HOUSTON, TX — (Marketwired) — 07/31/13 — With some six percent of North America–s 1,200 land drilling rigs now fueling with natural gas, exploration and production companies are turning their attention to hydraulic fracturing. A survey conducted by energy researcher, Zeus Development Corp, has identified eleven hydraulic-fracturing systems, called frack spreads, where diesel fuel has been replaced with natural gas. Representatives from Apache, Pioneer Natural Resources, Linde, Prometheus and American Power Group (OTCQB: APGI) will discuss these projects during an industry meeting on Oct. 31. See to download a copy of the survey and learn about the meeting.
“LNG is the phase of choice for gas-fueled hydraulic fracturing because it gives the operator the flexibility to deliver high volumes of consistent quality fuel on short notice,” said Siyu Chen, lead LNG fuel analyst at Zeus. “A typical frack spread consisting of 27,000 to 30,000 horsepower will consume several trailerloads of LNG, then shut down to reposition to a new site. Out of the eleven gas-fueled spreads we identified, six consume LNG, three field gas, one CNG and one yet to be determined.”
According to industry estimates, some 1.2 billion gallons of diesel are consumed by North American hydraulic fracturing operations annually. At any given time, 300 to 400 units are operational, fracturing rock formations to yield oil and natural gas from shale. LNG can cut fuel costs by a third. Estimates peg potential fuel savings at more than a billion dollars per year if all frack spreads were converted to natural gas.
To examine the growing number of projects and evaluate this emerging market, Zeus will host a one-day LNG-fueled hydraulic fracturing workshop on Oct. 31. The Houston meeting will bring together E&P firms, fracking providers, fuel suppliers and technology vendors to examine the trend. More information is available at or by contacting FehYee Siow at 713-952-9500.
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FehYee Siow
713-952-9500