Reliable One Resources Power Co-Generation
Reliable One Resources partners with oil and gas producers to co-locate generation at or near the well pad providing onsite power, negating the need for purchased power, drastically lowering operational expenses and creating additional revenues through net metering.
Reliable One Resources will eventually contract with local power distributors to provide them with consistent and reliable base load electricity at an attractive price.
Reliable One Resources partner with smaller electric cooperatives providing means to meet DG requirements, delaying needs for rate payers to fund capital intensive new large-scale generation projects.
Reliable One Resources provides a complete turn-key system with design, engineering, equipment, installation and maintenance at little or sometimes no cost to oil and gas producers.
Reliable One Resources can provide power solutions for the drilling process negating the need for expensive and operationally risky diesel generation.
Reliable One Resources can generate revenue from otherwise wasted tank vent gases or condensate that are otherwise flared or recycled into the process. This creates revenue from a wasted product.
Reliable One Resources co-generation division was formed to provide innovative solutions in the oil and gas industry while assisting local-to-State power cooperatives to fulfill Distributed Generation (DG) requirements levied by the state Public Utility Commission. Reliable One Resources will partner with oil and gas producers to convert gas to electricity at the wellhead; eventually aggregating energy and capacity services to provide for base load as well as spinning reserve in support of renewable intermittent generation in the major oil drilling States.
The U.S. electric utility industry faces several disruptive trends. Utility regulation is placing downward pressure on shareholder returns in the context of investor-owned utilities (IOU) and upward pressure on costs for both IOU and publicly owned utilities and co-operatives. Intermittent renewables, such as wind and solar, increase the need for reserve requirements by the various Transmission System Operators (TSO) as required by Federal Regulations as promulgated by the North American Electric Reliability Corporation (NERC).
Distributed generation (DG) is attractive from several perspectives. For electric utilities, DG can provide electricity and especially ancillary services where and when it they are needed, close to the loads. They can be connected to the distribution system to ease bottlenecks and improve supply reliability. The relatively small capital outlays combined with short lead times make them attractive compared with large central station units with long construction requirements and large costs. DG can reduce costs by delaying, reducing, or eliminating investments in new bulk power generating facilities. DG can be used to meet load requirements in slow growing areas where larger expenditures that would otherwise need to be made are not economic.
DG is currently mandated in many states, to reach a minimum of 3% of all available electricity by 2020. Reliable One Resources offers a solution to help electric cooperatives meet this requirement, while offering Exploration & Production (E&P) companies an opportunity to reduce operational costs, and potentially share in a new revenue stream. The recent dramatic drop in oil prices has spurred all the major E&P companies to seek new ways to reduce operational and overhead expenses. In the State of Colorado, the single largest component of load growth is due to the explosion of drilling and the increase in the number of operational wells. Colorado is experiencing unprecedented growth in its oil and gas industry. Last year, direct oil and gas revenues topped $26.4 Billion (U.S.) while the industry added 121,000 direct oil and gas workers. While this has placed a significant strain on available housing, it has created an even sharper increase in new power demand. Electric utilities and cooperatives are scrambling to develop power system infrastructure in support of the oil and gas boom.
Reliable One Resources provides completely modular and scalable systems for commissioning at oil and natural gas wells. The generating units can operate off unprocessed wellhead gases, converting these unrefined gases into electricity for onsite consumption and sale of excess energy to electric utilities and capacity as spinning reserve to the TSO. Our natural gas powered generators combust the wellhead gasses with ultra-low emissions ratings that exceed state and federal emissions standards. Reliable One Resources provides a complete turn-key system including design, engineering, equipment, installation and long-term operations & maintenance. Units are computer monitored and remotely operated with Reliable One Resources telemetry and powered by oilfield-proven Power Solutions International (PSI) engines. The electricity generated has a dual-purpose, providing both primary power for well-pad operations and excess revenues to both Reliable One Resources and its customers depending on desired contract structure. The service and product that Reliable One Resources provides couldn’t have come at a more opportune time! The pace of drilling in North Dakota is strong, including a steep increase in commissioning of multi-well pads. This phenomenon is coupled with heightened power demand due in part to recently deployed power-hungry technologies such as electric-drive gas compressors and submersible pumps.
Reliable One Resources units are easily permitted and completely hassle free in operation, producing much needed “clean and efficient” electricity directly to the grid and/or end user in strategic areas.Reliable One Resources has created an excellent opportunity for oil and natural gas producers, electric utilities and their ratepayers, Reliable One Resources Power investors, State officials and associated tax authorities.