Monday, March 4, 2013

Download: Draft Supplementary Environmental Impact Statement (SEIS): KEYSTONE XL PROJECT


United States Department of State Draft Supplemental Environmental Impact Statement For the KEYSTONE XL PROJECT:  http://keystonepipeline-xl.state.gov/draftseis/index.htm

Sunday, March 3, 2013

Keystone pipeline 'environmentally sound' says U.S. State Department

WASHINGTON, D.C. -- The Keystone XL pipeline does not pose a threat to the environment and denying the project would not slow oilsands development, according to the U.S. State Department.

The state department released a draft environmental assessment of the $7 billion project Friday afternoon.
“The analyses of potential impacts associated with construction and normal operation of the proposed Project suggest that there would be no significant impacts to most resources along the proposed Project route,” provided TransCanada followed a number of safety measures, the report says.

The draft environmental assessment triggers a 45-day public comment period, to begin next week, after which the department will decide whether the project is in the U.S. national interest.

TransCanada Pipelines CEO Russ Girling called Friday’s environmental assessment draft “a pretty significant step.”
“It confirms what we’ve been saying — it would have minimal impact on resources along the route and on greenhouse gases,” he said.

The hope now, Girling added, is a decision will come out of the White House within six months, which would allow a 2014 or early 2015 construction timeline to stand.
 
“It’s four-and-a-half years of review in a process that’s historically taken 18 to 20 months,” he said.
Kerri-Ann Jones, the department’s assistant secretary, told reporters Friday that denying the project would not slow development of the oilsands, a claim environmentalists have used as a reason for President Barack Obama to reject the application.

But she stressed Friday’s report does not make recommendations “one way or the other” about whether the pipeline should be built.

“We’re not at that stage in the process,” she said.

Obama is expected to approve or reject Keystone later this year.

Keystone supporters such as Alberta Premier Alison Redford praised the report, but groups opposing the pipeline lashed out at the State Department Friday.

“This analysis fails in its review of climate impacts, threats to endangered wildlife like whooping cranes and woodland caribou, and the concerns of tribal communities,” Jim Lyon of the National Wildlife Federation said in a statement.

“If Keystone XL wouldn’t speed tar sands development, why are oil companies pouring millions into lobbying and political contributions to build it?”

If approved, the pipeline would ship 700,000 barrels of crude a day from Canada’s oilsands to refineries along the Gulf of Mexico.

A year ago, Obama rejected the company’s application to build the pipeline — but encouraged them to reapply. At the time, Obama said Republicans had imposed a deadline to decide the fate of the project that did not allow enough time to study the environmental impacts.

The initial pipeline route travelled through environmentally sensitive lands in Nebraska. The route has since been modified.

— With files by Bill Kaufmann

Source:  http://www.torontosun.com/2013/03/01/keystone-pipeline-environmental-report-to-be-released-by-us-state-department

Saturday, September 29, 2012

Canada Set to be a Dominant Global LNG Exporter


Canada Set to be a Dominant Global LNG Export Player:

British Columbia's LNG terminal seems to be on the fast track.
Canada's natural gas future looks bright if it is able to fully utilize its geological advantage and natural gas resource potential. Canada's BC route is just an extra two days shipping to Asia when compared with the Middle East. Here is an interesting update regarding BC's LNG project.

By Faisal Khan 




Victoria, Haisla agree to fast-track LNG project

Deal for Kitimat terminal opens door to first nation band's involvement in future development

By Gordon Hamilton, Vancouver Sun September 15, 2012

The provincial government and Haisla First Nation struck a deal Friday that they say will fast-track the development of another liquefied natural gas export terminal at Kitimat.

In announcing the deal - a framework agreement that enables the Haisla to either purchase or lease a site on Crown land already identified as ideal for an LNG terminal - Haisla chief councillor Ellis Ross said it opens the door to Haisla involvement in future LNG development. Two major terminals have already been announced at Kitimat.

"It is our intent to responsibly develop projects and get them underway so that B.C. and Canada can take advantage of the LNG window that is now in front of us," Ross said at a news conference where he was joined by Energy Minister Rich Cole-man and Aboriginal Relations Minister Ida Chong. "If we are able to do this, the Haisla people will benefit, B.C. will benefit and ultimately, Canada will benefit."

Read More:

Sunday, October 2, 2011

Harper 'confident' Keystone pipeline to proceed

Harper 'confident' Keystone pipeline to proceed

Oil workers head to Ottawa to talk to MPs about pipeline extension

Posted: Sep 22, 2011 6:57 AM E

Prime Minister Stephen Harper says he is "confident" TransCanada's proposed Keystone XL pipeline will be built, but a major union says the government needs to consider whether the project serves Canadian interests.

