Increased demand for dispatched power and liquefied natural gas is providing gas storage operators with opportunities to offer their customers a range of customized products and specialized services. Today’s customers are demanding more flexibility and are increasingly sensitive to costs. To serve them efficiently and cost effectively, your gas storage operations must perform optimally.
Solomon’s Worldwide Natural Gas Storage Performance Analysis (Gas Storage Study) lets you assess your gas storage performance in relation to that of your peers by benchmarking costs, revenues, and operations against those of similar storage facilities. This helps you identify opportunities to reduce operating costs, improve financial margins, and serve your customers better.
Because Solomon performs upstream, midstream, and downstream benchmarking, we have the internal expertise that makes valuable insights possible when comparing existing assets. Our unique methodology lets participants see what the operations of a top-performing gas storage asset look like. Understanding where your gas storage asset performance excels or falls short compared to others within the industry can help guide you in improving your future operations.
How It Works
Our focus is on the following:
- Revenue contribution benchmarks: Benchmarks your allocation of revenue by contract type, total throughput, employee number, and more; provides valuable insight regarding revenue optimization and growth.
- Operating expense benchmarks: Measures and compares your expenses (facility, labor, wells, compression) per unit of capacity, as well as your deliverability and withdrawal rate, to those of peers.
- Operational benchmarks: Analyzes storage operations, focusing on such critical issues as responsiveness, cycling potential, and injection ratios, and compares them to the storage operations of facilities with similar functions.
- Gas reservoir benchmarks: Examines and benchmarks working gas effectiveness, individual gas well capabilities, and, if applicable, cavern shrinkage rates.
- Application of technology: Benchmarks horizontal well injection and withdrawal rates, locates improvement opportunities through reservoir modeling, and assesses areas for growth potential.