01 i eia ari canada june 2013 final · rea. the m with an or y of 380 fe shale thickn is shale gas,...
TRANSCRIPT
-
I. Canada
June, 2013
I. C
SUMMA
C
assessed
oil basins
CANAD
ARY
Canada has
d by this res
s in Western
F
Source
DA
a series of l
source study
n Canada.
Figure I-1. Sele
e: ARI, 2012.
I-
arge hydroc
y. Figure I-1
ected Shale Ga
EIA/ARI W
-1
carbon basin
illustrates c
as and Oil Bas
World Shale Ga
ns with thick
certain of th
sins of Weste
s and Shale Oil
, organic-ric
e major sha
ern Canada
Resource Asses
ch shales tha
ale gas and s
ssment
at are
shale
-
I. Canada
June, 2013
T
(1) the H
Columbia
Columbia
Alberta, s
Group; (3
Shale in
W
Resource
siltstone
included
of additio
quantitat
in Alberta
W
risked, te
place fo
recovera
Canada’s
A
emerging
recovera
The full set o
Horn River
a and the No
a and Alber
such as the
3) the Willist
Quebec and
Western Can
e Plays (in b
reservoirs.
in this shale
onal hydroc
ive portion o
a) or becaus
We estimate
echnically re
r Canada o
ble shale o
s shale gas
As new drill
g shale pla
bility will und
of Canadian
Basin, the
orthwest Te
rta); (2) the
Banff/Exsh
ton Basin’s B
d the Horton
nada also c
both British
As thus,
e gas and sh
arbon-bearin
of this resou
se of limited
risked sha
ecoverable s
of 162 billio
oil resource.
and oil reso
ing occurs
ays, the es
doubtedly ch
I-
shale gas a
Cordova Em
rritories) plu
e numerous
aw, the Duv
Bakken Sha
Bluff Shale
contains the
Columbia a
these two
hale oil reso
ng siltstone
urce study e
information
le gas in-pla
shale gas res
on barrels,
. Table I-1
urces.
and more
stimates of
hange.
EIA/ARI W
-2
and shale o
mbayment a
us the Doig P
shale gas
vernay, the N
le in Saskat
in Nova Sco
e prolific and
and Alberta)
important u
ource assess
and shale
either becaus
(Frederick B
ace for Can
source. In a
with 8.8 bi
provides a
detailed in
the size
World Shale Ga
il basins ass
and the Lia
Phosphate S
and shale
Nordegg, th
tchewan and
otia.
d areally ex
categorized
unconventio
sment. In ad
formations
se of low or
Brook Shale
nada of 2,4
addition, we
illion barrels
a more in-d
formation is
of their in-
s and Shale Oil
sessed in th
ard Basin (lo
Shale (locate
oil formatio
e Muskwa a
d Manitoba;
xtensive Mo
d primarily a
onal gas re
ddition, Can
that are no
rganic conte
in New Bru
13 Tcf, with
e estimate ris
s as the ris
depth, regio
s obtained
-place reso
Resource Asses
his study inc
ocated in B
ed in both B
ons and pla
and the Colo
and (4) the
ontney and
as tight sand
sources are
nada has a s
t included i
ent (Wilrich S
nswick).
h 573 Tcf a
sked shale o
sked, techn
nal tabulatio
on these l
urces and
ssment
clude:
British
British
ys in
orado
Utica
Doig
d and
e not
series
n the
Shale
s the
oil in-
nically
on of
arge,
their
-
I. Canada
June, 2013
SaskatMan
Qu
Nova
*Less than
British CNorthwes
Al
Re
HHCLDS
AEDNSS
tchewan /nitoba
W
uebec A
a Scotia W
T0.5 Tcf
Columbia /st Territories
berta
egion
Table I-
Horn River (MuskHorn River (Evie /Cordova (MuskwaLiard (Lower BesDeep (Doig PhosSub-Total
Alberta (Banff / EE/W Shale (DuveDeep Basin (NordN.W. Alberta (MuS. Alberta (ColorSub-Total
Williston (Bakken
App. Fold Belt (U
Windsor (Horton
Total
Basin / F
I-
-1. Shale Gas
kwa / Otter Park/ Klua)a / Otter Park)
sa River)sphate)
Exshaw)ernay)degg)uskwa)rado)
n)
Utica)
Bluff)
Formation
EIA/ARI W
-3
and Oil Resou
Oil/Conden(Million b
) ------
10,50066,80019,80042,400
-139,50
22,500
-
-
162,00
Reso
World Shale Ga
urces of Cana
nsatebbl)
Natural (Tcf)375.7154.281.0526.3100.7
1,237
0 5.10 482.60 72.00 141.7
285.60 987.1
0 16.0
155.3
17.0
0 2,413
Riskedurce In-Place
s and Shale Oil
ada
Gas)
Oil/Cond(Million
7 -2 -
0 -3 -7 -.8 -
3206 4,01
0 7907 2,126 -1 7,24
0 1,60
3 -
0 -
.2 8,84
RiskRecov
Resource Asses
ensaten bbl)
Natura(Tc93382015725335
0 0.10 1130 1320 31
4240 200
00 2.
31
3.
40 572
ked Technicallyverable Resour
ssment
al Gascf)
3.98.50.37.9
5.25.8
33.0
3.3.1
2.80.5
.2
.1
.4
2.9
yrce
-
I. Canada
June, 2013
BRITIS
B
shale ba
the organ
In additio
sand and
content
included
T
and rese
shale ba
extensive
industry.
gas and
shale oil
with 336
Basic
Data
Resource
GGRR
Physical Exten
t P
Th
De
Reservoir
Prop
ertie
s Re
AvThC
SH COLU
British Colum
sins, the Ho
nic-rich Doig
on to these
d siltstone
formations,
in this shale
This resource
ervoir charac
asins and fo
e well drillin
These two
oil resource
and gas ba
Tcf as the r
Table I-2.
OrgNetInteAve
Basin/Gros
Shale FormGeologic
Depositional En
as PhaseIP Concentrationisked GIP (Tcf)isked Recoverabl
rospective Area (
hickness (ft)
epth (ft)
eservoir Pressure
verage TOC (wt. %hermal Maturity (lay Content
MBIA/NO
mbia (BC) a
orn River Ba
g Phosphate
shale resou
Montney Re
classified a
e gas and oil
e assessme
cterization w
ormations of
ng and well
o information
es of British
asins assess
isked, techn
Shale Gas Re
M
ganically Richt ervalerage
M
ss Area
mationc Agenvironment
(Bcf/mi2)
le (Tcf)
mi2)
e
%)% Ro)
I-
ORTHWES
and the Nor
asin, the Cor
Shale exist
urces, Britis
esource an
as tight san
l resource as
ent study ha
work support
f British Col
l performan
n sources se
h Columbia
sed by this s
nically recove
eservoir Prope
uskwa/Otter ParkDevonian
Marine3,320420380
6,300 - 10,2008,000
Mod. Overpress.
3.5%3.50%Low
Dry Gas150.9375.793.9
Horn R(7,100
EIA/ARI W
-4
ST TERR
rthwest Terr
rdova Emba
ts on each s
sh Columbia
nd Doig Re
nds by Can
ssessment.
as benefitted
ted by the B
umbia.1,2 In
ce informat
erve as foun
and the No
study contain
erable shale
erties and Res
k Evie/KluaDevonian
Marine3,320160144
6,800 - 10,7008,500Mod.
