December 2002 - Issue 23
Extended Mandate
Member Survey Results Fully Support Extending PTAC Mandate to
Include Sustainable and Eco-efficient Technologies and Confirm Priorities for 2003
PTAC recently proposed an
extended mandate to our members with the goal of achieving significant improvement in the
sustainability and eco-efficiency of oil and gas industry operations. Member survey
results, summarized to the right, found 100% support for this proposal. The primary focus
of this effort is anticipated to be economical greenhouse gas (GHG) emission reducing
technologies.
Our Board of Directors believes PTAC is
uniquely positioned to fulfill this facilitation role. The scope and objectives of the
extended mandate complement and support our original mandate, successfully fulfilled by
PTAC since 1996. PTAC plans to employ existing capabilities, assets and human resources
from our natural gas technology transfer program to implement the extended mandate. The
necessary government and industry funding is expected to be in place for January 1, 2003.
At the request of PTAC’s Board of
Directors, main member contacts were asked to respond to an online survey in October 2002
to determine the level of PTAC members’ support to extend the mandate. In addition,
members provided input on specific priorities for the future.
PTAC Mandate Extension Survey Results
Do you support the extension of
PTAC’s mandate in principle?
Yes 100% (43) No 0
Contingent on significant provincial
and federal government financial support, would you be prepared to accept a modest
increase in your membership fee for this proposed extension?
Yes 77% (33) No 23% (8)
Note: 100% of producer respondents answered “Yes”
Have you supported or participated in
PTAC facilitated projects or events of value to your organization since becoming a member?
Yes 98% (42) No 2% (1)
Do you believe that PTAC’s
facilitation of upstream oil and gas research and technology has improved leverage,
reduced cost, initiated projects or promoted innovative ideas for your organization since
PTAC’s inception in 1996?
Yes 88% (38) No 12% (3)
What are the leading challenges your
organization faces that could potentially be addressed with new technology?
Responses to this question were grouped into the following six main categories:
reduced CO2,
GHG and fugitive emissions intensity and improved energy efficiency
enhanced
oil recovery for conventional and heavy oil and bitumen including CO2
sequestration
environmental
including flaring, venting, air pollution, soil remediation (saline and hydrocarbons),
water pollution, reclamation, abandonment, impact assessment, reclamation of oil-based
drilling waste, land access and footprints
tight gas
including thin pools and exploitation and minimization of surface impacts and costs
coalbed
methane and fractured shales
life
extension and cost reduction technologies for maturing oil and gas reservoirs and
production operations including shallow gas, produced water handling, sour gas treatment
and processing and artificial lift.
In addition to these challenges, we
intend to focus on several additional priorities identified on page 8 of our “Role
for PTAC” discussion paper.
To view this discussion paper, please
visit PTAC’s web site at www.ptac.org/links/dl/strat01.pdf.
For more information on PTAC’s
proposed extended mandate, please visit www.ptac.org/about/dl/mandate02.ppt
or contact -
Eric Lloyd
President
phone: (403) 218-7701
BACK TO TOP
e-Business
Working Group Pilot
Results
Industry Success – Talisman/Malibu/NE2 Trusted
Communication Field Pilot Results
Earlier this year, Mo Crous, formerly
of Talisman Energy’s Wellsite Geology Operations Group, and John Ramsay, Q.C., a
partner with the law firm Gowling Lafleur Henderson LLP, established a pilot working group
to deliver a Trusted Communications solution. Talisman required a highly secure knowledge
management solution that enabled the capture and transmission of critical geology
information from the wellsite to the office.
Technical teams from Malibu Engineering
& Software Ltd. and NON-ELEPHANT Encryption Systems Inc. (NE2) collaborated to
integrate NE2:GRID, an encryption product, with Wellcore, Malibu’s well life cycle
management solution. Wellcore’s Prospect Start-up (G&G) module provided a
powerful distributed database application that gathered and managed a variety of wellsite
information, including: daily progress reports, strip logs, mud gas concentration and
composition records, formations and anticipated activities. NE2:GRID is a software
development kit that provided Talisman, through the Wellcore product, a methodology for
generating truly random encryption keys on their communication devices. Furthermore,
NE2:GRID requires no user intervention during either the encryption or decryption process
ensuring both field compliance to the security process and simple department-wide
adoption.
Once the data had been encrypted using
the NE2:GRID product and sent securely into the office, Wellcore automatically managed the
distribution of reports and documents to Talisman employees and to external partners. The
Malibu/NE2 combined solution ensured that Talisman’s data remained protected and that
all geological well information was from then forward accessible to the appropriate
persons at Talisman. This greatly reduced the time required to search for and identify key
information required for making critical business decisions.
