Oilfield & Frac Water Leases
Operators pay by the barrel. One acre foot is 7,758 barrels. Do that math before you sign.
Oil and gas operators need enormous volumes of water for hydraulic fracturing, and they source much of it from landowners under water supply agreements: per-barrel sales, frac pond leases, and pipeline easements. In the Permian Basin, fresh water has sold for $1 to more than $2 per barrel, and one acre foot of water is roughly 7,758 barrels.
That math is the whole story. Water that would rent for double or even triple digits per acre foot in agricultural use can gross thousands of dollars per acre foot sold to an operator, where the geology, the regulations, and the trucking distance line up. It is the single largest value spread in western water.
It is also the market with the least public pricing and the most one-sided first offers. Operators and water midstream companies negotiate these agreements every week; most landowners see one in a lifetime. Never sign the landman’s first draft without independent numbers and counsel.
Ideal for
- Landowners over active plays: Permian, SCOOP/STACK, Bakken, Powder River, DJ
- Owners with groundwater wells, surface pits, or river permits near drilling
- Ranches approached by operators or water midstream companies
- Mineral owners wanting the surface water side priced properly
From "what do I even have?" to a priced asset
Most owners negotiate water deals exactly once in their lives, against counterparties who do it every week. The valuation levels that field before the first phone call.
- 01Day 0
Tell us what you hold
A short intake: the right, shares, or land, and the state it sits in. No documents required to start.
- 02Days 1-3
Records check + valuation
We confirm the right in state records and bracket its value against sourced comparables and basin demand.
- 03Same week
See your options
The demand map for your water: bank rates, lease structures, and the premium counterparties worth approaching.
- 04Your call
Move when ready
We connect you with the vetted broker, program, or counterparty that fits, or you take the numbers and act on your own.
Other lease types
Frac Water Leases: FAQ
How much do oil companies pay for frac water?
Reported Permian Basin fresh water prices reached $1 per barrel, and in some cases exceeded $2 per barrel. At 7,758 barrels per acre foot, that is roughly $7,800 to $15,500 per acre foot of water sold, which is why oilfield demand rewrites the value of water wherever it exists. Actual offers vary with distance, quality, and competition, and brackish or recycled supply competes at lower prices.
Do I need a permit to sell water to an operator?
It depends on the state and the source. Texas groundwater under the rule of capture generally needs no state permit unless a groundwater conservation district regulates it. New Mexico, Oklahoma, and North Dakota run permit systems where industrial use must be authorized. Getting this wrong can void the deal, so confirm the regulatory path before pricing it.
What should a water supply agreement include?
At minimum: price per barrel, term, any minimum-take or exclusivity provisions, metering and audit rights, pond and surface reclamation obligations, and indemnities. Take-or-pay minimums and audit rights are where landowners most often leave money behind.
Find out what your water is worth before anyone else tells you.
Tell us what you hold. We bracket its value against sourced comparables and real demand in your basin, then point you at the strongest path: lease, bank, or sell. Confidential, and yours to act on however you like.
- A defensible range, anchored to sourced comparables
- The demand map for your basin: who would pay and why
- Reply within one business day, confidential throughout