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Economical Evaluation of Different Methods of Underground Storage of Natural Gas

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Author Affiliations

  • 1Institute for International Energy Studies (IIES), Tehran, IRAN

Res. J. Recent Sci., Volume 4, Issue (2), Pages 114-119, February,2 (2015)

Abstract

Gas storage is principally used to meet load variations. Gas injected into storage during periods of low demand and withdrawn from storage during periods of peak demand. It is also used for a variety of secondary purposes, including: Balancing the flow in pipeline systems, maintaining contractual balance, Leveling production over periods of fluctuating demand, Market speculation, Insuring against any unforeseen accidents, Reducing price volatility and Offsetting changes in natural gas demands. Gas storage facilities are gaining more importance due to changes in natural gas demands. First, traditional supplies that once met the winter peak demand are now unable to keep pace. Second, there is a growing summer peak demand on natural gas, due to electric generation via gas fired power plants.The most important type of gas storage is in underground reservoirs. There are three principal types — depleted gas reservoirs, aquifer reservoirs and salt cavern reservoirs. Each of these types possesses distinct physical and economic characteristics which govern the suitability of a particular type of storage type for a given application. At this study, according to the economic appraisal of Underground gas Storage Methods, regard to low investment cost also lower Cushion Gas necessary in Depleted Oil and Gas Reservoirs, this reservoirs are more economical. Although Aquifer and Caverns Salt too, (regard to investment costs) are economical.

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