Posted on May 2nd, 2021
Posted in Uncategorized
The handling of associated gas is a common challenge for oil producing assets. If there is no sales disposition for the gas, it is typically flared without extracting any benefit from the energy source. One of the ways companies are looking to improve overall efficiency and resourcefulness is by repurposing waste energy. This can take on many forms including oversized generators, excess gas production, and flaring reductions.
Recently, some companies have looked to add value via various cryptocurrencies, most commonly Bitcoin. Cryptocurrency continues to gain legitimacy as a means to purchase goods and services. A prime example is Tesla’s recent announcement that they now accept Bitcoin as payment for its cars in the United States. So, if a company has excess energy, it can use that to power a number of cryptocurrency miners and generate a digital cashflow.
Halker is currently working to design and construct one of these crypto-mining facilities using gas production from oil-producing wells that are not currently tied into a gas sales pipeline. This gas will be used to power an on-site generator, and the electricity generated will run a bank of approximately 250 miners located in close proximity to the wellsite. The complete miner facility is housed in a shipping container, which is easily transportable from its fabrication location and between various well-sites as needed. Alternatively, multiple modular units can be installed at a single site, and the count can be adjusted as needed. The cryptocurrency mined can then be traded for goods, services, or local currency (US dollars).