Overpress.4.5%
3.80%Low
Dry Gas61.9154.238.5
River mi2)
World Shale Ga
RITORIES
ritories (NW
ayment and
ide of the ce
a also has p
esource play
nada’s Natio
d greatly fro
BC Ministry
n addition, t
ion provided
ndations for
orthwest Ter
n 1,238 Tcf
e gas resourc
sources of Bri
Cordova(4,290 mi2)
Muskwa/Otter PDevonian
Marine2,000230207
5,500 - 6,2006,000
Mod. Overpres
2.0%2.50%Low
Dry Gas67.581.020.3
s and Shale Oil
WT) hold thr
the Liard Ba
entral Alberta
portions of t
ys. These
onal Energy
om the exte
of Energy a
his study ha
d by Canad
the assessm
rritories. Th
of risked sh
ce, Table I-2
itish Columbia
Liard(4,300 m
Park Lower Besa Devonia
Marine3,300500400
0 6,600 - 13,10,000
ss. Highly Overp
3.5%3.80%Low
Dry Gas319.0526.3157.9
Resource Asses
ree “world-s
asin. In add
a and BC bo
the massive
two low org
y Board, are
ensive geolo
and Mines o
as drawn o
da’s oil and
ment of the s
he four BC/
hale gas in-p
2.
a/NWT
i2)Deep Ba(24,800
River Doig Phosan Triasse Marin
3,00165150
000 6,800 - 10 9,25
press. Mod. Over
5.0%1.10%Low
s Dry G67.1100.25.2
ssment
scale”
dition,
order.
tight
ganic
e not
ogical
n the
n the
d gas
shale
/NWT
place,
asinmi2)sphatesicne0
500,9000
rpress.
%%wGas17
2
-
I. Canada
June, 2013
1. H
1.1 G
T
Northwes
which se
Territorie
by the pi
and the t
area for t
T
age Mus
mapped
resource
included
Mississip
Simpson
1.2 R
T
in the qu
M
interval w
Drilling d
averagin
over-pres
feet, the
prospect
is high, a
high ther
The M
HORN RIVE
Geologic Se
The Horn Riv
st Territories
eparates the
es, is defined
inch-out of t
thinning of t
the Horn Riv
The Horn Riv
kwa/Otter P
in the Horn
e concentrati
in the study
ppian Banff/
Shale.
Reservoir P
Two major sh
antitative po
Muskwa/Otte
within the H
depth to the
g 8,000 fee
ssured in th
Muskwa/Ot
ive area ave
averaging ab
rmal maturity
Muskwa/Otte
ER BASIN
etting
ver Basin co
s, Figure I-2
Horn River
d by the thin
he shale. It
he shale de
ver Shale in
ver Basin co
Park and Evie
n River Basi
on favorable
y) include th
/Exshaw Sh
Properties
hale gas form
ortion of our
er Park. The
Horn River G
e top of the
et for the pr
he center of
tter Park ha
erages 3.5%
bout 3.5% an
y in the pros
r Park
I-
overs an are
2. The bas
r Basin from
ning of the s
ts eastern b
eposit. We h
the west-ce
ntains a seri
e/Klua most
n to establis
e for shale g
he high orga
hale and th
(Prospecti
mations, the
resource as
e Middle De
Group, is th
Muskwa/Ot
rospective a
the basin.
as a net pa
% for the net
nd placing th
spective area
Shale ha
EIA/ARI W
-5
ea of 7,100 m
sin’s western
m the Liard B
shale sectio
border is def
have defined
ntral portion
ies of organ
t prominent,
sh a prospe
gas developm
anic-content,
he thick, low
ive Area)
Muskwa/Ot
ssessment.
evonian Mus
he main sha
tter Park Sh
rea. The M
With an or
ay of 380 fe
shale thickn
his shale gas
a, the in-pla
as high
World Shale Ga
mi2 in northe
n border is
Basin. Its n
n, and its so
fined by the
d a higher q
n of the basin
ic-rich shale
Figure I-4.3
ective area w
ment. Other
, lower therm
w organic-c
tter Park and
skwa/Otter P
ale gas targ
hale ranges
Muskwa/Otte
rganic-rich g
eet. Total or
ness investig
s in the dry g
ce shale gas
quartz a
s and Shale Oil
ern British C
defined by
orthern bord
outhern bord
Slave Point
quality, 3,320
n, Figure I-3
es, with the M
These two
with sufficie
r shales in th
mal maturity
content Late
d the Evie/K
Park Shale,
get in the H
s from 6,300
er Park Sha
gross shale
rganic conte
gated. Ther
gas window
s has a CO2and low
Resource Asses
Columbia an
the Bovie F
der, in North
der is constra
t/Keg River
0-mi2 prospe
.
Middle Devo
shale units
ent thickness
his basin (bu
y, poorly de
e Devonian
Klua, are incl
the upper s
orn River B
0 to 10,200
ale is moder
thickness of
ent (TOC) in
rmal maturity
. Because o
2 content of
clay con
ssment
d the
Fault,
hwest
ained
Uplift
ective
onian-
were
s and
ut not
efined
Fort
luded
shale
Basin.
feet,
rately
f 420
n the
y (Ro)
of the
11%.
ntent.
-
I
J
F
S
. Canada
June, 2013
Figure I-2. Horn R
Source: ARI, 2013.
River Basin (Muskkwa/Otter Park Shaale) Outline and D
I-6
Depth Figure I
Source: AR
EIA/ARI W
I-3. Horn River Ba
I, 2013.
World Shale Gas and
asin (Muskwa/OtteProspective Are
d Shale Oil Resource
er Park Shale) Isoea
e Assessment
opach and
-
I. Canada
June, 2013
E
Horn Riv
the Evie/
separate
average
maturity
content i
favorable
O
Devonian
The Ban
massivel
lean (TO
Sourc
Figure
Evie/Klua. T
ver Group, p
/Klua Shale
ed by an or
TOC of 4.5
(Ro) is high
s estimated
e for hydraul
Other Shales
n/Lower Mis
nff/Exshaw S
y thick Fort
OC
-
I. Canada
June, 2013
these two
shale res
1.3 R
T
Evie/Klua
W
resource
Based on
recovera
T
risked ga
resource
1.4 C
In
marketab
basin.4
National
River Ba
resource
W
the two s
resource
BC Oil a
Basin.6 T
marketab
place. (
from mar
o shale units
source asses
Resource A
The prospec
a Shale is ap
Within this p
e concentrati
n favorable
ble shale ga
The thinner E
as in-place,
e for the Evie
Comparison
n mid-2010,
ble (recover
Subsequen
Energy Boa
asin that ide
e of 78 Tcf.5
We estimate
shale units
e in-place. O
and Gas Co
The BC ME
ble (recovera
(The BC ME
rketable sha
s have not b
ssment.
Assessmen
ctive area f
pproximately
prospective
on of about
reservoir mi
as resource
Evie/Klua Sh
excluding C
e/Klua Shale
n with Oth
the Canadi
able after e
tly, in 2011
ard (NEB) pu
entified 448
a larger ris
assessed b
Our recovery
ommission i
EM/NEB Ho
able) shale g
EM/NEB ass
ale gas.)
