LONDON (Alliance News) - Highlands Natural Resources PLC on Tuesday said it has formed a US subsidiary and has become a distribution partner to Epiphany Water Solutions in Pennsylvania.
Highlands Natural Resources owns a number of oil, gas and helium assets. Its new subsidiary, Highlands Water Resources Corp, was created to supply water to the US oil & gas industry for use in hydraulic fracturing
The partnership will see Highlands distribute Epiphany's water purification systems, which remove salt-based impurities from water that has been used for fracking and make it suitable for re-use.
Two of Epiphany's water recycling units are already in use at Highlands Natural Resources' own operations in east Denver, with Highlands receiving a fee for recycling the water and an additional fee for re-selling the treated water.
Highlands Natural Resources also said that work at its Helios Two Well in Montana has shown that its Muddy formation asset, which is prospective for natural gas and helium, could contain billions of barrels of water suitable for fracking.
"We are already receiving revenues from our initial programme with Epiphany at east Denver and we will now look to leverage our extensive regional industry network to secure additional customers for this innovative and potentially game-changing water recycling technology," said Highlands Chairman Robert Price.
"In addition, we expect to deliver updates from Montana as we focus on exploring the potential of delivering water from this expansive project area," Price added.
Shares in Highlands Natural Resources were up 0.6% at 16.39 pence on Tuesday.
