Electric Co-op Today

Driving down the road in McKee, Ky., you’ll likely come across a large blue device that looks like it belongs on a flatbed rail car. But its location off the side of the road is no mistake.

This GridFox generator is using natural gas to make electricity for Jackson Energy Cooperative. (Photo By: Wellhead Energy Systems)

Sitting in a fenced-in area is America’s first GridFox Smart Energy Conversion Station, and it’s helping Jackson Energy Cooperative make energy.

The idea behind GridFox is to tap into a stranded natural gas well. As Carol Wright, Jackson Energy’s chief operations officer, explained, that’s a well that was drilled but then abandoned for one reason or another.

“Our area is full of those stranded natural gas wells,” Wright said, estimating there could be thousands. “The quantity and the quality may not be good enough to supply a major pipeline, but it may be good enough to supply a small generator that creates electricity onto our grid.”

That’s where GridFox comes in. The generator is made by Wellhead Energy Systems of Somerset, Ky. Wellhead tests wells for quantity and quality, and then contracts with the well’s owner. Once the gas is turned on, the GridFox cleans and compresses the gas, which powers a combustion engine and drives a generator to provide electricity.

After Wellhead identified the well, it began discussions with Jackson in early 2010. “We had to do some technical studies to make sure it’s even feasible to put a generator right on our distribution system,” Wright said. “You can’t just hook anything onto your distribution lines.”

It culminated this month when the nation’s first GridFox station began operating in McKee. But for the moment, the location is on an active pipeline.

“We lost our first location as our well provider was unable to get his wells drilled and treated in time for us to meet our commitment to Jackson Energy,” explained David H. Weddle, Wellhead’s CEO. “We decided to relocate our system and initially hook to the pipeline as we prepare some other stranded wells that are located on the property of our new location.” That’s expected to take a few months, and Weddle hopes to switch completely to stranded natural gas.

The GridFox control panel. (Photo By: Wellhead Energy Systems)

The GridFox generator size depends on the gas supply. “This generator is sized for 375 kW, so it’s a rather small unit,” Wright said, estimating it will provide enough power for 225 members. “It’s a wonderful distributed generation project for us, and if we can actually utilize some of these stranded gas wells that’s a win-win for both parties.”

Weddle sees potential for using GridFox in most states now drilling for natural gas or oil.

“We are currently working on new potential locations in Kentucky, Tennessee, West Virginia, Ohio, Indiana, Texas, to name a few,” Weddle told ECT.coop. “Our business model is quite aggressive and we do see hundreds of locations over the next few years where GridFox can be of real value in utilizing stranded natural gas resources.”

For now, though, the only big blue box is in McKee, just down the road from Jackson headquarters. And it’s creating some buzz.

“It’s pretty odd for our territory,” Wright said. “Several people have called and said, ‘What is that?’”

Tags: Natural Gas, R&D