Midstream commercial strategy and asset deployment
Evaluating the commercial requirements of diverse gas shippers required a comprehensive assessment of load flexibility constraints and grid connection infrastructure. ADI analyzed the technical trade-offs between electric motor drives and gas-fired turbines, assessing how capital intensity balances against long-term lifecycle operating costs. The resulting framework guided the prioritization of integrated transportation and storage services to capture the most value.
The client
North American midstream natural gas operator
The situation
An operator wanted to understand how to maximize the value of its connected pipeline and storage assets.
ADI’s contributions
Shipper commercial prioritization mapping
Executed structured primary research across gas customer segments to evaluate and rank shipper requirements for supply reliability, load flexibility, and sustainability premiums.
Storage service commercial structuring
Evaluated effort-versus-reward dynamics for alternative storage utilization options, comparing integrated transportation and no-notice services against standalone storage structures.
Compression lifecycle cost benchmarking
Benchmarked the lifecycle economics of gas-fired turbines against electric motor drives, analyzing greenfield development costs and long-term operating and maintenance expenses.
Operational trade-off assessment
Conducted an operational assessment of compression configurations to compare the grid-independent resiliency of gas systems against the efficiency and uptime profiles of electric drives.
Key outcomes
Enabled long-term capital prioritization for network compression assets and commercial optimization of integrated assets secure premium anchor tenants.
Client Results
ADI helped us with a market assessment study for the small-scale LNG and CNG market to understand the market size potential and competitive landscape.
ADI analyzed the transition from domestic gas production to LNG imports in the Philippines to address energy security and decarbonization goals. The study benchmarked the levelized cost of electricity (LCOE) for gas-fired combined-cycle plants against coal-based generation, accounting for the environmental costs of emissions. Modeled delivered ex-ship (DES) costs from U.S. export hubs to demonstrate […]
ADI assessed the market value of natural gas and hydrogen storage assets near the U.S. Gulf Coast through a detailed analysis of regional pipeline interconnects and seasonal spreads. The work evaluated the premium commanded by high-deliverability salt caverns and the technical constraints of repurposing infrastructure for hydrogen. The client Natural gas midstream operator The situation […]
ADI evaluated the commercial viability of replacing heavy oil with LNG for industrial steam production in isolated mining and oil and gas operations. The study established the crude oil price thresholds required for fuel-switching profitability and analyzed the global cost of delivering LNG from multiple supply hubs. Technical assessments included evaluating the potential for carbon […]
ADI Analytics assessed LNG sourcing options and market dynamics to support an oil company’s evaluation of LNG for steam generation within its operations. The client A national oil company evaluating LNG sourcing strategies and deal structures to support internal energy needs. The situation The client sought to understand the cost and strategic implications of using […]
ADI quantified the price elasticity of industrial natural gas use, distinguishing between fuel and feedstock applications in the petrochemical and refining sectors. The research highlighted significant operational constraints which limit the short-term capability of plants to switch to alternative fuels. By modeling product price indexing for methanol and ammonia, ADI demonstrated how producers mitigate margin […]
This assessment forecasted global demand for cryogenic heat exchangers and pumps across LNG, CCUS, and hydrogen liquefaction applications. ADI evaluated the cyclical nature of large-scale LNG capex alongside the rapid scale-up of blue hydrogen projects that rely on cryogenic CO2 separation. The work assessed the role of high-efficiency coil-wound exchangers and brazed aluminum designs for […]
ADI evaluated the total addressable market and outlook over a 10-year period for digital solutions for gas processing. The analysis highlighted a strategic preference for back-office digitalization over field operations, driven by a lack of commercial readiness for wearables and high capex barriers for IoT. ADI mapped these adoption hurdles against process automation partnerships to […]
ADI conducted a technical and commercial risk assessment of a proposed waterfront LNG facility, focusing on EPCM strategy and marine integration. The work identified critical FEL-3 gaps, including scope exclusions in storage tank quotes and misalignments between piping layouts and plot plans. Rigorous analysis of the bunkering barge cycle times highlighted operational vulnerabilities related to […]
The European Union (EU) Methane Regulation is known for its strict methane emissions transparency requirements for foreign oil and gas imports, and has driven methane emissions monitoring and reporting efforts, especially among oil and gas players serving the EU market. Under Article 28 of the EU Methane Regulation, importers are required to demonstrate that fossil […]
Last week, we attended and presented ADI Analytics‘ perspectives at the U.S. – Middle East & North Africa Natural Gas Midstream Reverse Trade Mission in Houston. Delegates from Egypt, Jordan, and Morocco discussed plans at the event sponsored by the U.S. Trade & Development Association for LNG imports, pipelines, gas storage, gas-to-power projects, and broader […]
Because most Permian natural gas is associated gas produced alongside oil, operators can often end up with more gas than local markets can absorb. With limited pipeline capacity to move those volumes out of the basin, producers may be forced to sell gas at steep discounts or even pay others to take it, resulting in […]