I-
been include
nt
for both the
y 3,320 mi2.
area, the H
151 Bcf/mi2
neralogy an
of 94 Tcf for
hale has a r
CO2. We es
e of 39 Tcf, T
er Resourc
an Society f
extraction of
, the BC M
ublished an
Tcf of gas
ked, technic
by this study
y factor is c
n their 201
orn River B
gas resource
sessment ex
EIA/ARI W
-8
ed in the qua
e Horn Riv
Horn River
and a risked
nd other prop
r the Muskwa
resource con
stimate a ris
Table I-2.
ce Assess
for Unconve
CO2 and a
Ministry of E
assessment
in-place, w
cally recove
y, using a re
onsistent wi
1 hydrocarb
Basin asses
e, implies a
xcluded CO2
World Shale Ga
antitative po
ver Muskwa
Muskwa/Ot
d gas in-plac
perties, we e
a/Otter Park
ncentration o
sked, techn
sments
entional Gas
ny NGLs) s
Energy and
t for the sha
with an expe
rable shale
ecovery fact
ith the 25%
bon reserve
sment repo
lower recove
content and
s and Shale Oil
rtion of the H
a/Otter Park
tter Park S
ce is 376 Tc
estimate a r
k Shale, Tab
of 62 Bcf/m
ically recove
s estimated
shale gas fo
Mines (BC
ale gas resou
ected marke
gas resourc
tor of 25%
recovery fa
es report for
ort, with a
ery factor of
d produced
Resource Asses
Horn River B
k Shale and
Shale has a
cf, excluding
isked, techn
ble I-2.
i2 and 154 T
erable shale
75 to 170 T
or the Horn
C MEM) and
urces of the
etable shale
ce of 133 T
of the shale
actor used b
r the Horn
lower 78 T
f 17.4% of ga
gas used as
ssment
Basin
d the
a rich
CO2.
nically
Tcf of
e gas
Tcf of
River
d the
Horn
e gas
cf for
e gas
by the
River
Tcf of
as in-
s fuel
-
I. Canada
June, 2013
C
anticipate
well com
well com
increase
1.5 R
A
including
others.
A
shale ga
net prod
gas reso
E
gas lease
risking it
Tcfe of n
recovera
initial set
acre leas
Nexen, w
resource
T
productiv
estimated
recovery
recovera
Consistent w
es progress
mpletion and
mpletion meth
EURs in the
Recent Act
A number of
g Apache Ca
Apache Cana
s in the bas
uction of 90
urce of 9.2 T
EnCana, with
es in the Ho
s 170,000 n
net risked res
ble resource
t of shale ga
se position,
with 90,000
es from its lea
Total natural
ve wells in
d 10 Tcf of i
factor. 8 I
ble raw gas
with the exp
ively increas
production
hods in the
e Horn River
ivity
major and in
anada, EnCa
ada, the Ho
sin, has full-
0 million cub
Tcf from its s
h 68 long ho
orn River Bas
net acre lea
source. EO
es, has drill
as wells has
18 shale ga
acres, has
ase area.8
gas produ
2011. In th
initial raw ga
n their 201
reserves to
I-
perience of
sed efficienc
practices. O
Horn River
r Basin shale
ndependent
ana, EOG R
orn River Ba
scale develo
bic feet per d
shale leases
rizontal well
sin. Devon,
ase position,
OG, with a 15
led 35 shale
s met or exc
as wells and
drilled 42 h
uction from
heir 2010 re
as reserves
1 report, th
11.5 Tcf.
EIA/ARI W
-9
shale gas
cies for shal
One examp
Basin. The
es from 11 B
companies
Resources,
asin’s most
opment und
day (MMcfd
s in the Horn
s, produced
with 22 sha
, which the
57,000 net a
e gas wells
eeded expe
d a projecte
horizontal we
the Horn R
eport, the B
from 40 Tcf
he BCOGC
World Shale Ga
s developme
e gas recov
le is Nexen
ese advanc
Bcf/well to 16
are active i
Nexen, Dev
active oper
erway in the
d). Apache
n River Basin
d a net 95 M
le gas wells
company e
acre lease p
and claims
ectations. Q
ed recoverab
ells and est
River Basin
BC Oil and
f of original g
increased t
s and Shale Oil
ent in the
very as indu
’s testing of
ed methods
6 Bcf/well.
n the Horn R
von Canada
rator with 72
e Two Island
estimates a
n. 7
MMcfed in 20
s, is in the ea
estimates co
osition and
s that the pe
Quicksilver ha
ble resource
timates 6 Tc
was 382 M
Gas Comm
gas in-place
the Horn R
Resource Asses
U.S., this s
stry optimize
f advanced s
s are design
River Shale
, Quicksilve
2 wells targ
d Lake area
a net recove
011 from its s
arly stages o
ontains near
9 Tcf of pote
erformance
as a 130,00
e of over 10
cf of recove
MMcfd from
mission (BCO
e, equal to a
River Shale
ssment
study
es its
shale
ed to
play,
r and
geting
a with
erable
shale
of de-
rly 10
ential
of its
00 net
0 Tcf.
erable
m 159
OGC)
25%
initial
-
I. Canada
June, 2013
T
expande
infrastruc
facilities.
LNG exp
Figure I-
tons of L
T
with an in
to the Pa
date is 2
GasLink
export fa
The gas pro
d to provide
cture is bein
A 287-mile
port plant (d
5. The Kit
NG per year
Figu
TransCanada
nitial capacit
acific Northw
018. Earlier
Project, link
cility near K
ocessing an
e improved
ng expanded
e (480-km) P
due on line
timat LNG te
r (MTPA), ex
ure I-5. Weste
a is proposi
ty of 2 Bcfd
west LNG ex
r, TransCana
king Horn R
itimat estima
I-
nd transport
market acce
d to bring t
Pacific Trail P
in 2017) wi
erminal has
xpanding to
ern Canada’s L
ng to build
(expandable
xport termin
ada was sel
River (and M
ated to be in
EIA/ARI W
10
tation capac
ess for its g
he gas sou
Pipeline is u
ith Spectra
an announc
10 MTPA w
LNG Export P
the 470-mil
e to 3.6 Bcfd
al near Prin
ected by Sh
Montney) ga
n-service “tow
World Shale Ga
city in the
growing sha
th to a seri
under constr
Energy’s W
ced initial se
with a second
ipelines and I
e Prince Ru
d) to move M
nce Rupert,
hell Canada
as with Shel
ward the end
s and Shale Oil
Horn River
ale gas prod
es of propo
ruction to co
West Coast P
end-out cap
d train.
nfrastructure
upert Gas T
Montney and
BC. The pl
to build the
ll’s planned
d of the dec
Resource Asses
r Basin is b
duction. Pip
osed LNG e
nnect the K
Pipeline Sys
pacity of 5 m
Transmission
d Horn Rive
lanned in-se
1.7 Bcfd Co
12 MTPA
cade”.9
ssment
being
peline
export
itimat
stem,
million
n line
er gas
ervice
oastal
LNG
-
I. Canada
June, 2013
2. C
2.1 G
T
corner of
Embaym
The Emb
its easte
formation
area, Fig
2.2 R
O
of our res
M
gas targe
prospect
moderate
207 feet
thickness
window.
hydraulic
O
Park by
Banff/Exs
shales ha
assessm
CORDOVA
Geologic Se
The Cordova
f British Col
ment is sepa
bayment’s no
ern boundary
n, the Musk
gure I-7.
Reservoir P
One shale ga
source asse
Muskwa/Otte
et in the Cor
ive area ra
ely over-pres
t. Total org
s investigate
The Musk
c stimulation
Other Shales
the Slave
shaw and F
ave not bee
ment.
EMBAYME
etting
a Embayme
lumbia, exte
rated from t
orthern and
y is the Bri
kwa/Otter Pa
Properties
as formation
essment.
er Park. The
rdova Embay
nges from
ssured. The
ganic conte
ed. Therma
wa/Otter Pa
.
s. The deep
Point and
ort Simpson
en included i
I-
ENT
ent covers a
ending into t
the Horn Riv
southern bo
itish Columb
ark Shale, w
(Prospecti
n, the Muskw
e Middle De
yment. The
5,500 to 6,
e organic-ric
nt (TOC) in
al maturity a
ark Shale ha
per Evie/Klua
Sulfur Poin
n shales are
in the quant
EIA/ARI W
11
an area of 4
the Northwe
ver Basin on
oundaries ar
bia and Alb
was mapped
ive Area)
wa/Otter Par
evonian Mus
e drilling dep
200 feet, a
ch gross thic
n the prosp
averages 2.0
as a moder
a Shale, sep
nt Formation
shallower, t
titative portio
World Shale Ga
4,290 mi2 i
est Territorie
n the west b
re defined b
berta border
d to establis
rk, is include
skwa/Otter P
pth to the top
averaging 6,
kness is 230
pective area
0% Ro, plac
rately high q
parated from
ns, is thin,
thin and/or l
on of the Co
s and Shale Oil
n the extre
es, Figure I-
by the Slave
y a thinning
r. The dom
sh the 2,000
ed in the qu
Park Shale i
p of the Mus
,000 feet.
