Select Water Solutions (NYSE: WTTR) has announced its acquisition of Pilot Water Solutions for $700 million, which includes $600 million in cash and $100 million in Select Class A common stock. The deal expands Select’s produced-water disposal and pipeline operations, particularly in the Delaware Basin, and is expected to close in the fourth quarter of 2026, pending regulatory approvals.
Pilot Water currently has approximately 2.7 million barrels per day of active permitted disposal capacity and handled about 850,000 barrels per day of produced water in the first half of 2026. Following the acquisition, Select anticipates daily volumes exceeding 2.5 million barrels per day in early 2027, supported by long-term contracts covering over 600,000 barrels per day in minimum-volume commitments.
The transaction is projected to generate adjusted EBITDA of $100-$110 million for full-year 2026 and $120-$130 million in 2027. Select also estimates $10-$15 million in annual cost synergies within 12 to 18 months post-acquisition, with a plan to invest $50 million in integration and network enhancements over the next two years.
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