DOE Offers $65.5M for Pipeline Efficiency R&D

DOE is offering $65.5 million for technologies that improve pipeline efficiency and convert oil and gas by-products.

28 Aug 2026

The US Department of Energy has opened a funding programme worth up to $65.5mn for technologies aimed at improving pipeline efficiency and converting oil and gas by-products into usable commodities. Applications for the cost-shared projects are due by September 22, 2026.

The programme covers technologies ranging from laboratory testing of catalysts and separation processes to field trials of modular gas-conversion systems in active production basins. Funding will also target sour gas processing, where operators must handle natural gas containing hydrogen sulfide.

DOE Under Secretary of Energy Kyle Haustveit said the opportunity will “help American producers eliminate waste, improve efficiency, and deliver the affordable, reliable, and secure energy that powers our economy.” The department is seeking to support technologies as they move from laboratory development towards field deployment, a stage that can require substantial capital before commercial viability is established.

Modular systems are one focus of the programme because they can be deployed without some of the fixed infrastructure required by larger processing facilities. For producers, such systems could provide more flexibility in converting gas by-products at or near production sites.

Greater pipeline efficiency could also reduce operating costs and methane losses, while converting by-products into transportable commodities could provide additional revenue. The funding round will test whether these technologies can perform under field conditions and move closer to commercial use.