In the United States (US), Sweden-headed specialized heat power investment entity Baseload Capital Sweden AB and Germany-headed waste heat-to-power technology developer Orcan Energy AG have announced the commissioning of a first project utilizing waste heat from existing oilfield operations at the Chevron U.S.A. Inc. (Chevron) San Ardo oil-and-gas field in California (CA).
Baseload Capital is the project operator, collaborating with leading cleantech company Orcan Energy providing state-of-the-art heat-to-power technology.
The project, which started operations in Chevron’s San Ardo oilfield in July 2022, demonstrates the potential of using existing oil and gas wells for reliable and cost-effective renewable power production.
Utilize heat power technology
Up to 90 percent of the fluid produced from oil and gas wells is hot water – a source of heat energy waiting to be fully tapped.
When paired with next-generation Organic Rankine Cycle (ORC) equipment, it can leverage that potential heat from the water to produce clean electricity at minimal costs.
Baseload Capital and Orcan Energy’s San Ardo project with Chevron showcases the significant opportunities for the oil and gas industry to develop renewable energy and will pave the way for similar projects at other sites worldwide.
This project is a great start and demonstrates the tremendous potential for similar installations and cooperation. The results will boost renewable electricity production in the future. Collaboration is definitely the way forward to transform the energy sector, said Alexander Helling, CEO of Baseload Capital.
Potential for further collaboration
In 2021, Baseload Capital announced Chevron Technology Ventures (CTV) as a new strategic investor as part of a US$25 million equity round.
The partnership provides the potential for collaboration since ORC equipment, commonly used in the geothermal industry, opens new possibilities for the oil and gas industry.
A new test site was commissioned in July 2022, demonstrating Orcan Energy’s potential as a quickly accessible and easily installed waste heat-capturing solution.
We are proud to work together with Baseload Capital and Chevron, converting unused energy into clean and affordable electricity. A special thanks go to Baseload Capital, an expert partner in geothermal applications. This project is just the start of novel geothermal energy conversion in the oil and gas sector. There are many active oil and gas wells in the United States suitable for excess heat recovery, making it an untapped clean energy resource with significant potential that we shall quickly make use of, said Dr Andreas Sichert, CEO of Orcan Energy.