Exclusive: Warren Buffett/Pilot Deal For Midland Produced Water Co. Expands O&G Energy Services

Pilot Flying J will now have Cokes for your kids and gasoline for your vacation plus 24 saltwater disposal wells for your oil company


June 11, 2019


Warren Buffett-backed Pilot Flying J is taking on the appearance of an energy-related conglomerate in the making.

Buffett’s Berkshire Hathaway has a 38% stake — for which it paid $2.7 billion — in the roadside retailer and fuel distributor, which owns the fourth largest over-the-road tanker fleet in the US, and is busy becoming an oil and gas services company as well.

And Pilot Flying J has just bought a Midland-based water infrastructure and disposal services company.

The Knoxville, Tennessee-based Pilot has purchased RBJ & Associates in a deal that includes 24 saltwater disposal wells with a permitted daily disposal capacity of approximately 600,000 barrels.

RBJ also owns 150 miles of pipeline gathering systems and other supporting infrastructure for transporting and disposing of produced water.

RBJ founder and chairman Randy Jones said he’s “excited to partner with Pilot and further accelerate RBJ’s evolution into a leading midstream provider of water management infrastructure and solutions.”

In late November 2018 Pilot Flying J purchased equity interests in privately-held Equipment Transport LLC, a company that provides fluid transportation, waste management, and ancillary pad support services to customers in the Marcellus and Utica Shales and the Permian Basin

The deal was arranged by PDPS, a joint venture between Pilot Flying J and Baton Rouge-based Produced Water Transfer LLC.