MIDLAND, Texas--(BUSINESS WIRE)--STW Resources Holding Corp (OTCQB: STWS) and its subsidiary, STW Pipeline announced today that it has received the capital expenditure allocations from customers for 2015. Additionally, STW Pipeline has won several multi-million dollar contracts for new pipeline construction. STW Energy announces entering into the oil and gas midstream sector by offering hydro excavation for trench digging and existing pipeline location services to maintain and build new pipelines.
STW Pipeline is well positioned to handle the recent decline in oil prices due to having already received their 2015 CAPEX allocations for pipeline maintenance, which exceeds last year’s total revenues. Additionally, the company has won two new pipeline construction contracts and is bidding on several more for additional work throughout the year.
STW Pipeline President Adam Jennings stated, “STW Pipeline is poised to grow with new projects and higher revenues this year. Even though the price of oil has declined, maintenance of the current pipeline infrastructure is ongoing daily and also many of the new wells that were drilled and completed in the previous few years still need to be connected to the sales pipelines. This is a very good opportunity for companies to 'catch up' as they have been drilling and completing new wells at an extremely fast pace.”
STW Energy has been working to further diversify services to increase revenues and margins. This year, Energy has already been awarded two new/additional master service agreements and is now offering midstream services. In an effort to maintain a defensive posture in the face of recently declining oil prices and increase sales, STW Energy has been making an aggressive push to capture master service agreements to diversify its customer base. Also, in an effort to capture midstream business from oil and gas producers, the company is now offering hydro excavation services. This process of digging is safer, takes less time and is cost effective by comparison to conventional trenching with a backhoe.
President of STW Energy Joshua Brown stated, “Hydro-Excavation is, hands down, the safest way to start, maintain or finish a small or large project. I am very excited to be adding this to my services offered with STW Energy and have been working round the clock to let my current and future customers know it is available by our company. Safer, faster, non-destructive digging methods are the future of keeping every work site a safe one.”
STW Resources Holding Corp (OTCQB: STWS) is a quality provider of oilfield services, water reclamation and processing management services, and rig cleaning services through its three subsidiaries. STW Water is a Total Water Solutions Provider Company and provides turnkey design build solutions and provides its Customers with “out-of-the-box” design solutions to meet customers’ water needs. STW Water has capabilities to provide complete oversight of various water and wastewater projects with primary focus on engineering, regulatory permitting including Public Water Systems (PWS), Discharge permits, Pilot exception and Pilot Study, equipment design & treatment process design, manufacturing & installation and full scale Commissioning and training for all types of oil & gas, industrial and municipal water and wastewater markets throughout the State of Texas. STW’s model of water ownership has had recent successes and broken ground on both Upton County and Ft. Stockton, Texas projects.
It consults and provides customized water analysis, reclamation and remediation services to a variety of complex oil and gas produced and flowback water, brackish water, ocean water desalination, industrial, and municipal applications throughout several geographic locations to fill a tremendous need for fresh water in the areas they service. As an independent solutions provider, STW utilizes proven technologies, from various well-known manufacturers, including Salttech, a Zero Liquid Discharge (ZLD) technology that is economically feasible to use. These technologies are available as fixed or mobile units with varying capabilities. STW's process ensures that the most effective and efficient technologies are implemented. The Salttech system can process any saline laden water with Total Dissolved Solids (TDS) levels ranging from 5,000 ppm to >300,000 ppm. Current potential project locations include the Eagle Ford Shale (TX), the west Texas Delaware and Permian Basins (TX), eastern New Mexico, and ocean desalination projects on the Gulf Coast of Texas, California, and Hawaii.
ENVIRONMENTAL IMPACT: If STW’s Salttech Technology is placed in-line with a Seawater Reverse Osmosis System or used with a geothermal operation, there will be no potentially environmentally sensitive brine concentrate discharged into the local waterways since the system is Zero Liquid Discharge and 93-97%+ of the fresh water is recovered in the process. The waste stream is salt crystals and minerals. This is a completely Blue/Green operation that provides a sustainable supply of power and water for municipal and industrial use.
STW uses the latest technology to install new pipelines and repair and maintain aging water and oil & gas pipelines (STW Pipeline) and remove oil and diesel residue from drilling rigs to meet environmental regulations (STW Energy).
This news release contains forward-looking statements about our business, or financial condition and prospects that reflect our assumptions and beliefs based on information currently available. We can give no assurance that the expectations indicated by such forward-looking statements will be realized. There may be other risks and circumstances that we are unable to predict. When used in this news release, words such as "believes," "expects," "intends," "plans," "anticipates," "estimates" and similar expressions are intended to identify forward-looking statements, although there may be certain forward-looking statements not accompanied by such expressions. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including risks discussed in the company's periodic reports that are filed with the Securities and Exchange Commission and available on its website (www.sec.gov). All forward-looking statements attributable to the Company or to persons acting on its behalf are expressly qualified in their entirety by these factors other than as required under the securities laws. The Company does not assume a duty to update these forward-looking statements.