#United States #The Woodlands #TETRA Technologies #Smackover Formation #Evergreen Unit

TETRA Technologies' Strategic Move to Expand the Evergreen Unit

Recently, TETRA Technologies, Inc., a prominent player in the energy sector, announced significant developments regarding its Evergreen Unit located in the Smackover Formation. On April 22, 2025, the Arkansas Oil & Gas Commission (AOGC) approved TETRA's request to increase the size of the Evergreen Unit from 6,138 gross acres to 6,953 gross acres. This expansion is part of TETRA's strategy to enhance production capabilities for bromine and other essential minerals.

The approval follows a report from a third-party analysis indicating that lithium concentrations within the new expansion unit are higher than the average found in the original Evergreen acreage. This promising discovery, combined with extensive reservoir studies by Lonquist Engineering, suggests that the expansion will prolong the production lifespan of bromine and other valuable minerals.

As TETRA continues its work, the AOGC is expected to finalize the formal order for the expansion within the next month. Notably, Saltwerx, LLC plays a role as a participant in the Evergreen Unit, holding around a 35% interest in the brine assets.

Favorable Test Well Results

In addition to the expansion approval, TETRA has recently completed drilling and sampling operations for an additional test well within the Evergreen Unit, with results yielding encouraging insights. These positive findings mean that the reservoir engineering model will soon be updated, revealing new estimates for resource volumes relating to bromine and lithium.

Beyond bromine and lithium, the additional test results have highlighted notable concentrations of magnesium and manganese. These minerals are classified as critical in the U.S. and are primarily sourced from international markets, making this discovery even more significant. TETRA's efforts in mineral extraction from produced water positions the company to evaluate extraction technologies that could potentially unlock these additional mineral resources, enhancing its portfolio further.

Future Avenues and Collaborations

The company's strategic focus remains on optimizing its bromine assets while pursuing engineering advancements and critical investments to drive the project forward. Alongside TETRA's expansion, the AOGC has also approved an application from SWA Lithium to establish a lithium unit based on an option agreement involving Standard Lithium, SWA Lithium, and TETRA. This agreement assures TETRA a 2.5% royalty on gross revenues generated from lithium production by Standard Lithium on the acreage covered under the option agreement.

Thus, TETRA retains rights to bromine and other non-lithium minerals extracted from the brine produced by Standard Lithium, setting the stage for ongoing collaboration and productivity.

Company Overview and Future Outlook

TETRA Technologies, Inc. is not just another energy services company; it is committed to developing eco-friendly solutions that improve lives worldwide. With operations spanning six continents, TETRA focuses on Energy Services, Industrial Chemicals, and emerging Lithium Ventures. As TETRA looks to fulfill the global demand for sustainable energy solutions, its innovative ventures and strategic expansions equip the organization to navigate the complex energy landscape of the twenty-first century.

With continuing advancements and an optimistic outlook regarding resource extraction, TETRA Technologies stands poised as a leader in the field, demonstrating how strategic planning and scientific exploration can yield substantial benefits for the organization, shareholders, and the broader community.

For more information on TETRA Technologies and its ongoing projects, visit TETRA Technologies' website.