Feasibility of Producing Biogas into Gas Gathering Systems and Supplying Biogas to Upstream Oil and Gas Facilities

 
 
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 This study evaluates the feasibility of integrating biogas plants at agricultural and food processing facilities with relevant energy collection and utilization systems in the upstream oil and gas (UOG) industry. The overall aim is to identify integration opportunities that would provide meaningful benefits to both industries and help further promote the use of bio-treatment technology in Western Canada. The potential for practicable opportunities of this type is high considering the close proximity of most oil and gas installations to agricultural operations. Input from UOG companies has been used to guide the technical and economic evaluation, and identify the key constraints or barriers to be addressed.

Anaerobic digester technology and its application to Canadian agricultural industry are described in Section 2 along with some of the factors motivating this report. Section 3 discusses different aspects of biogas production in Alberta. Opportunity areas for sustainable biogas production ranging from excellent to unsustainable are identified. An analysis of feedstock availability and biogas economics is used to determine opportunity areas. Commodity prices and bioreactor size used in feasibility calculations are defined and justified in Sections 3.3 and 3.1 respectively.

The remaining sections evaluate the technical and economic opportunities presented when integrating with the UOG industry. Section 4 explores the sale of electricity to dedicated UOG equipment. Section 5 looks at the retail sale of biogas as a low BTU fuel to UOG facilities. While Section 6 evaluates the wholesale delivery of biogas into low-pressure gas gathering systems or multi-phase flow lines. The value of retail and wholesale biogas is estimated in Sections 5 and 6. Report conclusions are summarized in Section 7. Appendixes A and B provide more technical information relevant to Sections 4, 5 and 6.

 
 
 
 
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For more information about the content of this document, contact Victor Cheng.
This document is maintained by Patti Breland.
This information published to the web on January 31, 2007.
Last Reviewed/Revised on February 3, 2011.