Oil Industry Tackles Issue of Flaring Gas - KXNet.com - Bismarck/Minot/Williston/Dickinson-KXNEWS,ND

Oil Industry Tackles Issue of Flaring Gas

Posted:
© New York Times © New York Times

Oil wells continue to come on line at the same pace despite a dip in the number of rigs in western North Dakota.

A sign the oil industry is doing more with less.

Except when it comes to natural gas.

The amount of gas being flared or wasted at well sites is up -- at 30%.

And Director of Mineral Resources, Lynn Helms, says that's one of his top concerns.

Donnell Preskey has the story.

Six gas plants have plans to build new or expand in the next two years.

But even with those additions along with our current gas plants, the demand will require double that capacity.

Lynn Helms is the Director of ND Mineral Resources.   "We want to get everything on the table for tax incentives and royalty incentives because this is going to be a hard problem to solve."

Gas is being flared at 1300 well sites, that natural gas is being wasted.

And Helms says the solution isn't simple...

The biggest barrier is with easements, getting permission to build pipelines.

Oil companies are allowed to flare gas for one year, exemptions are given after the year because of the slow process of getting additional gas gathering systems running.

Helms says, "Expect discussion during next leg. session. on whether 1 year exemption is too liberal when talking about an oil field of this magnitude."

However Helms says there could be consequences to stricter rules.

 "In current environment we should grant variances and allow more flaring rather than strict rules because we would negatively impact profit of Bakken well by 20%, in an environment to get a gathering system in," says Helms.

There are companies looking at non-traditional uses for natural gas.

At two well sites natural gas is being turned into electricity and put on the grid.

And next year a company will have facilities at well sites turning natural gas into anhydrous ammonia.

"Fall of 2013 when we'll be applying fertilizer made from previously flared gas," says Helms.

While the new technologies will keep more natural gas from being wasted, Helms says it will take most of this decade to get the flaring problem under control.

 

  • BusinessMore>>

  • Goldman in deal worth $1.2B over US bond claims

    Goldman in deal worth $1.2B over US bond claims

    Friday, August 22 2014 11:44 PM EDT2014-08-23 03:44:50 GMT
    Goldman Sachs has agreed to pay $3.15 billion to resolve claims that it misled U.S. mortgage giants Fannie Mae and Freddie Mac about risky mortgage securities it sold them before the housing market collapsed in 2007.
    Goldman Sachs has agreed to a settlement worth $1.2 billion to resolve claims that it misled U.S. mortgage giants Fannie Mae and Freddie Mac about risky mortgage securities it sold them before the housing market collapsed...
  • Gov't warns US retailers about hacking software

    Gov't warns US retailers about hacking software

    Friday, August 22 2014 10:17 PM EDT2014-08-23 02:17:46 GMT
    The Homeland Security Department is warning that more than 1,000 retailers could have a new malicious software program lurking in their cash registers that allows computer hackers to steal financial data about...
    More than 1,000 U.S. retailers could be infected with malicious software lurking in their cash register computers, allowing hackers to steal customer financial data, the Homeland Security Department said Friday.
  • Hamas kills 18 suspected informers to deter leaks

    Hamas kills 18 suspected informers to deter leaks

    Friday, August 22 2014 7:38 PM EDT2014-08-22 23:38:10 GMT
    A Gaza health official says two Palestinians have been killed in an Israeli airstrike as fighting continued for a third day after the collapse of Egyptian-led cease-fire talks.
    Gaza militants Friday gunned down 18 alleged spies for Israel in an apparent attempt to plug security breaches and deter others, a day after Israel killed three top Hamas military commanders in an airstrike likely guided...
  • PoliticalMore>>

  • Emails show Walker recall election campaign push

    Emails show Walker recall election campaign push

    Friday, August 22 2014 10:34 PM EDT2014-08-23 02:34:47 GMT
    Newly released court documents include emails showing that Wisconsin Gov. Scott Walker's recall election campaign team told him to instruct donors to give to a key conservative group which would run ads for...
    Newly released court documents include excerpts from emails showing that Wisconsin Gov. Scott Walker's recall election campaign team told him to instruct donors to give to a key conservative group that would run ads...
  • Gov't warns US retailers about hacking software

    Gov't warns US retailers about hacking software

    Friday, August 22 2014 10:17 PM EDT2014-08-23 02:17:46 GMT
    The Homeland Security Department is warning that more than 1,000 retailers could have a new malicious software program lurking in their cash registers that allows computer hackers to steal financial data about...
    More than 1,000 U.S. retailers could be infected with malicious software lurking in their cash register computers, allowing hackers to steal customer financial data, the Homeland Security Department said Friday.
  • Perry in New Hampshire: No decision on 2016

    Perry in New Hampshire: No decision on 2016

    Friday, August 22 2014 8:14 PM EDT2014-08-23 00:14:59 GMT
    Texas Gov. Rick Perry is testing his presidential prospects in New Hampshire while carrying the scars of old political stumbles and a recent indictment.
    Texas Gov. Rick Perry said Friday in a visit to a key early voting state that he was unprepared for and humbled by his first run for president in 2012 and will work harder if there's a next time around.
Quick Clicks
Closings/Delays
View list
Calendar
What's happening?
Lottery Results
Feeling lucky?
Viewer Photos
Submit yours!
Road Report
Current conditions
TV Listings
See what's on
Gas Prices
Check near you
E-Mail Newsletter
Signup now

Most Popular

Stories
Videos
loading...
Powered by WorldNow
General information or questions:
kxinfo@kxnet.com

News:
Bismarck:
Phone: 701-223-9197
News Fax: 701-223-1985

News:
Minot:
Phone: 701-852-2104
News Fax: 701-838-1050
All content © Copyright 2000 - 2014 WorldNow and KXNET. All Rights Reserved.
For more information on this site, please read our Privacy Policy and Terms of Service.