0 feet, with a
a is 2.5% fo
cing the sha
quartz conte
m the overlyi
Figure I-8.
ow in organ
ordova Emb
Resource Asses
me northea
6. The Cor
e Point Plat
of the shale
minant shale
0-mi2 prospe
uantitative po
s the main s
skwa Shale i
The reserv
a net thickne
or the net s
le in the dry
ent, favorab
ng Muskwa/
The ove
ics. These
ayment reso
ssment
astern
rdova
tform.
e and
e gas
ective
ortion
shale
in the
oir is
ess of
shale
y gas
le for
/Otter
rlying
other
ource
-
I
J
S
. Canada
June, 2013
Figure I-6. Cordo
Source: ARI, 2013.
va Embayment (MDeMuskwa/Otter Parkepth
k Shale) Outline an
I-12
nd Figu
Source: ARI, 2
EIA/ARI W
ure I-7. Cordova Ean
2013.
World Shale Gas and
Embayment - Musnd Prospective Ar
d Shale Oil Resource
skwa/Otter Park Srea
e Assessment
hale Isopach
-
I. Canada
June, 2013
2.3 R
T
approxim
concentr
mineralo
resource
2.4 C
I
shale ga
Embaym
Cordova
Resource A
The prospec
mately 2,000
ration of 68
gy and oth
e of 20 Tcf fo
Comparison
n mid-2010,
as in-place a
ment.4 In ear
Embaymen
Figure I-8.
Assessmen
ctive area o
0 mi2. With
Bcf/mi2 and
her propertie
or the Muskw
n with Oth
the Canadi
and 30 to 6
rly 2012, the
t, a number
I-
. Cordova Em
nt
of the Cord
hin this pros
d a risked ga
es, we estim
wa/Otter Par
er Resourc
an Society o
68 Tcf of m
e BC Ministry
which appe
EIA/ARI W
13
mbayment Stra
dova Emba
spective are
as in-place o
mate a risk
k Shale in th
ce Assess
of Unconven
arketable (r
y of Energy
ears to have
World Shale Ga
atigraphic Col
ayment’s M
ea, the shale
of 81 Tcf. B
ked, technic
he Cordova
sments
ntional Gas (
recoverable)
reported 20
been based
s and Shale Oil
umn
uskwa/Otter
e has a mo
Based on fa
cally recove
Embayment
(CSUG) esti
) shale gas
00 Tcf of ga
d on the CSU
Resource Asses
r Park Sha
oderate reso
vorable rese
erable shale
t, Table I-2.
mated 200 T
for the Cor
s in-place fo
UG study.4
ssment
ale is
ource
ervoir
e gas
Tcf of
rdova
or the
-
I. Canada
June, 2013
2.5 R
N
drilled tw
continge
have for
resource
Recent Act
Nexen has a
wo vertical
nt resource
rmed a joint
es on their 17
ivity
acquired an
and two h
of up to 5 T
t venture to
70,000-acre
I-
82,000-acre
horizontal sh
Tcf for its lea
o develop th
(gross) leas
EIA/ARI W
14
e lease posit
hale gas e
ase position.
he estimated
se area.11
World Shale Ga
tion in the C
exploration w10 PennWes
d 5 to 7 Tc
s and Shale Oil
Cordova Emb
wells. Nex
st Exploratio
cf of recove
Resource Asses
bayment and
xen estimat
on and Mitsu
erable shale
ssment
d has
tes a
ubishi
e gas
-
I. Canada
June, 2013
3. L
3.1 G
T
9.3 Its e
Horn Riv
and the
defined b
T
Besa Riv
Basin. A
Devonian
equivalen
11.13 Ba
mapped
LIARD BAS
Geologic Se
The Liard Ba
astern borde
ver Basin, Fi
Yukon/Nort
by structural
Figur
Source: Modif
The dominan
ver Shale, eq
Additional, le
n- and Miss
nt) and the
sed on still
for the Lowe
SIN
etting
asin covers a
er is defined
gure I-8. Its
thwest Terri
folding and
re I-9. Liard B
fied from Ross a
nt shale gas
quivalent to
ess organica
issippian-ag
Upper Besa
limited data
er Besa Rive
I-
an area of 4
d by the Bov
s northern bo
itories borde
shale depos
Basin (Lower B
and Bustin, 2008
formation in
the Muskwa
ally rich and
ge shales, su
a River Sha
a on this sha
er Shale in th
EIA/ARI W
15
4,300 mi2 in
vie Fault, w
oundary is c
er, and its
sition.
Besa River Sh
.
n the Liard B
a/Otter Park
d less prosp
uch as the M
ale (Exshaw
ale play, a p
he central po
World Shale Ga
northwester
hich separa
currently def
western an
hale) Outline a
Basin is the
k and Evie/K
ective shale
Middle Besa
w/Banff equiv
prospective a
ortion of the
s and Shale Oil
rn British Co
ates the Liar
fined by the
nd southern
and Depth Map
Middle Dev
Klua shales i
es exist in th
a River Sha
valent), Figu
area of 3,3
e basin, Figu
Resource Asses
olumbia, Fig
rd Basin from
British Colu
boundaries
p
vonian-age L
in the Horn
he basin’s U
le (Fort Sim
ures I-1012 a
300 mi2 has
re I-12.3
ssment
ure I-
m the
umbia
s are
Lower
River
Upper
mpson
and I-
been
-
I. Canada
June, 2013
Source: Lev
Figu
vson et al., Britis
ure I-10. Liard
h Columbia Min
Figure I-
I-
d Basin Locatio
istry of Energy,
-11. Liard Bas
EIA/ARI W
16
on, Cross-Sec
Mines, and Petr
sin Stratigraph
World Shale Ga
ction and Pros
roleum Resource
hic Cross-Sec
s and Shale Oil
spective Area
es, 2009.
ction
Resource Asses
a
ssment
-
I. Canada
June, 2013
3.2 R
T
Drilling d
feet, ave
thickness
prospect
thermal m
high ther
geology
River Sh
clay.
Figure I-1
Source: M
Reservoir P
The Lower Be
depths to the
eraging abou
s of 750 fee
ive area, loc
maturity of t
rmal maturit
of the Besa
hale is quart
12. Liard Basi
Modified from Ros
Properties
esa River or
e top of the
ut 10,000 fe
et and a ne
cally up to 5
the prospect
ty, we estim
River Shale
tz-rich, with
I-
in (Lower Bes
ss and Bustin, 2
(Prospecti
rganic-rich s
formation i
eet. The o
et thickness
5%, average
tive area is
mate the in-
e is complex
episodic int
EIA/ARI W
17
sa River Shale
006.
ive Area).
shale is the m
n the prosp
rganic-rich L
s of 600 fee
es 3.5% for t
high, with a
place shale
x with numer
tervals of do
World Shale Ga
e) Isopach and
main shale g
ective area
Lower Besa
et. Total or
the net shal
an average R
gas has a
rous faults a
olomite and
s and Shale Oil
d Prospective
gas target in
range from
a River sect
rganic conte
le interval in
Ro of 3.8%.
