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Noble Energy Investing in LNG

March 25, 2013 in LNG by Rich Piellisch  |  No Comments

‘Natural Gas We Produce Right Here in Northern Colorado’

Denver-based Noble Energy is investing some $45 million in a 100,000-gallon-per-day liquefied natural gas plant to be located at Keota, Colo., in Weld County northeast of Greeley. Noble operates natural gas vehicles, but this new fuel is for E&P – energy exploration and production. updated March 25

Noble Energy is building its own LNG production unit to support installations like this LNG-powered drill rig in the DJ Basin’s Wattenberg Field, north of Denver.

Noble Energy is building its own LNG production unit to support installations like this LNG-powered drill rig in the DJ Basin’s Wattenberg Field, north of Denver.

The firm expects to use about half of the output to displace diesel in its E&P operations, and to sell the rest.

“This facility is expected to help improve air quality by enabling us to utilize natural gas we produce right here in Northern Colorado to power many of our local operations,” Noble northern region senior VP Ted Brown said in a release.

The target startup date for the Keota natural gas processing plant is mid-2014. Noble says it expects the LNG facility to be online shortly thereafter.

The new plant will be the first of its kind in Colorado, Noble says. The fuel will be used to power drill rigs and other heavy equipment in the DJ Basin, and will be made available to other E&P operators and LNG users in the area.

Two more views -- photos by Jim Blecha

Two more views — photos by Jim Blecha

“We’re going to use approximately half of it ourselves and the other half we’ll sell,” says a company source.

Noble Has Natural Gas Vehicles Too

“The DJ Basin is one of Noble Energy’s core operating areas and the company plans to invest $10 billion to safely and responsibly develop oil and natural gas resources in the region over the next five years,” VP Brown said in the company (NYSE:NBL) announcement.

Noble notes too that it helped fund four public compressed natural gas fueling stations in the area via its support of the Weld County Smart Energy Plan. The company committed $5 million to provide Weld County schools with CNG school buses, and to build a CNG fueling station.

Noble says it is converting its own truck fleet in the DJ Basin to CNG vehicles, too – “at the end of 2012, Noble Energy had 33 super-duty trucks running on CNG in the area,” states the LNG plant release.

Noble says it’s contracted Houston’s Audubon Engineering to perform the front-end engineering and design work for the $45 million Keota LNG plant.

Curtis Reuter is LNG and CNG development manager at Noble Energy.


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Source: Noble Energy with Fleets & Fuels follow-up

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