APG Secures Dual Fuel Conversion Order from Consol, USA

American Power Group Corporation announced that its subsidiary, American Power Group, Inc, has received a follow-on order from CONSOL Energy’s gas division for three additional dual fuel engine conversions on a second drilling rig in the Marcellus Shale.

CONSOL Energy is a publicly owned Pittsburgh-based producer of coal and natural gas that has active exploration and production operations in the Marcellus and Utica shales.

APG is working in collaboration with CONSOL Energy and Linde North America to utilize liquefied natural gas (LNG) with APG’s Turbocharged Natural Gas™ technology to lower CONSOL Energy’s cost of on-site power and lower their emissions compared to dedicated diesel engines. APG successfully completed CONSOL Energy’s first rig conversion in July of 2012 and expects to complete the second rig conversion during the next several months.

“We look forward to further verifying the expected cost savings and emissions reductions on two rigs, and then applying these benefits throughout our rig fleet,” said Steve Winberg, CONSOL Energy’s vice president of Research & Development.

“We see a bright future for LNG in dual fuel oil and gas applications,” said Bryan Luftglass, head of strategic market and business development for Linde Energy Solutions. “We are delighted to be working with innovators such as APG and CONSOL Energy who are demonstrating leadership in utilizing this cutting-edge technology.”

Lyle Jensen, American Power Group Corporation’s President and Chief Executive Officer, stated, “With LNG becoming a viable dual-fuel alternative to pipeline and conditioned well-head gas, we are well positioned to expand our product offerings to a vast majority of the rigs in operation today.

“The number of APG oil and gas dual fuel engine conversions grew ten-fold in our first year of production, exceeding $2 million in cumulative revenue. We expect the Marcellus and Utica shale regions to provide significant growth opportunities for our technology in the coming years.”

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LNG World News Staff, October 05, 2012