CO2 conte
and thrusts.
more perva
Resource Asses
Area
n the Liard B
6,600 to 13
tion has a g
ent (TOC) in
nvestigated.
Because o
nt of 13%.
The Lower
asive interva
ssment
Basin.
3,000
gross
n the
The
of the
The
Besa
als of
-
I. Canada
June, 2013
3.3 R
T
Bcf/mi2.
526 Tcf.
estimate
Table I-2
3.4 R
A
area, est
marketab
foot later
recovery
N
Tcf of p
Questerr
in the Be
Resource A
The Liard Ba
Within the p
Based on
a risked, te
2.
Recent Act
Apache has a
timating 210
ble gas). Ap
ral and 6 fr
of 3.1 Bcf.
Nexen has a
prospective
re Energy Co
esa River and
Assessmen
asin’s Lower
prospective a
n favorable
echnically re
ivity
a 430,000 a
0 Tcf of ne
pache’s D-3
rac stages,
The well ha
cquired a 12
recoverable
orp., two sm
d Mattson sh
I-
nt
r Besa Rive
area of 3,30
reservoir m
ecoverable s
acre lease po
t gas in-pla
34-K well, dr
had a 30-d
s a currently
28,000-acre
resource t
mall Canadia
hale/siltston
EIA/ARI W
18
er Shale has
0 mi2, the ris
mineralogy b
shale gas re
osition in the
ace and 54
rilled to a ve
day IP of 21
y projected E
(net) land p
to its lease
n operators,
e intervals a
World Shale Ga
s a high res
sked shale g
but significa
esource of
e center of t
Tcf of reco
ertical depth
1.3 MMcfd a
EUR of near
position in th
area.10 Tr
, have comp
at the Beave
s and Shale Oil
source conc
gas in-place
nt structura
158 Tcf for
the Liard Ba
overable raw
h of 12,600 f
and a 12 m
rly 18 Bcf.7
his basin, as
ranseuro En
pleted three
er River Field
Resource Asses
centration of
is approxim
l complexity
the Liard B
asin’s prospe
w gas (48 T
feet with a 2
month cumu
ssigning up
nergy Corp.
exploration
d.14
ssment
f 319
mately
y, we
Basin,
ective
Tcf of
2,900
lative
to 24
. and
wells
-
I. Canada
June, 2013
4. D
4.1 G
T
The Mid
predomin
Phospha
the west-
Fig
4.2 R
T
along the
Drilling d
Shale’s
Mont
ney
M
DOIG PHOS
Geologic Se
The Doig Pho
dle Triassic
nantly siltsto
ate Formatio
-central port
gure I-13. Dep
Reservoir P
The Middle T
e western e
depth to the
thickness ra
JAF02054.CDR
Foothill
s
Mont
ney
Lower Montney
Upper Montney
Doig Phosphate
Doig
Halfway
Belloy
Blac
W
odified from Tristone Sh
SPHATE S
etting
osphate Sha
Doig Phos
one and sa
n, a high or
ion of the De
position and S
Properties
Triassic Doi
edge of the
top of the
anges from
Swan
Advanced MontneyWell Completion
ck Marine Shale
hale Gas Report Octobe
I-
HALE/DEE
ale is located
sphate Form
and conten
rganic-conte
eep Basin.
Stratigraphy of
(Prospecti
ig Phosphat
e Deep Bas
shale avera
130 to 20
an Lak
e
D
S
er 2008
EIA/ARI W
19
EP BASIN
d in the Dee
mation serve
nt Doig Res
nt shale, ha
f Doig Phosph
ive Area)
te Shale ha
in that form
ages 9,250
00 feet, wit
Dawson
Siltstone, Sands and Shales
World Shale Ga
ep Basin of A
es as the ba
source Play
as a prospec
hate and Mont
as a thick s
ms the prosp
feet. The o
th a net th
Conv
s and Shale Oil
Alberta and
ase for the
y, Figure I-
ctive area of
tney/Doig Res
section of o
pective area
organic-rich
ickness of
ventional Sands
Resource Asses
British Colum
more exten
-13. The
f 3,000 mi2 a
source Plays
rganic-rich s
a, Figure I-
Doig Phosp
150 feet in
Post-TriassicUnconformity
E
JAF028245.PPT
ssment
mbia.
nsive,
Doig
along
shale
14.15,8
phate
n the
-
I. Canada
June, 2013
prospect
gas/cond
X-ray dif
quartz w
making t
ive area. T
densate wind
ffraction of c
ith minor to
he formation
Figure
The average
dow. The to
cores taken
moderate le
n favorable f
e I-14. Prospe
Modified from W
I-
e thermal m
otal organic
from the Do
evels of clay
for hydraulic
ective Area for
Walsh, 2006.
EIA/ARI W
20
maturity (Ro
content (TO
oig Phospha
y and trace t
fracturing.
r the Doig Pho
World Shale Ga
o of 1.1%) p
OC) is mode
ate Formatio
to minor amo
osphate Shale
s and Shale Oil
places the s
erate to high
on show sig
ounts of pyr
e (Deep Basin)
Resource Asses
shale in the
h, averaging
gnificant leve
rite and dolo
)
ssment
e wet
g 5%.
els of
omite,
-
I. Canada
June, 2013
4.3 R
T
the west
east and
of 67 Bc
mineralo
Doig Pho
4.4 C
In
4.5 R
T
much of
the Mont
tested th
The com
Resource A
The prospect
by the Pha
south. Wit
cf per mi2 of
gy, we estim
osphate Sha
Comparison
n 2006, Wals
Recent Act
The Doig Ph
the activity
tney and Do
e larger Doi
pany plans t
Assessmen
tive area of
nerozoic De
hin the pros
f wet gas an
mate a riske
ale.
n with Oth
sh estimated
ivity
hosphate Sh
and apprais
oig Resource
ig interval w
to target the
I-
nt
the Doig Ph
eformation F
spective area
nd a risked
ed, technical
er Resourc
d a gas in-p
hale reservo
sal of the Do
e plays. Pe
with a vertica
e Doig with a
EIA/ARI W
21
hosphate Sh
ault and by
a, the shale
resource in
ly recoverab
ce Assess
place for the
oir overlies t
oig Phospha
engrowth En
al well in 201
a horizontal w
World Shale Ga
hale is estim
the pinch-o
has a mode
n-place of 10
ble shale ga
sments
Doig Phosp
the Montney
ate is report
nergy Corp,
11 with a rep
well in 2012
s and Shale Oil
mated at 3,00
ut of the sha
erate resour
01 Tcf. Bas
as resource
phate Unit of
y Resource
ted as part o
a small Can
ported test r
.8
Resource Asses
00 mi2, limite
ales to the n
rce concentr
sed on favo
of 25 Tcf fo
f ~70 Tcf.15
Play. As s
of exploratio
nadian prod
rate of 750 M
ssment
ed on
north,
ration
orable
or the
such,
on for
ducer,
Mcfd.
