Saltwater Disposal – Brunks Commercial Facility
2 well redundancy, excellent location, direct highway access
This commercial SWD project is located in the southeast corner of the intersection of FM 136 and County Road 102, San Patricio, Co., Texas. These are paved roads maintained by the County, providing for excellent, immediate access in a high traffic, oil and gas operations corridor. Double redundancy provided by two wells located side by side is obvious, limiting downtime for 24/7 operations and service.
COMMERCIAL SALTWATER DISPOSAL PERMITS
MPG Petroleum, Inc. filed for and obtained Texas Railroad Commission - Commercial Saltwater Disposal Permits (Nos. 10510 and 12150) for its No. 1-D Brunks (API No. 42-409-32400) and its No. 1 Brunks (API No. 42-409-32485) wells, respectively.
The No. 1-D Brunks: injection volume 1000 barrels per day, injection interval 1832-1938 feet, and maximum operating surface injection pressure 458 psi.
The No. 1 Brunks: injection volume 5000 barrels per day, injection interval is 7700 – 8060 feet, and maximum operating surface injection pressure 4250 psi.
Amendment of the commercial permits to obtain additional volume, change depths and/or increase injection interval and injection pressure is possible.
COMERCIAL SALTWATER DISPOSAL LEASE AGREEMENT
MPG Petroleum, Inc. entered an agreement with the surface and mineral owner of the Brunks property on September 1, 2012 which provides for a disposal fee to the landowner of $.05 per barrel, Ten (10 acres) surface usage, and the right to drill additional wells for replacement or to increase the number of SWD wells on the property. Additionally, the 10 acres could be useful to conduct other business services such as truck washouts, and the sale of brine and/or KCL water to off loading vacuum trucks.
RESEARCH ON AREA TRAFFIC and COMPETITION
The owner of the largest, saltwater hauling truck company in the area has indicated that when the facility becomes operational, it could contribute 14 to 16 loads per day, representing about half of the permitted injection capacity.
South of the property, traveling on Fm 136 towards Gregory/Portland about 8 miles away, many wells exist in the Midway, Portland and White Point Fields, requiring saltwater disposal services. North and East of the Brunks property, the Bayside, Aransas Pass, Rockport areas contain many oil and gas wells which could be a source of business. The closest SWD facility to the Brunks property is located on FM 188, and it has been down for over a year with the owner reporting that when it is restored to operation, it will accept water only from wells located on their property, which will be piped directly to it. The next closest SWD facility to the West is near Taft, approximately 15 miles away. It accepts water trucked by their own limited fleet of haul trucks.
MPG will offer disposal services to all saltwater hauling firms in the area, with stringent monitoring of the delivered fluids, to reduce downtime and maintenance of its wells. MPG intends to secure as much business as possible, by seeking exclusive contracts with the largest oil and gas operators in the area.
MPG offers joint venture participation in the Brunks Commercial SWD to qualified participants, alternatively, it entertain an offer of outright purchase. Should you have interest in obtaining more information to consider participation, please contact:
Margaret P. Graham, President, MPG Petroleum, Inc., firstname.lastname@example.org or by phone at 210-822-7770
Brochures and additional information are available by contacting MPG Petroleum, Inc.