Issue 12 I Sept/oct I 2010
Lyle Koch is the man on-site at BP’s natural gas operation in northeastern B.C. He is responsible for running the company’s ground-breaking, near-zero emission well site. u Learn more about Lyle and the BP Noel project.
Inside Industry in the News PAGE TWO
Nominate your company
The Responsible Canadian Energy Awards recognize CAPP members who have demonstrated exceptional performance in the responsible development of Canada’s petroleum resources. Deadline for submissions is Dec. 1, 2010.
u Meet Lyle Koch from BP’s Noel project. PAGE four
Innovation and Technology u Find out how Williams Energy is turning waste gas from an oil sands
facility into valuable products while reducing CO2 emissions. PAGE five
Relationships Behind the Resource
u Access the nomination package.
u Upstream Scene: The World Energy Congress PAGE six u B.C. Energy Expos PAGE SEVEN
u Learn how Imperial Oil is “turning the lights off” for neighbours. PAGE SEVEN
Canadian offshore production represents about 10 per cent of Canada’s crude oil production and 2.5 per cent of natural gas production. u Find out more about
Industry Practice and Regulations PAGE EIGHT Now Available ustry Offshore ind fact sheets ct sheets.
Access the fa
Keeping employees informed about Canada’s oil and gas industry I www.capp.ca
Industry in the News
Canada is the world’s third largest
producer of natural gas with average
Over the next 25 years natural gas
annual production of 6.4 trillion cubic
activity in BC will contribute $386
The oil and gas industry invested
feet (tcf). British Columbia is Canada’s
billion to Canada’s GDP, with more
about $45 billion in BC over the last
second largest producer of natural gas.
than 90 per cent flowing to BC.
10 years, producing 34,000 direct
u Source: Centre for
u Source: Canadian Energy
and indirect jobs (cumulative).
Research Institute 2009
u Source: CAPP and B.C. Liberals
News highlights Natural gas development is a critical element of a low-carbon future in BC August 18, 2010, The Vancouver Sun u Read this article by CAPP President, Dave Collyer, that was prompted by a story in the Vancouver Sun by Mark Jaccard and Brad
Griffin, B.C.'s dishonesty on climate change. Oil, gas industry is making environmental progress
August 11, 2010, The Edmonton Journal u Read this article by CAPP President, Dave Collyer, commenting on Canada’s
unique opportunity to address growing global energy demand in face of activist agendas promoting unrealistic transition to renewable energy supply. New NPRI Tailings Reporting Provides Greater Transparency for Oil Sands Mining August 9, 2010, CAPP news release u Read CAPP’s response to the 2009 National Pollutant Release Inventory (NPRI)
report that now includes new data on the mining industry’s waste rock and tailings.
Activist fail: For environment or against anything?
u Access the NPRI report.
This video, posted to YouTube about six
u Read Calgary Herald article by Shaun Polczer, CAPP sees benefit in reporting
months ago, has seen renewed interest. The video investigates the motivation behind environmental activism and features Patrick Moore, a Greenpeace founder and past president who left the organization due to its evolving political agenda.
oilsands tailings. Tarred with the same brush August 5, 2010, The Economist u Read this article that comments on the Canada and U.S energy relationship. u Read CAPP’s response (scroll down to Crude Arguments) that highlights
misleading information presented in the article.
CAPP is on Twitter. Follow us @OilGasCanada.
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CAPP is on Facebook.
Industry in the News (continued)
Oil sands boycott On August 26, 2010, activist group Forest Ethics positioned a media story with Canadian Press
This is what they told us: “Levi Strauss has not told contractors it will give preference to those who avoid oil sands oil. We will be meeting with the Canadian Consulate in San Francisco later this week to get a better understanding of how the oil sands are operated.” - Levi Strauss & Co. spokesperson
indicating four U.S. retailers – Gap, Timberland, Levi-Strauss and Walgreens – will boycott oil
“We have asked potential transportation providers in Canada to tell us if they are using fuels that have been identified as being carbon-intensive.”
sands crude oil products. The
- Gap spokesperson
alleged boycott is part of Forest Ethics’ and the Rainforest Action Network’s broader Fortune 500
“We do not boycott fuels… we don’t have enough visibility
campaign pressuring transportation companies and retailers to
into the fuel sources our carriers use to do so intelligently.”
cease use of oil sands-derived fuels.
