NGL Water Solutions Adding 60 Miles of Pipeline to Lea County Express System
According to Permian Basin Oil and Gas Magazine, Tulsa-based NGL Energy Partners announced its affiliate NGL Water Solutions is beginning an expansion of its Lea County Express pipeline system, adding 60 miles of large-diameter pipeline along with new disposal wells and injection facilities.
Market Impact
The expansion will significantly increase NGL’s out-of-basin produced water disposal capacity by 165,000 barrels per day. Once complete, the system will stretch 81 miles and handle approximately 560,000 barrels per day of produced water, moving volumes from Eddy and Lea counties in New Mexico to Andrews County in Texas.
The project targets one of the most active produced water corridors in the Permian Basin, where water disposal infrastructure has become a critical bottleneck for operators. By extending its existing system and adding disposal wells and injection facilities, NGL is positioning itself to handle growing volumes from New Mexico’s Delaware Basin plays.
What It Means for Subcontractors
- Pipeline construction crews working large-diameter projects in southeastern New Mexico and West Texas should watch for bid opportunities tied to the 60-mile expansion. Projects of this scale typically require multiple construction spreads and specialized welding and coating crews.
- HDD and boring contractors may find work at highway and waterway crossings along the route through Eddy, Lea, and Andrews counties.
- Disposal well and injection facility contractors have a direct opportunity, as NGL confirmed new wells and surface facilities are part of the scope, not just the pipeline.
- Water infrastructure subcontractors already operating in the Lea or Eddy County area are best positioned to move quickly. Establishing contact with NGL Water Solutions’ project and procurement teams now, before construction awards are announced, is the practical next step.
