Aris Water Solutions, Inc. announced a significant seven-year extension of its Water Gathering and Disposal Agreement with ConocoPhillips. The primary term of the agreement has been extended from May 31, 2033, to May 31, 2040, solidifying a critical long-term customer relationship. This extension lengthens the acreage-weighted remaining term of Aris's produced water contracts from approximately six years to over ten years.
Under the extended agreement, Aris will continue to provide full-cycle water infrastructure services to ConocoPhillips in the Northern Delaware Basin. These services include recycled water supply, produced water transportation, and produced water handling operations. The extension provides Aris with substantial long-term revenue visibility, supported by ConocoPhillips' highly economic, multi-decade remaining inventory.
In an operational update, Aris stated it expects to report Adjusted EBITDA at the high end of its guidance range for the second quarter of 2025. The company also reaffirmed its full-year financial outlook, which is underpinned by the continued activity of its long-term customers in premier acreage.
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