- Timberland spokesperson
Levi-Strauss, Timberland and the Gap have since issued clarifications of their corporate positions indicating they are not boycotting oil sands crudes, but are asking carriers in their supply chains how they are moving towards less-carbon intensive fuels – a position which fits with oil sands producers’ efforts to lower CO2 per barrel.
u Read Calgary Herald article, Oilsands boycott: Where are
the ethics? u Read Levi’s recent blog post, Setting the Record Straight. u Read Timberland’s recent blog post, Reducing Emissions
– Not Boycotting Fuel.
Myth Forest Ethics and the Rainforest Action Network are urging Fortune 500 companies to eliminate oil sands fuels from their supply chain. They say oil sands can not compete with fuels from other source and oil sands is the “dirtiest oil on the planet”.
Fact It is extremely difficult or impossible to eliminate oil sands from the American fuel supply chain. Western Canadian crude comprises about one-third of all U.S. mid-west supply – about half of that crude comes from oil sands. Oil sands crude mixes with conventional sources – all of which is refined into liquid transportation fuels such as gasoline and diesel fuel. By the time it gets to the pump, separating the molecules is impossible.
“Consumers, especially those serving diverse locations in western Canada, cannot avoid oil sands crude unless they have non-oil fuel sources.” - Tim Shipton, President of Alberta Enterprise Group Oil sands CAN compete with crude oil from other sources. Other large suppliers of crude oil to the US include Nigeria, Venezuela and Saudi Arabia. Canada is politically stable, infrastructure is robust and environmental standards are high. Greenhouse gas emissions intensity from oil sands is similar to other import options and is continuously improving – since 1990, oil sands GHG emissions have been reduced by 39 per cent per barrel. u Read Alberta Enterprise Group’s news release, Oil sands boycott unfair and impossible to implement.
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Wells-to-Wheels CO2 emissions from various sources of crude Saudi Medium (ave)
Production, refining and oil transportation
Mexico – Maya
Venezuela – Bachaquero Oil Sands – In situ
Source: CERA 2010
Oil Sands – Mining Upgraded Nigeria Light California Heavy 0
kg Co2e per barrel of Refined Products
Operating at near-zero Name: Lyle Koch Title: Operations Team Lead Company: BP Years of Experience: 10 Location: Dawson Creek, B.C. (Noel project) Best part of job: Developing an environmentally friendly project. Success story: Running a well site that has a significantly reduced carbon and ecological footprint.
Compared to conventional natural gas developments, BP’s new project near Dawson Creek in northeastern BC produces 85 per cent less greenhouse gas emissions and has used 70 per cent less surface land.
Powering production facilities from the BC Hydro power grid
Lyle Koch is BP’s man on-site who is responsible for running the
land footprint, drilling 111 wells instead of 592 wells required with
ground-breaking operation – the first full-field gas development in Canada to use a solar photo-voltaic system [ sidebar].
further reduces BP’s emissions at Noel. Eighty-four per cent of BC Hydro’s power is hydro-generated. BP also uses long-reach horizontal well technology to reduce its conventional drilling. Furthermore, drilling multiple wells from one site means only 85 well pads are required. Koch says he and his colleagues are proud of being
“The company wanted to have a ‘green’ well site and that’s what we heard from local stakeholders too,” says Koch, Operations Team Lead. “People are amazed at the amount of technology and equipment we’re using to make zero-emission well sites. When they drive by our site they can tell it’s different.”
The annual GHG emissions reduction at the BP Noel project is equivalent to taking 24,000 cars off the road.
