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PLAINS CO 2 REDUCTION (PCOR) PARTNERSHIP UPDATE...• Storage cost can be offset by income from EOR....

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PLAINS CO 2 REDUCTION (PCOR) PARTNERSHIP UPDATE © 2017 University of North Dakota Energy & Environmental Research Center. Ed Steadman Energy & Environmental Research Center 2017 Midwest Carbon Sequestration Science Conference Annual Meeting September 19–20, 2017
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Page 1: PLAINS CO 2 REDUCTION (PCOR) PARTNERSHIP UPDATE...• Storage cost can be offset by income from EOR. CO 2EOR COMPARING CO 2 EOR TO “REGULAR” OIL 0 200 400 600 800 1000 1200 CO2

PLAINS CO2 REDUCTION (PCOR) PARTNERSHIP UPDATE

© 2017 University of North Dakota Energy & Environmental Research Center.

Ed SteadmanEnergy & Environmental Research Center

2017 Midwest Carbon Sequestration Science Conference Annual MeetingSeptember 19–20, 2017

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2

ADAPTIVE MANAGEMENT APPROACH

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BELL CREEK

• The Bell Creek oil field is operated by Denbury Onshore LLC.

• CO2 is sourced from ConocoPhillips’ Lost Cabin and ExxonMobil’s Shute Creek gas-processing plants.

• The Energy & Environmental Research Center is studying CO2 storage associated with commercial CO2 enhanced oil recovery (EOR).

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CO2 INJECTION

As of May 2017

• Oil Produced: ~3.9 million barrels(source: Montana Board of Oil & Gas [MBOG] database)

• CO2 Stored: ~3.9 million tonnes(source: Denbury)

0

20,000

40,000

60,000

80,000

100,000

120,000

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Mon

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Oil

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Phase 1 Phase 2 Phase 3 Phase 4 Phase 5Source: Montana Board of Oil & Gas Conservation (May, 2017)

Phase 1 CO2Injection Start

Water Flood

0.000

0.500

1.000

1.500

2.000

2.500

3.000

3.500

4.000

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Total Gas PurchasedNet CO2 Stored*

Source: Denbury (July 2017)*CO2 volumes corrected for gas composition.

2

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• 16 techniques• 1.5 years of preinjection monitoring• 3+ years of operational monitoring

Demonstrate and validate monitoring techniques and their associated economics to inform viable MVA strategies for commercial-scale carbon capture and storage (CCS).

Building off of the backbone of commercial operations data.

5

MONITORING, VERIFICATION, AND ACCOUNTING (MVA)

Page 6: PLAINS CO 2 REDUCTION (PCOR) PARTNERSHIP UPDATE...• Storage cost can be offset by income from EOR. CO 2EOR COMPARING CO 2 EOR TO “REGULAR” OIL 0 200 400 600 800 1000 1200 CO2

MVA FOR MODEL VALIDATION – PULSED-NEUTRON LOGGING04-03

Saturations04-04

Saturations05-01

Saturations

WaterOilGas

05-01 04-04 04-03

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7

FIRST REPEAT 3-D SURVEY

• 26-km2 repeat (October 2014).• ~1.2 Mt CO2 stored in

monitored area at the time of survey.

Calculated using MBOG data.

Phase Start of CO2Injection

Estimated Associated CO2 Storage

(Oct 2014), Mt1 May 2013 1.042 Dec 2013 .166

Page 8: PLAINS CO 2 REDUCTION (PCOR) PARTNERSHIP UPDATE...• Storage cost can be offset by income from EOR. CO 2EOR COMPARING CO 2 EOR TO “REGULAR” OIL 0 200 400 600 800 1000 1200 CO2

FIRST REPEAT 4-D DIFFERENCE INTERPRETATION (2012–2014)

Higher Amplitude in Phase 2 Relative to Phase 1 Because of

Higher Pressure Buildup

Fluid and Pressure Communication

Between Phases 1 and 2

Pressure Buildup from Water

Injection

CO2 and Pressure Moving Updip

Away from Injector Toward

Producer

CO2 Banking Against Permeability Barrier

Values near zero (cooler colors) indicate little change from baseline survey.

Larger values (warmer colors) indicate changes in pressure and/or CO2 saturation since baseline seismic acquisition.

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COMPARING OBSERVATIONS WITH PREDICTIONS

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FUTURE OF MONITORING• Integrated

– Improve performance forecasts– Inform operational decisions– Address risks

• Actionable results• No impact on operations• Low environmental impact• Focus on fast processing• Semiautonomous• Scalable• Efficient and strategic acquisitions • Cost-efficient/enhanced value• Intelligent monitoring• Key indicators vs. robust solutions

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“Greener” than conventionally produced oil:• Existing EOR operations are already storing

CO2.• Nearly every tonne of CO2 purchased is

eventually stored.

• A great near-term storage option:• Over 40 years of handling and injecting large volumes of

CO2.• Much of the infrastructure already in place.• Storage cost can be offset by income from EOR.

CO2 EOR

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COMPARING CO2 EOR TO “REGULAR” OIL

0 200 400 600 800 1000 1200

CO2EORUK

Saudi(Light)CTL(Low)Canada

ImportedcrudeoilU.S.statusquoU.S.domestic

VenezuelaMexicoSynbitDilbitA

SCOoilsands(in-situprocess)SCOoilsands(miningprocess)

DilbitBSCOoilshalein-situ(Low)SCOoilshalein-situ(High)SCOoilshalemining(Low)

Syntheticcrudeoil(SCO)oilshalemining(High)Coal-to-liquid(CTL)(High)

kgCO2e/bbl

Extraction Port-to-Port Port-to-refinery Refinery Combustion Upstreamelectricity

Adapted from:Mangmeechai, A., 2009, Life Cycle Greenhouse Gas Emissions, Consumptive Water Use and Levelized Costs of Unconventional Oil in North America: Dissertation, Carnegie Mellon University, Pittsburgh, PA.

12

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JOURNAL ARTICLE

http://www.sciencedirect.com/science/article/pii/S1750583616302985

http://www.undeerc.org/pcor/technicalpublications/CO2-EOR-Life-Cycle-Analysis.aspx

The spreadsheet CO2 EOR life cycle analysis model is available on the

PCOR Partnership public Web site!

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INTEGRATED CCS FOR NORTH DAKOTA ETHANOL PRODUCTION – RED TRAIL ENERGY• Evolving ethanol markets are opening

new opportunities.

• Objectives: – Determine technical and economic

feasibility for ethanol CCS– Provide a preliminary implementation

plan

Photographs by OpenSource.com and Ishikawa Ken,

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OUTREACH IS KEY

• Documentary:‒ Coal Powered! (working title)

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Thank you for your kind attention!

Questions?

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CONTACT INFORMATION

Energy & Environmental Research CenterUniversity of North Dakota15 North 23rd Street, Stop 9018Grand Forks, ND 58202-9018

www.undeerc.org701.777.5279 (phone)701.777.5181 (fax)

Ed SteadmanVice President for [email protected]

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ACKNOWLEDGMENT

This material is based upon work supported by the U.S. Department of Energy National Energy Technology Laboratory under Award No. DE-FC26-05NT42592.

DisclaimerThis presentation was prepared as an account of work sponsored by an agency of the United

States Government. Neither the United States Government, nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its

endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or

reflect those of the United States Government or any agency thereof.

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