Aggreko is harnessing untapped associated petroleum gas (APG) to power customer’s aspirations to reduce emissions.
APG, also called waste gas, is the inevitable result of upstream production. Historically it has not been utilised for a variety of reasons.
Chief among these is that APG is an unreliable resource. The levels of methane from a single source can vary over weeks, or even days, to such a point that it is almost unusable.
Operators wishing to capture and generate energy from APG are looking at an increase in capex to cover the specialised equipment and infrastructure that can handle the resource.
Enter Aggreko.
As a modular energy service company, Aggreko provides the necessary equipment and expertise for capturing APG and turning it into electricity that can, be used to offset power requirements for operations or, alternatively, be sold to domestic markets for profit.
The company’s Head of Sales Asia, Chandran Jayabalan, says that the company prides itself on providing flexible power as a service.
By capturing APG at the flare stack, Aggreko lets companies reduce their emissions and capitalise on the benefits of an extra energy source, all while taking steps towards lowering emissions in the global push towards net zero by 2050.
“No two flare sites are the same – the composition, volume and flow varies from location to location,” says Jayabalan.
Accordingly, Aggreko has a global fleet of reliable and proven gas generators to ensure that it can meet the needs of its global customer base. The generators that form a core part of the company’s fleet are all modular and flexible, able to facilitate the inconsistent nature of APG.
“The decision to invest on new technology CAPEX is not an easy task, especially in the face of this technology being able to transition the company’s operations into 2030 and beyond into 2050,” says Jayabalan.
“It reduces the financial risk of transitioning by buying time for customers to ensure their checks and balances ahead of a more permanent change.”
Aggreko will perform a gas analysis for customers – testing to see if and how the gas can be utilised – and advise on the viability of monetising that resource.
If necessary, the company is able to advise and recommend bespoke solutions.
“Given our experience in flare to power applications, we have also have a vast inventory of gas conditioning equipment for rental that helps render APG usable,” says Jayabalan.
The company can then supply the necessary equipment, set it up – in a much shorter time frame than more permanent (and expensive) options – and operate it for the necessary time.
It will also work closely with clients to determine the best way to distribute the power generated from these flare gas to power services.
“Lots of companies have a mid-term goal of 50 per cent reduction between 2025 and 2035,” says Jayabalan.
“If you take a pragmatic look, emissions reduction technology has not grown fast enough to make them 100 per cent viable to meet typical emissions targets. With seven years left to meet those goals, it’s a huge responsibility to invest in the current technology options.”
He says that one of the challenges encountered by operators is that choosing an early form of emissions-reduction technologies runs the risk of spending money on equipment that, by 2050, will become outdated or obsolete as research and development increases equipment efficiency.
Aggreko has a modular, easily scalable approach that does not effect capital expenditure, but rather operational expense – charged monthly over the required timeframe without the long-term risk.
As a truly global company, Aggreko runs depots placed in strategic location across multiple continents.
All of the company’s equipment goes through a rigorous assessment process.
“After every use – whether its six months or 10 years – the equipment is quality tested at the depots to make sure that it reliably performs to its design,” says Jayabalan.
Not only is equipment distribution handled by a highly competent fleet team, but Aggreko also has well-position technicians and manpower to commit to the set up and smooth operating of its temporary assets.
In practice, capturing APG and utilising it to power operations opens the door for increased production.
With a number of countries implementing strict rules around the amount of emissions a project is allowed to produce, being able to capture and use one of the major contributors – methane gas – means that production of target resources empowers customers to increase production without breaching emissions restrictions.
Whether operators are retiring old assets, pushing to reduce their emissions, or simply want to capitalise on short-term APG of varying volume and quality, Aggreko helps operators ensure that they are utilising every resource at their disposal without committing permanent resources to a temporary opportunity.
For more information visit Aggreko.