Exploring Electrification in the Oilfield 

Electric fleets and natural gas-powered solutions are transforming wellsite services. As mobile power generation technology evolves, the oil and gas industry is exploring how to erect different types of microgrids that can be customized to their unique operational needs.

According to Evolution Well Services President and CEO Steven Anderson, electrifying hydraulic fracturing and other energy-intensive completions operations can contribute positive economic, operational, safety and climate-related benefits to the oil and gas industry¹. These include improved safety for personnel and equipment, reduced crew size, lower fuel costs and decreased greenhouse gas (GHG) emissions associated with oilfield operations.

As a next-generation pressure pumping company, Evolution utilizes Caterpillar Oil & Gas technologies to empower and energize oilfield services, bringing ultra-mobile power generation solutions directly to the wellsite. These mobile power generation systems, or microgrids, can operate in a much smaller geography to produce power where and when it’s needed. With oil and gas operations requiring a steady power source 24/7, utilizing local stand-alone microgrids is helping to revolutionize oilfield electrification and technology solutions.

Pioneering Microgrids in the Permian Basin

Modern microgrids can be successfully implemented in the oilfield to help companies achieve operational and climate-related targets without compromising performance. A Permian operator’s experience demonstrates the benefits that are possible with an optimal microgrid approach².

An operator desired to implement a grid-connected microgrid to power its wellsite as part of an e-frac application to support two goals: reduce fuel consumption costs and lower GHG emissions. The grid-connected microgrid enabled the operator to use six gas-fueled gensets on-site rather than 10 units while reserving one unit on standby in the event of any fluctuations. The power management system allowed the operator to reduce the need for on-site power generation by 40% by replacing that power demand with grid power. Additionally, site operations were not affected by blackouts, which were prevented by the coordination of protection relays in alignment with load variations.

Grid-connected microgrids are the optimal approach to advance electrifying the oilfield, as such configurations enable companies to leverage the maximum amount of power a utility can provide and supplement the rest with on-site power generation. This approach also offers oilfield companies the option to export power to the grid if needed. While grid-connected microgrids are highly desirable, project suitability is governed not only by grid accessibility but also the grid’s power capability for a specific site. With current strains on the electrical grid and the tremendous amount of power oilfield sites require, it’s important to understand if the amount of power a utility can provide will be suitable.

Energizing Efficient Operations

Electrifying oil and gas operations are driving safety, efficiency and reliability improvements in the oilfield, according to Anderson. As part of the industry’s dynamic mix of power generation solutions, electrification can support growing demand which serves to energize the future of oil and gas applications.

While the upfront costs to convert equipment may be capital intensive, these systems and electrical components are long-lasting and reliable, ultimately returning the investment in the long run.

As the oil and gas industry continues to evolve, electrification is expected to be a major contributor to the sector’s change. Developing necessary infrastructure and improving power generation technology are essential to support advanced electrification options to realize reduced costs, potentially lower GHG emissions and enhanced operational efficiency.