Environmentally Friendly Drilling Systems Program

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1 Addressing Environmental Issues in the Eagle Ford Environmentally Friendly Drilling Systems Program

2 EFD Program A collaborative effort between industry, academia, government and environmental organizations. Our Mission Providing unbiased science to identify, develop and transfer critical, cost effective, new technologies that can provide policy makers and industry with the ability to develop reserves in a safe and environmentally friendly manner. Team Formed in 2005

3 The EFD Team - TIP Co-funded by RPSEA, US Fish and Wildlife, Industry, Environmental Organizations SPONSORS MANAGEMENT TEAM ENVIRONMENTAL ORGANIZATIONS COLLABORATORS ALLIANCE MEMBERS

4 Applied Research Mobile Water Treatment Units 2009 Environmentally Friendly Drilling Systems (EFD) Program Key Programs (over $15 million) EFD Technology Integration Program (EFD-TIP) $10+ million over three years ( ) (RPSEA/US Dept. of Energy, Industry, Environmental NGO s) Field testing/research (drilling, hydraulic fracturing, water) EFD Coastal Impacts Technology Program (EFD-CITP) $4 million over four years ( ) (US Department of Interior) Workforce Development Program (emphasis on environmental awareness) Measuring how environmental issues are addressed EFD Europe (EFD-EU) $500,000+ continuous ( xx) (US Agency for International Development) Assisting Ukraine Government in developing shale strategy EFD Sponsors Projects $1+ million on projects as agreed to with EFD Team/Sponsors EFDSystems.org TIP Field Testing of Systems Water Documentation Access: Rigs, Roads, Pads Public Perception Air EFDvirtualsite.org

5 Texas A&M Projects Water Treatment and Re-use. Produced water and frac water. Waste Management. The University Disappearing Roads Competition. RPSEA Low Impact Roads Research at the Pecos Test Facility. Risk Based Assessment of EFD Systems. Analytical Services Roundtable.

6 Technology Integration Program Integrated approach for applying new technologies in unconventional natural gas production Objectives Establish a network of regional centers that test and integrate developing technologies into systems that lower cost and improve performance of unconventional gas shale development Plan and implement field testing of technologies Demonstrate technology to reduce the environmental footprint of O&G operations Disseminate the information

7 Technology Integration Program Field Test Plans East Center managed by West Virginia University Marcellus Baseline Monitoring Site Enhance effort managed by NETL One year of environmental monitoring will occur before any development takes place Two horizontal wells are planned to be drilled after one year of monitoring Monitoring will continue through road and pad construction, drilling, and hydraulic fracturing Monitoring will continue for at least one year into production Prospective Case Study for EPA Hydraulic Fracturing Task Force Other field tests as defined in first phase

8 Technology Integration Program Field Test Plans West Center managed by Texas A&M University System Water Management Test new treatment and re-use MI Swaco Dow Chemical 212 Resources Water Resources Company Fountain Quail Drilling and Completion Operations Small Footprint Rigs (Huisman, NOV, Applied Machinery) Community Issues Social Impact Assessment Air Quality/Emissions Small, cost effective mobile sensors (Oak Ridge National Laboratory) EFD Sensorpedia

9 TIP West Project Plans Field Tests Locating Sites allow new knowledge to influence land use. Drilling and Completion Operations demonstrate what is possible with new technologies. Community Issues perform social impact assessment to identify/address misconceptions. Air Quality/Emissions develop/test new sensors/systems. Water Management test full-scale prototype systems. Technology Transfer/Outreach Web site that integrates all RPSEA work being performed. Access to valid/accurate data related to new knowledge, technologies, practices. Work with all RPSEA funded unconventional gas programs.

10 Site Access Main Components Rollout Road Conformable Hinged board segments Every site needs a road to link it to the outside world. New technology promises to protect sensitive environments from the damage caused by conventional roads.

11 Prototype Small Footprint Drilling Rig Project Objective Facilitate prototype test of low impact rig. Results Report Documenting Advanced Drilling Technology Low Impact Rigs Presented paper with Huisman on test results at 2011 AADE conference (AADE-11-NTCE-61) The Impact of Rig Design and Drilling Methods on the Environmental Impact of Drilling Operations Facilitated sponsor tours of eco-friendly drilling rigs: Huisman LOC 400 NOV Rapid Rig AMC Green Rig

12 How Rare is Clean Air? Flaring Accurate measurement of flared and vented natural gas Impact of Clean Air Act Comply with National Emission Standards for Hazardous Air Pollutants Installation of air emission-control devices Can zero-flaring be obtained using cost effective technologies?

