• 3 minutes Could Venezuela become a net oil importer?
  • 7 minutes Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 12 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 17 hours Oil prices going Up? NO!
  • 1 hour Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 8 hours Renewables to generate 50% of worldwide electricity by 2050 (BNEF report)
  • 33 mins The Tony Seba report
  • 36 mins Could Venezuela become a net oil importer?
  • 4 hours Kenya Eyes 200+ Oil Wells
  • 4 hours Are Electric Vehicles Really Better For The Environment?
  • 1 day Oil prices going down
  • 13 hours Saudi Arabia turns to solar
  • 1 day Could oil demand collapse rapidly? Yup, sure could.
  • 2 days Oil Buyers Club
  • 2 days Gazprom Exports to EU Hit Record
  • 1 day China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 2 days Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 1 day Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 4 hours OPEC soap opera daily update
Uncertainty Looms Large Over Latin American Oil

Uncertainty Looms Large Over Latin American Oil

While Venezuela is grabbing a…

Iranian Influence In Iraq Grows

Iranian Influence In Iraq Grows

Iranian influence in Iraq has…

US Fracking Rigs Quickly Moving Away from Diesel to Nat Gas

More and more fracking drill rigs are converting to run on natural gas in preference to diesel, with the biggest affirmation of this being Apache Corp’s (NYSE:APA) announcement to power an entire fracking job with engines that run on natural gas.

Lyle Jensen, the CEO of American Power Group has said that his company received orders to convert 60 drilling rigs from diesel to a system that runs on natural gas in 2012; a 1,000% increase compared to 2011 when they received just 6 orders.

Most US rigs still run on diesel, but the number converting to natural gas is growing, mostly due to the facts that natural gas is cheaper and releases fewer emissions. Caterpillar (NYSE:CAT), Halliburton (NYSE:HAL), and Schlumberger (NYSE:SLB) all worked to convert Apache’s rig to run on natural gas, which has led to an estimated saving of 40% on fuel costs.

Related Article: Romania and the Shale Question

Jensen said that the conversion would pay for itself within a year due to the reduced fuel costs, and even sooner if the gas released at the well head could be used directly.

Whilst American Power Group’s conversion technology will not completely eliminate the need to use diesel on a rig, it can help to cut diesel consumption by half.

By. Joao Peixe of Oilprice.com



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News