Produced Water Management

What is Produced Water?

Produced water is the water that comes to the surface alongside oil and natural gas as a byproduct during the process of extraction. According to the Texas Railroad Commission (RRC), it is naturally occurring brine (salt water) that resides in the same deep underground formations as hydrocarbons. During the hydraulic fracturing, operators inject water into these formations to create fractures that release the oil and gas – and as production begins, the naturally occurring brine is brought to the surface along with the hydrocarbons.

How Is Produced Water Managed?

Managing produced water is part of the broader water stewardship effort in energy development. For every barrel of oil produced in the Permian Basin, operators typically manage three to five barrels of produced water. This presents both an operational and environmental responsibility.

According to the Texas Railroad Commission, oil and gas extraction constitutes roughly 2% of the state’s total water consumption. As energy demand continues to increase, operators are advancing technologies to recycle and reuse water responsibly. With their continued efforts the Permian has continued to reduce reliance on freshwater resources.

How is Produced Water Managed in the Permian Basin Specifically?

Operators in the Permian Basin are responsible for safely managing the produced water generated during oil and gas production. Oversight is provided by the Texas Railroad Commission and the Texas Commission on Environmental Quality (TCEQ) to ensure that disposal and reuse practices protect both people and the environment.

What Are Saltwater Disposal Wells (SWDs)?

One of the most common and regulated methods for handling produced water is through saltwater disposal wells (SWDs). These underground injection wells are designed to permanently store produced water deep beneath the Earth’s surface, isolated from freshwater aquifers.

There are two main types:

Shallow disposal wells, which are less costly but have limited capacity.
Deep disposal wells, which inject water thousands of feet below drinking water sources and are considered more secure.

To safely rely on this disposal option, Texas operators follow strict design and operational standards. SWDs are constructed using multiple layers of steel casing and cement to seal off injection zones from drinking water aquifers. Operators also implement continuous pressure monitoring, mechanical integrity testing, and seismic activity tracking to prevent leaks and ensure well stability. These stringent safety measures combined with oversight from the Texas Railroad Commission and TCEQ help ensure that SWDs remain a safe, reliable tool for managing produced water in the Permian Basin.

How Is Produced Water Reused In The Permian?

To reduce reliance on disposal and maximize resource recovery, operators are turning to reuse and recycling technologies. Because Permian Basin produced water can be three to five times saltier than seawater, reuse typically requires advanced treatment — including desalination and final polishing steps — to meet the water quality needs of various applications.

Despite the high cost, the result is ultra-pure water that can be safely and effectively used across a range of industries. In the Permian, reuse options include:

Oil and Natural Gas Operations: Produced water helps reduce freshwater use in drilling, completions, and other field operations.
Industrial Operations: Treated produced water can support various water-intensive industrial applications, including boiler feedwater, cooling system makeup water, and process water for manufacturing operations.
Commercial Activities: Uses include cement production, construction, and dust suppression for roads and landfills.
Fire Fighting: Produced water can help meet emergency water needs, with Texas requiring 250+ gallons per minute for 2+ hours.
Irrigation: After desalination, produced water can irrigate non-food crops like cotton, alfalfa, and hay — all common in the Permian region.
Carbon Capture and Sequestration (CCS): CCS can significantly increase water demand at power plants and treated produced water can help meet this need. On average CCS technology uses 74 to 575 m3 H2O/tonne CO2, with reports that CCS technology increases water withdrawal at power plants between 25%-200%.
Future use-cases/opportunities: As industries like data centers and biofuel production expand in the region, treated produced water could serve as a strategic water supply. Recharge of brackish aquifers is also a potential long-term use.

How Much Produced Water Does Texas Recycles?

As of 2023, collaborative efforts have resulted in 11 million of the 14 million barrels per day of produced water generated in the Permian to be recycled. That means nearly 80% of produced water is now being reused — a dramatic shift from just a decade ago, when most of this water was disposed of via injection. This progress reflects the industry’s growing investment in infrastructure, collaboration, and innovation, transforming produced water from a waste stream into a valuable resource.

