Growing

In the worldwide push for more use of natural gas for trucks and buses, liquefied natural gas (LNG) is the fastest growing segment, even though compressed natural gas (CNG) has thousands more fueling stations, according to a new Navigant Consulting energy marketing report..

Transcontinental Gas Pipe Line (Transco) has filed an application with the Federal Energy Regulatory Commission to build a $182 million expansion to meet growing natural gas demand in New York City and the Rockaways. The Rockaway Delivery Lateral Project would provide 647,000 Dth/d of gas delivery capacity to National Grid’s distribution system in Brooklyn and Queens, NY; targeted in service date in late 2014. The project is targeted for service in the second half of 2014. The Transco and National Grid facilities would interconnect with National Grid’s proposed 26-inch diameter lateral. The 3.2-mile, 26-inch diameter Rockaway Delivery Lateral would consist of 2.9 miles of offshore pipeline and 0.3 miles of onshore pipeline. The small pipeline would pass under Jacob Riis Park in the Rockaways portion of Queens and under Jamaica Bay to a new meter and regulator station on the decommissioned airfield Floyd Bennett Field in Brooklyn. Jacob Riis Park and the airfield are part of the Gateway National Recreation Center. President Obama signed a bill allowing for Transco’s expansion (see NGI, Dec. 3, 2012).

Enterprise Products Partners LP has sold out capacity at its planned 1.65 billion pounds/year propane dehydrogenation (PDH), which is scheduled to begin operation during the third quarter of 2015. In anticipation of a continuing decrease in supplies of propylene, Enterprise is in talks with additional customers that could lead to the development of additional PDH capacity, the company said. Last June Enterprise said it would build a PDH facility on the Texas Gulf Coast that would consume up to 35,000 b/d of propane to produce 1.65 billion pounds/year (750,000 metric tons per year or 25,000 b/d) of polymer-grade propylene (PGP) (see Shale Daily, June 22, 2012). The facility is to be integrated with the partnership’s existing propylene fractionation facilities, which have capacity of 5.3 billion pounds/year. The PDH facility will also be integrated with Enterprise’s PGP storage facilities, 102-mile distribution pipeline system and export terminal. “This [PDH capacity] demand is being driven by the combination of a 38% decrease in propylene supplies since 2006 due to additional ethane consumption by U.S. petrochemical companies and the growing supplies of domestic propane from the U.S. shale plays,” said Jim Teague, COO of Enterprise’s general partner.

Transcontinental Gas Pipe Line (Transco) has filed an application to the Federal Energy Regulatory Commission to build a $182 million expansion of its system to meet growing natural gas demand in New York City and the Rockaways.

GreenHunter Water LLC has acquired two oilfield water service and construction companies operating in the Eagle Ford Shale of South Texas. White Top Oilfield Construction LLC and Black Water Services LLC have common management and have been serving Eagle Ford operators since 2008.

Noble Energy Inc. is considering a move to larger offices in the Marcellus Shale to accommodate its growing presence in the play.

When natural gas markets make a comeback, an extended foray into horizontal drilling and hydraulic fracturing shows British Columbia will be ready to fulfill expectations of taking over Alberta’s fading role as Canada’s top source of supply growth.

In an effort to determine which government agency has oversight authority for the Bushton, KS, natural gas liquids (NGL) fractionation plant, three subsidiaries of Oneok Partners LP have filed a declaratory judgment action in federal District Court in Tulsa, OK, seeking a ruling on the jurisdictional limits of the Pipeline and Hazardous Materials Safety Administration (PHMSA).

Natural gas vehicles (NGV) are finding growing demand throughout North America, including Mexico, according to presentations at the recent NGV Global 2012 conference in Mexico City. Tepeapulco, Mexico-based Dina Camiones said it has an order for 50 compressed natural gas (CNG)-fueled intercity-suburban route buses that would be built in 2013 for use in the Guadalajara area. With a range of more than 500 miles, the buses include 8.9-liter ISL G engines from Cummins Westport and advanced carbon fiber-on-aluminum CNG fuel cylinders from Luxfer.