American Oil and Gas Reporter - November 2015 - 20

IndustryDigest
groundwater-related rules for oil and
gas production, including hundreds of
discrete rule changes, from 2009 to
2013." ❒

Pipeline Infrastructure
Growing Within SCOOP

OKLAHOMA CITY-Several companies report planning or construction
stages for multiple new pipelines or expanded pipeline infrastructure in the
South-Central Oklahoma Oil Province
and nearby shale formations.
Southern Star Central Corp. and a
unit of NextEra Energy Inc. confirm
they are offering capacity in the proposed Sooner Trails Pipeline to alleviate
infrastructure constraints in SCOOP, the
Sooner Trend Anadarko Canadian and
Kingfisher (STACK), Granite Wash,
Mississippian Lime, and Woodford
Shale formations in the Greater
Anadarko Basin.
Additionally, Velocity Central Oklahoma Pipeline LLC says it plans to construct a crude oil gathering and transportation system in Oklahoma with
units of CVR Energy Inc. The system
would run through the SCOOP and
STACK plays.
Asset Risk Management also has announced that its subsidiary, ARM Midstream, is partnering with Highbridge
Principal Strategies LLC to build a cryogenic processing plant, natural gas gathering system, and crude oil gathering
system in Oklahoma's STACK play.
The Kingfisher Midstream Project
was scheduled to begin operating in
fourth quarter 2015, ARM clarifies,
adding that the processing plant will be
in service early 2016. There are also
plans for additional expansion and updates as the project progresses, the company explains.
According to ARM, Kingfisher Midstream Project will provide area producers with more infrastructure and takeaway capacity to grow production in a
highly competitive environment. The
project's initial capital investment is estimated at $200 million.
The company details that the Kingfisher Midstream system will include more
than 100 miles of low- and high-pressure
gas gathering pipelines, more than 15,000
horsepower of compression, and a newly
constructed cryogenic processing facility
with initial processing capacity of 60 million cubic feet of gas a day.
ARM says its system design is con20 THE AMERICAN OIL & GAS REPORTER

figured strategically to serve STACK
producers in Kingfisher, Blaine, Logan,
Garfield and Canadian counties through
expansions, a high-pressure gathering
backbone, and centralized low pressure
delivery points.
The Kingfisher Midstream Project will
include a crude oil gathering system that
provides streamlined operations and superior pricing optionality, ARM reports. The
crude gathering system will connect infield production to Cushing, Ok., and will
include truck loading facilities and storage
for 50,000 barrels of crude oil. ❒

EIA Estimates 7.58 Qcf
Of Shale Gas Worldwide

WASHINGTON-The world has
7.5766 quadrillion cubic feet (Qcf) of
technically recoverable shale gas
resources, according to the U.S. Energy
Information Administration's latest
World Shale Resource Assessment. The
agency says this is an increase of 954
trillion cubic feet since its initial
assessment in 2011.
The report also calculates 418.8
billion barrels of shale oil resources.
EIA says the report released in
September added Chad, Kazakhstan,
Oman and the United Arab Emirates to
the more than 40 countries included in
its previous report.
China leads the world in shale gas
resources, according to the report, with
1.1152 Qcf, followed by Argentina
(801.5 Tcf), Algeria (706.9 Tcf) and the
United States (622.5 Tcf). EIA notes the
2015 report revises the U.S. resource
base downward. "The 622.5 Tcf of
recoverable shale gas is enough to
provide the United States with 27 years
of natural gas at current usage rates," the
agency explains. "In 2011, we estimated
the United States had 37 years of
technically recoverable shale gas."
With 78.2 billion barrels, the United
States leads in technically recoverable
tight oil resources, EIA continues. It is
followed by Russia with 74.6 billion
barrels, China with 32.2 billion,
Argentina with 27.0 billion, and Libya
with 26.1 billion.
By region, North America ranks first
in recoverable shale gas with 1.7406
Qcf, followed by South America with
1.4332 Qcf, Asia with 1.3730 Qcf,
North Africa with 971.7 Tcf, Eastern
Europe with 651.5 Tcf, Sub-Saharan

Africa with 434.1 Tcf, Australia with
429.3 Tcf, the Middle East with 260.4
Tcf, Western Europe (including the
United Kingdom) with 255.3 Tcf, and
the Caspian with 27.5 Tcf.
For tight oil resources, North
America again leads the way with 100.1
billion barrels, followed by Eastern
Europe with 84.1 billion barrels, South
America with 59.7 billion, Asia with
56.4 billion, North Africa with 38.1
billion, the Middle East with 28.9
billion, Sub-Saharan Africa with 16.2
billion, Australia with 15.6 billion, the
Caspian with 10.6 billion, and Western
Europe with 9.1 billion.
The report does not contain estimates
for Saudi Arabia, Iraq or Iran. ❒

Gas Storage Levels
Increase By 339 Bcf

WASHINGTON-Underground
natural gas storage in the United States
stood at 3.877 trillion cubic feet on Oct.
23, 4.1 percent above the five-year
average, according to the U.S. Energy
Information Administration. That was
up 339 billion cubic feet from the 3.538
Tcf reported by EIA on Sept. 25, which
was 4.5 percent above the five-year
average. The Oct. 23 storage number
was 409 Bcf more than a year ago,
when storage stood at 3.468 Tcf.
EIA reports gas storage in the
producing region stood at 1.352 Tcf on
Oct. 23, 12.9 percent above the fiveyear average and 120 Bcf more than the
1.232 Tcf reported in storage on Sept.
25, which was 15.4 percent above the
five-year average. The Oct. 23 storage
number for the producing region was up
280 Bcf from a year ago.
In the eastern region, EIA reports,
gas storage on Oct. 23 was 1.994 Tcf,
0.7 percent below the five-year average,
but up 190 Bcf from the 1.804 Tcf
reported in storage on Sept. 25, which
was 1.4 percent below the five-year
average. The Oct. 23 storage number
for the eastern region was up 87 Bcf,
compared with a year earlier.
In the western region, EIA reports,
storage levels on Oct. 23 were 531 Bcf,
2.5 percent above the five-year average
and up 29 Bcf from the 502 Bcf reported
on Sept. 25, which was 2.9 percent
above the five-year average. The Oct. 23
storage number in the western region
was up 42 Bcf from a year ago. ❒

American Oil and Gas Reporter - November 2015

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