HYDRAULIC FRACTURING OPERATIONS: SEPARATING FACT FROM FICTION Albany, New York May 30, 2013 Mark K. Boling President
Regulatory Considerations Surface Considerations Subsurface Considerations 1
Surface Considerations Air Emissions Surface Impact • Drilling Locations • Truck Traffic & Road Damage • Infrastructure Water Supply Water Handling Water Reuse & Disposal 2
Subsurface Considerations Protecting Underground Water Resources Frac Fluid Disclosure 3
Protecting Underground Water Resources Well Integrity Is the Key! 4
Well Integrity 1 2 Evaluate Stratigraphic Confinement Well Construction Standards 3 4 Evaluate Mechanical Integrity of Well Monitor Frac Job & Producing Well 5
1. Evaluating Stratigraphic Confinement Virtually all fresh water wells are less than 850 feet deep in the Marcellus Shale area 850’ Usable Fresh Water Surface Casing 925’ Various Upper Devonian Sands & Shales ~2000’ - 3000’ Thousands of feet of rock of Sediment separates the Marcellus Shale from shallow, freshwater zones Tully Limestone Hamilton Group Shales 100’ - 300’ Marcellus Shale Onondaga Limestone Cross sectional view 6
Evaluating Stratigraphic Confinement • Differences in rock properties (i.e. strength and brittleness/elasticity) between the target formation (Marcellus Shale) and surrounding formations (Hamilton Group Shales and Tully Limestone above, and Onondaga Limestone below) act to limit growth of the hydraulic fractures outside the target formation. 850’ Usable Fresh Water Surface Casing 925’ Hamilton Group Shales Various Upper Devonian Sands & Shales ~2000’ - 3000’ of Sediment 100’ - 300’ Marcellus Shale Tully Limestone Hamilton Group Shales Onondaga Limestone 100’ - 300’ Marcellus Shale • Hydraulic fractures follow the path of least resistance and continue to propagate Onondaga Limestone within the Marcellus Shale. Cross sectional view 7
Microseismic Evaluation of Stimulation Treatment Subsea Depth - 3,000’ Cross Sectional View Top of Tully Limestone The largest recorded seismic event generates - 4,000’ the same amount of energy as would be released when dropping a gallon of milk from chest high to the floor. 200’ Top of Marcellus Shale - 5,000’ Well Path Top of Onondaga Limestone 1,000’ 8
Evaluating Stratigraphic Confinement Shallow Wells 850’ Usable Fresh Water Abandoned Well 850’ Usable Fresh Water Surface Casing 925’ 1850’ Various Upper Devonian In most shallow formations Sands & Shales (less than ~2,000’), the hydraulic 1000’ Middle -Upper Transmissive ~2000’ - 3000’ Devonian Sands & Shales fracture will propagate in a Fault of Sediment horizontal direction. Tully Limestone Hamilton Group Shales 100’ - 300’ Marcellus Shale 100’ - 300’ Marcellus Shale Onondaga Limestone Cross sectional view 9
2. Well Construction Standards 850’ Usable Fresh Water Surface Casing 925’ Various Upper Devonian Sands & Shales ~2000’ - 3000’ of Sediment Tully Limestone Hamilton Group Shales 100’ - 300’ Marcellus Shale Onondaga Limestone Cross sectional view 10
WELL CONSTRUCTION STANDARDS CONDUCTOR PIPE CEMENT FRESH WATER AQUIFER ZONE SURFACE CASING CEMENT 400’ Usable Fresh Water Surface Casing 550’ PRODUCTION CASING 2100’ Various Atoka Sands & Shales 4000’ of Sediment SHALLOW PRODUCING ZONE 1300’ Upper Hale CEMENT 600’ Morrow Shale 300’ Fayetteville Shale Hindsville Cross sectional view TARGET PRODUCING ZONE
WELL CONSTRUCTION STANDARDS (New York Proposed Rules) CONDUCTOR PIPE CEMENT FRESH WATER AQUIFER ZONE SURFACE CASING CEMENT CEMENT INTERMEDIATE CASING PRODUCTION CASING SHALLOW PRODUCING ZONE CEMENT TARGET PRODUCING ZONE
