STW Resources Holding Corp. (STW) said one of its subsidiaries has completed building two pipeline projects to serve producers in the Permian Basin and has been awarded a contract to complete a third pipeline now under construction.
CEO Stanley Weiner told NGI on Wednesday that the two gas pipelines completed by subsidiary STW Pipeline Maintenance & Construction were five and eight miles in length and in the Midland area of West Texas. One of the pipelines measured eight-to-12 inches in diameter while the other was a 16-inch diameter pipe.
Weiner said the third pipeline was also eight miles in length and also in West Texas. On Tuesday, STW said the subsidiary had been “awarded a third contract for a multi-mile pipeline, which presently is under construction and is in various stages [of] the bidding process for additional projects."
According to the company, over the last three months the subsidiary has hired more than 60 people to fill the ranks of 12 full-time work crews. STW said the crews have been working under contracts with producers and midstream companies "to maintain and repair existing pipelines [and for] building new lines, and setting tank batteries and compressor stations."
Subsidiary president Adam Jennings said the company earned a 10% bonus over the original bid for completing a pipeline project early. It was unclear if that applied to both completed pipelines.
Weiner said that under the current growth rate, the subsidiary is projected to add 16 to 20 additional work crews in 2014, with each crew generating $1.0-1.2 million per year. "Each time a pipeline project nears completion, the companies keep adding two to three new jobs for us to start on," he said.