Prometheus Energy, Seneca Resources Enter into Long-Term LNG Supply Agreement, USA

Prometheus Energy Group, a leading supplier of liquefied natural gas (LNG) to the industrial sector, announced it has entered into a long-term master agreement with Seneca Resources Corporation, the wholly-owned exploration and production subsidiary of National Fuel Gas Company, to supply LNG and related equipment and services for Seneca’s initiative to utilize clean-burning natural gas in its drilling operations.

Under the agreement, Prometheus will be Seneca Resources’ exclusive turnkey LNG solutions provider, supplying LNG fuel through its established North American LNG network, providing onsite mobile LNG storage and vaporization equipment, and providing skilled local technician support to ensure operational reliability of LNG equipment.

In addition, the agreement will provide Seneca with an immediate reduction in fuel costs and air emissions (CO2, SO2, NOX), coupled with the operational flexibility required in today’s dynamic E&P market.

“Prometheus developed the world’s first LNG-fueled drilling rig solutions, and our market leading experience in the LNG-fueled drilling space makes us uniquely capable to address the major challenges of an evolving E&P operation while providing demonstrable value for our customers”, said Ron Bertasi, CEO of Prometheus Energy. “We are extremely pleased to partner with a leader like Seneca Resources in providing a lower cost, cleaner burning natural gas alternative for their operations.”

“We are proud to be the first operator in the Pennsylvania Marcellus to launch such a program using dedicated natural gas engine technology. And we are equally proud to partner with industry leaders such as Prometheus Energy and our drilling equipment partner Ensign Energy Services Inc.,” said Steven Conley, Vice President of Drilling in Seneca’s Pittsburgh office.

Ensign, one of the world’s leading land-based drillers and well servicing providers for crude oil, natural gas and geothermal, operates 15 drilling rigs exclusively on natural gas in the United States.

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LNG World News Staff, October 26, 2012