of recycled water.

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 and assumptions reflected in these forward-looking statements are reasonable, we cannot assure you that these forward-looking statements 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/20220509006166/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 recent agreement between Aris Water Solutions and Chevron?

Aris Water Solutions announced a long-term water management agreement with Chevron U.S.A. for produced water handling and recycling in the Permian Basin.

How does the Aris and Chevron agreement impact Aris's position in the market?

The agreement increases Aris's acreage, securing a premier position in the Northern Delaware Basin, which could enhance its market competitiveness.

What are the sustainability benefits of the Aris and Chevron partnership?

The partnership promotes the use of recycled water, reducing Chevron's reliance on groundwater and improving environmental sustainability.

What does this deal mean for Aris Water Solutions's financial outlook?

The agreement is expected to provide revenue stability and growth for Aris Water Solutions by securing a long-term contract with Chevron.

Where is the focus area for Aris Water Solutions under their new agreement?

The focus area for Aris under the new agreement is in the Delaware Basin, specifically in Eddy and Lea Counties, New Mexico, and Culberson and Reeves Counties, Texas.