-
I. Canada
June, 2013
5. M
T
These ar
of dry an
T
as tight g
Area Atla
oil/conde
from the
assessm
BC alon
confirmin
shale oil
T
plays of B
of the Mo
6. C
T
Norman
been dri
Northwes
H
wells on
MGM En
during th
drill a ho
the prosp
this shale
MONTNEY A
The Deep Ba
re multi-depo
d wet gas in
The Canadia
gas sands. W
as NEBC”,16
ensate, Figu
e shale res
ment, we spe
g the north
ng this specu
and gas ass
To put the p
British Colum
ontney and D
CANOL SHA
The Canol Sh
Wells, North
lled to explo
st Territories
Husky Oil, ha
its 300,000
nergy Corp,
he current wi
rizontal well
pectivity of th
e play in the
AND DOIG
asin of Britis
ositional, Tri
n-place in co
n National E
Work by the
shows that o
re I-15. As
source asse
culated that
hwestern ed
ulation, we h
sessment.)
otential volu
mbia into pe
Doig Resour
ALE
hale is an em
hwest Territo
ore this sha
s Geoscienc
aving spent
0-net acre le
with 470,00
inter explora
in 2012 to t
he Canol Sh
assessmen
I-
G RESOUR
sh Columbia
iassic-age h
onventional,
Energy Board
e BC Oil and
only a very s
such, we ha
essment of
t a shale-rich
dge of the
have exclud
ume of tight
rspective, th
rce plays at
merging sha
ories. To da
ale oil play.
ce Office to b
$376 millio
ease area a
0-net acres
ation season
est the prod
hale is gaine
nt of Canada
EIA/ARI W
22
CE PLAYS
a contains t
ydrocarbon
tight sand a
d categorize
Gas Comm
small portion
ave excluded
Canada.
h Montney a
Deep Basin
ed this area
t gas resour
he BC MEM
450 Tcf and
ale play loca
ate, only seis
Work is u
better define
n at the 20
nd is planni
in this reso
n. MGM (wit
ductivity of th
ed from the a
a’s shale gas
World Shale Ga
S (BRITISH
the Montney
accumulatio
nd shale for
es the Montn
mission, in th
n of the Mon
d the Montn
(In our pre
area with hig
n. Howeve
a and resour
rce in the M
reports a ga
d 200 Tcf res
ted in the ce
smic and a h
underway o
e this resourc
11 land auc
ing on comp
ource play, p
th Shell as i
he Canol Sha
above wells,
s and oil reso
s and Shale Oil
H COLUMB
y and Doig
ons containin
rmations.
ney and Doig
heir “Montne
ntney Resou
ney and Doig
evious shal
gher TOC va
er, because
rce volumes
Montney and
as in-place f
spectively.8
entral Macke
handful of ve
n a multi-ye
ce.
ction, has dr
pleting three
plans to drill
ts partner) w
ale play. 18 A
, it would be
ources.
Resource Asses
IA)
Resource p
ng large volu
g Resource
y Formation
rce play con
g Resource
le gas reso
alues may ex
of lack of
from our cu
d Doig Reso
for the BC po
enzie Valley
ertical wells
ear study by
rilled two ve
e wells in 20
one vertica
withdrew pla
As informatio
timely to inc
ssment
plays.
umes
plays
n Play
ntains
plays
ource
xist in
data
urrent
ource
ortion
y near
have
y the
ertical
013.17
al well
ans to
on on
clude
-
I. Canada
June, 2013
Fig
Source: B
gure I-15. Mon
C Oil and Gas C
I-
ntney Trend –
Commission Mon
EIA/ARI W
23
– Identified Ga
ntney Formation
World Shale Ga
as Liquids/Oil
Play Atlas NEB
s and Shale Oil
Distribution
BC October 2012
Resource Asses
2.
ssment
-
I. Canada
June, 2013
ALBER
A
including
East and
west-cen
formation
portion o
T
in the E
Hydrocar
the oil, w
provided
T
minimum
criterion
study.
independ
gradients
reservoir
pressure
each the
T
place, wi
five basin
the risked
RTA
Alberta holds
g: (1) the Ba
d West Shale
ntral Alberta
ns of the Co
of the Doig P
The study ha
ERCB/AGS
rbon Resou
wet gas/con
valuable da
To maintain c
m criterion of
of >1.3% R
Our study
dently derive
s, gas-oil ra
r properties
ed gradients
rmal maturit
The five Albe
ith 200 Tcf a
ns also cont
d, technicall
s a series o
anff and Exs
e Basin of w
a; (4) the M
olorado Grou
Phosphate Sh
as benefitted
report ent
rce Potentia
ndensate an
ata on key re
consistency
f 0.8% Ro fo
Ro for the dry
also expan
ed estimates
atios (as fu
to each sha
in their Albe
ty (Ro) value
erta basins a
as the risked
tain 140 billi
y recoverab
I-
of significant
shaw Shale
west-central A
Muskwa Sha
up in southe
hale play, di
d greatly from
titled, “Sum
al”.19 This E
nd dry gas
eservoir prop
with the ER
or the volati
y gas windo
ded on the
s of prospec
unctions of
ale play. (T
erta resourc
, independe
assessed by
d, technically
on barrels o
le shale oil r
EIA/ARI W
24
t, organic-ri
in the Alber
Alberta; (3)
ale in north
ern Alberta.
scussed pre
m the in-dep
mmary of A
ERCB/AGS
play areas
perties such
RCB/AGS stu
ile/black oil
ow, compare
e analytical
ctive areas a
reservoir p
The ERCB/A
ce assessme
ent of reservo
y this study
y recoverabl
of risked sha
resource, Ta
World Shale Ga
ch shale ga
rta Basin; (2
the Nordegg
hwest Alber
(In additio
eviously.)
pth and rigor
Alberta’s Sh
report helpe
used by th
as porosity
udy for Alber
window. H
ed to the >1
data in ER
as well as o
pressure an
AGS assum
ent and linke
oir pressure
contain 987
e shale gas
ale oil in-plac
able I-4.
s and Shale Oil
as and shal
2) the Duver
g Shale in th
rta; and (5
on, Alberta h
rous siltston
hale- and
ed define th
his study.
and net pay
rta, our stud
However, ou
1.35% Ro in
RCB/AGS’s
our assignm
nd temperat
ed normal r
ed a consta
and depth.)
7 Tcf of risk
s resource, T
ce, with 7.2
Resource Asses
le oil format
rnay Shale i
he Deep Bas
) the shale
holds the ea
e and shale
Siltstone-Ho
e boundarie
This report
y.
dy used the s
r study use
n the ERCB/
report with
ments of pres
ture), and
rather than
nt oil-gas ra
)
ked shale ga
Table 1-3. T
billion barre
ssment
tions,
n the
sin of
e gas
astern
e data
osted
es for
also
same
d the
/AGS
h our
ssure
other
over-
atio to
as in-
These
els as
-
I. Canada
June, 2013
Resource
Gas PhaGIP ConRisked GRisked R
Physical Exten
t Prospec
Thicknes
Depth (ft
Reservoir
Prop
ertie
s Reservo
Average ThermalClay Con
S
Basic
Data B
Depo
Basic
Data
OIPRisRis
Physical Exten
t Pro
Thi
Dep
Reservoir
Prop
ertie
s Res
AveTheCla
Resource
Oil
Ta
Ta
L
Organically RichNet IntervalAverage
asencentration (Bcf/mi2)GIP (Tcf)Recoverable (Tcf)
ctive Area (mi2)
ss (ft)
t)
ir Pressure
TOC (wt. %) Maturity (% Ro)ntent
Shale FormationGeologic Age
Basin/Gross Area
sitional Environment
OrganiNet IntervaAverag
Basin/Gross Ar
Shale FormatioGeologic Age
Depositional Enviro
P Concentration (MMked OIP (B bbl)ked Recoverable (B
ospective Area (mi2)
ckness (ft)
pth (ft)
servoir Pressure
erage TOC (wt. %)ermal Maturity (% Ry Content Phase
able I-3. Shale
able I-4. Shale
Alberta Basin(28,700 mi2)
Banff/ExshawL. Mississippian
Marine10,500 13,00
65 4515 41
3,900 - 6,200 7,500 - 104,800 9,000
Normal HighlyOverpre3.2% 3.4%
0.90% 0.90%Medium Low
Assoc. Gas Assoc. G1.2 12.05.1 109.10.3 13.1
Alberta(28,70
Banff/EL. Missi
Ma10,
cally Rich 61
l 3,900 e 4,8
No
3.20.9
MedO2100.
rea
oneonment
Mbbl/mi2)
B bbl)
)
Ro)
I-
Gas Reservoi
e Oil Reservoir
0 7,3506054
0,500 10,500 - 13,800 13,80 11,880y
ess.Highly
Overpress. O% 3.4%% 1.15%
LowGas Wet Gas
47.41 244.1
61.0
East and West Shale Basi(50,500 mi2)Duvernay
U. DevonianMarine
a Basin00 mi2)Exshawissippian
arine,500 13,0065 4515 41 - 6,200 7,500 - 1800 9,00
rmal HighOverpre2% 3.4%90% 0.90%dium LowOil Oil2.5 7.10.5 64.2.32 3.85
East an
EIA/ARI W
25
ir Properties a
r Properties a
2,900 6,90070 8263 37
800 - 16,400 5,200 - 8,20015,000 6,724Highly
Overpress.Mod.
