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Underground Natural Gas Storage

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Definition:
The process of storing natural gas in underground facilities to balance seasonal supply and demand.

Key Components:

  • Depleted Gas Reservoirs: Repurposed natural gas fields for storage.
  • Salt Caverns: Man-made underground chambers for high-pressure gas storage.
  • Aquifer Storage: Uses porous rock formations to hold gas reserves.

Use Cases/Industries:

  • Energy Security: Ensures reliable supply during peak demand periods.
  • Price Stabilization: Allows storage when prices are low for later sale at higher prices.
  • Industrial & Power Generation: Provides backup supply for utilities.

Advantages:

  • Large Capacity: Stores vast amounts of natural gas.
  • Supply Flexibility: Rapid withdrawal rates help meet demand spikes.
  • Cost Efficiency: Uses existing geological formations, reducing infrastructure needs.

Challenges:

  • Geological Constraints: Requires suitable underground formations.
  • Environmental Regulations: Must meet safety and permitting requirements.
  • Infrastructure Costs: Requires pipelines and compression facilities.

Related Terms:
Gas Reservoir Storage, Strategic Energy Reserves, Natural Gas Stockpiling

Example:
A utility company stores surplus gas in underground salt caverns for peak winter demand.

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Synonyms:
Gas Cavern Storage, Subsurface Gas Storage, Seasonal Gas Reserve
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