While traditional well sites use natural gas to run the necessary valves and pumps, BP uses solar
part of an award-winning project. BP has won both the Best Practice Award at the 2009 World Gas Conference and CAPP’s 2010 Stewardship of Excellence President’s Award. “One of the advantages of a field like Noel, where it’s a new development, is we didn’t have a lot of resistance from anyone who was used to doing it a particular way.” says Koch.
power. When the sun doesn’t shine for a week or so,
“And it’s nice to be a part of a company willing to take the extra step.”
BP uses supplementary power from a thermal electric generator.
u Learn more about the BP Noel Project.
Each of Noel’s wells is equipped with 12 solar panels to keep them
u Read about the CAPP Steward of
running and Koch says initially it was a bit of a challenge getting
everything to work effectively. “We didn’t get it right the first time,” says Koch. “We had to do a few different tries to get it to where it was a sustainable site.”
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Solar photo-voltaic Solar photo-voltaic panels consist of cells that contain a photo-voltaic material that converts energy from the sun – solar radiation – into direct current electricity.
Innovation and Technology
Off-gas to less gas
300,000 tonnes Every year, HLCP reduces Suncor’s CO2 emissions by about 300,000
What if you could convert a waste stream
to manufacture them,” he says. “Suncor
from an oil sands operation and convert it
and some other operators create them
into a valuable product that you could sell
as a byproduct.”
Until now oil sands companies would
u Source: Williams Energy
at market? Williams Energy is taking off-gas from Suncor’s oil sands operations, turning it into valuable petrochemical products and reducing Suncor’s carbon dioxide and sulphur emissions in the process. William’s ‘Hydrocarbon Liquids Conservation Project’ (HLCP) started in 2002 to recover higher-value natural gas liquids (NGLs) [ sidebar] and olefins that
sweeten the off-gas (remove some sulphur) and burn it as fuel for their operations. 40 per cent it can separate into NGLs and
Edmonton for fractionation and use by
petrochemicals and sends the rest back to
Suncor along with natural gas bought to replace the 40 per cent it took out.
natural gas produces fewer emissions
be converted into valuable petrochemical products, says David Chappell, Regional Vice President of Williams Energy Canada. “Ethylene, propylene and butylenes are not naturally occurring. They’re manufactured and most companies spend a lot of money
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NGLs and olefins are then piped to Williams’ Redwater facility near
The value to Suncor comes because
of natural gas liquids and olefins that can
Suncor’s SO2 emissions by 11 tonnes
Williams takes the off-gas, removes the
are produced from off-gas, a byproduct of About 40 per cent of the off-gas consists
tonnes. In 2008, HLCP reduced
when burned than the original off-gas.
u Find out more about Williams HLCP.
“They’re getting the same amount of
Natural gas liquids include ethane,
energy back but because they’re burning
propane and butane, substances
natural gas, they’re reducing emissions,”
that can be converted into
valuable products that help make
Williams recovers the NGLs and olefins at a cryogenic liquids extraction plant near the Suncor facilities at Fort McMurray. The
petrochemical products such as plastics and gasoline. u Source: Williams Energy
1. CAPP’s booth at the World Energy Congress 2. Greg Stringham, CAPP (left), Ursula Oltman, Northern Communities Sustainable Energy Initiative, Scott Widmeyer 3. Greg Stringham, CAPP (right), Yoshio Maeda and Yusuke Sogawa both of Honda R&D Co. Ltd. 4. Julie Woo, Canadian Natural and Michel Scot, Devon 5. Kerry Guy, CAPP (left) Event attendee (centre), Paul Barnes, CAPP 6. Event attendee (left), Stephen Rodrigues, CAPP
Relationships Behind the Resource
Canada welcomes the world From September 12 – 16, delegates from over 100 countries met in Montreal at the World Energy Congress (WEC) to discuss challenges
is one of the world’s premier energy events.
