Mitsui Acquires Stake in Water Standard
Water Standard Management (US), Inc., a company focused on water treatment for enhanced oil recovery (EOR), announced that Mitsui & Co., Ltd. has acquired a minority interest in Water Standard as it pursues opportunities in the emerging global EOR market. Water Standard is a recognized leader in water based EOR, providing specialized water treatment services for both EOR and produced water, offshore and onshore. Water Standard is actively participating in the design and development of a number of closely watched offshore EOR projects in Asia that will incorporate next generation water related technologies promising significant improvement in overall EOR economics and efficiencies.
"We are extremely pleased to close this transaction with Mitsui," said Amanda Brock, CEO of Water Standard. "Mitsui shares our belief that we will see rapid growth globally in EOR. With their strategic support and the synergies we have identified in their existing portfolio of companies, Water Standard will continue to expand its capabilities and geographic reach and its development of products and services needed for effective implementation of water based EOR."
Demand for EOR products and services to increase recovery rates is expected to grow significantly, driven by declining production in mature reservoirs and the cost of developing new reserves. Water based EOR is one of the fastest growing segments in secondary and tertiary EOR, demonstrating, in some cases, incremental oil recovery of 10 to 30 percent.
"Mitsui views Water Standard, with its uniquewater based solution for the oil industry, as a contributor with significant potential for effective utilization of the limited hydrocarbon resources on the earth which coincides with Mitsui's dedication to a sustainable society," said Jun Aketa, a General Manager of the First Projects Development Division in Mitsui.