Aris Water Solutions Inc. has added seven years to its water gathering and disposal agreement with ConocoPhillips. Aris said in a media release that it has extended the primary term of the agreement from May 31, 2033, to May 31, 2040.
The terms of the agreement have remained unchanged, Aris said. Aris said it will continue to provide full-cycle water infrastructure services to ConocoPhillips, including recycled water supply, produced water transportation and produced water handling operations in the Northern Delaware Basin.
“ConocoPhillips is one of our most important customers and long-term partners, and Aris has consistently demonstrated its ability to deliver reliable, full-cycle water infrastructure solutions. This extension represents a significant milestone for Aris – lengthening the acreage-weighted remaining term of our produced water contracts from approximately six years to over ten years”, Amanda Brock, President and CEO of Aris Water Solutions, said.
“This extension also provides Aris with substantial long-term revenue visibility, supported by ConocoPhillips’ highly economic, multi-decade remaining inventory”.
For the second quarter of 2025, Aris anticipates adjusted EBITDA to be at the upper end of its guidance. The company also reaffirmed its full-year financial outlook, supported by consistent activity from long-term customers in prime acreage.
Source: By Paul Anderson from Rigzone.com