SOURCE: Zeus Development Corporation

Zeus Development Corporation

October 08, 2013 10:01 ET

More Than 1 Billion Gallon Annual Fracking Market Offers Key Baseload Customer for LNG Fuel Supply, Zeus Conference to Examine

HOUSTON, TX--(Marketwired - Oct 8, 2013) - With more than 8,000 pressure pumping units spread across North America, hydraulic fracturing has emerged as the next frontier for LNG fuel. Of the eleven fleets currently using natural gas for fracking, six are doing so with LNG (see earlier Frastory). On Oct. 31, the LNG-Fueled Hydraulic Fracturing Seminar will evaluate this exciting trend and its different opportunities for both users and LNG suppliers.

"For prospective LNG plant developers, the major fuel consumption and concentrated nature of fracking spreads make them ideal anchor customers," noted Zeus LNG-fuel analyst Siyu Chen. Prometheus Energy's Randy Hull recently pegged the daily consumption of a typical dual-fuel fracking spread at between "6,000 to 15,000 gallons of LNG per day."

Average displacement of diesel in a dual-fuel fracking spread has been reported by users like EQT Corporation to be approximately 60 percent. Insiders have reported annual savings of up to US$1.6 million from a single converted fracking spread.

Consequently, the market is targeted by prospective LNG fuel plant developers. "Fuel demand from drill and frack rigs is a key reason many plant developers like HEYCO, Linde, Encana, Noble and others are locating plants near oil and gas production basins," Chen noted. Many of these plants aim to produce between 100,000 and 300,000 LNG gallons daily. Thus, four to 12 fracking spreads can baseload a fuel-scale LNG plant.

To discuss the latest successes and advancements for this market, senior leaders from Apache and Pioneer will join experts from Prometheus Energy, Caterpillar and Linde in Houston, Oct. 31, in an exciting seminar in LNG-fueled hydraulic fracturing. More information is available at http://www.zeusintel.com/ZeusEvents/LNGShale.aspx or by contacting Feh Yee Siow at (713) 952-9500.

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