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Petroleum Environmental Solutions. Draft FY04-FY09 Plans / Roadmap for 5 year plan June 19, 2003 . Dan Gurney, Product Manger Strategic Center for Natural Gas and Oil . Mission and Strategy.

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petroleum environmental solutions

Petroleum Environmental Solutions

Draft FY04-FY09

Plans / Roadmap

for 5 year plan

June 19, 2003

Dan Gurney, Product Manger

Strategic Center for Natural Gas and Oil

mission and strategy
Mission and Strategy

Mission:Encourage Maximum Recovery and Use of Domestic Natural Gas and Oil Resources byReducing the Cost of Environmental Compliance and Improving Environmental Protection thus Opening Access to New Supply

Provide new technologies that enable industry to reduce compliance costs andimprove environmental protection

Develop sound scientific data to support cost effective, risk-based regulatory decisions by State and Federal agencies

Improve communication and technology transfer among industry, government, and the public

determine program priorities
Determine Program Priorities
  • Basis
  • Clear Federal Role
  • Window of Opportunity
  • Ability to Impact
  • Impact of the Issues
slide5
Foster aggressive technology transfer
  • Foster partnerships with industry, government and others on technologies and policies to foster domestic oil and natural gas supplies

Petroleum Environmental Solutions Roadmap Past and Future

1990 1995 2000 2005 2010 2015 2020

Reduce Cost of Produced Water Management (nationwide) operations by 15%

Potable Water from Produced Water

Produced

Water

Gas & Oil

CBM Water Issues

Hydraulic Fracturing

Fed Land Access Issues

Federal

Lands

Access

New Tech- Low Impact Small Footprint Exp/Drilling/Production

Streamlining Permitting Processes

Regulatory Impact Analysis

Regulatory Streamlining

Legacy

Programs

(lower priority

post FY03)

Remediation Provide Tools for States to Expand Risk-Based Corrective Action by 25%

Air Emissions

Processing Heavy Crudes

Bio-Processing

Outreach &

Education

Communicate Best Practices

STRATEGIC

OBJECTIVES

slide6
Foster aggressive technology transfer
  • Foster partnerships with industry, government and others on technologies and policies to foster domestic oil and natural gas supplies

Petroleum Environmental Solutions Roadmap FY04

2003 2008 2015 2025

Produced

Water

Gas & Oil

CBM Water Issues

Gas & Oil Conventional

Federal Land

Access

Regulatory Impact Analysis

Regulatory Streamlining Permitting Processes

Environmental Barriers

Air

Technology & Applications

Mgt Analysis

Modeling

Remediation

Soil

Control & Techniques

Sound Science

Chemistry & Chemical Analysis

Technology

Outreach

Federal

Public Communicate Best Practices

FY04

STRATEGIC

OBJECTIVES

slide7
Aggressive Technology Transfer
  • Foster partnerships with industry, government and others on technologies and policies to foster domestic oil and natural gas supplies

Rollup Petroleum Environmental Solutions Roadmap FY04-09

2003 2008 2015 2025

Produced

Water

CBM Water Issues

Gas & Oil Conventional

Federal Land

Access

Regulatory Impact Analysis

Regulatory Streamlining Permitting Processes

Environmental Barriers

Technology & Applications

Mgt Analysis

Sound Science

Modeling

Air

Remediation

Soil

Control & Techniques

Chemistry & Chemical Analysis

Refining

Technology

Federal

Outreach

Public Communicate Best Practices

FY04-09

STRATEGIC

OBJECTIVES

Reduce Cost of Produced Water Management (nationwide) operations by 15%

slide8
Petroleum Environmental Solutions - Water Management

2003 2008 2015 2025

Approach & AnalysisToxicity, TMDL’s,Characterization, Disposal Land Use Applications, Impact Basins

Management Techniques Treatment, Cleanup, Interactions

Produced Water

Coal Bed Methane - Fate and Transport, Ground vs. Surface Effects Beneficial Use, Best Management Practices, Modeling