200 speakers included CEOs, senior executives,
The theme of the 21st
energy ministers, academics and world energy
World Energy Congress was:
industry leaders. 300 exhibitors gathered at the
RESPONDING NOW TO
Palais des Congres to present technology, know-
GLOBAL CHALLENGES –
how and showcase solutions being developed
Energy in transition for a living
to secure future energy supply.
planet®, provides an important
CAPP and CAPP member companies were a key
framework for addressing the
2000 square foot interactive oil sands exhibit. The display addressed key areas of development
main challenges facing the energy sector: accessibility, availability, acceptability and
including air, water, land and people and
showcased industry technology and innovation.
uL earn more about the World
u Review CAPP President, Dave Collyer’s WEC presentation, Responsible Development of Canada’s Unconventional Resources.
PAGE SIX SEND US YOUR FEEDBACK
The World Energy Congress
the energy sector is facing. The list of over
sponsor of this event showcasing an impressive
World Energy Congress
Relationships behind the Resource
B.C. Energy Expos In April and May, CAPP partnered with Energy Services B.C. and the B.C. Government to host Energy Expos in Dawson Creek and Fort St. John. CAPP also participated in the annual Horn River Producers Group Energy Expo in Fort Nelson in September. The Energy Expos were designed to bring together oil and gas producers, supply companies and other related services to provide information to the community on industry pre-qualification requirements, future supply opportunities and explore training and career opportunities.
CAPP and CAPP member
October 12 – 13, Fort St. John, B.C.
companies recognize that
CAPP is hosting: Learn How to Contract to Oil and Gas Companies in
a qualified and competitive
Fort St. John. The workshop’s objective is to offer insight and practical
local service sector
tools to local contractors in north east B.C. to better position them for
benefits industry and
the communities where
u Learn more about the CAPP workshop in Fort St. John.
Truck lights, rather than large pad lighting, help this Imperial Oil employee work at night without disturbing the neighbours.
Turning the lights off The breathtaking night sky is a big reason people love living in northern Alberta. But oil sands production facilities operate on a 24/7 basis and typically use extensive night lighting. After hearing concerns from local residents about their facility’s lighting, Imperial Oil's Cold Lake Operations, the largest drilling (in situ) oil sands project in Canada, introduced a new on demand lighting initiative in 2009.
"Crane Lake is now in a more natural state for wildlife and for residents and visitors who are drawn to this area because of its natural beauty, including the spectacular night sky."
~ Gord Coulman, President of the Crane Lake Advisory and Stewardship Society (CLASS)
reducing artificial nighttime
Jennifer Haverhals, Environmental Team Leader at Imperial Oil Resources in Bonnyville, Alberta says, "Our neighbours spoke and we listened. We brainstormed and were able to identify a solution that worked for our operations and that we could quickly implement." As a first step, globe lighting was replaced with more directional focused spot lighting in the design for well pads. After testing, Imperial then implemented truck-mounted external lighting, where only the wells being worked on are lit and overhead light standards remain off.
page seven SEND US YOUR FEEDBACK
In addition to dramatically light, Imperial has reduced electricity consumption by approximately 1,855,000 kWh, saving about 1,800 tonnes of greenhouse gas emissions.
NL and NS fact sheets
Updated offshore industry fact sheets for Newfoundland and Labrador and
In 2009, 3,000 people were directly employed in the
Nova Scotia highlight economic benefits, current and potential activity, and the industry’s commitment to environment, health and safety. u Access the CAPP Newfoundland and Labrador fact sheet. u Access the CAPP Nova Scotia fact sheet.
$17 billion in developing Newfoundland and Labrador’s offshore resources.
– 2009 stry from 1995
indu oil and gas ding by the a Scotia capital spen spent in Nov billion was of which $2 Scotia ent of Nova the Governm to paid royalties $1.5 billion 2009 – from 1995 stry in indu gas oil and king in the ent) people wor ct employm Over 850 in 2009 (dire Nova Scotia development, research and spending on and on oil milli the Over $70 training by education and ia in Nova Scot gas industry
oil and gas industry in Newfoundland and Labrador.
