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Challenges and Benefits of Using Mine Pool Water for Hydraulic Fracturing Tom Gray, PE Heather Trexler, PG July 24, 2012 OUTLINE OUTLINE Availability of mine water Availability of mine water Mine water characteristics Mine


  1. Challenges and Benefits of Using Mine Pool Water for Hydraulic Fracturing Tom Gray, PE Heather Trexler, PG July 24, 2012

  2. OUTLINE OUTLINE  Availability of mine water  Availability of mine water  Mine water characteristics  Mine water characteristics  Benefits of using mine water  Benefits of using mine water  Challenges of using mine water  Challenges of using mine water  Evaluation and permitting  Evaluation and permitting  Mine pool management  Mine pool management  Example projects  Example projects  Conclusions  Conclusions

  3. PENNSYLVANIA’S CURRENT AMD ISSUES PENNSYLVANIA’S CURRENT AMD ISSUES  2,400 miles of abandoned mine  2,400 miles of abandoned mine drainage (AMD) polluted streams drainage (AMD) polluted streams  PADEP has limited funding for  PADEP has limited funding for treatment of discharges and treatment of discharges and cleaning streams cleaning streams  Four main classes of discharges:  Four main classes of discharges: - Active operator, treated discharge - Active operator, treated discharge - Closed mine, treated discharge - Closed mine, treated discharge - Orphaned discharge (Pre-1977), no - Orphaned discharge (Pre-1977), no treatment treatment - Legacy / Forfeited, discharge - Legacy / Forfeited, discharge treated by DEP treated by DEP

  4. AVAILABILITY OF MINE WATER AVAILABILITY OF MINE WATER  Hydraulic fracturing requires large  Hydraulic fracturing requires large volumes of water volumes of water • Water sources are limited • Water sources are limited - Surface water - Surface water - Ground water - Ground water • Water delivery challenges • Water delivery challenges - Trucking - Trucking - Piping - Piping  Large quantities of water are available  Large quantities of water are available from abandoned mines from abandoned mines  Mine pools are present throughout the  Mine pools are present throughout the Marcellus Shale Play Marcellus Shale Play

  5. MARCELLUS SHALE MAP – WELLS ONLY MARCELLUS SHALE MAP – WELLS ONLY

  6. WELLS AND MINE DISCHARGES WELLS AND MINE DISCHARGES

  7. MINE WATER CHARACTERISTICS MINE WATER CHARACTERISTICS  Typical flow ranges  Typical flow ranges from 300 gpm to 3,000 from 300 gpm to 3,000 gpm (1/2 MGD to 1.5 gpm (1/2 MGD to 1.5 MGD) MGD)  Acidic or neutral  Acidic or neutral  Iron 1 ppm to 100 ppm  Iron 1 ppm to 100 ppm  Aluminum, manganese  Aluminum, manganese  Sulfates 50 ppm to  Sulfates 50 ppm to 1,000 ppm 1,000 ppm

  8. BENEFITS OF USING MINE WATER BENEFITS OF USING MINE WATER  Goodwill / Environmental benefit - reduce metal  Goodwill / Environmental benefit - reduce metal loadings and pollutants to watersheds loadings and pollutants to watersheds  Reduce ‘clean’ water withdraw  Reduce ‘clean’ water withdraw  General close proximity and abundant supply of mine  General close proximity and abundant supply of mine water water  For active mines – existing infrastructure and clear  For active mines – existing infrastructure and clear ownership ownership  Less road damage  Less road damage

  9. CHALLENGES OF USING MINE WATER CHALLENGES OF USING MINE WATER  Water Quality  Water Quality - Treatment may be required - Treatment may be required - Quality varies - Quality varies  Abandoned discharges – unclear  Abandoned discharges – unclear ownership of water and liability ownership of water and liability  Impact of withdraw from mine pool  Impact of withdraw from mine pool - Destabilization of mine - Destabilization of mine - Flow may be required for a stream - Flow may be required for a stream  Interbasin transfers  Interbasin transfers

  10. EVALUATION AND PERMITTING EVALUATION AND PERMITTING  PADEP white paper: Utilization of Mine Influence Water in Well  PADEP white paper: Utilization of Mine Influence Water in Well Development for Natural Gas Extraction Development for Natural Gas Extraction - Environmental impact from mine water and benefit to watershed - Environmental impact from mine water and benefit to watershed - Current mine water flow and volume at the site - Current mine water flow and volume at the site - Proposed volume to be used - Proposed volume to be used - Characterization of the mine water - Characterization of the mine water - Proposed site development, including storage facilities - Proposed site development, including storage facilities - Spill Prevention Plan - Spill Prevention Plan - Evaluation of mine pool - Evaluation of mine pool • History of mining • History of mining • Mine pool recharge rate • Mine pool recharge rate • Potential of impacts due to subsidence • Potential of impacts due to subsidence • Potential of impacts to water supplies • Potential of impacts to water supplies  Water Management Plan, E&S Plan, NPDES?  Water Management Plan, E&S Plan, NPDES?