Conventional Natural Gas - E&P Goals, Best Management

Practices, Fate & Transport, Beneficial Use, Modeling

Oil – Separators, Best Management Practices, Fate & Transport, Beneficial Use, Modeling

slide9
Petroleum Environmental Solutions - Federal Lands

2003 2008 2015 2025

Modeling

Analysis

Environmental Barriers

Streamlining & Regulatory Impact

Technology & Applications

Cooperation with Federal Agencies

Some Tasks Continue over Entire Program

slide10
Petroleum Environmental Solutions - Air

2003 2008 2015 2025

Modeling

Analysis

Environmental Barriers

Regulatory Impact

Technology & Applications

Some Tasks Continue over Entire Program

slide11
Petroleum Environmental Solutions

2003 2008 2015 2025

Sound Science Response to Regulation

Support for Decision Makers

Chemistry & Chemical Analysis

Examination of Alternatives

Sound

Science

Air Modeling

Analysis

Regulatory Impact

Environmental Barriers

Technology & Applications

Air

Soil Remediation

Environmental Barriers

Regulatory Impact

Control & Techniques

Soil

Refining Bioprocessing

Refinery Efficiency

Emissions Reduction

High Sulfur Heavy Oil

Potential Liquid Fuels

Refining

slide12
Petroleum Environmental Solutions - Soil

2003 2008 2015 2025

Remediation

Environmental Barriers

Regulatory Impact

Control Technologies

slide13
Petroleum Environmental Solutions – Sound Science

2003 2008 2015 2025

Chemistry & Chemical Analysis

Response to Regulation

Support of Decision Makers

Examination of Alternatives

slide14
Petroleum Environmental Solutions – Outreach

2003 2008 2015 2025

Federal

State & Local Involvement

Public Involvement

Partnerships

slide15
Petroleum Environmental Solutions – Outreach & New Technologies

2003 2008 2015 2025

Federal

State & Local

Outreach

Public In

Partnerships

New

Technologies

New Technologies

slide16
Produced Water Management

Goal: By 2015, reduce the cost of produced water management for oil and gas operations by 15%.

2005 Develop low-maintenance, laboratory scale processes to treat produce water at lower cost.

Develop techniques and strategies beneficial reuse or sale of produces water.

2010 Develop pilot-scale low-maintenance, lower-cost produced water treatment unit.

2015

1995

2005

2010

2000

Issues/Barriers: Produced water characteristics vary significantly both between regions and within regions. It is unlikely that a given treatment technology will work for all applications.

Current produced water treatment technologies are either too expensive or are not robust enough for oilfield applications or both.

The economics of produced water treatment vary significantly from region to region.

Laws and regulations governing surface discharge and water rights may inhibit some beneficial use applications.

slide17
Remediation

Goal: By 2005 reduce the cost of remediating soils contaminated with crude or refined product by 15% compared to 1990 approaches.

2010 Provide the tools for States to expand the use of Risk-Based Corrective Action by 25%.

2005In conjunction with PERF, establish the scientific basis for clean-up parameters.

2015

1995

2005

2010

2000

Issues/Barriers: DOE cannot set the clean-up standards for remediation; we can only provide regulators with the scientific information to appropriate standards.

Clean-up technologies are fairly mature and the likelihood of a break-through that would significantly reduce cost is small.

slide18
Coalbed Methane (CBM)

Goal: By 2010 provide the solutions to current environmental issues and questions that will allow a 25% increase in natural gas produced from coal seams.

2009 Provide impact analyses of coalbed methane production on wildlife species of concern (such as threatened and endangered species) and , where necessary, develop mitigation strategies that allow development to proceed while protecting the environment.

2006Provide fate and transport data to determine the environmental impacts of infiltration ponds in the Powder and Tongue River basins.