Since 1995, the industry has invested $17 billion
ustry tural Gas Ind ’s Oil and Na Economy Nova Scotia g Provincial g to a Stron tin ibu ntr Co $7.5 billion
Newfoun dland an d Labrad Oil and Nat or Contribut ural Gas Explor ’s Offshore at ing to a Strong Pr ion and Productio uce? ct, Scotia prod natural gas proje $1.8 billi ov does Nova gas In r incial Ec How much oil and n only producing on dust ), Nova Scotia’s proje ke — is unde oil royalti onSable ct — Deep Panu es y Project (SOEPry omOffsh al gas ated to in the 200 paid to the Gov y ore Energ A second natur Panuke is estim The ernmen 9-10 fisc MMcf a day. t in 2011. Deep taking place $5.5
t 350 producing production produces abou ndland and ted to begin oil royalti There is no oil and is expec Labrador es paid erable sales gas. development to the Gov oil in the past. to date feet of recov billion cubic ernmen has produced t of New contain 632 31 the province foundland Scotia although per cent and Lab offshore Nova ? of provinc natural have rad a or Scoti cubic feet of ial industry does Nova of 40 trillion in 2009-20 government rev all oil and gas ins in excess 3,000 enues from 10 How much al gas will heat ’s offshore conta feet of natur that the oil and number st Nova Scotia t studies show One trillion cubic of people gas Estimates sugge barrels of oil. and a half. Recen ore. wo Newfou n — for a year tial and 2 billion ndland and rking in the oil deep water offsh millio poten 5.5 lored gas — da unexp $17 billi and gas Labrador s in Cana geology on the relatively industry in 2009 to question the capital spe gas-heated home also exists in in tial anies r poten comp bette gas led to nding by and success has investments and Lab significant oil t exploration in the made major rador sinc the industry in try recen have of indus ators to lack Newfou regul 34 e 1995 available However, a ndland rnment and information but growing per cent Scotia. Gove make geological of Newfou also has a small offshore Nova gy offshore and Nova Scotia ndland and nominal in the future. rstand the geolo ty GDP attr unde activi Lab rador’s ibuted to industry ing exploration the oil and between hopes of boost uction? 2004 and gas l in Sheet gas industry. ral gas prod 2009 d onto a vesse onshore oil and oil and natu Pipe is loade How mu Deep ing on a benefit from ch oil and as part of the esses and spend le in Nova Scoti Harbour, NS benefit gas doe nt. ies for local busin Newfoundla How do peop s Newfou province also ct developme jobs, opportunit nd and Lab people of the ndland and Panuke Proje ction creates support represen training. The ues and reven Labrador and gas produ tion Oil ting 10 perc rador produces nment. These produce? opment, educa about 270 ent natural gas try pays to gover rch and devel social programs ,000 barr for indus resea pay the production of Canada’s total help els of ies and taxes and also crude oil in the pro There are production crude oil per day from the royalt ls and hospitals vince. thre . There is like roads, schoo currently The Canada e producing offs infrastructure no hore oil pro -Newfound province. future? jects: Hib reserves land and throughout the for each ernia, Terr to grow in the Labrador Nova Scotia of the maj a Nova and the industry Offshore is significant. or produc rce potential potential for White Ros gas. • Hiberni building a ing discove Petroleum Board Scotia’s resou What is the a: 1.24 billi e. re to transport Nova The key to that esti ries mates oil on barrels at and infrastructu to building a estimates show ainable • Terra Nov discovered ce to consumers Government 2005. The key distan of since nt a: 419 mill long term sust ore terms in is drilled offsh . The Governme ion barrels is well positioned Nova Scotia • White g exploration wells have been discovered ragin ratory to renew encou 3 Rose: 283 is industry in ives explo However, no outlines initiat 1 in Nova Scotia mill satellite exploration. nments, ing wal Plan which inable industry gover expansion ion barrels discove Rene urag susta with ore term ing enco 4 long an Offsh red; Nor to work project whi t. addition th Am2eth has developed al 68 mill try is committed ration investmen Indus explo t st. yst, a Wh Nova Scotia ion barrels ch began produc of attrac intere ideas to opment ite Rose ing in 201 About 1.14 of oil stimulating