HOUSTON: The chief executive of Pioneer Natural Resources, Scott Sheffield (pictured) , on Tuesday called on producers in the top US shale field to limit natural gas flaring and monitor for methane leaks.
Companies are targeting oil in the fast-growing Permian Basin field, but pipeline construction has lagged, leaving natural gas as a byproduct to be burned or vented.
Producers should get flaring and venting rates to 2 per cent or less and not drill wells before pipelines are complete, Sheffield said during a call with analysts a day after releasing quarterly results.
“We do not connect any new horizontal wells to production unless the gas line is already in place,” Sheffield said. “I think that’s something that should be adopted by all producers in the Permian Basin.”
His comments come as several oil and gas companies have pledged to limit leaks of methane, a potent greenhouse gas, and to reducing flaring and venting.
Gas flaring and venting in the Permian in Texas and New Mexico reached a new high of 750 million cubic feet per day (mmscfd) in the third quarter, according to estimates released on Tuesday by Rystad Energy, up from 600 to 650 mmscfd during the previous nine months. — Reuters
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