L.P.G. flared after storage filled

Press, 21 August 1984, Page 12

L.P.G. flared after storage filled

PA Wellington Large amounts of liquefied petroleum gas from the Maui field have been burnt off because of lack of storage space. Heavy demand for natural gas for winter electricity generation led to greater production of the gas by-product, L.P.G., than Taranaki facilities can handle. Excess L.P.G. has been flared off to waste at OaonuL Energy officials would not put a figure on the amount of gas consumed or the cost of the burnoff. Mr Jim Hutchison, chairman of Maui Development, the consortium half owned by the Government, which exploits the offshore field,

said the burnoff meant a loss for-the producers. But he could not quantify the loss because the excess of L.P.G- fluctuated from day to day. The consortium was considering ways at ways of using excess L.P.G., including export and reinjection into natural gas supply lines. Mr Alan Jenkins, acting director of liquid fuels for the Ministry of Energy, said more L.P.G. storage was needed in the North Island, particularly in Auckland. Taranaki facilities including the Oaonui-to-Port Taranaki pipelines, would ( store only 2200 tonnes of L.P.G. When tanks and pipes were full there was nothing

to do but bum excess production. A 2000-tonne bulk depot in Auckland due for completion in 1986 would ease storage difficulties. Maui and Kapuni together have a production capability of 60,000 tonnes of L.P.G. a year. Production is kept as close as possible to the market demand of 40,000 tonnes. Mr Tony Easther, general manager of Liquigas, the national L.P.G. distributor, said demand for L.P.G. was booming. The South Island market, with no compressed natural gas available, was expected to grow rapidly.