Oil producer Diamondback Energy may add nuclear fission energy as a power source for drilling operations in the Permian Basin, taking another step toward lowering its emissions.
California-headquartered Oklo Inc., a fission power plant developer, on April 8 said it signed a letter of intent with the Midland, Texas-based independent to collaborate on a 20-year power purchase agreement (PPA) with a 20-year extension option.
The PPA will focus on use of Oklo’s Aurora powerhouses, which are scalable liquid metal-cooled, metal-fueled fast reactors that generate usable heat and between 15 megawatts (MW) and 50 MW of electricity.
The partnership emerges as oil companies are taking additional steps to lower emissions while securing reliable access to electricity to power field operations.
The move could mark the start of a future shift in powering oil fields with operators moving from diesel generators to electricity from the power grid to small nuclear reactors onsite.
“By developing and providing a low-cost, high-reliability, and emission-free energy source, Oklo is poised to help meet the growing energy requirements of operators like Diamondback,” Oklo CEO Jacob DeWitte said in a news release.
As part of the PPA, Oklo plans to license, build and operate powerhouses capable of generating 50 MW of electric power to Diamondback E&P LLC, Oklo said in a news release. The powerhouses are designed to operate for 40 years.
Recommended Reading
Tech Trends: Halliburton’s Carbon Capturing Cement Solution
2024-02-20 - Halliburton’s new CorrosaLock cement solution provides chemical resistance to CO2 and minimizes the impact of cyclic loading on the cement barrier.
To Dawson: EOG, SM Energy, More Aim to Push Midland Heat Map North
2024-02-22 - SM Energy joined Birch Operations, EOG Resources and Callon Petroleum in applying the newest D&C intel to areas north of Midland and Martin counties.
Range Resources Expecting Production Increase in 4Q Production Results
2024-02-08 - Range Resources reports settlement gains from 2020 North Louisiana asset sale.
Sinopec Brings West Sichuan Gas Field Onstream
2024-03-14 - The 100 Bcm sour gas onshore field, West Sichuan Gas Field, is expected to produce 2 Bcm per year.
TotalEnergies Restarts Gas Production at Tyra Hub in Danish North Sea
2024-03-22 - TotalEnergies said the Tyra hub will produce 5.7 MMcm of gas and 22,000 bbl/d of condensate.