In early 2020, Eagle LNG monetized a source of previously stranded gas in the Marcellus field and delivered it as LNG to a New England electric utility where the gas is used for power generation.
Under the latest contract, Edge LNG’s second deal in 2020, it is acting as a service provider at stranded gas wells in Tioga County in Pennsylvania. The name of the owner of the gas wells was not disclosed.
“The Marcellus is an important region for us, there is lots of potential here with a large number of stranded wells,” said Mark Casaday, CEO of Edge LNG. “So much gas goes unharnessed, purely because lack of access to a pipeline has meant there is no economic way to take it to market. We provide operators with an opportunity to profit from wells that would otherwise not be used and we make it into valuable fuel,” the CEO added, calling it a win-win solution.
To tap stranded wells, Edge LNG uses Cryobox liquefaction units, created by Galileo Global Technologies, which can be delivered to any site accessible by road. ““After set-up and safety checks, production can begin within hours, with minimal investment required of the site owner and without the need of pipeline infrastructure,” Edge LNG explained.
The LNG produced from these stranded wells is being purchased by Edge and delivered to nearby customers by truck. A supply deal is also in place with City of Norwich, Connecticut, where the LNG will be regasifed and used in local homes and businesses.