Growing natural gas development in the U.S. has led to increasing supplies and falling prices. According to a report by Natural Gas Intelligence, "staggering" development could lead to prices that are as low as $3.85 per thousand cubic feet of gas.
The reality is that U.S gas producers are finding ways to bring online staggering amounts of natural gas at prices well below $4.50," analysts J. Marshall Adkins and Edward Rowe told the news source. "More importantly, these lower gas drilling breakeven costs are likely to fall even further over the next few years as operators continue to drive better gas production efficiencies."
For this reason, energy companies are turning toward natural gas to replace coal-fired electricity plants.
Manufacturing.net reports that the Fluor Corporation recently completed a power plant in Horseshoe Bay, Texas. The 540 megawatt power plant will run on natural gas and replace an older, less efficient plant built in 1974.
"The new power plant will be among the most efficient, reliable, and environmentally responsible power plants in Texas, producing 30 to 40 percent fewer emissions per unit of power than the old plant," said Lower Colorado River Authority (LCRA) General Manager Phil Wilson. "The new plant also will help LCRA provide its wholesale electric customers with more competitively priced power over the long term because a combined-cycle power plant is more cost-effective and more reliable."
The construction of more efficient power plants will benefit overall economic development in the area, but they will also require new resources and support. CNC machine services can help energy companies construct and mantain these plants.