California Gas Storage Unit Agreement (Establish Unit on Depleted Producing Property)
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FAQ
What is the Average Life Span of a Well? he average life span of an oil or natural gas well is 20 to 30 years. However, new technologies are being developed to find ways to extend the life span. The life span of a well is based on the active years the well is in production.
A well, including the storage wellhead, casing, tubing, borehole, and cavern used for the injection or withdrawal of natural gas or any other gaseous substance into or out of an underground gas storage facility.
Gas storage is principally used to meet load variations. Gas is injected into storage during periods of low demand and withdrawn from storage during periods of peak demand.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.
Depleted natural gas or oil fields function as gas storage reservoirs in California. Natural gas is injected into the storage reservoirs through gas storage wells and stored until withdrawn for use. There are 12 underground natural gas storage fields in the state.
A natural gas well isn't at all like a water well (where you drill a hole in the ground and water fills it). Natural gas tends to be contained within the underground rock itself. The rock must be broken to release the gas. And if it's brought out the wrong way, it can contaminate the groundwater supply surrounding it.
A gas well is specifically drilled and completed to produce natural gas. Gas wells are designed to extract natural gas from underground reservoirs, which can be found in shale, sandstone, limestone and other tight formations.