Oilfield technology firm Pioneer Energy Inc. has completed the sale of its Pegasus field gas conditioner to Fuel Automation Station (FAS), a subsidiary of Atlas Oil Company.
The Pegasus system conditions field gas into consistent, high-quality fuel to be used in place of diesel for hydraulic fracturing fleets, substantially reducing the emissions and environmental impact of fracking while also reducing fuel costs, Pioneer Energy said in a news release Wednesday. The financial details were not disclosed.
“We were greatly impressed by the Pegasus technology, which has been custom built to meet the rigorous requirements of frac fleet fueling and is the perfect complement for our growing CNG [compressed natural gas] business”, Atlas Oil President Michael Evans said. “Our team is looking forward to bringing this exciting new technology to our customers, helping us to continue to provide the high-quality natural gas fuel they need, when and where they need it, consistently, and with the highest levels of environmental responsibility”.
Pioneer Energy said the Pegasus unit, which is designed specifically for the rigors of direct frac fleet fueling, can replace up to 700,000 gallons of diesel fuel per month with clean burning natural gas. It also has large capacity that meets the needs of dual-fuel frac fleets as well as e-fleets and turbines. The company added that it expects to “significantly ramp up production” of Pegasus systems this year.
“The industry is going through a rapid transition from diesel fuel to natural gas, with field gas in particular holding the most promise for the largest cost savings and environmental benefits”, Pioneer Energy CEO Eyal Aronoff said. “We are thrilled to be working closely with the world class team at Atlas Oil and FAS to demonstrate the true potential of the Pegasus for oilfield decarbonization. We greatly appreciate Atlas’ technical and thought leadership for being an early adopter of this revolutionary technology. We believe that the Pegasus represents a step change improvement that is not just better for the bottom line but is also better for the environment”.
Denver-based Pioneer Energy describes itself as a provider of technologies that help to decarbonize the oil and gas industry. The company’s product lines include the Emission Control Treater (ECT), a zero-emission oil production system which also increases crude production volumes; the Pegasus field gas conditioning system which reduces emissions and fuel costs from hydraulic fracturing operations; and flare gas capture and processing equipment.
In October 2023, Pioneer Energy completed a successful field trial of ECT technology. Pioneer partnered with Bayswater Exploration & Production, a Colorado-based oil producer, to deploy and operate the ECT at one of their production locations in Weld County. The pilot demonstrated nearly complete elimination of well pad emissions with autonomous and reliable operations, and an 11.3% percent increase in crude yield.
“We can see how the ECT can help Bayswater improve our bottom line while helping to achieve our emissions reduction targets, Bayswater CEO Steve Struna said in an earlier statement. “I firmly believe in the ECT technology’s ability to improve crude oil yield, and I look forward to further opportunities to apply this technology in our operations”.
Atlas Oil, a Simon Group Holdings company, offers single source solutions for fuel, transportation and logistics. The company is one of the largest fuel distributors in the country, delivering nearly 5 billion gallons of fuel in 2023. Atlas Gas Solutions, owned by Atlas Oil, offers single source solutions for natural gas supply, processing, filtration, delivery, and on-site pressure reduction and distribution services.
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