new ration and devel 0, contain nue billion barr explo conti to s an estimated els of this academia to contain oil has alre regulators and 400-700 ady been and Labrado million barr produced. r’s fourth 3 els of reco The Hebron before the major dev 1 verable oil, elopmen project, end of 201 4 t with oil will be New 7. production 2 foundland How mu expected ch oil and to begin and Lab nat ural gas rador? has bee n discove Based on red in New a recent foundland estimate Petroleum by the Board, the barrels of Newfoundla Canada-Newfound oil, 479 mill land and nd and Lab Labrador of natural ion barrels rador offs Offshore gas. One of hore con natu ral trilli Canada – tains 2.9 gas liquids OIL FIELD billion 5.5 million on cubic feet of S and 10.8 natural gas 6 trillion – for a yea 1 Hibe cubic feet will heat r and a half rnia How do all gas-hea Start-up . people in – ted hom Productio November 1997 natural es in n Facility gas producNewfoundland – Gravity 2 Terra and Base Struc tion Labrador Nova ? The offshor ture (GBS Start-up benefit ) e oil and – Janu from Prod gas offs spending uction Facilary 2002 industry hore oil on ity Storage creates jobs and and Offlo – Floating Productio The people research and dev , opp ading Vess n, ortunitie elopmen 3 Whit of the pro el (FPSO s for loca e Rose t, educati ) industry l busines Start-up on, train pays to gov vince also benefit – ses and ing, and Productio November 2005 significa ernm throughout infr n Facility the provinc ents; these revenue ntly from the roya astructure. – FPSO 4 Hebr the retail lties and s suppor on and constru e. In addition, oil t social and taxes the First oil expected and gas ction indu other pro before the Productio activity lead stries. n Facility end of 2017 s to spin-off grams – GBS benefits for al year
New CAPP publicationS
Industry Practice and Regulations
34 per cent of Newfoundland and Labrador’s nominal GDP came from the oil and gas industry between 2005 and 2009.
$7.5 billion Since 1995, the industry has invested $7.5 billion in developing Nova Scotia’s offshore resources.
$70 million + To date, the offshore oil and gas industry has spent
Offshore regulatory structure In a written submission to the Helicopter
The inquiry was established by the
Safety Inquiry stemming from the
Canada-Newfoundland and Labrador
crash off Newfoundland and Labrador
Offshore Petroleum Board in October
in March 2009, CAPP verified the
2009 to examine the safety of
regulatory structure for offshore
helicopter travel for offshore workers.
Newfoundland and Labrador oil and gas
Phase One concluded in September.
regulation is fundamentally sound. The submission states any recommendations to enhance helicopter safety offshore should be made within the existing
u Read CAPP’s and other
submissions to the inquiry. u Learn more about the Offshore
Helicopter Safety Inquiry.
page eight SEND US YOUR FEEDBACK
$70 million on research and development, education and training in Nova Scotia.
Industry Practice and Regulations (continued)
Draft scope for NEB review The National Energy Board (NEB) has released the draft scope for its Arctic Offshore Drilling Review. The NEB will engage the industry and public in reviewing the requirements for drilling safely while protecting the environment, responding effectively if things go wrong and considering lessons learned from the recent Deepwater Horizon leak in the Gulf Coast. Interested parties can apply to the NEB to participate in the review. CAPP is already a registered participant in the review and supports it as a forum for thoughtful dialogue on offshore practices. A working group of interested CAPP members will share information and help coordinate industry input.
Offshore ban not justified: report
The NEB is finalizing the scope and
A Senate committee has determined that
The Senate report says while spending
u Read more about the Arctic Offshore
Canada’s offshore regulatory regime is
on research and development is
modern, up-to-date and among the most
significant, oil and gas companies should
efficient and stringent in the world.
increase spending, into “new and better
have further details in the fall. Drilling Review.
technology for dealing with deepwater
The Standing Senate Committee on
blow-outs and responding
Energy, the Environment and Natural
to catastrophic spills.”
