Wilton to host energy-saving demonstration

Jan 9 2009 By Evening Gazette

WILTON has been chosen as the UK demonstration pilot for an energy-saving gas to liquids (GTL) project that could go global.

Oxford-based CompactGTL’s system avoids gas flaring by converting the waste gas from oil production into synthetic crude oil.

The Wilton-based project is being run in parallel with a US$ 45m pilot plant with Brazilian oil and gas giant Petrobras, which is in its construction phase.

Although the Wilton project is tiny compared to the commercial-scale plants that will succeed it, it is vital for commercial scale-up.

Iain Baxter, commercial manager with CompactGTL, said: "The establishment of the plant at Wilton was a critical step for the company. We chose the Wilton site because of the local support, facilities, infrastructure and access to the required skills.

"We are developing the technology to convert associated gas into synthetic crude oil - or Syncrude - at point of production, to create a readily marketable commodity that can be easily transported with the natural crude. This will avoid the environmental problems associated with gas flaring as well as adding value to the oilfield.

"The potential for this technology is huge. The amount of waste gas flared around the world is equivalent to the annual total gas consumption of Germany and France, or six trillion cubic feet of gas a year."

Stan Higgins, chairman of North East Process Industry Cluster (NEPIC) welcomed CompactGTL’s arrival on Teesside.

He said: "CompactGTL is another example of a company operating in the South that is taking advantage of the facilities and technical expertise based at Wilton."

Although CompactGTL has chosen the Tees Valley for its UK pilot plant, commercial plants will be sited by its clients elsewhere in the world - early locations are most likely to be offshore Brazil, West Africa and South-east Asia.