Chesapeake Partners with Oklahoma Retailers for CNG Filling Stations

| USA, Oklahoma City OK

An OnCue CNG fuelling facility in Oklahoma

Natural gas producer Chesapeake Energy Corporation (Chesapeake) and local retailers are partners in the opening of compressed natural gas (CNG) fueling stations in six communities across Oklahoma and in the Oklahoma City metro area, this week and in the weeks ahead. Three new CNG stations in the Oklahoma City area are already open for public use. In total, 11 new CNG stations are now open to serve the state, nine of which are operated by OnCue, a convenience store chain.

Oklahoma fuel service retailers own and operate the fueling stations while Chesapeake supplies the demand through its corporate fleet. Oklahomans driving bi-fuel or dedicated CNG vehicles will be able to purchase CNG at the facilities. Chesapeake has converted nearly 700 of its corporate fleet vehicles throughout Oklahoma to natural gas as the first phase of converting its entire 4,000-truck fleet throughout the United States. Completion of the fleet changeover is expected within four to five years.

“Bringing CNG to communities across Oklahoma allows the community, state and nation to take a step forward in reducing our dependency on foreign oil, while supporting our top energy resources,” said James Roller, Chesapeake Market Development Coordinator. “Natural gas enables businesses, schools and cities to lower fuel expenses while improving their budgets. Natural gas also creates cleaner air quality, sells at a significant discount to gasoline and is abundant and domestically produced; all of which support the overall energy industry in Oklahoma, an industry that provides one in seven state jobs.”

Retailers Love’s Country Stores, OnCue Express, and Hutchinson Oil,  are described by Chesapeake as “excellent partners and champions of the fuel”. The company believes the opening of the CNG locations with enthusiastic retail partners will result in more and more Oklahomans converting their business fleets or personal vehicles to CNG, creating momentum and demand for further fuelling infrastructure development.

“We have begun this same station build in other areas of our operations including projects today in Arkansas, Louisiana, Texas, and Pennsylvania. Our hope is to continue to develop these strategic partnerships to allow more public CNG option so other fleets and individuals may utilize this fuel. We are in discussions with many large fleets within the nation, aimed at ensuring this transformation continues,” Roller added.

Jim Griffith, OnCue marketing president and chief executive officer, emphasised the stability of CNG pricing: “While unleaded prices are near $3 per gallon, CNG from OnCue has remained $1.39 per gallon since last summer. The price difference has been a significant incentive for businesses, schools, cities and individuals to convert to CNG.”

CHK says the stations in Oklahoma are using Greenfield compression and dispensing products. Texas-based Greenfield Compression is a member of the Atlas Copco Group.

Item primarily compiled using information from a Chesapeake Energy Corporation press release.

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