Edge Gathering Virtual Pipelines 2 LLC (EDGE) has produced and delivered its first LNG in the US by converting stranded and flared natural gas with no need for a pipeline.

Source: EDGE

EDGE’s Cryobox technology

EDGE began on-well-site LNG production in the US in May 2019, accessing Marcellus gas in Pennsylvania, and making truck-delivered LNG sales to its first customers, which include Emera Energy Services, Inc.

So far, EDGE has delivered over 30,000 gallons of LNG to a New England gas utility over 300 miles away from the Marcellus production site.

EDGE claims it provides the first viable route to market for stranded gas reserves without pipelines, and a revenue generating alternative to flaring or venting associated gas from oil production.

“It is estimated that stranded wells account for up to 60% of global reserves, and up to 20% of those drilled in Marcellus, showing the scale of this untapped resource,” Mark Casaday, Chief Executive Officer of EDGE, said.

“The virtual pipeline model has already been deployed in Mendoza, Argentina, where the first LNG-fuelled power plant running entirely on previously stranded gas, is now well established. Now we’re bringing this innovation to the US and rest of the world. With EDGE, well-owners can monetize these assets for the first time, and the market benefits from the lowest cost and highest quality LNG available.”

EDGE’s process dispatches Cryobox units – unique compact liquefaction facilities – to natural gas sources, which affix to wells. The produced gas is then delivered directly to the end-customer via truck or other methods.

EDGE Cryobox units fit on a standard 40 ft tractor trailer and are designed to be quickly and easily connected, and disconnected, from feedstock gas wells. Units are also self-powered using produced gas, removing the need for a grid connection.

For owners of stranded gas wells, or oil producers forced to flare or vent associated gas, EDGE offers a way to monetise otherwise uneconomic assets. For LNG buyers, EDGE offers a new source of high-quality, low cost LNG that can be delivered anywhere. By sourcing otherwise “wasted” gas and avoiding pipeline costs, EDGE will be among the most competitive suppliers of truck-delivered LNG worldwide.

EDGE uses technology developed and proven in Argentina, and it is suitable for use anywhere in the world where stranded, flared or vented gas is an issue.

Founded in 2018, Edge Gathering Virtual Pipelines 2 LLC purchases the Cryobox units directly from Argentina-based manufacturer Galileo Global Technologies, which is also a shareholder along with specialist international private equity firm, Blue Water Energy.

EDGE also has an agreement with NextEra Energy Marketing LLC, a wholly-owned and indirect subsidiary of NextEra Energy, Inc., to act as exclusive sales and marketing partner in the US.