Water handling solutions provider Heckmann Corp. has bought pumping and delivery services company Consolidated Petroleum Inc. (CPI), which serves customers conducting hydraulic fracturing (fracking) in the Haynesville and Eagle Ford shales. Heckmann said the acquisition boosts its ability to provide fresh water for fracking.
"...[T]his transaction expands our capabilities for fresh water sourcing and delivery, strengthening our value proposition as the single best resource for exploration and production water solutions..." said Heckmann CEO Richard Heckmann.
Assets acquired include about 180 miles of portable poly and aluminum pipe that is used above ground for pumping and transporting water from streams, ponds and special holding areas, including Heckmann's frack tanks, to well sites. The acquired CPI assets will add further service capabilities to Heckmann's fresh water pipeline currently under construction in the Haynesville Shale area. Other assets acquired include pumps, trucks, flatbed trailers, frack tank connections and real property. Heckmann will retain about 80 CPI employees. Other details were not disclosed.
"We believe CPI's offering will be attractive for producers in the Marcellus Shale area, as well as the Haynesville Shale and Eagle Ford Shale, because the portable pipe can be used above ground to supplement our already well established fleet transport operations in all regions and our pipelines in the Haynesville region," Heckmann said.
CPI recently established a partnering arrangement with a "major producer" on a water pipeline infrastructure project for the Eagle Ford area, Heckmann said. Late last year Heckmann acquired Carthage, TX-based Complete Vacuum and Rental Inc. in order to expand operations in the Eagle Ford as well as the Barnett Shale (see Shale Daily, Nov. 11, 2010).