skip to main content
OSTI.GOV title logo U.S. Department of Energy
Office of Scientific and Technical Information

Title: Assessment of costs and benefits of flexible and alternative fuel use in the US transportation sector

Technical Report ·
DOI:https://doi.org/10.2172/6731017· OSTI ID:6731017

The primary objective of this report is to provide estimates of volumes and development costs of known nonassociated gas reserves in selected, potentially important supplier nations, using a standard set of costing algorithms and conventions. Estimates of undeveloped nonassociated gas reserves and the cost of drilling development wells, production equipment, gas processing facilities, and pipeline construction are made at the individual field level. A discounted cash-flow model of production, investment, and expenses is used to estimate the present value cost of developing each field on a per-thousand-cubic-foot (Mcf) basis. These gas resource cost estimates for individual accumulations (that is, fields or groups of fields) then were aggregated into country-specific price-quantity curves. These curves represent the cost of developing and transporting natural gas to an export point suitable for tanker shipments or to a junction with a transmission line. The additional costs of LNG or methanol conversion are not included. A brief summary of the cost of conversion to methanol and transportation to the United States is contained in Appendix D: Implications of Gas Development Costs for Methanol Conversion.

Research Organization:
USDOE Office of Domestic and International Energy Policy, Washington, DC (United States)
Sponsoring Organization:
USDOE; USDOE, Washington, DC (United States)
OSTI ID:
6731017
Report Number(s):
DOE/EP-003P; ON: DE93007526
Country of Publication:
United States
Language:
English