Amid Colorado’s Gas Flare Ban, Report Shows Half Dozen Gas and Oil Firms Are Raking in a Lot of Bitcoin

In November 2020, Colorado banned state flaring, venting, and the merchandise of earthy state into the atmosphere. While the centennial authorities has a ample fig of good sites, a caller study shows that astir a fractional twelve Colorado lipid and state companies are leveraging gas-to-bitcoin flare mitigation systems and these firms are raking successful a batch of bitcoin.

Report Shows astatine Least a Half Dozen Colorado-Based state and Oil Firms Are Leveraging Gas-to-Bitcoin Mitigation Solutions

On August 29, 2022, the Colorado Sun writer Mark Jaffe reported connected Colorado-based state and lipid companies teaming up with bitcoin miners and explaining however “they’re making rather a spot of coin.” Jaffe details that determination are astatine slightest a fractional twelve lipid and state refiners utilizing gas-to-bitcoin flare mitigation systems successful the earthy gas-rich authorities of Colorado.

The increasing fig of bitcoin flare mitigation sites successful Colorado is absorbing due to the fact that the state’s regulatory watchdog, the Colorado Oil and Gas Conservation Commission (COGCC), has banned earthy state flaring. Essentially, if immoderate lipid and state institution chooses to run successful the authorities of Colorado, it indispensable link to a pipeline to mitigate the excess gas.

If an lipid and state steadfast cannot comply with the regulations, the COGCC volition unopen the operations down. Jaffe’s study explains that the COGCC is alert of these state and lipid firms leveraging gas-to-bitcoin solutions. A COGCC spokeswoman, Megan Castle, told the Colorado Sun (CS) writer that “it is decidedly connected our radar.”

While immoderate operations are “making rather a spot of coin,” Jaffe reports that immoderate operations successful Colorado person been unopen down. For instance, the CS newsman noted that Renegade Oil and Gas collaborated with Datahawk Energy and Adams County’s lipid and state inspector shut the concern down. A spokeswoman for Adams County, Christa Bruning, would not remark connected the suit that started implicit Renegade’s shutdown.

Crusoe Energy’s Gas-to-Bitcoin Solution Reduces 99.8% of Methane Compared to Traditional Flaring’s 93%

The CS study says the Houston-based D90 Energy is moving with Crusoe Energy successful Jackson County, Colorado. Jackson County has a batch of state and lipid accumulation going connected successful the region, and overmuch of the refinery enactment is located successful the North Park Basin. D90’s president, Dan Silverman, told the COGCC astatine a proceeding that sites similar his person nary transportation infrastructure wrong 60 miles of the basin.

Silverman said that the lipid had to beryllium trucked away, however, D90 Energy gave a presumption to the committee showing disconnected six Crusoe Energy flare state mitigation modules located astatine the company’s good site. Silverman told the COGCC hearing’s participants that radical volition spot “a batch much Crusoe modules retired there” for a fewer years.

D90 Energy’s president further noted that implicit the adjacent 3 to 4 years, the institution plans to drill astir 7 good sites per year. Moreover, Crusoe has fixed presentations to the COGCC, according to the CS study connected Monday.

Crusoe’s president and co-founder Cully Cavness explained astatine a June proceeding that the company’s exertion reduces 99.8% of methane compared to 93% for accepted flaring. Crusoe precocious raised $505 million successful April 2022 and 3 days agone it was reported that the institution is suing a rival company.

What bash you deliberation astir the fractional twelve lipid and state companies successful Colorado leveraging gas-to-bitcoin solutions? Let america cognize what you deliberation astir this taxable successful the comments conception below.