3. Evaluating Mechanical Integrity of Well • Internal Mechanical Integrity – Verify appropriateness of proposed casing program (e.g., size, grade, minimum internal yield pressure, etc.) – Test casing string to ensure it can withstand maximum stimulation pressure • External Mechanical Integrity – Verify quality of cement – Identify top of cement – Test cement job (FIT, CBL, etc.) when operations indicate inadequate coverage 13
GOOD MECHANICAL INTEGRITY CONDUCTOR PIPE FRESH WATER AQUIFER ZONE SURFACE CASING PRODUCTION CASING SHALLOW PRODUCING ZONE TARGET PRODUCING ZONE
GOOD MECHANICAL INTEGRITY (New York Proposed Rules) CONDUCTOR PIPE CEMENT FRESH WATER AQUIFER ZONE SURFACE CASING CEMENT CEMENT INTERMEDIATE CASING PRODUCTION CASING SHALLOW PRODUCING ZONE CEMENT TARGET PRODUCING ZONE
CEMENT CHANNELING CONDUCTOR PIPE PRESSURE FRESH WATER AQUIFER ZONE BUILDS UP SURFACE CASING PRODUCTION CASING FORMATION CASING CEMENT SHALLOW PRODUCING ZONE TARGET PRODUCING ZONE
1,000 psi CEMENT CHANNELING PSI (New York Proposed Rules) CONDUCTOR PIPE PRESSURE FRESH WATER AQUIFER ZONE BUILDS UP SURFACE CASING INTERMEDIATE CASING FORMATION PRODUCTION CASING CASING CEMENT SHALLOW PRODUCING ZONE TARGET PRODUCING ZONE
4. Monitoring Frac Job and Producing Well • Monitor pump pressure and rate during frac job • Monitor annular pressures during and after frac job • Terminate operations and take corrective action if abnormal pressure responses indicate mechanical integrity failure or fracture growth out of target zone 18
Water Supply Volumes Needed Location, Rate & Timing of Cumulative Impact Withdrawals Assessment 19 19
Water Handling Trucks vs. Pipeline • Truck Traffic • Road Damage Impoundments vs. Tanks • Closed-Loop Drilling Systems • Recycling Logistics • Air Emissions Tracking Wastewater • Characterize Wastewater • Record Volumes Produced • Verify Volumes Delivered 20
Water Reuse & Disposal Water Recycling & Reuse • Volume and quality of wastewater • Chemical compatibility • Storage and transportation logistics Water Treatment Facilities • Flowback & produced water chemistry • Capacity & Capability limitations (NORM, DBPs, heavy metals) • Central vs. drill site facilities Water Disposal Wells • Geological & hydrological limitations • NIMBY concerns • Triggered seismicity considerations 21
TRIGGERED SEISMICITY WATER DISPOSAL WELL HORIZONTAL SHALE WELL WATER DISPOSAL WELL SHALE SAND LIMESTONE EXISTING NEW STRESS STRESS IGNEOUS BASEMENT The largest recorded seismic event generates the same amount of energy as 25,000’ would be released when dropping a gallon of milk from chest high to the floor. 22
Surface Considerations Air Emissions Emission Type Emission Levels Reduction Technology • NO x • Catalytic reduction • EPA • Ultra-low sulfur diesel fuel • SO 2 • Industry • LNG and CNG fuels • CO • State regulators • Oxidation catalysts • PM • Research groups • Green completions, vapor recovery • CH 4 units, low bleed/no bleed pneumatic • VOCs (incl. BTEX) devices, plunger lift systems, leak detection 23
Surface Considerations Surface Impact Drilling Locations • Pit construction • Erosion and sedimentation • Chemical storage Infrastructure Truck Traffic & • Compressors Road Damage • Pipelines • Roads • Water treatment facilities 24
Surface Considerations No Pad Drilling 25
Surface Considerations Pad Drilling Pad Drilling • Reduce surface footprint by over 80% • Reduce truck traffic up to 65% • Optimize installation of infrastructure 26
Smart Regulation = Effective Risk Management COLLABORATION COLLABORATION AND RISK AND RISK COMMUNICATION COMMUNICATION PERCEIVED ACTUAL ACTUAL PERCEIVED ACTUAL PERCEIVED INFORMATION ASSESSED ACTUAL SMART SMART PERCEIVED PERCEIVED RISK RISK RISK REGULATION REGULATION RISK RISK GAP RISK RISK RISK RISK RISK RISK PUBLIC TRUST PUBLIC TRUST & ACCEPTANCE & ACCEPTANCE 27
HYDRAULIC FRACTURING OPERATIONS: SEPARATING FACT FROM FICTION Albany, New York May 30, 2013 Mark K. Boling President
Recommend
More recommend
