Libertystream, Select to build Texas lithium facility

Executive Summary

• Select Water Solutions Inc. and Libertystream Infrastructure Partners Inc. have entered into a definitive agreement to deploy commercial lithium carbonate production facilities at Select’s water treatment sites in the Midland Basin, Texas.
• The project follows a three-stage development program, with the initial 1,000-tonne per annum facility slated for commissioning by December 2026.
• The partnership leverages Select’s existing water infrastructure to reduce capital and operating costs for Libertystream’s direct lithium extraction (DLE) process, aiming to unlock value from oil field brines.

Key Details

• Agreement Structure: Definitive agreement between Select Water Solutions Inc. and Libertystream Infrastructure Partners Inc. to build out commercial lithium carbonate production units.
• Location: Facilities will be located at Select’s existing water treatment and recycling sites in the Midland Basin, Texas, specifically starting in Howard County.
• Stage 1 Timeline & Capacity:
  • Site preparation begins March 2026.
  • Full construction commences in the latter half of Q2 2026.
  • Commissioning scheduled for December 2026.
  • Production capacity: Up to 1,000 tonnes of battery-grade lithium carbonate per annum.
  • Target market: United States customers.
• Stage 2 Timeline & Capacity:
  • Commissioning of a second carbonate facility on or before June 2027.
  • Capacity: Up to 1,000 tonnes of battery-grade lithium carbonate per annum.
• Stage 3 Timeline & Capacity:
  • Begins July 2027.
  • Commissioning of at least two additional carbonate facilities.
  • Locations: Existing Select facilities across Howard, Martin, Midland, Upton, and Glasscock counties, Texas.
• Operational Synergy: Select’s water recycling and pretreatment capabilities are critical to the process, removing a major pretreatment step required for direct lithium extraction, thereby reducing capital and operating costs for Libertystream.
• Strategic Rationale: Select aims to unlock new value streams from existing water infrastructure, transforming oil and gas waste streams into shareholder value and enhancing returns on invested capital through high-margin revenue streams.

Notable Quotes

• John Schmitz, Chairman, President and CEO of Select Water Solutions: "This project leverages Select's market leading infrastructure network while unlocking the resource value inherent in the large volumes of produced water that move through it each day. By integrating lithium extraction into our existing water platform, we are creating meaningful incremental value from assets already in place. This is precisely the type of multiuse infrastructure initiative that supports our long-term growth strategy and enhances the durability of our profitability."
• Alex Wylie, President and CEO of Libertystream: "We have made tremendous progress scaling our lithium extraction and carbonate refining processes in the Permian basin over the past 18 months," said Alex Wylie, president and chief executive officer of Libertystream. "We have been preparing for commercial production throughout the past year, and we are excited to partner with Select -- an organization with the experience, infrastructure and operational reach needed to unlock the vast lithium resource contained in Permian basin oil field brines."