by Brett Rogers
On-site nitrogen gas generation provides major advantages in the oil and gas sector and related energy production and processing industries. Below, we profile this industry and explain the key benefits of generating nitrogen on site.
The Indispensable Role of Nitrogen Gas
In upstream oil extraction activities, non-reactive nitrogen gas is required to displace oxygen and prevent explosive atmospheres. It is added to the top of storage tanks to keep oxygen and moisture out and is used to purge pipelines, maintain pressure, and test for leaks — all critical operations to ensure equipment is protected and operations run safely.
Nitrogen gas is also essential throughout midstream and downstream activities as product is moved, processed, and stored in pipelines, gas plants, refineries, petrochemical operations, and gas stations.
The Preferred Nitrogen Source: On-Site Generation
The turnkey Purity Gas NITROCENTER® systems, whether installed inside a facility or in a NitroVault® climate-controlled enclosure, replace the traditional delivery of liquid nitrogen tanks from third-party bulk suppliers.
Advantage 1: Predictable, Continuous Availability
Heavy industry production and processing facilities require a reliable source of nitrogen gas available 24/7. In addition to continuous flow, operators may occasionally need significantly larger volumes without delay.
Whether required for planned or unplanned activities — including emergency events — nitrogen gas must be readily available on demand in oil and gas sector facilities. Multiple systems may require nitrogen simultaneously, or an operator may need to rapidly inert a system to prevent ignition.
Minutes matter. Waiting for delivered nitrogen can result in costly downtime and increased safety risks. With on-site access and full control, Purity Gas clients can treat nitrogen like a utility — similar to power or water.
Advantage 2: No More Delivery Woes
The largest integrated energy companies trust Purity Gas systems to eliminate dependence on delivered consumables and fragile supply chains.
On-site nitrogen generation systems eliminate:
- Workplace safety risks associated with handling high-pressure cylinders and liquid nitrogen cooled to –196 °C (–321 °F)
- Recurring high fees and unpredictable pricing
- Lengthy and restrictive contracts with third-party suppliers
- Unpredictable delivery schedules and challenging weather or road conditions
- Random product shortages
- Product losses due to evaporation
- The unnecessary cost of ultra-high-purity nitrogen when it is not required
- Scope 3 carbon emissions from energy-intensive liquefaction processes and long-haul truck deliveries
At remote upstream resource extraction sites, such as oilfields, access, logistics, and mobility are critically important. In harsh and unpredictable environments — including the Permian Basin in Texas or the Athabasca Oil Sands in Alberta — on-site nitrogen gas generation is not a convenience; it is essential for continued operation.
Advantage 3: Consequential Cost Savings
The cost savings achieved by switching to on-site nitrogen gas generation can be transformative. In the oil and gas sector, savings are often measured in millions of dollars.
One of Purity Gas’s newest clients in Alberta expects to reduce nitrogen gas spending by 88% compared to delivered nitrogen, resulting in annual savings exceeding $13 million.
Advantage 4: Experience in Hazardous Environments
Purity Gas is ISO 9001:2015 certified, demonstrating robust processes, skilled personnel, and a commitment to meeting customer expectations for quality.
We understand the rigorous safety requirements of the energy sector and the high expectations of the professionals who work within it. Well before system design and implementation, we partner with clients throughout risk assessment and mitigation planning. Our engineers are experienced in hazardous environments and routinely incorporate redundancies to ensure seamless operation and peace of mind.
