Posted on 10/03/2018 9:07:41 AM PDT by bananaman22
Drillers in the fastest-growing oil region in the United States face infrastructure issues beyond limited pipeline takeaway capacity or water and frac sand supply.
Permian oil producers need a lot more electricity to power well production than they did just a few years ago. And the West Texas electricity gridwhich wasnt planned for so heavy a loadis straining to catch up with power demand.
Thanks to rising oil prices, oil production in the Permian has been surging. While drillers have flocked again to the hottest U.S. shale play, electricity infrastructure and transmission grids in West Texas need years to expand to keep reliable power supply on.
(Excerpt) Read more at oilprice.com ...
Are there generators that operate on any natural gas from these wells?
Or on crude oil?
Back in the day they used wellhead gas.
Regulations are killing the e-gen capabilities of producers. Specifically, gas that can be “marketed” MUST be marketed within 30 days of production, regardless of use. Loopholes exist, but that is the meat&potatoes of the reg.
Loss of STATE revenue thru flaring is the excuse. Emission regulations are also stifling. NGO’s deploy and watch flares around Midland/Odessa; file suit on day 30.
see my #5.
I just left Permian. Am Regulatory Compliance specialist.
Thanks for the info.
Did OPEC finally agree to limit supply? Is the world economy that much better that more energy is being consumed?
What gives?
Get some solar panels /sarcasm
OPEC tightened it up. They dropped prices trying to drive the US manufacturers out of business.
Why the Saudis are our “friends” is beyond me.
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