Imperial Resources Inc., a company focused on building a portfolio of oil and gas assets, today announced that its subsidiary Imperial Oil & Gas Inc. has entered into a letter of intent to secure development funding for its recently acquired Salt Water Disposal Facility in the Barnett Shale in Texas.
The facility is strategically located for disposal of large volumes of salt water obtained from operations on Barnett Shale gas wells, and is comprised of a surface plant on approximately 41 acres of freehold land.
The facility holds a permit to dispose of up to 15,000 barrels of salt water per day into the Ellenberger formation, though Imperial said it has plans to deepen the well and reopen the facility to dispose of up to 15,000 barrels of salt water per day.
The original owner estimates the investment in the facility to be more than $5 million.
From the letter of intent, the next step is for Imperial to secure a loan agreement for up to $1.2 million, and from there to move into preparation work to quickly commence operations.
Imperial said that though plans are subject to drilling success, it anticipates commercial disposal operations to begin at the facility site by the end of the summer.
Imperial said it expects to complete the loan this month.
For more information visit www.imperialresourcesinc.com