June 1, 2018 – Natural Gas Intelligence
Permian Hungry for Oil, Gas Takeaway Solutions as Rail, Trucking Struggle
By: Carolyn Davis
Multiple oil pipelines are preparing to carry more of the Permian Basin’s roaring production to faraway markets, but capacity issues remain for liquids and in particular for natural gas, which could lead to a complete gas blowout by this fall and require flaring or shut ins, according to analysts.
Analysts have been sounding the alarm about Permian takeaway issues for months, as gas and oil price differentials widen. However, to date, there appears to be little pullback by producers in West Texas and southeastern New Mexico…
Read the full article here: http://www.naturalgasintel.com/articles/114583-permian-hungry-for-oil-gas-takeaway-solutions-as-rail-trucking-struggle
… RBN Energy LLC contributor Housley Carr, who has been tracking Permian NGL takeaway, said with liquids output rising and available capacity shrinking, advanced projects by midstream operators could, if built on their current schedules, roughly double the 1.2 million b/d of effective takeaway capacity in place today within the next 18 months or so.
“Much of the planned capacity is backed by long-term commitments from Permian producers anticipating continued growth in production of crude and NGL-rich associated gas, especially in the play’s Delaware Basin,” Carr said…