Who Are The Key Leaders in Produced Water Management in Texas?

Across Texas, regulators, companies and researchers are working together to advance responsible produced water management. From setting permitting frameworks to building commercial-scale recycling systems, these efforts are helping set global standards for water stewardship in oil and gas.

Regulators

	Texas Commission on Environmental Quality (TCEQ): Permitting authority for surface discharge of treated produced water. Ensures protection of water quality and availability for Texas communities, businesses, and ecosystems.
	*Texas Railroad Commission (RRC):* Oversees oil and gas operations and SWDs. Supporting pilot programs and new frameworks to unlock beneficial reuse across industries. The Texas Railroad Commission (RRC) is investing in beneficial water reuse pilot programs to accelerate sustainable recycling and reuse options in the oil and gas industry. “This framework opens up the potential to use treated produced water in ways that have never been seen before in Texas, which is a win-win for conserving water resources, and protecting the environment and Texans,” *explained* *RRC Executive Director Wei Wang.*
	*Texas Produced Water Consortium (TxPWC):* Created by the Texas Legislature (SB 601). Brings together state agencies, academia, and industry to explore technologies, economics, and standards for produced water reuse.
	*U.S. Department of Energy:* Supports R&D and pilot projects focused on desalination, reuse, and treatment technologies through its Fossil Energy and Carbon Management office.

Companies

	*Aris Water Solutions:* Operates high-capacity systems for produced water gathering, treatment, recycling, and brackish supply. Aggregates volumes across operators and safely disposes of non-recycled water.
	*Chevron:* In 2023, 99% of the water used in its Permian operations was non-freshwater, including recycled produced water (per 2024 Sustainability Highlights).
	*ConocoPhillips:* Investing in regional infrastructure and working with TxPWC. Supports centralized water reuse and treatment innovation across the Permian.
	*ExxonMobil (XTO + Pioneer):* In 2021, ExxonMobil launched a water management roadmap for Permian development, focusing on site-specific strategies to enhance water availability and quality while mitigating risks. The company is also accelerating desalination and reuse technologies, with a commercial-scale plant set for 2026. Since 2020, Exxon has recycled 1.3 billion barrels of water for its operations — 96% from non-freshwater sources — significantly reducing its freshwater dependence and addressing regional water scarcity.
	*Select Water Solutions:* A leading provider of water management services in the Permian Basin, Select operates extensive infrastructure combining fixed treatment facilities, pipelines, disposal wells, and mobile logistics. As of May 2024, its South Curtis Ranch facility, built in partnership with Occidental, has treated and recycled over 50 million barrels of produced water since 2021.
	*Texas Pacific Water Resources (TPWR)*: TPWR is betting big on a breakthrough: turning oilfield wastewater into clean, usable water. The company is developing a cutting-edge, energy-efficient desalination process that could flip the script on how the Permian handles produced water. With a patent in the works and a pilot facility already under construction—set to treat 10,000 barrels a day—TPWR isn’t just talking innovation, it’s building it.

While not an exhaustive list, these examples represent just a snapshot of the many efforts underway across Texas to advance responsible water management — underscoring the industry’s broader commitment to environmental stewardship, innovation, and collaboration.

Produced Water Management

What is Produced Water?

How Is Produced Water Managed?

Managing produced water is part of the broader water stewardship effort in energy development. For every barrel of oil produced in the Permian Basin, operators typically manage three to five barrels of produced water. This presents both an operational and environmental responsibility.

How is Produced Water Managed in the Permian Basin Specifically?

What Are Saltwater Disposal Wells (SWDs)?

One of the most common and regulated methods for handling produced water is through saltwater disposal wells (SWDs). These underground injection wells are designed to permanently store produced water deep beneath the Earth’s surface, isolated from freshwater aquifers.

