HOUSTON--(BUSINESS WIRE)--Palisade Pipeline LLC (“Palisade”), a developer of water infrastructure projects, today announced that it has completed a transaction with Macquarie Capital, the corporate advisory, capital markets and principal investing arm of Macquarie Group, in which Macquarie Capital is providing development capital for construction of a high capacity water pipeline to deliver non-potable, sustainable reclaimed water from the City of Lubbock, Texas to the Permian Basin. Macquarie Capital will also act as the sole financial advisor to Palisade in the financing of the pipeline.
The water will support the oil and gas industry in Texas and New Mexico with potential for additional industrial users and other applications.
In June of 2019, the Lubbock City Council approved a letter of intent to sell to Palisade up to 6 million gallons per day of non-potable reclaimed water.
Palisade’s President, Phillip Laughlin said, “We are excited about the opportunity to preserve groundwater in the Permian Basin while providing a source of revenue to the City of Lubbock. We appreciate Macquarie Capital’s support of this groundbreaking project.”
“We are pleased to partner with Palisade in developing this innovative project,” said Nicholas Gole, Head of Americas Energy Principal Investments for Macquarie Capital. “This pipeline will provide a sustainable source of quality water to an area with increasing demand and limited water supply.”
Palisade Pipeline LLC is a pipeline developer and operator providing sustainable water solutions. Palisade will offer operators and other stakeholders in Texas and New Mexico a large scale, uninterrupted source of non-potable, sustainable city reclaimed water giving our customers confidence in their operations while at the same time knowing that each gallon of Palisade water conserves groundwater sources. For further information about Palisade, visit www.palisadepipeline.com.
Palisade is led by a veteran team with prior experience in government regulations, energy infrastructure, and large scale engineering.
About Macquarie Group and Macquarie Capital
Macquarie Group Limited (Macquarie) is a diversified financial group providing clients with asset management and finance, banking, advisory and risk and capital solutions across debt, equity and commodities. Founded in 1969, Macquarie employs over 15,700 people globally. As of March 31, 2019, Macquarie had assets under management of $391.4 billion. For further information, visit www.macquarie.com.
Macquarie Capital combines grounded thinking with innovative approaches to develop transformative ideas and realize greater possibilities for our clients – our partners. We look beyond convention to connect our clients with ideas and opportunities others don’t see, while our global platform, specialized expertise and comprehensive services allow us to deliver what others can’t.
Our capabilities encompass corporate advisory and a full spectrum of capital solutions, including capital raising services from equity, debt and private capital markets and principal investments from Macquarie’s own balance sheet. These offerings are reinforced through our deep sector expertise in: business services, consumer, gaming and leisure, financial institutions, green energy, healthcare, industrials, infrastructure and energy, real estate, resources, technology and telecommunications and media sectors across the US with 417 transactions completed, valued at $339 billion in the year to March 31, 2019. https://www.macquarie.com/us/corporate/advisory-and-capital-markets/lookbeyond