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Seeking to cut back on truck traffic while optimizing lucrative water sales, Fort Lupton city officials approved a plan last week to service oil industry water vehicles on both sides of town.
The agreement, supporting a contract with Anadarko Petroleum, sets up a second service point for water trucks to upload from the city’s tank farm on the east side of Fort Lupton, near Coyote Creek Golf Course.
To the west lies the Perry Pit, a gravel operation owned by Consolidated Mutual with water storage near U.S. 85 and Weld County Road 6. The city leases space in the pit to provide water to the oil and gas industry.
“We also put our water into it,” Hanes said. “Effluent from our wastewater plant, and during the season, we will be putting Fulton (Ditch water) in there. It’s water for the Anadarko agreement and also for our own releases for augmentation.”
Now operational, the Perry link provides water to Anadarko.
Northern Colorado Constructors, the contract winner for the Perry discharge outlet, will construct a similar use setup at the tank farm on the east side, reducing or eliminating the need for crosstown traffic with their vehicles. The bid, to be paid from the city’s utility fund, is slated not to exceed $106,690.
“Ease of access, and to keep the trucks off the road,” Hanes said, of the reasons behind the build.
The measure aids both Anadarko and the city, enabling the city to service a multi-year water contract while reducing the strain on infrastructure.
“We have an agreement with Anadarko that we established last year, We will basically sell them 300 acre-feet of water on a pay-or-take basis. They pay for it whether they take it or not. That accounts for about $978,000 per year. Then we also have another pay-when-take piece for another 200-acre feet.”
The contract runs for three years, with an option for another three-year extension.