1. Shale Gas vs.Water Treatmentir. Philippe TobConference:SHALE GAS: Blessing or Dutch Disease?21/02/2013, ESG Management School, ParisCopyright, Tobco SA, 2013This document contains copyrighted material that is used with the permission of the author. Please acknowledge sourcesand references accordingly. Tobco also follows fair use of copyrighted material. Trademarks are indicated by capital letters.Tobco does not necessarily endorse companies, products, technologies and services that appear in this document.Contact : email@example.com
2. FEBRUARY 2013NO WATERNO HYDRO FRACNO SHALE GAS INDUSTRY
3. Shale Gas Controversy: WaterSource : various sources, retrieved from web February 2013
4. Reliable information, data ?Source : various sources, retrieved from web February 2013
5. Shale Gas – why water ?Shale gas: non–conventional gas : tightlow permeability→Idea: increase permeability shaleSolution : Frac shaleWater function– Lubricate: drilling mud– Deliver chemicals to keep well clean andincrease permeability– Pressure to fracture rock and enable gasto flow into the well– Carry sand (propant) to keep cracks open
6. Industry challengedShale Gas Industry:– Natural Gas Price downward trend US– Operators must reduce costs, risks impacton environment and reputation– Water has become major concern– → Treat and re-use water : priorityWater Treatment Industry:– Caveat : every well is different !– Flowback, Produced water treatment andbeneficial re-use– Reduction costs and risks
7. Water Cycle: Quality, QuantitySource : PennState : Cooperative ExtensionWaterQuantity,QualityInfluentEffluent
8. Quantity: water use pastSource : (1) Jean Philippe Nicot et al., Environ Sci Technol. 2012, 43, 3580-3586 (2) Marie de Pariswebsite retrieved January 2013.Per Well (US): 2.900 m³ – 20.700 m³– Drilling– FracingCumulative water use prior 2011– Texas : 170 Mm³Barnett shale play yearly use:– 28 Mm³– → 14% yearly water use city of Paris
9. Quantity : water use futureFormation Use (Mm³) Wells Projected (Mm³)Barnett 145 14.900 1.050Haynesville 6,5 390 525Eagle Ford 18 1.040 1.870Other shales 889Tight Formations 895Source : Jean Philippe Nicot et al., Environ Sci Technol. 2012, 43, 3580-3586Water Use and Shale GasCumulative past use and cumulative estimated projecteduse, Texas.
10. Quantity : Local water stressCountyMax. (Mm³) Max. (%) Max yearDenton 2,1 1,7 2010La Salle 7,1 89 2019San Augustine 4,1 136 2017Shelby 5,8 55 2017Source : Jean Philippe Nicot et al., Environ Sci Technol. 2012, 43, 3580-3586Water Use and Shale GasPeak water use, counties in Barnett shale play region, absolute numbers and as a% of total water use for the county, Texas, US. Model simulations suggestpotential water stress in e.g. La Salle county According to model see source.
11. Quantity : Nord-Pas-De-Calais ?Source : (1) Agence de leau Artois Picardie, Données sur les volumes prélevés dans le bassinArtois-Picardie, 15/02/2012, website retrieved february 2013 (2) Bulletin Industrie PétrolièreHypothetical scenario: for didacticpurpose !Nord-Pas-De-Calais : 65 Bm³ shale gasreserve (ref. 2)Compare with 52 billion Mm³ shale gasfrom Barnett play, Texas, in 2010.Assume 35 Mm³ of frac water needed toexploit reserves in one year. Researchmay show much more water needed forspecific shale play.Total fresh water withdrawals in Nord-Pas-De-Calais in 2010: 533 Mm³ (1)Therefore shale gas exploitation couldhypothetically require ~ 6% of totalfresh water withdrawal in 2010.Agriculture water use Artois Picardie in2010 : 35 Mm³2003 2004 2005 2006 2007 2008 2009 20100100200300400500600700Agriculture Drinking Industry OtherWaterWithdrawalUsages(Mm³)Water Withdrawal Water Agency Artois PicardieBreakdown by Usage, 2003-2010
12. Quantity : Produced WaterProduced water: (def. gas and oilindustry): water flowing to surfacethrough borehole.– Flowback frac fluid: 20%-70%– Formation water:• Varies according to shale rock• e.g. Marcellus shale, rock, drier thanBarnettLarge water volumes to manage– → Protect natural environment– → Cut natural water withdrawals, returnclean water to nature.
13. Quality : Frac FluidFracturing fluidTypical composition for the Northern Marcellus Shale Play ; Fresh water: groundand surface water Total Disolved Solids < 1000 ppm ; Brackish water : ground watrerComposition chemicals dosed may change up to operator experience, shale play,specific well (ref. source).Source : Mathew E. Mantell, Introductory Description of Hydraulic Fracturing, Sept. 2011,Chasapeake Energy
14. Quality : Flowback frac fluidFlowback frac fluidFrac fluid flowing back to the surface. Samples collected from (1) Woodford shale site 1-14 days (2) Marcellus shale site 1-8 days.Source : Harish R. Acharya, Ph.D, GE,. Cost Effective Recovery of Low-TDS Frac Flowback Waterfor Re-use, Pittsburg, Sept, 2010 ; retrieved from website Jan 2013
15. Water Management : SolutionsSolutions– Use brackish water, not fresh water– Off-site• Haul and inject• Treat, dispose and re-use produced water– On-site• Treat, stock, re-use produced water– Future : waterless exploitation ?Technology alone not panacea: multi-disciplinary approach needed:engineering, ecology, regulatory,...
