Q & A
01
What is a Salt Water Disposal Well?
​
A salt water disposal well or SWD Well is a disposal site for water collected during oil and gas production. When oil and gas are pumped out of the earth, they aren't pure enough for distribution. The oil and gas go through a separation phase or are treated with chemicals that extract the impurities. After the oil or gas is treated, there is "salt water" leftover that must be carefully handled. Companies may choose to recycle the salt water by injecting it back into the well for secondary oil recovery or dispose of it at a salt water well disposal site. Saltwater disposal wells are a safe way to manage the byproducts of oil and gas production.
02
How is a Salt Water Disposal Well Created?
To ensure the environment is not contaminated, saltwater disposal wells have unique construction requirements. In Texas, saltwater disposals are required to have three layers of casing to ensure groundwater remains safe. The first layer, referred to as surface casing, reaches from the surface to below the deepest usable quality groundwater level. The surface casing is a steel pipe surrounded by cement. The next layer of casing is the production casing. This runs the entire length of the well and is a pipe permanently cemented in the wellbore. The final protection layer contains the injection tubing string and packer. These components guide the injected water to the bottom of the well and into an underground formation. This construction is the most secure way to dispose of saltwater to date.
03
What are some reasons to invest in Saltwater Disposal Facilities?
Receive revenue in three faucets:
1. For every barrel of skim oil sold
2. For every barrel of saltwater disposed
3. Monthly revenue via cashflow.
Diversify your portfolio with investments not tied to the stock market.
You can put your IRA/401K to work as Investments in Salt Water disposal is IRA/401K compatible.
Lastly, additional potential for tax benefits.
​
04
What is the case for Water?
Water is by far the largest byproduct by volume generated by Oil and Gas operations. Millions of barrels of water are used and produced every day by oil and natural gas providers. The vast majority of this water is disposed of via saltwater disposal wells by either vacuum truck or pipeline. In many cases, oil and gas wells can generate as much as 4 to 6 barrels of water per barrel of oil.