Better Sweet Than Sour

Better Sweet Than Sour

If there’s one thing that continues to plague producers in the NW Delaware sub-basin, it’s the lack of infrastructure to treat pervasive sour gas. For years, producers have been challenged by extreme levels of H2S in gas streams, which has meant more flaring, shutting in wells, or shuttling rigs to other areas. But Houston-based newcomer Piñon Midstream has designed an inspired solution that performs double duty to permanently sequester 75,000 tons per year of H2S and 175,000 tons of CO2. Reese Energy Consulting today is following the latest news from Piñon, which now has launched construction of the Dark Horse Sour Gas Treating and Carbon Capture Facility in Lea County, N.M. Operations are expected in July. The project includes gathering and delivery pipelines, an amine treating plant capable of sweetening 85 MMCFD of sour gas, and a CCS capability that injects both H2S and CO2 18,000’ below the surface. The company also has purchased a second amine plant to be installed later this year, which will amp up treating capacity to 170 MMCFD.

Piñon Midstream

Piñon Midstream is building the first of its kind greenfield environmental sour gas infrastructure solution designed to handle the extreme sour gas in the northeastern Delaware Basin.

www.pinonmidstream.com

What do you think? Learn more about REC and our natural gas marketing services at www.ReeseEnergyConsulting.com.

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About That Whole Gas Thang

About That Whole Gas Thang

​With all the talk about renewables—and we cover them a lot—natural gas is still the most reliable, plentiful, affordable fuel to achieve a low-carbon future. You need a bridge to get from here to there, and that’s where gas plays its part. Despite its detractors, natural gas will continue playing a global role to heat, cool, cook, and power for the next 3-4 decades. Gas production so far this year has outpaced crude oil post-pandemic and is expected to hit a record 93.3 BCFD by 2022. We produce more of the stuff than any country on earth. We now are set to displace Qatar years earlier than predicted as the world’s largest producer and exporter of LNG, with more than half of 10.5 BCFD of March supplies shipped to Asia—which remains on a slower path to sunset coal as a primary heat and power source. As an aside, the U.S. has transitioned 100+ power plants from coal to natural gas in just the last 10 years; we now have 1,800+. Energy giant bp now has announced a $1.3 billion infrastructure project to capture and collect natural gas to eliminate its Permian flaring by 2025, and no doubt sell those hydrocarbons as the energy source they are.

What do you think? Visit ReeseEnergyConsulting.com to learn more about us at www.ReeseEnergyConsulting.com.

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