Does anyone around here currently sell water for fracs to operators or work as a completions engineer?

I have been approached by a company wanting to purchase water from me and use one of my tanks. I have no clue as to the going rate of fresh water for completion use.

Any info would be appreciated.

You should be compensated for the water and for damages to your property caused by equipment used to move the water. If you got $1/bbl you'd be doing really well right now I think but it all depends on how close you are and how available other water sources might be.

We pay in the range of $0.75 - $1.35 per bbl for our frac water. $1 would be a good target for you.

Agreed. I work on the service side for completions and productions and I believe $1 per is a good target for you. These other guys may be engineers and have a much better idea.

Be sure to have your agreement mention road upgrades at that companies cost, otherwise your road will be destroyed.

It depends on your location, competition, and available water nearby. If there are alot of good tanks in the area and not much activity in the current market $1/bbl sounds very steep to me. Granted most of my experience buying frac water has been up in Oklahoma, I have never paid more than $0.50 /bbl, even when things were hot a few years ago. If you are the only tank owner in the area you can ask a premium, if your neighbors have water or a larger source nearby, odds are if you ask for a $1, they'll go ask someone else.

South of Lubbock 2 years ago, I got $0.50/bbl with a $10,000.00 minimum per well they drilled. Same group bought for 2 different wells and left the pump in the well for me. You won't get rich, but it was a nice boost for us.

Tank is within 2000' of one location. The other two are less than a mile away. All three multi well.

All other tanks in the area are natural water inpoundments that have been damed. My tank was dug with equipment so I know the exact size. It holds 84,000 bbls.

We also had them install a meter so we would know what they were pumping. It might be wise for you to do the same. Just to remove any doubt on either side.

I couldn't imagine paying $1/bbl, but I work in the Eagle Ford. I don't think we'd be completing wells right now if we had to pay that much for water. Good luck to you. I'd be interested to hear what you agree on.

Did the operator approach you about this? Or a water transfer service provider?

$1/bbl is probably fairly close to what you can expect. With the downturn it could be slightly less.

As others have stated, I would find out how they will will be transferring the water. More than likely transfer lines with suction lines in your pond running nonstop. Do you have a well that pumps into your pond? Is your pond stocked by chance?

I would ask them to provide an explanation in how/where the lines would run through your property as well. And as someone else stated require that you have your own counter to monitor usage. Just to verify.

Where is your property located?

Where are you located? I know the land owner where my SWD leases are sells freshwater for $.50 barrel in LaSalle County (at least that was the rate if my memory serves me correctly, been a minute since I've talked to him about it). Know several others around there at the same rate. $1 seems steep to me.

Curious how this typically works. To complete a well an operator needs something like 100,000 barrels of water. How much water can a well output in a day? Does the operator have storage at the well site that they spend weeks filling from their water well? Do they drill several water wells around their acreage position? Do service companies typically own and operate these wells and buy water from the landowners to sell to the operators?

Question: why would an oil company buy like 2MM barrels of water?

We just worked a deal to sell fresh water, but we are an oil and gas company. If it's only 100,000 barrels to frac a well I can't imagine them frac'ing twenty wells in this environment. This is in the Marcellus and somehow we negotiated $2.50 a barrel which seems high from this thread.

I get .50/bbl but they built my two tanks, lined and then backfilled to cover the plastic, drilled 2 carrizo wells and ran electricity to both, and provided a 20 hp pump in each. They drop a 80hp pump when busy, but we didn't want to use that much electricity. They fill my tank before starting the frac, and fill it again when they are finished. I'm happy with it.

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Curious how this typically works. To complete a well an operator needs something like 100,000 barrels of water. How much water can a well output in a day? Does the operator have storage at the well site that they spend weeks filling from their water well? Do they drill several water wells around their acreage position? Do service companies typically own and operate these wells and buy water from the landowners to sell to the operators?

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For a horizontal frac 80-100k bbls we'll start pumping weeks if not months in advance. Our sites typically have lined water pits but we have used above ground storage tanks at times. We've got a huge field that runs 50 miles across and 60 miles long so there are water wells dispersed at numerous locations. These wells have a mix of ownership ranging from landowners, service companies, other O&G operators, and our own. However, we're also drilling on a lot of state and federal land here in WY, so in Texas you'd mostly be dealing with private landowners.

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I get .50/bbl but they built my two tanks, lined and then backfilled to cover the plastic, drilled 2 carrizo wells and ran electricity to both, and provided a 20 hp pump in each. They drop a 80hp pump when busy, but we didn't want to use that much electricity. They fill my tank before starting the frac, and fill it again when they are finished. I'm happy with it.

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Now that you say this, this is probably more closely related to the landowner I mentioned above at $.50/bbl as they did do some improvements on his land.

Do operators prefer to own the well or have a service company own the well and markup the water an additional amount? I suppose that's a question of price, but I would think operators would generally rather pay a slightly higher price for each barrel of
water than to pay an extra million USD to drill a water well. I could see operators wanting to control their supply of water to ensure they meet their timelines for well completions, but they don't own their own drilling rigs and Frac equipment so why would they own their own water wells?

I'm a midstream guy so just curious to better understand how the upstream guys think on this.

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Do operators prefer to own the well or have a service company own the well and markup the water an additional amount? I suppose that's a question of price, but I would think operators would generally rather pay a slightly higher price for each barrel of
water than to pay an extra million USD to drill a water well. I could see operators wanting to control their supply of water to ensure they meet their timelines for well completions, but they don't own their own drilling rigs and Frac equipment so why would they own their own water wells?

I'm a midstream guy so just curious to better understand how the upstream guys think on this.

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As with anything, it just depends on the situation. If we know we're going to be drilling multiple wells in the same area then we'll look into drilling our own well. It may not always be an option to drill our own depending on land ownership.

We can drill and complete a water well for <$100k so it makes sense to drill your own whenever possible. Managing a water well is a lot more simple than an oil well so it's not much of a liability.

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I get .50/bbl but they built my two tanks, lined and then backfilled to cover the plastic, drilled 2 carrizo wells and ran electricity to both, and provided a 20 hp pump in each. They drop a 80hp pump when busy, but we didn't want to use that much electricity. They fill my tank before starting the frac, and fill it again when they are finished. I'm happy with it.

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Pretty common in the Eagle Ford.

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I get .50/bbl but they built my two tanks, lined and then backfilled to cover the plastic, drilled 2 carrizo wells and ran electricity to both, and provided a 20 hp pump in each. They drop a 80hp pump when busy, but we didn't want to use that much electricity. They fill my tank before starting the frac, and fill it again when they are finished. I'm happy with it.

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Pretty common in the Eagle Ford.

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Yea, I agree that was pretty much the norm when it was all ramping up. About the only thing I did that I didn't see a lot of is the backfilling issue. They basically dug it 2-3' deeper, and then covered the liner with dirt which should protect it for a long time. Most tanks I see are lined and the plastic left exposed. This plastic will probably last around 10 years before deterioration from the sun, and less depending on how the wildlife trashes it. I watched a coyote actually tearing into a third temporary tank.

I'm familiar with Devon, BHP and GeoSouthern paying .35 cents for the last 2-3 years in the Dewitt county area

Text me about frac water.

9792194396 about frac water

my uncle recently signed w/ pioneer for 24 cents / barrel pulling about 50k gallons / day. waiting to see what the initial checks are looking like next month.