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Petro Waste Environmental Commences Orla Landfill Joint Venture

SAN ANTONIO, TX --(Marketwired - April 20, 2016) - San Antonio-based Petro Waste Environmental LP (PWE) today announced the commencement of its Orla Landfill, LLC ("Orla Landfill") joint venture. Through this joint venture entity, PWE will be constructing and operating a 217 acre Texas Railroad Commission (RRC) regulated oil & gas non-hazardous solid waste disposal facility at the intersection of Hwy 285 and FM 652 in Reeves County, Texas. The Orla Landfill will accept oil based mud, water based mud, oil based drill cuttings, water based drill cuttings, contaminated soil and RCRA exempt non-hazardous E&P waste. Additionally, the facility will provide washouts and other ancillary services. Construction is scheduled to begin this April and the facility is scheduled to open in the first quarter of 2017.

The Orla Landfill is the second planned facility for Petro Waste in the Permian Basin. In addition to Orla, PWE also holds a permit for a second facility in Howard County between Stanton and Big Spring on the north side of the frontage road of Interstate 20 at exit 165. The 144 acre Howard County Landfill will provide the same services as the Orla Landfill. Construction of the Howard County facility is scheduled to commence mid-year 2016 and will be completed in early 2017.

"The Orla Landfill is a very strategic facility for PWE, being located in the heart of the Delaware Basin. This facility, combined with the Howard County facility in the Midland Basin, gives PWE two of the best locations in the Permian, bringing us one step closer to our goal of having facilities located within 30 miles of all drilling activity throughout the Permian Basin and Eagle Ford Shale," said Petro Waste Founder and Chief Executive Officer George Wommack.

The exploration and production (E&P) of oil and gas creates various forms of waste that must be processed and disposed of according to strict regulations set by the RRC and the U.S. Environmental Protection Agency (EPA). In recent years, technological advancements have enabled E&P companies to more efficiently extract hydrocarbons from the earth, but these new extraction techniques have increased the volume of non-hazardous solid wastes and high solids content waste fluids. These consist primarily of oil-based drilling muds and cuttings, and high solids content frack flow-back water. Until now, there has been a lack of infrastructure capable of efficiently processing and disposing of these waste streams near the drilling sites. As a result, it has been necessary to truck large quantities of the wastes over long distances to the few existing facilities capable of accepting the materials. Petro Waste Environmental is addressing this infrastructure shortage by constructing state-of-the-art, RRC-permitted waste-processing and disposal facilities that are strategically located throughout the Permian Basin and the Eagle Ford Shale.

Wommack emphasized that high standards of safety and compliance are Petro Waste's top priority. The company is working with the best engineering firms to create state-of-the-art facilities using world-class technology, including high-tech automation and monitoring systems that supplement the functions of onsite personnel. 

Petro Waste has flourished, despite declining oil prices, for a variety of reasons. The long term nature of the large scale infrastructure projects constructed by PWE result in the company being less affected by cyclical ups and downs in commodity prices. The need for waste disposal exists in all market cycles and PWE is steadfast in its commitment to building the facilities needed by the industry. The company has a strong equity partner in Tailwater Capital and Petro Waste carries no debt, enabling it to excel in the current depressed market. This solid financial base has afforded PWE the flexibility to maintain long-term growth priorities and focus on providing the best solutions to fulfill their customers' needs.

"In the past five to ten years horizontal drilling has breathed fresh life into the Permian Basin and shown that it will be one of the most actively developed basins in the country for the foreseeable future," said Wommack. "As a Midland native, it is refreshing for me to witness the resurgence of the Permian Basin, not just as a regional force, but one garnering global attention."

Petro Waste Environmental LP is building one of the largest networks of oilfield waste-processing and disposal facilities in the United States, strategically locating facilities throughout the Permian Basin and Eagle Ford plays. The company provides all forms of non-hazardous E&P waste-processing and disposal. Petro Waste is continually adding new facilities to ensure its customers have access to waste disposal facilities that meet federal and state guidelines as close as possible to their drilling sites. Its goal is to be no more than 30 miles from any E&P activity within its operating basins.