After several months of integration of
NE2:GRID into the Wellcore product – which included testing efforts over satellite,
Internet and cell phone mediums – the Talisman field pilot was conducted successfully
in November 2002. Information was entered into Wellcore in the field at the wellsite and
the NE2:GRID encryption component ensured the security of the information being
transmitted back to Talisman’s Calgary offices.
Key success indicators were achieved in
the following areas:
low key negotiation times over 4800
baud analog cell phone connections,
high file transfer success rates,
and
high end-user satisfaction with the
combined solution.
For more details on this pilot, please
review the recent article in Nickles New Technology Magazine, available at www.malibugroup.com/Documents/Talisman_Pilot.pdf
or at www.ne2encryption.com/pdf/ntm_making-pilot-fly.pdf.
To view earlier reports and presentations
of the PTAC Trusted Communication Working Group, please visit the PTAC web site at www.ptac.org/techebuk.html.
For more information on the Trusted
Communication Working Group, please contact –
Arlene Merling
Director, Operations
phone: (403) 218-7702
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Heavy
Oil
R&D Program Launched
Oil Industry ‘Onboard’ for PTRC Program Launch
– Additional Industry Participants and R&D Collaborators Welcome
Oil producers are showing keen interest
in a $2.3 million technology research and development (R&D) program launched in fall
2002 by the Petroleum Technology Research Centre (PTRC). The R&D program, introduced
at a PTAC Technology Information Session in Calgary in September, was followed by
individual meetings with 16 companies. Three of these – Nexen, Husky, and Petrovera
– have signed on to participate in the full slate of 19 projects.
Several other companies are now
finalizing agreements to support the core program at varying levels to suit their research
needs. Potential partners met with PTRC researchers to review and discuss the technical
project details in Calgary in early December.
The PTRC core program covers four focus
areas identified as high priority by industry:
cold-flow follow-up technologies
miscible and immiscible gas
injection
enhanced waterflooding
near-wellbore conformance control.
The R&D emphasizes increased
recovery and production, coupled with lowered costs and environmental impact.
PTRC is a unique partnership between
two primary technology providers: the Saskatchewan Research Council (SRC) and the University
of Regina (U of R). Supporting companies benefit from the synergies of this collaboration;
SRC’s field-oriented approach and the U of R’s focus on fundamentals offer
supporters a program with depth and impact.
Adding to this impact is the commitment
by the two other founding members of PTRC – Natural Resources Canada and the Province
of Saskatchewan. Their investment, along with industry funding, allows PTRC to offer
relevant research with significant value for a very reasonable participation fee.
There is still opportunity for
companies to get involved in this year’s program. PTRC is actively seeking additional
industry participants, as well as technology development collaborators.
For more information, please contact -
Patrick Jamieson
Director, Energy Branch
Saskatchewan Research Council
phone: (306) 787-9400
jamieson@src.sk.ca
Roland Moberg
General Manager
Petroleum Technology Research Centre
phone: (306) 787-9400
moberg@src.sk.ca
Malcolm Wilson
Director, Energy and Environment
University of Regina
phone: (306) 337-2287
mwilson@cas.uregina.ca
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Environmental
Pilot Audit Project
Environmental Audit Establishes Framework
Improving Energy Efficiency and
Reducing Greenhouse Gas Emissions
An integrated energy and environmental
efficiency audit provides the framework and tools to improve energy efficiency and reduce
greenhouse gas emissions. This energy and environmental initiative was developed as a
pilot audit project by CETAC-WEST and first applied to the West Pembina Gas Processing
facility to demonstrate the potential to systematically and comprehensively identify
opportunities to maximize capacity, reduce environmental emissions and minimize energy
consumption.
The audit process identified over 25
opportunities for capacity, energy and environmental improvements-with instant payback in
some cases-and provided a framework for an ongoing energy and environmental efficiency
program. All reductions in fuel gas energy consumption minimize shrinkage and flow-through
to provide immediate residue gas sales and revenue. The audit’s tangible
results-reducing energy consumption and greenhouse gas emissions by up to 20% and
improving process performance, especially during hot weather periods.
The pilot audit program, presented at
the PTAC 2002 Air Issues and Technical Review in November, is being applied at additional
facilities to identify opportunities to improve operational efficiency and to demonstrate
the program’s effectiveness.
CETAC-WEST successfully demonstrated
the potential of the integrated energy and environmental audit program at the ATCO West
Pembina Gas Plant and has established a basic set of benchmarking tools that can be
applied at the facility, process and equipment level to monitor and trend operations.
West Pembina has the potential to
reduce its energy equivalent consumption by about 7-9 megawatts for a saving of 18-23% and
to reduce greenhouse gas emissions by 27-33 kilotonnes per year for a reduction of about
26-32%. All fuel gas savings flow through immediately to increase residue gas revenue.
