Con onoc ocoP oPhil illips’ Op Operator Agreem emen ent Aurora C City Council Study Session MAY 20, 2019 1
ConocoPhillips Commitment to Aurora ConocoPhillips has operated in the City of Aurora since 2013 Operational Impacts Commitment to Community >$11 million donated to organizations across Colorado during 45 140 the past 7 years wells drilled total wells planned Held 15 open houses to engage through 2018 through 2023* with residents and stakeholders >$500,000 >$300,000 paid in bonus paid in royalty payments payments ConocoPhillips operations support ~350 jobs in Colorado. * Wells drilled through YE18 + future wells based on 5-year plan submitted to the City in December 2018. 2
Operator Agreement 〉 Establishes standards consistent with or exceeding those in SB19-181 〉 Site specific development plan intended to minimize adverse impacts to public health, safety and the environment 〉 Scope: 45 well sites • Only 8 within 1/4 mile of a residence • 10 pending administrative approval 〉 Will hold a neighborhood meeting during permit process for residents within 1 mile of each well site 3
Safety At ConocoPhillips, it’s not just what 〉 Emergency response plan we do, it’s how we do it. The “how we do it” is what makes ConocoPhillips unique. • Ongoing collaboration with Bennett and Aurora fire departments We demonstrate our SPIRIT Values through our behaviors: • Foam trailer purchase S SA F E T Y 〉 Incident reporting P P EO P LE 〉 Notifications I I N T EG R I T Y 〉 Additional process safety R R ES P O N S I B I LI T Y requirements I I N N OVAT I O N T T EA M WO R K NO R RECORDABLE I INJU JURIES F FROM O OUR LOCA CAL PRODU DUCT CTION O OPERATIONS 4
Environmental Protection Air Quality Water Monitoring 〉 Emissions reduction controls 〉 Baseline water quality testing • Specialized equipment • Electric power • Potential to drill monitoring wells subject to water rights 〉 Ambient air sampling 〉 Post-drilling sampling • Baseline study • Continuous monitoring for life of well • Applicable to all sites with future drilling 〉 Leak detection and repair • Increased frequency of monitoring 5
Operational and Site Requirements 〉 Utilizing pipelines to transport fresh water and hydrocarbons • Oil infrastructure dependent on third-party connection • Utilizing trucks for produced water given low volumes 〉 500 foot offset from City infrastructure • 3 sites exempt (already built with wells drilled) 〉 1 mile offset from existing and planned reservoirs • 4 sites exempt (already built with wells drilled) 〉 Access road standards • 3 sites exempt (already built) 〉 No-bleed pneumatic devices • 7 wells exempt (already drilled) 6
Visual Mitigation 〉 Screening during drilling and completions • 17 specific sites, plus any within ¼ mile of a residence • Priority placed on sites within residential zone and along I-70 corridor 〉 Low Profile Tanks • All future facilities will use low profile tanks 〉 Opaque Fencing • 13 specific sites in residential zone, plus any within ¼ mile of a residence 〉 Other • Landscaping plan • Lighting • Reclamation • Tree mitigation 7
Noise Mitigation 〉 Noise mitigation during drilling and completion • 13 specific sites, plus any within ¼ mile of a residence • Priority placed on sites within residential zone 〉 Baseline modeling • For sites within ½ mile of houses 〉 Electric power • Utilizing for production operations • Investing in infrastructure for electric drilling along Powhaton and Monaghan 8
Path Forward 〉 Committed to ongoing collaboration and engagement with City staff and Council members 〉 Continued stakeholder outreach 〉 Request for approval with no reconsideration period • 10 permits pending administrative approval • Additional permits required to progress development • Waiver of reconsideration period is critical to maintain schedule 9
Questions 10 10
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