Permian Gas Bottleneck Demands More Takeaway Capacity, Execs Say
Permian Gas Bottleneck Demands More Takeaway Capacity, Execs Say
Hart Energy
Despite a potential flattening of crude production, the natural gas pipeline network in the Permian Basin will keep filling up, according to executives from Kinetik Midstream, Brazos Midstream and Kinder Morgan.
E&Ps have discussed “peak oil” in the Permian Basin over the first quarter of 2025.
Peak Permian natural gas, however, may be a more immediate problem— chiefly because there seems to be no peak in sight. Gas production in the basin keeps growing, and with it the need to find a way to ship it out, according to a panel of midstream executives.
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Replies to This Discussion
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Permalink Reply by Skip Peel - Mineral Consultant
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You got it, Quattro. As the Permian wells become more gassy, associated gas changes from an unwanted byproduct to a profit center. Expect more Permian gas related infrastructure in the coming years. The Corpus Christi area is seeing significant investments in gas infrastructure and LNG.
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Permalink Reply by Quattro
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And for a multitude of reasons, companies will invest in Texas all things being equal.
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Permalink Reply by Skip Peel - Mineral Consultant
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If your in the oil business, you want to be in the Permian. All other oily basins and states are something less.
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