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Natural Gas Flaring Is Set to Rebound in Permian Basin

  • Pipelines running at max capacity until expansions in 2H 2023
  • Flared volumes could triple to 3% of total gas produced
Flaring in Midland, Texas.

Flaring in Midland, Texas.

Photographer: Luke Sharrett/Bloomberg

Operators in America’s biggest shale oil basin are set to significantly increase the amount of natural gas they burn into the atmosphere because of a lack of pipeline capacity to ship it elsewhere, according to Rystad Energy.

Permian Basin gas production has rebounded more quickly than oil since the pandemic, leaving pipelines effectively maxed out. It will be the latter half of next year before several major pipeline expansions come online to ease the shortage.