WaterBridge To Acquire Southern Delaware Produced Water Infrastructure Of Centennial Resource Development
February 26, 2020
HOUSTON, Feb. 25, 2020 /PRNewswire/ — WaterBridge Holdings LLC (together with its subsidiaries, “WaterBridge”) announced today that it has signed a definitive agreement to acquire the Southern Delaware Basin produced water infrastructure of Centennial Resource Production, LLC, a subsidiary of Centennial Resource Development, Inc. (NASDAQ: CDEV) (“Centennial”). Contemporaneous with closing, WaterBridge and Centennial will enter into a 15-year produced water management agreement at market rates for Centennial’s operated acreage within an extensive area of mutual interest. The transaction is valued at $225 million, consisting of $150 million in upfront cash and an additional $75 million payable to Centennial over a three-year period based on Centennial achieving certain incentive thresholds. The transaction is subject to certain regulatory approvals and other customary closing conditions, and is expected to close in March 2020.