16. Treatment and Re-useSource : Harish R. Acharya, Ph.D, GE,. Cost Effective Recovery of Low-TDS Frac Flowback Waterfor Re-use, Pittsburg, Sept, 2010 ; retrieved from website Jan 2013Treat and re-use solutionsPurification concept and % frac fluid re-used.
17. Treat and Re-Use: BenefitsSource : Robbie Cathey et all, Ecosphere Energy Services Game Changing Technology for Treating andRecycling Frac Water, SPE SPE-145454-PP, SPE Annual Technical Conference, Denver, Oct. 2011Reuse benefitsSavings for re-use solutions according to ECOSPHERE Energy Services
18. Technologies: available ?http://aqwatec.mines.edu/produced_water/treat/index.htmSource : (1) Colorado School of Mines and Aqwatec Website, January 2013 (2) Pei Xu et all, Noveland Emerging Technologies for Produced Water Treatment, ES EPA Workshop, March 2011.
19. Technology (1) : VEOLIASource : VEOLIA, retrieved from company website, January 2013
20. Technology (2): EPURAMATEPURAMAT, ExSepPatented oil/water and suspendedsolids/water separation equipment.Source : EPURAMAT, Company and product presentation, provided by Senior Managers.EPURAMAT, Hydrocarbons removalDeep separation of hydrocarbons in producedwater treatment. Technology : ExSep andproprietary membrane separation.
21. Technology (3): AQUATECHSource : AQUATECH company brochures and communication by Charles KozoracAQUATECH MoVap, MoTreat equipmentAquatech offers Zero Liquid Discharge solutionsfor floback and produced water treatment.AQUATECHIntegrated produced water treatment solution.
22. Technology (4): ECOSPHERESource : R. Cathey, CEO ECOSPHERE, DUG East : Water Workshop : Return and Reuse Panel,November 2012ECOSPHERE: Ozonix, Hydrozonixs technologyFeedback frac fluid and produced water treatment andre-use solution. Ozone and Elelctro-Oxidation basedsolution.
23. Technology (5): MemStillSource : KEPPEL SEGHERS and AQUASTILL, Company documentation retrieved from Websites,January 2013.KEPPEL SEGHERS : MemStill desalination(1) principle membrane distillation (2) demo plant Singapore. MemStill can be powered bysolar energy and waste heat streams.
24. Market PlayersPlayers– Majors: VEOLIA, GE,...– SME: AQUATECH, RIDGELINE,...– Promising : EVERETT, GASFRAC,...US companies dominate marketWater treatment market US:– Growth +28% annually, $9 billion value in2020– Partly driven by strong growth shale gasmarket segmentSource : Brent Giles, Analyst, Luxresearch, Risk and Reward in the Frack Water Market March 2012,State of the Market Report comment on www.industryweek.com, webiste, 2013
25. Innovation: IP and PatentsSource : Cambridge IP, Bloomberg New Energy Finance, January 2013Shale gas and water treatmentInnovations over time : (red) new patent families, (blue) :cumulative patent families, period 1983-2011
26. Shale gas: Water FootprintSource : Erik Mielke et all, Water Consumption of Energy Resource Extraction, Processing,andConversion, Harvard Kennedy School, October 2010Water Consumption : gal/MMBtu- log scale Fuel :Extraction+ProcessingShale Gas + GTL
27. Future: hydro frac obsolete ?Source : (1) The New York Times, May 11, 2010 retrieved from NYT website Feb. 2013 (2) DanutaMiedzi�ska et all. A new method of carbon dioxide underground storage coupled with shale gasrecovery, Journal of KONES Powertrain and Transport, Vol. 19, No. 3 2012Case study Fracless, waterless shale gasrecovery.Inventors team : Department of Mechanics andApplied Computer Science of the Military TechnicalUniversity, Poland (2)Invention: A new method of carbon dioxideunderground storage coupled with shale gasrecovery Patented technology→Invention based on– the mechanism of adsorption of CO2 anddesorbtion of CH4 to recover the shale gas– Waterless fracturation with liquid CO2– Economic advantage: potentially use only onevertical borewellStatus : laboratory, modeling done. Researchersawaiting to receive a new grant for piloting.Shale gas PolandShale gas basin licensed for exploitation.
28. Blessing or Dutch Disease ?Shale Gas: for the Water Industry– New growth driver in mature US watermarket– Export markets growth: China, NorthernAfrica (Tunisia, Algeria, Lybia,...), Poland,Bulgaria, UK,...– Innovations, Start-up companies,...Sustainable, economic, proven watermanagement solutions availableShale Gas exploitation should be ablessing for the water industry.
29. AcknowledgmentsThe following Experts and Industry leaders provided valuable insights about recentdevelopments. Their contribution is greatly acknowledged.January-February 2013Name FunctionMatt Mantell Engineering Advisor –Environmental, ChesapeakeEnergy, USAProf. Richard Davies Dean of Knowledge Exchangeand Impact & Director ofDurham Energy Institute. inthe Department of EarthSciences. Durham University.United KingdomGrzegorz Pytel Polish energy expert based atthe Sobieski Institute, Poland
30. AcknowledgmentsName FunctionProf. Pei Xu Research AssistantProfessor, Water Group,Environmental Science andEngineering Division,Colorado School of Mines,USADr. Karl Michael MillauerCharles KosoracSenior Vice President,Aquatech International,USA BusinessDevelopment Manager,Aquatech Pennsylvenia,USAHelena van der Vegt Senior Associate,CambridgeIP, UnitedKingdomEng. Danuta Miedzinska Researcher, Department ofMechanics, MilitaryUniversity of Technology,
31. AcknowledgmentsName FunctionDirk Martin Sales and Marketing DirectorEpuramat, Luxembourg