BP to stop flaring in Permian Basin by 2025: WSJ

[thackney]

BP to stop flaring in Permian Basin by 2025: WSJ
https://www.houstonchronicle.com/business/energy/article/BP-to-Stop-Flaring-of-Natural-Gas-in-Permian-16111189.php
April 19, 2021

BP will spend about $1.3 billion to build a network of pipes and other infrastructure to collect and capture natural gas produced as a byproduct from oil wells in the Permian Basin of Texas and New Mexico, the Wall Street Journal reported.

The plans, to be announced Monday, will eliminate routine flaring of natural gas in the oil field by 2025, the paper said. The burning of gas in this way is prevalent in the Permian because most producers there drill for more profitable oil and often incinerate the gas that comes as a byproduct, it added....

[thackney]

Texas Permian Natural Gas Flaring Forecast to Increase as Activity Returns
https://www.naturalgasintel.com/texas-permian-natural-gas-flaring-forecast-to-increase-as-activity-returns/
February 1, 2021

...“For example, if Texas were to adopt a 98% gas capture policy, Rystad found that about 84% of routine flaring volumes and 50% of total flared volumes in the basin could be mitigated without cost.

“Not only is routine flaring the cheapest type of flaring for operators to eliminate, it would create significant value for the resource as a whole.”

Exploration and production (E&P) companies could “realize an additional $400 million in wellhead value by 2025 if they were required to capture 98% of the gas they produce.”

Gas capture requirements offer operators “a degree of flexibility while establishing enforceable, concrete targets,” according to the researchers. Updated rules issued by the RRC in November require E&Ps working in the Texas oilfields to show why they need permission to flare or vent natural gas.

While flaring and venting gas is limited under the state’s rules, the RRC routinely has allowed exceptions....

[catfish1957]

Been retired as a SHE manager from  petrochemical facility for 10 years now.  Back then,  flare capture for unit upset venting was not an achievable safe technology. Maybe things have changed in those 10 years.

[IsailedawayfromFR]

Eliminating the routine flaring, researchers said, could be a cost-effective measure with a nudge by the Railroad Commission of Texas (RRC).

“For example, if Texas were to adopt a 98% gas capture policy, Rystad found that about 84% of routine flaring volumes and 50% of total flared volumes in the basin could be mitigated without cost.

Since BP is spending $1.3 billion to eliminate routine flaring, how could this possibly be without cost as the enviro-wackos want one to believe?

If there were actually money to be made in reducing flaring, no operator would be flaring.

BP is engaging in spending money to appeal to the wackos and wants EVERYONE to do the same in order to be competitive, which they certainly would not be once they spend this exorbitant amount of money.

[BassWrangler]

Flairing?

https://imgur.com/jV1C2gr

[catfish1957]

Eliminating the routine flaring, researchers said, could be a cost-effective measure with a nudge by the Railroad Commission of Texas (RRC).

“For example, if Texas were to adopt a 98% gas capture policy, Rystad found that about 84% of routine flaring volumes and 50% of total flared volumes in the basin could be mitigated without cost.

Since BP is spending $1.3 billion to eliminate routine flaring, how could this possibly be without cost as the enviro-wackos want one to believe?

If there were actually money to be made in reducing flaring, no operator would be flaring.

BP is engaging in spending money to appeal to the wackos and wants EVERYONE to do the same in order to be competitive, which they certainly would not be once they spend this exorbitant amount of money.

Believe it or not, back in the 2000's we evaluated the elimination of flaring as a business intitiative. Reason?  In Texas, and likely in most states, if you want to expand production or units , you have to net out or recduce emissions to first get your construction air permit, then your operating air permit. If not, you were forced into MACT standards which would often kill the cost/benefit aspects of any expansion.

Never got far, as all of the any proposed  systems just wouldn't pass PSM risk matrices.

[IsailedawayfromFR]

Believe it or not, back in the 2000's we evaluated the elimination of flaring as a business intitiative. Reason?  In Texas, and likely in most states, if you want to expand production or units , you have to net out or recduce emissions to first get your construction air permit, then your operating air permit. If not, you were forced into MACT standards which would often kill the cost/benefit aspects of any expansion.

Never got far, as all of the any proposed  systems just wouldn't pass PSM risk matrices.

I believe it.

The underlying reason why flaring occurs is it is uneconomic to do so.

No other reason.

Any strongarm by the govt is not an economic reason, and instead is a political one.

[Hoodat]

BP will spend about $1.3 billion to build a network of pipes and other infrastructure to collect and capture natural gas produced as a byproduct from oil wells in the Permian Basin of Texas and New Mexico, the Wall Street Journal reported.

Sounds like a good time to be in the compressor business.

[thackney]

Sounds like a good time to be in the compressor business.