A series of plant, process and
equipment energy and environmental performance indicators have been identified and
examined, including: the energy index, electrical load factor, carbon index and flare
index. Each of these indicators point towards a potential to improve operations and all
could be used to set future performance targets and trend actual performance.
The pilot audit program will continue
with work at additional plants. Based on the results, final recommendations will be made
regarding the program and its potential to improve operational efficiency at gas
processing facilities. The suite of benchmarking tools will continue to be developed for
future adoption by all stakeholders.
CETAC-WEST’s audit team members
included: Optimum Energy Management Inc., N.C. Hircock Process Consulting Ltd., Amine
Experts Inc., Sulphur Experts Inc., Clearstone Engineering Ltd. and DGC Consulting Ltd.
CETAC-WEST acknowledges the significant
financial assistance provided to its client through this Energy and Environmental
Efficiency Initiative which includes pilot audits, benchmarking and technology
demonstrations. Financial assistance for this project was provided by Alberta Energy,
Alberta Environment, Natural Resources Canada TEAM Office, Natural Resources Canada Office
of Energy Efficiency, Environment Canada, Western Economic Diversification and Industry Canada.
To view this report in its entirety,
please visit PTAC’s web site at www.ptac.org/env/dl/envf0203n2.doc or to obtain more information on
the CETAC West energy and environmental efficiency audit pilot program, please contact
–
D.G. Colley
CETAC-WEST
phone: (403) 777-9595
dcolley@cetacwest.com
Project Seeks Funding
Infrared Driving Safety Technology Project Seeks Funding
Oil and gas industry producers and
suppliers are joining forces to participate in an Infrared Driving Safety Technology
Demonstration and Commercialization Joint Industry Project (JIP).
The main objective of this project is
to enable widespread commercialization of low cost ($1,500 per ½ or ¾-ton truck)
infrared (IR) technology that effectively reduces vehicle/animal accidents. PTAC, as
facilitator and banker for this JIP, is asking interested companies to contribute $3,000
minimum by January 15, 2003 towards the $45,000 required for Task 1 of the project.
Veridian Corporation’s Ann Arbour
Research and Development’s Automotive and Transportation Centre has been selected to
complete this project as outlined in their proposal dated 2002-12-13. PTAC’s revised
(2002-12) Request for Technology (RFT), which outlines deliverables and requirements for
this initiative, as well as Veridian’s proposal can be viewed at
www.ptac.org/techhasf.html. Once sufficient funding is obtained, Veridian will work with
interested representatives from the funding companies to complete Task 1 of their
proposal.
Task 1 is focused on identifying and
understanding the true needs of the situation and the drivers. Onsite surveys, interviews
with drivers, and examination of vehicles will provide Veridian with this knowledge. Based
on that information, appropriate technologies and systems will be evaluated and
rank-ordered. An optimal system will be recommended for a demonstration phase. A report
will document all of the findings, conclusions and recommendations.
Subject to approval, Task 2 would be to
install the optimal system for evaluation in operational driving conditions to assess its
ability to meet the requirements. Veridian will provide technical support to insure these
systems remain fully operational during this evaluation period.
It is proposed that Task 3 will include
the installation of 10 systems for a six month evaluation period.
PTAC is facilitating this collaborative
JIP with minimal investment from each funder to achieve results which are expected to
offer an economical widespread safety benefit to industry.
The advantages of participating in this
JIP include:
Funders have a say in the project.
Funders will be given priority and
preferential treatment on prototypes and commercial availability of the technology.
Funders will obtain firsthand
knowledge of commercial technology with potential to substantially decrease vehicle/animal
collisions.
Please provide your financial
commitments to this project by email or fax to Tannis Such of PTAC no later than January
15, 2003. Subject to funder approval, surplus funds raised prior to the completion of Task
1 will be applied directly to Task II. PTAC will respond with an electronic or fax invoice
as indicated by your instructions.
For technical information contact –
Grant Schwartzenberger
Shell Canada Limited
phone: (403) 722-7080
grant.schwartzenberger@shell.ca
To obtain additional information, provide
feedback or a funding commitment, contact –
Tannis Such
Environment, Health and Safety Coordinator
phone: (403) 218-7703
fax: (403) 920-0054
Forum Success
Full House at Air Issues Forum and Technical
Review
PTAC, along with forum partners and
co-sponsors, hosted a successful Air Issues Forum and Technical Review in November. This
event was well attended; with over 150 people from industry, government, academia and
service and supply organizations participating.
During the first half of the first day,
presenters from industry, government and environmental non-government organizations
communicated their strategic directions including current frameworks and policy. The
day’s second half consisted of broad, business overviews of air issues research and
technology development projects.