Resources has reviewed Canada’s offshore drilling in the wake of BP's
The committee also expressed concern
Deepwater Horizon incident in the Gulf of
about Canadian laws governing the
Mexico and written a report entitled, Facts
liability and responsibility for loss and
do not justify banning Canada's current
damage (including economic loss
offshore drilling operations.
and environmental cleanup expenses) following a major oil spill offshore. The
While the report identified some areas
report says Canadian rules are somewhat
of improvement, it concluded there is no justification for a ban or moratorium on current offshore operations. It says Canada’s regulatory regime is continually
confused and conflicting, and require a careful review. u Read the full Senate committee report.
upgraded and improved based on lessons and experiences from incidents and other jurisdictions, such as the United States.
page nine SEND US YOUR FEEDBACK
schedule for the review and is expected to
694 wells 694 wells have been drilled offshore Canada. u Find out more about Canada’s
Greenpeace protest at oilsands facilities in Alberta.
Industry Practice and Regulations (continued)
Unauthorized Trespass: new protocol Oil and gas operators have a new tool to use in situations where activists gain unauthorized access to energy facilities and sites. The Energy Sector Response to Security Breaches Protocol standardizes industry, government and police response to incidents where activists disrupt operations and place themselves – and others – in danger. The protocol provides direction that is specific to breaches of operating sites (it doesn’t apply to terrorist, labour or criminal actions). Individual producers may develop additional detailed procedures, facility-specific plans or emergency response procedures. The protocol was developed collectively by industry, the federal and Alberta governments and law enforcement agencies.
u The protocol is available only to CAPP members on MemberNet
(Document # 169091). u For more information, please contact Rick Laursen at CAPP.
CAPP will review the protocol regularly to ensure it stays current.
Deep fracturing: ERCB CAPP’s Deep Fracturing Committee is liaising with Alberta’s Energy Resources Conservation Board about the science and technology around deep fracturing [ sidebar].
Deep Fracturing Deep fracturing is a process that opens new channels in the rock surrounding a production well. Under extremely high hydraulic pressure,
As part of the Unconventional Gas Regulatory Framework Project (reviewing deep
special fluids are pumped down the
shale gas, deep coals and tight gas in Alberta), the ERCB asked for a more technical
well. The pressure causes cracks to
understanding of deep fracturing in unconventional gas plays.
open in the formation allowing more
The Deep Fracturing Committee has completed a detailed ERCB survey and is continuing dialogue into the fall. The finding from this review will also be relevant to other jurisdictions.
Canadian Association of Petroleum Producers (CAPP) The Canadian Association of Petroleum Producers (CAPP) represents companies, large and small, that explore for, develop and produce natural gas and crude oil throughout Canada. CAPP’s member companies produce about 90 per cent of Canada’s natural gas and crude oil. CAPP’s associate members provide a wide range of services that support the upstream crude oil and natural gas industry. Together CAPP’s members and associate members are an important part of a $110-billion-a-year national industry that provides essential energy products. CAPP’s mission is to enhance the economic sustainability of the Canadian upstream petroleum industry in a safe and environmentally and socially responsible manner, through constructive engagement and communication with governments, the public and stakeholders in the communities in which we operate.
oil and gas to flow to the surface. u Source: Oilgasglossary.com
2100, 350 – 7 Avenue SW Calgary, Alberta Canada T2P 3N9 Telephone: 403.267.1100 Fax: 403.261.4622 403, 235 Water Street St. John’s, Newfoundland and Labrador Canada A1C 1B6 Telephone: 709.724.4200 Fax: 709.724.4225 CAPP is on Twitter. Follow us @OilGasCanada.
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Upstream Dialogue is a newsletter targeted at CAPP member employees. It provides up-to-date information and CAPP's perspective on industry r...