Articles tagged associated gas

A consortium of operators that own the Whistler Pipeline LLP, which moves Permian Basin natural gas to the Gulf Coast, has launched another project designed to move up to 2.5 Bcf/d more supply for LNG exports and Mexico.

North Dakota’s natural gas production growth surpassed that of oil in April, reflecting rising gas-to-oil ratios (GOR) in the Bakken Shale formation, the state’s top oil and gas regulator said.

Despite bullish national production readings, weekly natural gas cash prices retreated alongside a West Texas supply glut and festering headwinds in the region. 

The state of Alaska and Pantheon Resources plc are negotiating a deal to boost in-state natural gas inventories using a proposed LNG feed gas pipeline to transport associated volumes from the North Slope.

North Dakota energy regulators expect a modest uptick in Bakken Shale oil production this year, though challenges persist around managing the immense volumes of liquids-rich natural gas extracted as a byproduct. 

Surging production and new takeaway capacity paved a path for record-high natural gas supplies flowing from the prolific Permian Basin.

OPEC-plus, the consortium of major oil producers led by Saudi Arabia, agreed to a substantial production cut late last week that could bolster prices and fuel more demand for Permian Basin crude. This, by extension, could drive continued lofty levels of associated natural gas from the prolific basin.

Production of associated natural gas – fuel produced in concert with oil – surged in the prolific Permian Basin over the past five years, supporting strong total supplies and, for much of this year, helping to keep U.S. prices in check.

Calgary-based Precision Drilling Corp., whose oilfield expertise is concentrated in North America, is anticipating “a sustained period of elevated natural gas drilling activity” in advance of the sooner-than-later wave of LNG export facilities, both in Canada and the Lower 48.

North American natural gas demand is likely to grow by roughly 25% over the next 10 years and stay resilient through 2050 as the world shifts to lower-carbon energy, according to new projections from Wood Mackenzie.