Case Study

Flare Gas to Power for an Oil & Gas Producer in New Mexico

VoltaGrid partnered with a leading oil and gas producer in New Mexico to implement an innovative solution for capturing flare gas and converting it into power at their production site. This project focuses on eliminating gas flaring, optimizing fuel use, and providing power for critical operations, resulting in reduced operational costs and improved sustainability.

Overview

The project utilizes VoltaGrid’s advanced technology, which includes:

  • Three Motor-Driven Boost Compressors: These all-electric motors manage gas compression to improve fuel quality.
  • Three Mobile Refrigeration Units (MRUs): These gas conditioning skids prepare the gas for use in our generators and for Compressed Natural Gas (CNG) storage in trailers.
  • VoltaGrid Turbine: A Gen 1 skid filters and heats the gas before it enters the turbine. The turbine currently generates 2.5 to 3 megawatts (MW) of power but has the capability to produce up to 5 MW. Only 50-60% of the turbine’s capacity is being utilized at any given time.

Key Components

  1. Power Generation & Transformation: The turbine powers the entire site, with electricity being transformed from 13.8 kV down to 480 volts for use by the MRUs and other equipment.
  2. CNG Compression & Storage: Conditioned gas from the MRUs fuels the turbine, and excess gas is compressed into CNG trailers for distribution via VoltaGrid’s virtual pipeline solution. When more gas is conditioned than consumed, it is returned to the customer’s gas line to help them stay under pipeline limits.
  3. Redundancy & Reliability: The system is built with sufficient compression and refrigeration capacity to ensure redundancy, enabling uninterrupted operations.

Additional Applications

VoltaGrid is evaluating additional ways to utilize the turbine’s power, which could enhance the project’s economic benefits for the customer by using the power more efficiently across their operations.

Fuel Optimization

VoltaGrid captures and conditions the customer’s flare gas, which is then used as a fuel substitute for diesel in their fracking operations. By sending conditioned gas to flow lines, VoltaGrid enables the producer to fuel remote frack sites using their own gas, eliminating the need for new infrastructure and cutting fuel costs.

Operational Flexibility

This setup was originally installed in December of the previous year. After initial production from the original pad declined, the system was relocated to a new well pad. This flexible deployment ensures continued power support, peak shaving, and fuel substitution across various well sites.

Results

  • Zero Flaring: The project captures flare gas, helping the customer meet environmental regulations and reduce emissions.
  • Cost Savings: Significant savings are achieved by substituting diesel with the customer’s own gas for fuel.
  • Scalable & Adaptable: The system is easily relocated and scaled to different well sites, providing continuous power and fuel support.

Conclusion

VoltaGrid’s flare gas-to-power project for this oil and gas producer in New Mexico delivers a reliable, cost-effective, and environmentally sustainable solution. By utilizing the customer’s own gas resources, the project eliminates flaring, reduces costs, and offers flexible power solutions that adapt to the dynamic needs of their operations.