Overpress.3.4% 11.0%1.50% 0.90%Low Low/Med.
Dry Gas Assoc. Gas63.8 4.7
129.5 16.238.8 1.3
n
00 7,3506054
0,500 10,500 - 13,800 11,880ly ess.
Highly Overpress
% 3.4%% 1.15%w Low
Condensat0.5
2 2.65 0.16
nd West Shale Basin(50,500 mi2)Duvernay
U. DevonianMarine
World Shale Ga
and Resource
and Resources
4,000 1,572 631 2
0 8,200 - 11,500 11,500 10,168 12,Mod.
Overpress.Mo
Overp11.0% 11.1.15% 1.3
Low/Med. Low/Wet Gas Dry
19.6 2239.2 167.8 4
Deep Basin(26,200 mi2)
North NordeggL. Jurassic
Marine
6,9008237
800 5,200 - 8,2006,724
s.Mod.
Overpress.11.0%0.90%
Low/Med.te Oil
5.519.00.76
n Deep (26,20
North NL. Jur
Mar
s and Shale Oil
es of Alberta
s of Alberta
500 12,50069 7029 25- 14,800 3,300 - 8,200 3,464 6,100od. press.
Mod. Overpress. O
.0% 3.2%35% 0.90%/Med. Low Gas Assoc. Gas2.1 4.66.6 29.04.1 2.9
NW Alberta(33,000 m
MuskwU. Devon
Marine
4,0007231
8,200 - 11,500 3,310,168Mod.
Overpress. O11.0%1.15%
Low/Med.Condensate
0.40.8
0.03
Basin0 mi2)
Nordeggrassicrine
Resource Asses
Southern Alb(124,000
Colorado Cretace
Marin6,600 48,75112 52378 105
,900 - 8,200 5,000 - 14,602 6,90Mod.
Overpress. Underp
3.2% 2.4%1.10% 0.60Low Low/M
Wet Gas Dry G34.2 20.9
112.7 285.28.2 42.8
a Areami2)waniane
12,500 6,670 125 7
300 - 8,200 3,900 6,100 4,6Mod.
Overpress.Mo
Overp3.2% 3.0.90% 1.1Low LoOil Cond6.4 040.0 22.00 0
NW Alberta Area(33,000 mi2)
MuskwaU. Devonian
Marine
ssment
berta Basin0 mi2) Groupeousne503510,00000
ress.
%%
Med.Gas9.68
60012
78 - 8,200602od. press.2%10%owensate
0.72.4.12
a
-
I. Canada
June, 2013
1. B
1.1 G
T
portion o
constrain
erosiona
boundary
the Basa
I-17.19 (T
west cros
Shale sh
I-18.19
1.2 R
S
units. Th
a variety
limestone
upper an
prospect
in the we
permeab
In
on the ea
feet thick
organic-r
BASAL BAN
Geologic Se
The basal Ba
of the Alber
ned by the
l edge. Its e
y is the U.S.
al Banff/Exsh
The small d
ss-section (E
ows its strat
Reservoir P
Similar to the
he upper and
y of litholog
e. The prim
nd lower or
ive area of t
est) rather th
bility and solu
n the prospe
ast to about
k and the lo
rich shale pa
NFF AND E
etting
anff/Exshaw
rta Basin, F
Deformed
eastern bou
and Canad
haw Shale h
dry gas and
E-E’) for the
tigraphic equ
Properties
e Bakken Sh
d lower units
ies including
ary reservoi
rganic-rich s
the basal Ba
han over-pre
ution gas.
ective area,
6,600 feet o
ower shale
ay averaging
I-
EXSHAW S
Shale asses
Figure I-16.1
Belt and it
ndary is the
a border. W
has a prospe
wet gas are
e Lower Miss
uivalence to
(Prospecti
hale, the ba
s are domina
g calcareou
r is the more
shales units
anff/Exshaw
essured, and
the drilling d
on the west,
unit has a
g 15 feet.
EIA/ARI W
26
SHALE/ AL
ssed by this9 The wes
ts northern
Alberta and
Within the lar
ective area o
eas were no
sissippian an
the Bakken
ive Area)
asal Banff/Ex
ated by orga
us sandstone
e porous an
s. However
Shale is no
d its middle
depth to the
averaging 4
gross thickn
World Shale Ga
LBERTA BA
s study is loc
stern bound
boundary
d Saskatche
rger 15,360-
of 10,500 mi
ot considere
nd Upper De
n Formation
xshaw Shale
anic-rich sha
e and siltst
d permeable
r, compared
ormally press
unit appears
top of the s
4,800 feet. T
ness of 10
s and Shale Oil
ASIN
cated in the
ary of this
is defined
ewan border
-mi2 area of
i2 for volatile
ed prospect
evonian Bas
in the Willist
e consists o
ale. The mid
tone, dolom
e middle uni
d to the Ba
sured (with
s to have co
shale ranges
The upper s
to 40 feet,
Resource Asses
southern Al
shale depo
by the sub
r and its sou
shale depos
e/black oil, F
ive.) The ea
sal Banff/Ex
ton Basin, F
of three rese
ddle unit con
itic siltstone
it, sourced b
akken Shale
higher press
onsiderably
s from 3,300
hale unit is 3
providing a
ssment
lberta
osit is
b-crop
thern
sition,
Figure
ast to
xshaw
Figure
ervoir
ntains
e and
by the
e, the
sures
lower
0 feet
3 to 5
a net,
-
I. Canada
June, 2013
Figure
Source:
Figure
Source:
e I-16. Outline
Modified from E
e I-17. Prospe
Modified from E
I-
e and Depth o
ERCB/AGS Open
ective Area for
ERCB/AGS Ope
EIA/ARI W
27
of Basal Banff
n File Report 20
r Basal Banff
en File Report 20
World Shale Ga
and Exshaw S
12-06, October 2
and Exshaw S
012-06, October
s and Shale Oil
Shale (Alberta
2012.
Shale (Alberta
2012.
Resource Asses
a)
a).
ssment
-
I. Canada
June, 2013
Sour
T
lean to n
middle u
progress
west. Ho
thin and
Shale ha
larger pla
1.3 R
T
depth an
mi2 prosp
million ba
Figure I-18
rce: ERCB/AGS
The total orga
nearly 17%.
nit has muc
sive increase
owever, in th
thus has be
as a prospec
ay area.