The proposed extension would carry oilsands crude south from Alberta to refineries in Texas.
"It's hard for me to imagine that the eventual decision would be not to build that," Harper told Bloomberg Television on Wednesday.

"The economic case is so overwhelming," he said. "The number of jobs that would be created on both sides of the border is simply enormous."

"I'm confident it will be built," he said.

Harper also spoke of how Canada, as an "ultimate friend to the United States," is a reliable energy supplier because it doesn't "use oil or energy projects as strategic resources to achieve... foreign policy or political ends."


read full story here: http://www.cbc.ca/news/canada/story/2011/09/22/pol-harper-keystone-us.html

 

Saturday, May 28, 2011

Brief History of Canadian Oil Industry

1858: James Miller Williams made the first major oil discovery in Canada at Oil Springs, Ontario. Williams is commonly known as the founding father of the Canadian oil industry.

1908: The Bow Island gas field (Old Glory well) in Alberta was the first major discovery in Alberta’s imporatant commercial oil and gas exploration.

1914: Arthur Dingman found the Dingman wet gas in the Turner Valley in Alberta on May 14th.

1920: Dr. Karl Clark of the Alberta Research Council developed the hot water process to produce synthetic oil from strip mined bitumen (or the oil sands). This process is still currently employed. In the same year, the Ted Link, the most Nothernly oil discovery was also made.

1947: On February 13th, Imperial Oil finally struck oil in Leduc after drilling 133 dry holes. This major discovery transformed Canada from oil-poor to oil-rich country overnight.

1950s: The inter-provovinial oil pipeline (noe Embridge Inc.) was built from Alberta to Ontario. This is the world’s largest crude oil pipeline network.

1967: The first ommercially successful large-scale oilsands plant began operating near Fort McMurry using Dr. Clark’s method.

1979: The first flow of oil was produced on drillstem test from Hibernia P-15 on September 19th. It found two reserves of around 3 billion barrels of oil. Production started in 1997.

Breif History of Canadian Oil Industry

1858: James Miller Williams made the first major oil discovery in Canada at Oil Springs, Ontario. Williams is commonly known as the founding father of the Canadian oil industry.

1908: The Bow Island gas field (Old Glory well) in Alberta was the first major discovery in Alberta’s imporatant commercial oil and gas exploration.

1914: Arthur Dingman found the Dingman wet gas in the Turner Valley in Alberta on May 14th.

1920: Dr. Karl Clark of the Alberta Research Council developed the hot water process to produce synthetic oil from strip mined bitumen (or the oil sands). This process is still currently employed. In the same year, the Ted Link, the most Nothernly oil discovery was also made.

1947: On February 13th, Imperial Oil finally struck oil in Leduc after drilling 133 dry holes. This major discovery transformed Canada from oil-poor to oil-rich country overnight.

1950s: The inter-provovinial oil pipeline (noe Embridge Inc.) was built from Alberta to Ontario. This is the world’s largest crude oil pipeline network.

1967: The first ommercially successful large-scale oilsands plant began operating near Fort McMurry using Dr. Clark’s method.

1979: The first flow of oil was produced on drillstem test from Hibernia P-15 on September 19th. It found two reserves of around 3 billion barrels of oil. Production started in 1997.

Petroleum Exploration

The search for oil and gas deposits within the Earth’s subsurface is called petroleum exploration. Exploration is considered a part of the upstream process. During this process, an energy company will explore for hydrocarbons and extract that oil or gas in the most efficient manner. The refining and processing of the oil and gas and its distribution to the end customer is known as the downstream process. The petroleum exploration can be divided into two main stages. The first stage would consist of a desk study of the geology, geological maps and of field surveys. The second stage would consist of exploratory drilling and if necessary an appraisal process.

First Stage

During this preliminary stage of exploration, geo-scientists and geologists will review geological maps and/or aerial photography of a target site to identify faults and anticlines on the surface to determine if there is a potential for subsurface hydrocarbon deposit formations (E-Tech International , n.d).

Before any physical exploration of the site the exploration company will have to obtain exploration rights from the land owner (surface and subsurface mineral rights). A legally binding agreement has obtained be obtained from the private land owner or the government (Department of Employment, Economic Development and Innovation, 2010).

The exploration company will then pursue a more informative survey. This survey will consist of the following surveys (E-Tech International , n.d):

1. Magnetic Survey: measures the variations and intensity of the magnetic field which correlates the magnetic character of the various rocks.