2006 Provide data on the term effects of coalbed methane production on coal seam aquifers.

2015

1995

2005

2010

2000

2007 Develop best management practices for treating and/or discharging coalbed methane water to the surface.

2005 Resolve questions surrounding the environmental effects of hydraulic fracturing.

Issues/Barriers: CBM development, especially in the West, is a fairly recent phenomenon and new issues may arise

Water issues surrounding CBM development, especially in the West, have become an emotionally charged and all barriers cannot be resolved through science or technology.

Hydraulic fracturing continues to be an issue despite strong evidence, endorsed by the EPA, that hydraulic fracturing does not cause contamination of underground sources of drinking water.

The NEPA process in Montana is moving slowly and once it is completed, litigation may cause further delays in CBM development.

slide19
Bio-Processing

Goals: Biodegradation of chemical bonds or selective removal of heterotane (S,N) from crude oil (upgrade crudes) or refinery cuts offers potential to revolutionize refining with the possibility of reducing processing cost. Develop bio-technologies to economically upgrade crudes or remove sulfur from naptha boiling-range refinery cuts.

2010 Perform pilot-scale bio-processing of 25% of heavy crudes during the transport time between E&P and the refinery.

2005 Survey currently available bio-processing methods.

2015

1995

2005

2010

2000

2008 Develop methods to allow bio-processing from best available technology.

2015 Perform pilot-scale bio-processing of 50% of heavy crudes during the transport time between E&P and the refinery.

Issues/Barriers:The efficiency of bio-processing to upgrade crude or refinery cuts by removal of sulfur molecules has to improve by more than 108 to become competitive with current chemical processing .

The volume of water used for processing must be reduced by more than 105 over current laboratory volumes to be cost competitive. This is long-term, high-risk research.

slide20
AirEmissions

Goal: By 2012 develop and demonstrate air chemistry and dispersion models that accurately reflect the effect of E&P and processing operations on regional air quality and visibility.

2012 Develop more accurate and robust air chemistry models and integrate them with dispersion models.

2007Develop scientific data to more accurately predict particulate matter precursor formation in SW Wyoming.

2015

1995

2005

2010

2000

2010 Develop dispersion models to reflect E&P contributions in nonattainment areas.

Issues/Barriers: Visibility science and measures are being developed and are apt to change significantly in the near future.

Acceptance and implementation of new model may be slow because of current model is sometime written into state law or regulation.

More robust models will require greater computing power that may not be available or affordable for all regulatory agencies.

slide21
Processing Heavy Crudes

Goal: By 2015, Improve the efficiency and yield of processing plentiful Western Hemisphere crudes by

2007 Characterize heavy oils of the Western Hemisphere.

2001 Establish pilot-scale operation of 50% of Western Hemisphere heavy crudes.

2015

2005

2010

2000

1995

2009 Develop alternative processing technologies to allow heavy oil processing costs to be half of base year (2000) cost to light oil.

2005 Select candidate heavy oils and match to U.S. domestic refinery.

Issues/Barriers:The Western hemisphere has huge volumes of heavy crudes that are high in sulfur, nitrogen, and heavy metals. Heavy oil is 12% of the total U.S. production and the U.S. imports increasing volumes of heavy crudes from Canada, Columbia, Mexico, and Venezuela.

questions
Questions ?

Dan Gurney

NETL Oil and Gas Environmental

Product Manager

1 West 3rd Street, Suite 1400

Tulsa, Oklahoma 74103

Telephone: 918 699 2063

Email: [email protected]

Facsimile: 918 699 2005

slide24
Petroleum Environmental Solutions – Air, Soil and Sound Science

2003 2008 2015 2025

Modeling

Analysis

Air

Environmental Barriers

Regulatory Impact

Technology & Applications

Remediation

Soil

Environmental Barriers

Regulatory Impact

Control & Techniques

Chemistry & Chemical Analysis

Sound

Science

Response to Regulation

Support for Decision Makers

Examination of Alternatives

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