Hydraulic Fracturing Test Site (HFTS)

Transcription

1 Hydraulic Fracturing Test Site (HFTS) > May 16, 2017 > USTDA Shale Gas Training Workshop 4 Beijing, China > Presented by: Edward Johnston, Senior Vice President, GTI Research and Technology Development

2 ESTABLISHED 1941 Company Overview > Independent, not-for-profit established by the natural gas industry > GTI tackles tough energy challenges turning raw technology into practical solutions > Downhole to the burner tip including energy conversion technologies USTDA Shale Gas Training Workshop #4 2

3 Hydraulic Fracturing Test Site (HFTS) - Project Overview Ground Truth: Through-Fracture Cores > In an $23 million project sponsored by a public-private partnership, GTI is collaborating with hydraulic fracturing experts from industry, academia, and government on a Hydraulic Fracturing Test Site (HFTS). USTDA Shale Gas Training Workshop #4 3

4 Goals and Objectives > The primary goal of the HFTS is to minimize current and future environmental impacts by reducing number of wells drilled while maximizing resource recovery. > Objectives Assess and reduce air and water environmental impacts Optimize hydraulic fracture and well spacing Improve fracture models Conclusively determine maximum fracture height Aerial view of well sites in Texas USTDA Shale Gas Training Workshop #4 4

5 HFTS Team Successful Public-Private Partnership Site Host Research Team Sponsors USTDA Shale Gas Training Workshop #4 5

6 Test Site Location - Extensive Nearby Science Data > Data from 87 nearby wells made available to research team > 11 new wells Test Site Area 6 Upper Wolfcamp 5 Middle Wolfcamp Test Site Area > 2 Offset legacy wells Testing re-fracturing Whole Core Production Log Microseismic Dipole Sonic Log Petro Logs 3-D seismic LPI Leasehold LPI leasehold Laredo Acreage Reagan North corridor area UWC Hz MWC Hz USTDA Shale Gas Training Workshop #4 6

7 One-of-a-Kind Data Set > Water and air sampling before and during fracturing, during flowback and production > Comprehensive geophysical open-hole well logs in horizontal laterals image + quad combo > Side wall cores 60 rotary and 50 pressurized > Diagnostic fracture injection tests 14 vertical, 4 horizontal > Cross-well seismic survey between 4 wells, before and after fracturing > Production and pressure monitoring during fracturing and ongoing > Radioactive and chemical tracers > Colored proppants > Microseismic and tilt-meter monitoring > Fiber optic coil tubing production logs > Through fracture whole cores > More Composite microseismic results USTDA Shale Gas Training Workshop #4 7

8 Through-Fracture Core Recovery > Completed Slant Core Well Nearly 600 feet of whole core through two hydraulically fractured reservoirs Upper Wolfcamp Middle Wolfcamp > CT scanned all cores > Logged and cased well Quad Combo, including spectral gamma and image log > Mass Spectroscopy analysis in entire slant lateral > Core description completed > Installed 8 isolated bottom hole pressure gages to monitor reservoir depletion through created fractures Image Courtesy: Laredo Petroleum USTDA Shale Gas Training Workshop #4 8

9 Through Fracture Core Highlights > Recovered ~440 feet of continuous through fracture core in Upper Wolfcamp > Recovered ~160 feet of continuous through fracture core in Middle Wolfcamp Image Courtesy: Laredo Petroleum > Incredible complexity > Surprising proppant distribution > Clear features on fracture faces of fracture propagation mechanisms USTDA Shale Gas Training Workshop #4 9

10 Hydraulic Fracture X-cutting Natural Fracture > Hydraulic fracture cuts through natural fracture Natural Fracture > Upon contact, HF is offset at the natural fracture and continues to propagate > Eventually natural fracture is reactivated (opened) > Results in increased fracture network complexity, however impedes proppant transport at x-over, limiting reservoir drainage Hydraulic Fracture USTDA Shale Gas Training Workshop #4 10

11 Subsurface Proppant Distribution > Developed methods for detection and quantification of subsurface proppant distribution > Resolved spatial distribution of proppant in the created SRV along the cored interval, including size distribution and proppant concentration. Extreme variability was noted > Determined that propped fracture height is very small compared to microseismic height > Noted significant differences in proppant distribution in areas with significant natural fractures versus areas without. Oily sludge in jar collected from core. After washing, proppant and other particles can be identified and quantified 200 mesh USTDA Shale Gas Training Workshop #4 11

12 Groundwater monitoring > 5 groundwater wells within 2 miles of HFTS sampled for ground water quality before, during, and after hydraulic fracturing operations. Water Well > RESULTS No methane or BTEX measured in groundwater Conductivity and TDS increased during fracturing due to large volumes of water being withdrawn Aquifer chemistry returned to normal within 6 weeks > No evidence of subsurface migration of produced water or natural gas to aquifer USTDA Shale Gas Training Workshop #4 12

13 Air Quality > Air quality was measured before, during, and after hydraulic fracturing operations 1,000ft upwind and 1,000ft downwind from HFTS pad to assess impact on local air quality. Wind Direction Air Quality Sampling Locations > RESULTS: Air quality during hydraulic fracturing, flowback, and production did not significantly differ from baseline measurements or from air quality in Midland TX. VOCs of interest measured during flowback were considerably lower than NIOSH time weighted average exposure limits. > No meaningful impact on local air quality USTDA Shale Gas Training Workshop #4 13

14 Impact: Prudent Resource Recovery > Refinement of the Reservoir Model, implementation of optimized completions, and applied learnings from the GTI proprietary Hydraulic Fracturing Project, have resulted in a significant production uplift. > We anticipate that as the project advances, additional learnings will further enable efficiency gains, leading to safe, environmentally responsible, efficient, and commercial production in the Permian Basin. Source: Laredo Petroleum September 2016 Corporate Presentation USTDA Shale Gas Training Workshop #4 14

15 Going Forward > Continue field data collection Pressure Monitoring, Production Monitoring, Environmental Sampling Design and implement a Phase II field data collection based on available funding > Integrate all data into new fracture models, especially fracture core information and recently completed subsurface proppant distribution analysis > Redefine the understanding of hydraulic fracturing via the research collaboration of world class subject matter experts > Elevate the learnings of HFTS and extrapolate the environmental impacts of precision well spacing and increased hydraulic fracturing efficiency on ground water resources to West Texas basins > Provide valuable scientific findings that inform the general public, policy makers, regulators, and operators to ensure prudent resource recovery as a key element of US energy security USTDA Shale Gas Training Workshop #4 15

16 HFTS #2 > West Texas experiment in the Permian Delaware Basin > HFTS #2 Test site host will be BHP Billiton > Plan to perform experiments over the next 12 months > Public-private JIP Mechanism similar to HFTS #1 > Focus will be on core well of created hydraulic fractures > Estimated Cost = $20 million HFTS #2 Technology Focus Area Image Source: EIA HFTS #1 Technology Focus Area USTDA Shale Gas Training Workshop #4 16

17 Contact information: Eddie Johnston Senior Vice President, GTI Research and Technology Development Office USTDA Shale Gas Training Workshop #4 17