There are two main types:

Shallow disposal wells, which are less costly but have limited capacity.

Deep disposal wells, which inject water thousands of feet below drinking water sources and are considered more secure.

How Is Produced Water Reused In The Permian?

Despite the high cost, the result is ultra-pure water that can be safely and effectively used across a range of industries. In the Permian, reuse options include:

Oil and Natural Gas Operations: Produced water helps reduce freshwater use in drilling, completions, and other field operations.

Industrial Operations: Treated produced water can support various water-intensive industrial applications, including boiler feedwater, cooling system makeup water, and process water for manufacturing operations.

Commercial Activities: Uses include cement production, construction, and dust suppression for roads and landfills.

Fire Fighting: Produced water can help meet emergency water needs, with Texas requiring 250+ gallons per minute for 2+ hours.

Irrigation: After desalination, produced water can irrigate non-food crops like cotton, alfalfa, and hay — all common in the Permian region.

Future use-cases/opportunities: As industries like data centers and biofuel production expand in the region, treated produced water could serve as a strategic water supply. Recharge of brackish aquifers is also a potential long-term use.

How Much Produced Water Does Texas Recycles?

Who Are The Key Leaders in Produced Water Management in Texas?

Across Texas, regulators, companies and researchers are working together to advance responsible produced water management. From setting permitting frameworks to building commercial-scale recycling systems, these efforts are helping set global standards for water stewardship in oil and gas.

Regulators

Companies

While not an exhaustive list, these examples represent just a snapshot of the many efforts underway across Texas to advance responsible water management — underscoring the industry’s broader commitment to environmental stewardship, innovation, and collaboration.

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Produced Water Management

What is Produced Water?

How Is Produced Water Managed?

Managing produced water is part of the broader water stewardship effort in energy development. For every barrel of oil produced in the Permian Basin, operators typically manage three to five barrels of produced water. This presents both an operational and environmental responsibility.

How is Produced Water Managed in the Permian Basin Specifically?

What Are Saltwater Disposal Wells (SWDs)?

One of the most common and regulated methods for handling produced water is through saltwater disposal wells (SWDs). These underground injection wells are designed to permanently store produced water deep beneath the Earth’s surface, isolated from freshwater aquifers.

There are two main types:

Shallow disposal wells, which are less costly but have limited capacity.

Deep disposal wells, which inject water thousands of feet below drinking water sources and are considered more secure.

How Is Produced Water Reused In The Permian?

Despite the high cost, the result is ultra-pure water that can be safely and effectively used across a range of industries. In the Permian, reuse options include:

Oil and Natural Gas Operations: Produced water helps reduce freshwater use in drilling, completions, and other field operations.

Industrial Operations: Treated produced water can support various water-intensive industrial applications, including boiler feedwater, cooling system makeup water, and process water for manufacturing operations.

Commercial Activities: Uses include cement production, construction, and dust suppression for roads and landfills.

Fire Fighting: Produced water can help meet emergency water needs, with Texas requiring 250+ gallons per minute for 2+ hours.

Irrigation: After desalination, produced water can irrigate non-food crops like cotton, alfalfa, and hay — all common in the Permian region.

Future use-cases/opportunities: As industries like data centers and biofuel production expand in the region, treated produced water could serve as a strategic water supply. Recharge of brackish aquifers is also a potential long-term use.

How Much Produced Water Does Texas Recycles?

Who Are The Key Leaders in Produced Water Management in Texas?

Across Texas, regulators, companies and researchers are working together to advance responsible produced water management. From setting permitting frameworks to building commercial-scale recycling systems, these efforts are helping set global standards for water stewardship in oil and gas.

Regulators

Companies

While not an exhaustive list, these examples represent just a snapshot of the many efforts underway across Texas to advance responsible water management — underscoring the industry’s broader commitment to environmental stewardship, innovation, and collaboration.

Sign Up!

Sign Up for Updates

Socials

we are a community