Self-Generation Options for Securing the Power You Need
The oil and gas industry is working hard to fulfill the promise of Unleashing American Energy. Developing and producing reliable and affordable oil and natural gas energy resources, however, has become increasingly dependent on electric power.
Although the term “oilfield electrification,” commonly thought of as plugging into a utility grid, has been traditionally touted as an emissions reduction strategy, oil and gas operators are finding access to electric power a constraint as they move development into more remote areas unserved by utilities.
Access to Power – A Key Success Factor for Oil and Gas Development
The Wall Street Journal (WSJ) reported on January 29, 2024 in its article U.S. Oil Drillers Are Going Electric—if They Can Get the Electricity that U.S. electricity sales rose just 5% in the past decade, but some states with large oil and gas fields have experienced some of the largest jumps in power usage in the country.
The WSJ also found:
- Electricity sales in New Mexico have increased by 16% over the past decade. This growth is predominantly attributed to the energy demands from oil development in the Permian Basin located in the southeastern region of the state.
- North Dakota’s oil production averages 1.3 million barrels per day, alongside a growing network of bitcoin miners and data centers. Over the last decade, electricity sales rose more than 58%, with industrial customers seeing a 120% increase—the highest in the nation.
As we previously noted in our article What Are Your Options for Oil and Gas Power Generation? we noted how Oil & Gas operators are leveraging oilfield electrification as a strategy to both reduce their emissions footprint and generate the power that utility grids are unable to provide fast enough.
- Looking at just the Permian Basin, an article in the Journal of Petroleum Technology noted that S&P Global estimated the region must add approximately 1,500 MW of capacity every year for the next several years to meet growing demand. Further, S&P Global estimated this dramatic grid expansion would result in a surge in industrial power usage in the Permian, mostly in the upstream sector, from 66% to over 90%.
- The two grids that serve the Permian Basin region, SPSO and ERCT, are just not growing power generation capacity fast enough, forcing operators to adopt self-generation alternatives.
Access to clean, cost-effective and reliable field power is a critical factor for operational success.
READ MORE: Best Practices for Oil & Gas Field Power Options
Can You Wait Two Years for the Utility?
Producing oil and gas consumes a lot of energy and demands more investment in infrastructure and facilities, which will need even more power. Operators in the most productive areas struggle to secure the energy required to support their operations.
HART Energy reported in November 2024 that operators in the Permian Basin faced a two-year wait for a connection to an electrical grid, according to a 2022 report from the Texas Public Utilities Commission.
In the same article, Enbridge spokesman Michael Barnes confirmed that “To date, some of our projects and facilities have been impacted by power availability and increased timelines for requests to connect to the electrical grid in the Permian. We have also been impacted by reliability issues at certain locations in the basin.”
As a result of utility delays and lack of reliability, many operators have turned to self-generation options.
Self-Generation Power Options for Oil & Gas
Sturdy enough for extreme conditions—including cold weather, high elevation, hazardous climates, and offshore environments—the modular, transportable Flex Turbine is the foundation of our off-grid power solutions for both brownfield and greenfield Oil & Gas projects.
Power an Existing Distribution Network. Brownfield operations with existing power distribution can switch to a FlexGrid microgrid. This provides clean, reliable power independently from the local utility.
Create a New Microgrid and Distribution Network. FlexEnergy Solutions offers scalable FlexGrid microgrids and distribution systems for greenfield projects. These solutions can adapt to increasing power needs and scale down over the asset’s life.
Single Site Deployment. Remote production sites can deploy Flex Turbines or the larger GT2000S 2-Megawatt turbine.
LEARN MORE: Off-Grid Power Solutions from FlexEnergy
The FlexEnergy Advantage
The advantages of choosing FlexEnergy Solutions for your field power needs provides meaningful advantages:
Flex Turbine® GT333S Microturbine. The GT333S is a microturbine designed to provide high reliability, low emissions, and broad fuel compatibility within a scalable and modular framework that facilitates quick and simple deployment. With over 20 years of engineering and manufacturing expertise and more than a decade of experience operating a lease fleet, the Flex Turbine has demonstrated its dependability and consistently delivers 333 kilowatts of clean, continuous power.
GT2000S Gas Turbine Generator (Powered by Siemens). The GT2000S delivers up to 2 MW of clean electric power, capable of powering large projects with the operational simplicity of one unit.
Scalable. The Flex Turbine’s modular design enables custom configurations from 200kW to multi-Megawatts, including microgrids. Main components can be adjusted or tailored to specific needs.
Remote Monitoring Capability. Turbines from FlexEnergy Solutions come equipped with remote monitoring capabilities, enabling real-time performance tracking, predictive maintenance, performance reporting and rapid service response, ensuring maximum uptime and efficiency.
Service Locations. Flex Energy has service locations strategically positioned in key oil and gas regions, including North Dakota (Bakken), Texas (Permian Basin), Grande Prairie, Alberta (Western Canadian Sedimentary Basin), Pennsylvania and Southern California, guaranteeing swift and efficient support.
Leasing Option. FlexEnergy provides a leasing option, offering cost-effective access to their reliable and efficient power solutions.
Ultimately, FlexEnergy provides a cleaner, faster, more reliable and less expensive option than the utilities.
Benefits of Field Power Options from FlexEnergy Solutions
Off-grid power options from FlexEnergy Solutions deliver multiple operational, economic and environmental benefits to Oil & Gas operators, including:
- Lower Emissions than the Grid. FlexEnergy Solutions off-grid systems typically outperform relevant grids (Scope 2) in terms of emissions.
- Lowest Scope 1 and Scope 3 Emissions. Maximize emissions reduction with the lowest Scope 1 and 3 emissions of any off-grid option.
- Reduce Flaring and Venting. Significantly mitigate or even eliminate routine flaring and venting of associated gas and tank vapors.
- Maximize Production. Increase uptime with 99+% mechanical availability and only one 8-hour scheduled maintenance interval annually.
Self-generation is an effective strategy for securing the power your operations need. Instead of delaying your development projects by up to two years, Flex Energy Solutions can accelerate your access to electric power. .
Contact FlexEnergy Solutions to learn more about our off-grid, self-generation solutions for reliable, clean and simple field power at sales@flexenergy.com or +1 (720) 826-0708.