Company: WBI
Filing Date: 2025-08-22
Form Type: S-1
Source: 0000950170-25-111048
Chunk: 232

Company: WaterBridge Infrastructure LLC
Filing Date: 2025-08-22
Form: S-1
Chunk 232
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 portions of Texas, was a candidate species for listing under the ESA by the FWS for many years. Our customers may be participants of the Texas Conservation Plan (“TCP”) or the Candidate Conservation Agreement with Assurances (“CCAA”) for the DSL, whereby such participants voluntarily agreed to implement mitigation measures to protect the DSL and preserve DSL habitat. In May 2024, the FWS designated the DSL as endangered under the ESA. If the TCP or CCAA are revised (including new or expanded habitat designations) and impose additional restrictions on oil and gas operations in the Permian Basin, it could cause us or our customers to incur additional costs or become subject to operating restrictions or bans in the affected areas. Such new operating restrictions or bans affecting our customers’ operations could indirectly affect our financial performance and results of operations by potentially decreasing demand for our services. However, as part of a series of executive orders and other actions, President Trump declared a “national energy emergency” directing all federal agencies with energy projects to use emergency consultation rules to resolve ESA-related issues. Additionally, in April 2025, the FWS issued a proposed rule proposing to revoke the USFWS regulations that include within the definition of “harm” under the ESA certain habitat modifications (a “significant habitat modification or degradation where it actually kills or injures wildlife by significantly impairing essential behavioral patterns, including breeding, feeding or sheltering.”). While it is not yet possible to determine how such actions may impact our and our customers’ businesses, such federal actions may prompt more protective laws and regulations to be advanced at the state and local level.

National Environmental Policy Act

Major federal actions, such as the issuance of permits associated with construction, can require the completion of certain reviews under the National Environmental Policy Act (“NEPA”). NEPA requires federal agencies, including the Corps, to evaluate major agency actions having the potential to significantly impact the environment. The process involves the preparation of either an environmental assessment or environmental impact statement depending on whether the specific circumstances surrounding the proposed federal action will have a significant impact on the human environment. The NEPA process involves public input through comments which can alter the nature of a proposed project either by limiting the scope of the project or requiring resource-specific mitigation. NEPA decisions can be appealed through the court system by process participants. This process may result in delays in the permitting and development of projects, increase the costs of permitting and developing some facilities and could result in certain instances in the abandonment of proposed projects, which could directly and indirectly affect our financial performance and results