Case Study | Mid-Con Operator Goes Off-Grid

Mid-Con Operator Goes Off-Grid, Gets Back to Business

Kansas Independent Oil and Gas Producer Utilizes Wellhead Gas, Natural Gas Generators From Baseline, To Provide Boost During Downturn

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Kansas

Site Location

Kansas

The Challenge

An independent oil and gas operator in Kansas found themselves economically constrained.

Economic Constraints

Lower than expected cashflows and projects placed on hold due to economic downturn

Issues at Hand

Depressed oil prices and the inability or refusal of the grid utility to adjust to customer circumstances

Adjustments Required

Off-grid electric power generation put to the side to focus on cost reduction

The Baseline Solution

Four NG 250 Baseline generators outputting 940 kW of electric power for two high-output electrical submersible pumps.

Baseline began working out a proposal to bring the operator’s production plans back to fruition. With Baseline’s team of oilfield electric power specialists and our highly equipped fleet of mobile natural gas generators, we knew that we could save them money and provide the flexibility to grow their operations. Our proposal was simple; a competitive daily rental rate, with no long-term contract, that would utilize wellhead gas as fuel to power the wellsite.

Unlike any utility, Baseline also provides twenty-four-seven monitoring and support through Baseline Telematics Solution with a manned central control room, cloud-based customer portal with by-the-second electricity and fuel usage data, and customized alerts for local Baseline field-response team members to guarantee power delivery performance.

Project Implementation

Once both parties felt confident that the economics of this application would work, Baseline visited the location and specified a site layout that would be conducive to daily operations.

The site chosen had two wells, each running an electrical submersible pump (ESP) with healthy production levels of both oil and natural gas.

With the site prepped, the Baseline team rapidly deployed two pairs of NG 250 (235 kW) natural gas generators and the associated paneling and cabling equipment to link everything electrically. This setup ensures the site has fully redundant electric power and is capable of handling continuously high production rates as well as spikes in power draw when production equipment ramps up.

Successful Outcomes

50%
Electricity Cost Reduction
~4¢
per kWh Savings Over Utility
100%
Uptime During Winter 2021

By employing natural gas generator rental and service from Baseline, the operator reduced their total cost of electricity on this single wellsite. With no increase in downtime and no power loss from the generators during the historical winter storms of early 2021, the Baseline electric power generation solution and the wellsite continue its strong performance, enabling the operator to largely return to pre-pandemic development and production plans aided by a reliable electric power partner designed for their specific oil and gas business requirements.