During the second day of the forum,
attendees heard detailed presentations on projects introduced the previous day.
To view the presentations, please visit
the PTAC web site at www.ptac.org/techenvf.html.
For more information, please contact
–
Tannis Such
Environment, Health and Safety Coordinator
phone: (403) 218-7703
BACK TO TOP
Natural Gas
Production
Project Launched
SAGD Well Architecture Joint Industry Project
PTAC has facilitated the successful
launch of the SAGD Well Architecture Joint Industry Project (JIP). A number of industry
producers have joined forces to participate in the SAGD Well Architecture Joint Industry
Project and other producers are welcome to join.
The first goal of this JIP is to
identify a number of different SAGD well architectures for low pressure artificial lift
applications. Subsequently, various technical and economic assessments will be completed
to determine whether any of the established options warrant further design and evaluation
leading to a field pilot investigation.
The advantages of participating in this
Joint Industry Project include:
proprietary knowledge of
state-of-the-art technology with the potential to increase productivity
reduced cost to develop and/or
redesign SAGD well architecture
ground level participation in the
JIP while costs are low and access to participation is available.
To obtain copies of the Joint Industry
Project Agreement outlining the background, approach and scope of work, please contact
–
Cam Matthews
Manager, Drilling and Completions
C-FER Technologies
phone: (780) 450-8989
c.matthews@cfertech.com
Conference Success
Fourth Annual Unconventional Gas and
Coalbed Methane Conference Attracts over 425 North American and International Delegates
PTAC and the Canadian Society for
Unconventional Gas (CSUG) organized and hosted the highly successful Fourth Annual
Unconventional Gas and Coalbed Methane Conference in October. The conference provided
valuable insight and information in the areas of unconventional and analytical gas,
drilling and completions, hydrogeology, reservoir characterization, water management,
shales and hydrates, regulations and legal issues. Over 425 North American and
international delegates attended the Conference, which included three full days of
informative presentations and 32 industry-specific exhibits.
Over 35 presentations were made,
including:
“Unconventional Supply
Forecasting within TCPL,” TransCanada Pipelines, Kenneth Logan
“Oil and Gas Developments in
BC: How to Work with MEM,” BC Ministry of Energy & Mines, Derek Brown
“The Increasing Role of
Unconventional Reservoirs in the Future of the Oil and Gas Business,” Schlumberger,
Stephen Holditch
“Three Keys to Unlock the
Uncertainty of Managing Environmental Risk in CBM Projects,” Universal Geoscience
Consulting Inc., Anthony Gorody
“CO2 Management
Service – A Proposed New Service on TransCanada’s Alberta Pipeline System
(NGTL),” TransCanada Pipelines, Gord Toews
“Gas Supply and Demand in North
America,” Hal Kvisle, President and CEO of TransCanada Pipelines Inc.
To purchase proceedings from this
conference, please contact –
Brenda Belland
Information Specialist
Phone: (403) 218-7712
For additional information on this
conference or upcoming unconventional gas and coalbed methane events, please contact
–
Kerri Markle
Technology Transfer Coordinator
Phone: (403) 218-7711
PTAC News
Please visit PTAC’s web site at www.ptac.org for information on PTAC events, projects,
members, publications and much more.
New Members
171 PTAC Members
PTAC now has 171
members. We welcome the following new members:
Service and Supply Companies
Individuals
PTAC Petroleum Technology Alliance
Canada
Facilitating Innovation, Technology
Transfer, and
Collaborative Research and Development (R&D) in the Upstream Oil and Gas Industry
PTAC is a not-for-profit association
governed by a volunteer board of directors made up of representatives from producers,
service and supply companies, research and educational institutions, inventors and
government.
P-talk is published quarterly
– both electronically and in hard copy – and is available through PTAC. If you
would prefer not to receive the hard copy, please contact Lorie Frei of PTAC.
Material may be reprinted without permission but credit
would be appreciated.
Contact Us
For further information, please contact
PTAC
PTAC
Petroleum Technology Alliance Canada
Suite 750, Hanover Place, 101 - 6th Ave. S.W.
Calgary, Alberta T2P 3P4
www.ptac.org
fax: (403) 920-0054
Eric Lloyd
President
phone: (403) 218-7701
Denis Gaudet
Director, Technology Transfer
phone: (403) 218-7710
Arlene Merling
Director, Operations
phone: (403) 218-7702
Brenda Belland
Information Specialist
phone: (403) 218-7712
Lorie Frei
Administrative Assistant
phone: (403) 218-7700
Kerri Markle
Technology Transfer Coordinator
phone: (403) 218-7711
Tannis Such
Environment, Health and Safety Coordinator
phone: (403) 218-7703
Arlene Merling
Director, Operations
phone: (403) 218-7702
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