BluBox Power Solves Natural Gas Flaring and Venting Compliance Issues for Colorado Oil and Gas Producers by Converting Associated Gas to Electricity at the Wellhead!
Many oil and natural gas fields in the United States are located away from existing gas pipelines. In many cases the area is so remote that it’s just not economical to establish a connection to a regional gas pipeline. While crude oil can be transported to distant markets with relative ease, the practice in the past has been to flare or vent stranded gas at the wellhead in order to produce the oil. This practice however is no longer acceptable due to environmental concerns. (strictly prohibited in Colorado where all flaring must be authorized by the COGCC and the CDPHE unless certain conditions are met and tighter regulations just passed by the CDPHE in January, 2015) Gas flaring releases greenhouse gases and dioxins into the environment. Communities near gas flaring projects are subject to a higher risk of health concerns and local crops may be at risk of becoming contaminated by acid rain. BluBox Power has the solution for the environment and many of these oil and gas producers throughout Colorado and beyond. "Stranded" or "shut-in" oil/natural gas wells can now return to and/or stay in full production which increases operator revenue, state tax revenue and eliminates flaring and venting compliance issues. The result satisfies all local, state and federal regulatory agencies.
BluBox Power provides modular generation units that can be placed at stranded oil/natural gas wells, operate off the unprocessed wellhead gas and turn that otherwise wasted resource into electricity. These natural gas powered generators burn cleanly with ultra low emissions ratings that exceed state and federal emissions standards. BluBox Power provides a complete system; engineering, equipment, installation and maintenance. Units can be set up fairly quickly, are computer monitored remotely and are powered by Caterpillar. The generated electricity is then uploaded directly into reliable primary distribution lines and is sold under long-term contracts to the local rural electric cooperatives. The service that BluBox Power provides couldn't have come at a more opportune time. The pace of drilling in Colorado is up, including an increase in multi-well pads and permits and bills to address environmental concerns over flaring and venting of natural gas have become real hot button issues at the legislature. By solving the associated gas compliance issue and producing much needed "clean" energy directly to the power grid, Blubox Power has created an excellent opportunity for Colorado oil and natural gas producers, Colorado electric utilities and their rate payers, BluBox Power and their investors and Colorado state officials and their taxing authorities.
The Natural Gas Flaring/Venting Problem
* Gas flaring and venting releases greenhouse gases and dioxins into the environment
putting communities at higher risk of health concerns. * COGCC currently prohibits gas flaring and venting unless certain conditions are met. * COGCC just approved (1/5/15) new tougher fines for environmental regulations
including up to $15,000 per day fines with NO cap.
* EPA has now (1/14/15) unveiled its plan to regulate oil and gas industry methane
The BluBox Power Solution
* BluBox contracts with oil & gas producers to acquire their associated gas allowing
them to produce their oil while eliminating the flaring and venting compliance issue.
* BluBox contracts with local REA's to provide them with consistent and reliable
baseload electricity at an attractive price.
* BluBox provides a complete system; engineering, equipment, installation and
maintenance at little or no cost to the oil & gas producers.
CLEAN ENERGY FROM WELLHEAD TO END USER
Statements made in this summary as well as information incorporated by reference into the summary and any presentations or oral statements that are not based on historical fact constitute “forward-looking statements.” More particularly, all statements, other than statements of historical fact, including statements regarding industry prospects and future results of operations or financial position, made in this business summary and any accompanying documents, including those incorporated by reference, are forward-looking statements. We may use words such as “anticipate,” “believe,” “expect,” “intend,” “estimate” (and the negative of any of these terms), “future,” and similar expressions to help identify forward-looking statements. These forward-looking statements are subject to business and economic risk and reflect management’s current expectations, and they involve subjects that are inherently uncertain and difficult to predict. Our actual results could differ materially. We will not necessarily update information if any forward-looking statement later turns out to be inaccurate. Users of this information are cautioned not to place undue reliance on forward-looking statements, which may be based upon assumptions and anticipated events.
BluBox Power Company 3910 S. Pecos-McLeod, Suite A-100, Las Vegas, NV 89121
9 N. Parish Ave., Johnstown, CO 80534