STW Resources Holding Corp. And CK Investments Energy Company Form A Joint Venture To Treat Brackish/Produced Water Sources

Reclaimed water using STW Technology to be used by CK Investment's customers in drilling and hydraulic fracturing operations

Midland, TX (BUSINESS WIRE) -- STW Resources Holding Corp. ("STW Resources") (OTCQB: STWS), a water reclamation services company, today announced that it has executed a joint venture agreement with CK Investments Energy Company, a Texas corporation ("CKI") to commission a proprietary brackish/produced water processing facility in the Permian and Delaware Basins of West Texas.

CKI is an energy investment company with major holdings including B&K Trucking ("BKT"). BKT is one of the premier water transportation and frac tank rental companies with operations throughout the Permian and Delaware Basins of West Texas. BKT's customer base includes many of the major oil companies, including a strong working relationship with the largest oil producer in the state. BKT's water transportation is engaged in transporting both fresh and brine water for oilfield uses such as drilling and hydraulic fracturing.

Clayton Kennedy, CEO of CKI, stated, "This agreement and our partnership with STW Resources will allow our oil company customers to continue drilling and fracking oil and gas wells while preserving our fresh water aquifers. STW Resources' technology provides an environmentally friendly solution to the water issues facing the oil and gas industry."

Texas is facing a drought of historic proportions, accompanied with large population growth and increased demands on fresh water supplies. STW Resources will be implementing proprietary technologies that will take brackish and/or produced water and will process the otherwise unusable water to fresh water status.

Stanley Weiner, CEO of STW Resources, said, "We are standing on top of an ocean of brackish water and producing billions of barrels of unusable water associated with oil and gas production. With our new proprietary system, we are able to introduce a new source of water suitable for drilling and fracking operations, thus preserving our fresh water for municipal and agricultural use."

There are over 800,000 billion gallons of water in the salty aquifers of Texas. STW Resources' system will process approximately 20,000 to 30,000 barrels per day, or 840,000-1,260,000 gallons per day.

"The oil and gas companies are acutely aware of the current fresh water shortage situation that they are facing now and in the future," added Mr. Weiner. "Many of these companies have wanted to demonstrate their corporate responsibility to the communities they work in, taking steps to protect and preserve the environment. However, until now, these water reuse options have been widely uneconomical based on current technologies available for water treatment. STW Resources can clean this water at a cost to the producers at approximately the same as fresh water, and by centrally locating the systems we can further reduce the operator's transportation costs."

About STW Resources Holding Corp.
STW Resources Holding Corp. ("STW Resources"), Midland, Texas, provides customized water reclamation services. STW Resources' core expertise is an understanding of water chemistry and its application to the analysis and remediation of complex oil and gas water reclamation projects. STW Resources provides a complete solution throughout all phases of a water reclamation project, including analysis, design, evaluation, implementation and operations. For more information, go to: www.stwresources.com.

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SOURCE: STW Resources Holding Corp.