  11. MINE POOL MANAGEMENT MINE POOL MANAGEMENT  Lower or maintain pool levels to eliminate  Lower or maintain pool levels to eliminate unmanaged discharge unmanaged discharge  Complex issues  Complex issues • History of mining, multiple discharges • History of mining, multiple discharges  Treatment  Treatment  Quality varies with change in pool elevation  Quality varies with change in pool elevation  Operating & maintenance  Operating & maintenance  Not an exact science – need for experience  Not an exact science – need for experience

  12. EXPLORATION AND PRODUCTION FIRMS EXPLORATION AND PRODUCTION FIRMS  Need water – 5mil gallon/frac  Need water – 5mil gallon/frac  Need goodwill – environmental benefit  Need goodwill – environmental benefit  Want low water cost/less road damage  Want low water cost/less road damage  Environmental compliance managed by PADEP  Environmental compliance managed by PADEP

  13. EXAMPLE PROJECT – DELAWARE RIVER BASIN EXAMPLE PROJECT – DELAWARE RIVER BASIN  Project Driver : DRBC surface water use limitations  Project Driver : DRBC surface water use limitations - DRBC – Severe limits on GW/SW withdrawals - DRBC – Severe limits on GW/SW withdrawals - Supports use of treated mine water imported from - Supports use of treated mine water imported from Susquehanna River Susquehanna River - PADEP & Lackawanna River Groups support mine - PADEP & Lackawanna River Groups support mine water use water use  Tetra Tech :  Tetra Tech : - Developed concept to use mine pool water - Developed concept to use mine pool water - Installed weirs & monitored flows and quality - Installed weirs & monitored flows and quality - Developed conceptual treatment/ - Developed conceptual treatment/ transport plan/cost estimate transport plan/cost estimate

  14. EXAMPLE PROJECT – GLADDEN MINE EXAMPLE PROJECT – GLADDEN MINE  Gladden Mine Pool  Gladden Mine Pool  South Fayette Township, PA  South Fayette Township, PA  Project participants:  Project participants: - South Fayette Conservation District - South Fayette Conservation District - PA DEP - PA DEP - Range Resources - Range Resources - Tetra Tech - Tetra Tech

  15. EXAMPLE PROJECT – GLADDEN MINE EXAMPLE PROJECT – GLADDEN MINE  Mine history  Mine history - Three mine pools - Three mine pools  Discharge to Chartiers Creek  Discharge to Chartiers Creek

  16. EXAMPLE PROJECT – GLADDEN MINE EXAMPLE PROJECT – GLADDEN MINE  2005 report by Chartiers  2005 report by Chartiers Nature Conservancy Nature Conservancy - “Without treatment of - “Without treatment of Gladden Mine discharge, Gladden Mine discharge, Millers Run or Chartiers Creek Millers Run or Chartiers Creek could not be restored” could not be restored”  Discharge characteristics:  Discharge characteristics: - Flow ~700 gpm - Flow ~700 gpm - pH 6.0 - pH 6.0 - Iron 100 ppm - Iron 100 ppm - Sulfate 760 ppm - Sulfate 760 ppm

  17. EXAMPLE PROJECT – GLADDEN MINE EXAMPLE PROJECT – GLADDEN MINE  DEP goal :  DEP goal : - Clean the stream - Clean the stream • Acid neutralization • Acid neutralization • Iron removal • Iron removal • Sustainable treatment • Sustainable treatment  Range Resources goals :  Range Resources goals : - Water supply for well development of adequate quantity/quality - Water supply for well development of adequate quantity/quality - Reasonable cost - Reasonable cost - Goodwill - Goodwill

  18. EXAMPLE PROJECT – GLADDEN MINE EXAMPLE PROJECT – GLADDEN MINE  Concept  Concept - Hydrated lime (or similar material) treatment system - Hydrated lime (or similar material) treatment system - Lower mine pool - Lower mine pool - Add second treatment stage for use well use - Add second treatment stage for use well use - Pump treated water to impoundments at wells - Pump treated water to impoundments at wells - Discharge excess water to stream - Discharge excess water to stream - 3 rd party operator - 3 rd party operator - Cost share - Cost share • Capital • Capital • Operating and Maintenance • Operating and Maintenance • Trust Fund • Trust Fund  At end of drilling, plant and trust fund donated to DEP  At end of drilling, plant and trust fund donated to DEP

  19. CONCLUSIONS CONCLUSIONS  Issues  Issues - Liability - Liability - Cost sharing - Cost sharing - Environmental compliance - Environmental compliance - Drilling schedule - Drilling schedule - Cost of gas - Cost of gas - Incentives - Incentives - EPA acceptance - EPA acceptance

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