Plant Processing Economics

Wednesday, 01/23/2013

Even though ethane prices have recovered by about 4 cnts/gal from the lows last week (January 14, 2013) most gas processing plants are still faced with ethane rejection economics. The past two blogs in our Gas Processing Economics series examined the impact of ethane rejection for a specific plant configuration, running a range of Eagle Ford gas streams.  But Eagle Ford gas is quite rich and high in ethane content – certainly not representative of the overall market.  Is it possible to use the RBN Gas Processing model to look at the aggregate market for U.S. gas processing?  That answer is yes, if you don’t mind hacking your way through some EIA statistics and manipulating a few input variables.