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Statoil Expands Natural Gas in Bakken

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Published on : Sep 11, 2014

A Norway-based oil company, Statoil known for dealing in natural gas has stamped its strong presence in Bakken, North Dakota. In the last three years, emissions from burning, flaring of methane, natural gas, and hydrogen sulphide related with oil production have risen tremendously. Statoil operates in the effort to expand the technology to power equipment with natural gas that would otherwise burn off. 

The effort by the company addresses the current challenges faced by oil producers in the Bakken. Challenges like extracting natural gas or crude oil from the ground, minimal transportation infrastructure and low gas prices often flare the natural gas instead of trying to sell or ship it. Statoil will expand its original project using hydraulic fracturing and drilling methods to draw natural gas in Bakken.

Working in joint ventures with Ferus Natural Gas and GE, the company has tested the technology for eight months in North Dakota. The companies have touted the growth of this new development as their first step toward commercial adoption in the energy industry. 

The technology system works by separating out liquid propane and butane, capturing natural gas from oil wells, and compressing the natural gas. The remaining compressed natural gas can supply fuel trucks and many other types of equipment. With this expansion in technology, Statoil will be in the position to capture natural gas within a range of 3 million to 5 million cubic feet per day. 

Vice President for Bakken, Lance Langford said the move is a good initiative for profit and the climate. It complies with operation improvements and flaring regulation activities. Around one third of natural gas is flared off in Bakken, resulting in carbon dioxide emissions. However, the technology is a better alternative instead of venting out unburned methane. 

In discussions with Bakken, Ferus and GE talk about using the technology and its benefits, says Last Mile Fueling Solution.

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