Quote:
Originally Posted by Offshore1
Yes, Deep Panuke off Nova Scotia is being decommissioned.
To the best of my knowledge, any gas finds off Newfoundland are not economically viable. Most of the gas that's in the fields here is re-injected to maintain reservoir pressure to keep oil production up. With natural gas prices these days, you'd need a massive gas find to get a project going and that's even in an area with more benign weather than here.
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Ah, I see. Thanks for clarifying.
So natural gas is used to help with oil production, but just not feasible to produce itself. I knew there were economic factors such as price weighing in too. It's just funny these reports always state the amount of natural gas, but I see the reason why - it would be advantageous for an oil company to know to help with oil production estimates, etc.
I guess the cost of liquifying, storage and offloading, not to mention cost of infrastructure/equipment just adds to the overall feasibility. Correct me if I'm wrong, but doesn't Hibernia and Hebron burn off their natural gas extraction as a byproduct?