The flare gas will be used to power Statoil’s six drill rigs and one frac fleet in North Dakota, US.
Statoil is expanding the pilot of the JV’s Last Mile fueling solution, which is a joint venture of GE Ventures and Ferus NGF.
The solution is expected to reduce emissions and offer cost-savings for the company’s Bakken oilfield operations.
The captured natural gas will be used to assist in powering the oil and gas operations of Statoil.
The new commercial expansion is estimated to increase its flare gas capture to between 3 and 5 million standard cubic feet per day (scfd) by the end of 2014.
Statoil said the natural gas that it captures and which is not able to utilise in its own operations will be compressed and sold to ancillary markets.
Statoil Bakken development and production vice president Lance Langford said: "By using this captured natural gas in place of diesel in our drilling and hydraulic fracturing operations, we are further reducing emissions and costs. This is both good for the bottom line and the climate."
GE Ventures and Ferus NGF are in negotiations with the other companies in the Bakken region on using the system for their operations.
Image: Statoil utilising captured flared gas to power a rig. Photo: Courtesy of Jay Pickthorn, AP.
