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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?


To: energyplay who wrote (2362)6/25/2001 1:18:56 PM
From: jim_p  Read Replies (1) | Respond to of 206223
 
energyplay,

Most NG wells produce some water. If a NG wells goes down and the water cut is high enough, the well may not be able to go back on production. This is especially true on the deeper NG wells.

If the price is low, there is normally too much NG in the system. Once this occurs, the line pressure in the pipelines will increase as the pipeline becomes full. As the line pressure increases, the amount of NG that will flow into the pipeline will decrease. If the line pressure exceeds the well pressure, your well will become shut in.

This is where the compression segment of the industry comes into play. In order to maintain sales, many operators will rent or purchase a compressor in order to increase the well pressure going onto the pipeline. The more operators select to do this the worse the problem becomes for other wells on the system.

Might want to invest in compressor companies? UCO is way over priced.

Jim