Aqua America and Penn Virginia Resource Partners (PVR) have formed a joint venture, Aqua-PVR Water, to construct and operate a private pipeline system to supply fresh water to natural gas producers drilling in the Marcellus Shale in north-central Pennsylvania, US.
The 12in-diameter steel pipeline will be laid parallel to the trunkline of PVR's gathering system in Lycoming County and will share PVR's existing right-of-way.
PVR will construct the water pipeline and handle the negotiation of water pipeline capacity contracts with producers, while Aqua will operate the system when completed and handle the water intake supply arrangements.
The firms will invest $12m each for the construction of the project's first segment.
The joint venture has agreed to supply fresh water to Range Resources' three water impoundments.