2. Gravimetric Survey: involves the measurements of small variations in the gravitational field at the Earth surface.

3. Seismic Survey: This is the most common [informative] assessment method and is usually the first test. This survey uses sound waves to record the subsurface structure. The reflected sonic waves are recorded using:

i. Geophones/Seismometers on land

ii. Hydrophones in water/offshore

After the seismic tests have been conducted, they are further analyzed to determine the following (Imaduddin, 2008):

1. Find a geological feature [traps] that can act as an accumulator of oil/gas.

2. To ensure the [potential] oil/gas cannot escape.

3. Confirm that the area has the material to cook the oil and gas over geological time.

The different types of traps (if any present) from the survey are analyzed.

Types of Traps (Imaduddin, 2008)

1. Structural Traps

i. Anticline are easy to locate with low risk to extract

ii. Fault bound  easy to locate with fair risk to extract

2. Stratigraphic Traps

i. Pinchouts  tougher to locate with high risk to extract

ii. Channels  tougher to locate with high risk to extract

3. Morphological Traps

i. Buried Hill

ii. Reef

Second Stage

If the results from the ‘First Stage’ look promising, the exploration process will proceed with the ‘Second Stage’. This stage will confirm or refute the “suspicions” of hydrocarbon presence by drilling exploratory wells. These exploratory boreholes are commonly known as wildcats.

The core sample from the wildcat is sent to a laboratory for a detailed core analysis. The core is tested for porosity, grain density, horizontal permeability, fluid saturation and lithology description (Zeng, 2011). If the perforated wildcat well starts producing hydrocarbon fluids, a sample of that fluid is also sent to the laboratory is also sent to a laboratory for further PVT analysis and the well is closed (plugged with a ‘Christmas-tree’ valve if necessary) (E-Tech International , n.d).

If the lab tests are positive conditions for hydrocarbon, then further tests of the wildcat are carried out by inserting a sonde and determining the following Well Log Tests (Yang, 2010):

1. Spontaneous potential (SP) log

2. Gamma Ray Log

3. Porosity Logs

i. Sonic Logs

ii. Density Logs

iii. Neutron Logs

4. Resistivity Logs

5. Calliper log

According to Imaduddin, if the initial exploration wildcat’s results are promising, further exploration wells are drilled to gain further understanding (picture) of the subsurface formation (reservoir) and its economic feasibility is estimated. This is known as the appraisal step. The discovery is appraised by additional seismic 2D/3D imaging of the subsurface. Productive zones are mapped for a more accurate extent and thickness of the formation. This enables a more accurate calculation of the potential reserves (Imaduddin, 2008).

In short, the exploration process consists of the geological study, seismic study, exploration wells, core/fluid sampling, well logging and well testing (Zeng, 2011).

List of Five Key Words in Petroleum Exploration

Geological Survey

Seismic Survey

Exploratory Drilling

Well Log Tests

Appraisal (economic, field, fluid tests)

References

Department of Employment, Economic Development and Innovation. (2010, June ). Queensland

Government. Retrieved May 18, 2011, from Petroleum and Gas Exploration: Exploration laws explained:http://www.dme.qld.gov.au/zone_files/legislation_pdf/p&g_exploration_laws_explained.pdf

Encyclopedia Britannica Online. (2011). petroleum production. Retrieved May 18, 2011, from Britanica

Academic Edition: http://www.britannica.com/EBchecked/topic/1357080/petroleum-production/81761/Well-logging-and-drill-stem-testing

E-Tech International . (n.d). Overview of the oil and gas exploration and production process. Retrieved

May 18, 2011, from E-Tech International: http://www.etechinternational.org/new_pdfs/lessImpact/AttAoverview.pdf

Imaduddin, M. (2008, April 30). Petroleum Exploration Development and Production Process. Retrieved

May 18, 2011, from Bangladesh University of Engineering and Technology: http://www.buet.ac.bd/dce/course_material/pdf/petroleum_exploration_developement_production_process.pdf

Yang, D. D. (2010). Introduction to Petroleum Engineering. Retrieved May 18, 2011, from UrCourses:

University of Regina: https://urcourses.uregina.ca/

Zeng, D. F. (2011). Geology Aspects Of Reservoir Engineering. Retrieved May 2011, from Urcourses:

University of regina: https://urcourses.uregina.ca/

Wednesday, May 5, 2010

Welcome

Hi!

Welcome to my blog pertaining to the oil and gas industry.  I am an undergraduate petroleum engineering student at the University of Regina. I created this blog as a reference and resource for anyone who may find it useful.

I will be periodically posting petroleum educational resources, news articles and opinions regarding the Petroleum Industry.

Hydrocarbon energy has allowed us to progress technologically and has been pivotal in providing us with today's modern high standard of living.

Through smart environmentally conscious utilization and enhanced recovery methods, petroleum will be with us for a foreseeable future.

Please check periodically for updates and follow this blog.

Thanks!