13 Technology Road Mapping Identify technologies that address the environmental issues of oil/gas activities Pilot-scale vapor recovery system Recovered condensate after regeneration Portable washing station to minimize invasive species

14 Seldon Generator

15 Air Emissions Inventory Hydraulic Fracturing in the Eagle Ford How much is emitted?

16 Air Monitoring Technologies ORNL Micro-Sensors NETL Helicopter Can carry 12 lb payload

17 Current Membrane Desalination Projects Marcellus Shale NY, PA, WV (Pre-treatment) Central Texas - Luling (Desalination) Coastal Texas (Geothermal Desalination) South Texas - Eagle Ford Shale (Ground water aquifer protection) MI-SWACO Environmental Solutions Applied Research Mobile Water Treatment Units 2009 Haynesville Shale June 2010

18 The EFD-TIP project provides a proving ground for new water treatment and re-use technologies. Water treatment business ventures to prove out the technology and to provide documented data for pilot plant, field trials and potentially full scale commercial operations. This task is supported by MI-SWACO, Dow Chemical, 212 Resources, GE, Fountain Quail, Water Resources Company, and others are being added.

19 TIP Sponsors are also a part of the Advanced Analytics Roundtable

20 Onsite Analytical Lab GE Analytical TOC Analysis BTEX Analysis Opposite the membrane wall is the counter for the analytical equipment. Quick test/bacteria in brines Hach Frac Brine Analysis Kit

21 South Texas Eagle Ford First Trials Night operations

22 Frac Pond Brine Before and After Treatment 2 weeks later...

23 Marcellus Shale Brine Re-Use Courtesy Williams Bros. Company Deliverables Identify optimal treatment techniques for ultrahigh brine concentrations Provide information to community leaders Status Current field trials in New York A&M Separation Sciences pilot testing new technology Creation of new Analytical Services Roundtable

24 The mobile unit on site in Chenango, Co., NY. Visitors from Chenago Co. and NY Department of Environmental Protection

25 Vendor Support for Process Train components: ABS Systems

26 Cartridge Filter (10 micron nominal)

27 Low Pressure Media Filtration

28 High Pressure Membranes and On-Line Sensors

29

30 Public Perception Utah State University/Sam Houston State University Project Objectives Document drivers and constraints to use EFD practices in Utah s Uintah Basin Understand how use of EFD practices affects public acceptability of unconventional gas development Results Use of EFD practices growing Technical innovation & economic conditions critical, but not sufficient Environmental regulations can prompt use of EFD practices, but use often precedes regulatory requirements Complex land ownership and regulatory context frustrates innovation Assurances of reduced environmental footprint improves public acceptability

31 Tradeoff Scorecard Development

32 Scorecard Status Guidebook Drafted Need to Benchmark and Test Scorecard Work with Operating Companies Hold discussions with drilling engineer(s) Review well file(s) Visit sites (if practicable) No changes to plans/activities All information kept confidential

33

34 Workforce Development Rig Operations Objective Create and implement a program to develop a workforce skilled in environmental mitigation of exploration and production impacts. By interfacing with Ralph and Rhonda Roughneck users can tour or explore a virtual rig site.

35

36 3D Virtual Rig EFDVirtualSite.org

37 Developing a Culture of Environmental Awareness Safety success has been accomplished by leadership, documenting, measuring and training. To achieve the same success in environmental performance, will require leaders to also make this a core value. Our objective: Sequel : Environmental 24/7 - developing a culture of environmental responsibility and accountability. Target audience includes: Executive Teams Supervisory personnel The person on the rig floor including the entire well construction subcontractor team Everyone who wants to understand how behavior impacts the environment and, more importantly, wants specific tools to reduce the likelihood of becoming involved in an environmental incident.

38 Where to find information

39 In Summary EFD Program is a $4 million per year research effort potential for collaboration with industry, environmental organizations and others. Virtual Rig Site ( is free and open for visitors. Working with various organizations to address the environmental issues associated with oil and gas activities within the Texas coastal counties.

40 It s not so hard to be green Questions? Thank you

41 Contact Houston Advanced Research Center Richard C. Haut

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