Select Water and Occidental Boast Progress at Lost Tank Recycling Site in New Mexico

ATLANTA, GEORGIA (Chad Archey, Energy Analytics Institute, 12.Feb.2025) — Select Water Solutions, Inc. and Occidental announced significant progress in their joint initiative of reducing freshwater usage and reliance on disposal in the Northern Delaware Basin.

This, through successful development and commercialization of the Lost Tank recycling facility in Lea County, New Mexico, Select Water announced 12 Feb. 2025 in an official statement. 

The facility commenced operations in 2022 with an initial recycling capacity of 60,000 barrels per day (b/d). Since, the facility has expanded to process 180,000 b/d supported by 1.9 million barrels (MMbbls) of storage. To date, over 50 MMbbls of produced water have been recycled at the facility, reducing environmental impact while meeting the growing water management needs of the region, Select Water said.

Mesa Verde assets

As part of this collaborative effort, Select Water also constructed a 13-mile produced water pipeline to Occidental’s Mesa Verde assets in Southeast New Mexico. 

This infrastructure connects produced water assets to the recycling facility and allows greater flexibility for water recycling and reuse. And, with advanced automation, the system supports dynamic water balancing across the network, allowing water to efficiently be treated, reused, and redirected to multiple operators to reduce disposal volumes while adapting to changing schedules and operational demands. 

The network is expected to expand further by 2025, with plans to increase pipeline connectivity and integrate the facility into a broader system with total storage capacity of 12 MMbbls.

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By Chad Archey reporting from Atlanta. © 2025 Energy Analytics Institute (EAI). All Rights Reserved.