NVDA gained a massive 197% since our AI first added it in November - is it time to sell? 🤔Read more

Flaring incidents rise in the Permian due to Texas heatwave - Enverus

Published 21/10/2023, 03:52 am
© Reuters. Dust blows around a crude oil pump jack and flare burning excess gas at a drill pad in the Permian Basin in Loving County, Texas, U.S. November 25, 2019. Picture taken November 25, 2019.  REUTERS/Angus Mordant/File Photo
NVST
-

(Reuters) - Extreme heatwaves in Texas fueled a 22% rise in flaring incidents in the Permian shale basin in the 12 months ended September, analytics firm Enverus said in a note.

Satellite data from the largest U.S. shale basin showed flaring, or the burning of unwanted gas, hitting near three-year peaks in July when Texas was gripped by extreme heat, Enverus said in the note on Thursday.

The extreme heat prompted multiple power conservation calls from the state's grid operator this summer, with electricity demand hitting an all-time peak in August, and holding near those highs through most of September.

The Midland basin saw flaring rates 1.7 times higher than Delaware, from May to July.

"Not all operators ramped up on flaring, however – wells attached to certain gas gathering systems exhibited noticeably higher rates than others", the note added.

© Reuters. Dust blows around a crude oil pump jack and flare burning excess gas at a drill pad in the Permian Basin in Loving County, Texas, U.S. November 25, 2019. Picture taken November 25, 2019.  REUTERS/Angus Mordant/File Photo

The excess flaring at wellheads would make it difficult for the upstream sector to achieve the environmental, social and governance (ESG) goals in short-term, the note added.

Natural gas flaring in the top U.S. shale basin is poised to increase next year, a report from Enverus said in May.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.