Zeus: LNG Used in Six Out of Eleven Gas-Fueled Fracking Projects
With some six percent of North America’s 1,200 land drilling rigs now fueling with natural gas, North American exploration and production companies are turning their attention to gas-fueled hydraulic fracturing (fracking). A survey conducted by energy researcher, Zeus Development Corp, has identified six out of eleven gas-fueled fracking projects where liquefied natural gas (LNG) will replace diesel. Representatives from Apache, Pioneer Natural Resources, Linde, Prometheus and American Power Group will discuss these projects during an industry meeting on Oct. 31.
“LNG is the fuel of choice for hydraulic fracturing because it gives the operator the flexibility to deliver high volumes on short notice,” said Siyu Chen, lead LNG fuel analyst at Zeus. “A typical frack spread consisting of 50,000 to 70,000 horsepower will consume several trailerloads of LNG, then shut down to reposition to a new site. Out of the eleven projects we surveyed, six were LNG, three pipeline gas, one CNG and one has yet to be determined.”
According to industry estimates, some 1.2 billion gallons of diesel are consumed by North American hydraulic fracturing systems annually. At any given time, 300 to 400 units are in operation, fracturing rock formations to yield oil and natural gas. LNG can cut fuel costs by a third. Industry estimates peg potential savings at more than a billion dollars per year if all fracking spreads are converted to gas.
To evaluate the growing number of projects and examine this emerging trend, Zeus will host a one-day LNG-fueled hydraulic fracturing workshop in Houston. The meeting will bring together E&P firms, fracking providers, fuel suppliers and technology vendors to examine the trend.
LNG World News Staff, August 1, 2013