Resource A
The prospect
nd thermal m
pective area
arrels of oil p
8. Stratigraph
S Open File Rep
anic content
The upper
h lower TOC
e from immat
he western a
een excluded
ctive area for
Assessmen
tive area for
maturity on th
a for oil, the
per mi2 plus
I-
hic Cross Sect
port 2012-06, Oc
t (TOC) in th
and lower s
C (lean to 3%
ture (below
area where
d from the p
r oil of 10,50
nt
the Basal B
he east and
basal Banff
s moderate v
EIA/ARI W
28
tion E-E’ of th
ctober 2012.
he prospectiv
shale units h
%). The the
0.8% Ro) in
the thermal
prospective
00 mi2 (0.8%
Banff/Exshaw
by shale thi
f/Exshaw Sh
volumes of a
World Shale Ga
he Basal Banff
ve area ave
have high T
ermal matur
the east to d
maturity ex
area. As su
% to 1.0% Ro
w Shale in th
ickness on t
hale has a re
associated g
s and Shale Oil
f and Exshaw
rages 3.2%
OC values (
rity (Ro) of th
dry gas (ove
xceeds 1.0%
uch, the bas
o) located in
he Alberta B
the west. W
esource con
as.
Resource Asses
Shale
and ranges
(3% to 17%
he shale sho
er 1.3% Ro) i
% Ro, the sha
sal Banff/Ex
the center o
Basin is limite
Within the 10
ncentration o
ssment
s from
), the
ows a
in the
ale is
xshaw
of the
ed by
0,500-
of 2.5
-
I. Canada
June, 2013
T
of oil plu
reservoir
Basin, w
and 0.3 T
1.4 C
T
26,300 m
Shale.19
prospect
1.5 R
C
southern
Murphy O
far, of th
over 100
C
plans to
area. W
#15-21 w
use of lo
this shale
The risked re
us 5 Tcf of
r properties
we estimate a
Tcf of assoc
Comparison
The ERCB/A
million barre
The ERC
ive area and
Recent Act
Considerable
Alberta sha
Oil, have dri
he 22 wells w
B/D; the rem
Crescent Poi
drill addition
While its early
well targeting
nger laterals
e play.21
esource in-pl
associated
that appear
a risked, tec
iated shale g
n With Oth
GS resource
els and an u
B/AGS stud
d did not est
ivity
e leasing occ
ale play. Si
lled explorat
with reporte
mainder hav
int drilled tw
nal wells in t
y exploration
g the Exsha
s, enhanced
I-
lace for the o
natural gas
to be less f
chnically rec
gas.
her Resour
e study, disc
unrisked ga
dy did not
imate a riske
curred for th
nce then, a
tion wells to
ed productio
ve rates of le
wo exploratio
he area.20 M
n for this sh
w Shale had
stimulation
EIA/ARI W
29
oil prospecti
s. Based o
favorable tha
coverable re
rce Assess
cussed abov
s in-place o
use depth,
ed recovera
he basal Ba
number of
test the res
n, only three
ess than 50 B
on wells into
Murphy Oil h
hale play has
d an IP of 3
and lower c
World Shale Ga
ive area is e
on recent w
an for the B
esource of 0
sments
ve, calculate
of 39.8 Tcf
net pay o
ble resource
nff/Exshaw
producers,
source poten
e wells hav
B/D.
o the Exsha
has assembl
s shown mix
350 BOPD.
costs to impr
s and Shale Oil
estimated at
well perform
Bakken Shal
0.3 billion ba
ed an unrisk
for the bas
r other crit
e.
Shale in 20
such as Cre
ntial in this s
ve current pr
aw Shale in
led a 150,00
xed results,
Murphy Oil
rove the eco
Resource Asses
10 billion ba
ance as we
e in the Wil
arrels of sha
ked oil in-pla
sal Banff/Ex
eria to defi
010, sparking
escent Poin
shale oil play
roducing rat
n early 2012
00 net acre
Murphy’s re
is examinin
onomic viabi
ssment
arrels
ell as
liston
ale oil
ace of
xshaw
ine a
g this
t and
y. So
tes of
2 with
lease
ecent
g the
lity of
-
I. Canada
June, 2013
2. D
2.1 G
T
contains
deposit i
southern
Platform.
Shale is
T
Muskwa
the Duve
Duvernay
organic-r
2.2 R
In
7,500 fee
area rang
area, 54
prospect
T
organica
maturity
the east
oil prosp
smaller d
.
DUVERNAY
Geologic Se
The East and
the organic
s defined by
boundary b
. Within thi
23,450 mi2,
The Upper a
Shale in no
ernay Shale
y Shale grad
rich shale in
Reservoir P
n the prospe
et in the eas
ges from 30
net feet in
ive area.
The total org
lly lean roc
(Ro) of the s
to dry gas (1
pective area
dry gas pros
Y SHALE/E
etting
d West Shal
ally rich Duv
y the Deform
by the Leduc
is larger are
primarily in
and Middle
orthwest Alb
e is primari
des from a
the west, Fi
Properties
ective area,
st to 16,400
0 feet to ove
the wet gas
ganic carbon
k using the
shale increa
1.3% to 2%
in the east
pective area
I-
EAST AND
e Basin, cov
vernay Shale
med Belt, th
c Shelf, and
ea of shale
the central a
Devonian D
berta and no
ly an organ
carbonate-ri
igure I-21.19
(Prospecti
the drilling d
feet in the w
r 200 feet, w
s/condensat
n (TOC) in t
e net to gro
ases as the
Ro) in the w
t, a wet gas
a in the west
EIA/ARI W
30
WEST SHA
vering an ar
e, Figure I-1
he northern
d the eastern
deposition,
and western
Duvernay S
ortheast Briti
nic-rich lime
ich mudston
ive Area)
depth to the
west. The g
with an aver
te prospectiv
the prospec
ss ratio, the
shales deep
west. As suc
s/condensate
t.
World Shale Ga
ALE BASIN
rea of over 5
9.19 The we
boundary by
n boundary
the prospe
portions of
Shale is stra
ish Columbi
estone. In
ne in the eas
top of the D
gross shale
rage of 41 n
ve area, an
ctive area re
e average T
pen, from im
ch, the Duve
e prospectiv
s and Shale Oil
N
50,000 mi2 in
estern bound
y the Peace
by the Gros
ective area f
this basin, F
atigraphic e
a. In the E
the West S
st to an incr
Duvernay Sh
thickness in
net feet in th
d 63 net fee
eaches 11%
TOC is 3.4%
mmature (be
ernay Shale
ve area in th
Resource Asses
n central Alb
dary of this s
e River Arch
smont Carbo
for the Duve
Figure I-20.19
equivalent to
East Shale B
Shale Basin
reasingly po
hale ranges
n the prospe
he oil prospe
et in the dry
%. Excluding
%. The the
low 0.8% R
has an exte
he center, a
ssment
berta,
shale
h, the
onate
ernay 9
o the
Basin,
n, the
orous,
from
ective
ective
y gas
g the
ermal
o) on
nsive
and a
-
I. Canada
June, 2013
Source
Source:
Figure I-19.
e: Modified from
Figure I-20.
Modified from E
I-
Outline and
m ERCB/AGS Op
Prospective
ERCB/AGS Open
EIA/ARI W
31
Depth of Duve
pen File Report 2
Area for Duve
n File Report 20
World Shale Ga
ernay Shale (A
2012-06, Octobe
ernay Shale (A
12-06, October 2
s and Shale Oil
Alberta)
er 2012.
Alberta)
2012.
Resource Asses
ssment
-
I. Canada
June, 2013
2.3 R
T
23,250 m
for oil, th
associate
Shale ha
per mi2.
concentr
T
estimated
favorable
we estim
oil/conde
Figur
Source: E
Resources
The prospect
mi2, limited o
he Duvernay
ed gas. W
as resource
Within the
ration of 64 B
The risked r
d at 67 billi
e reservoir p
mate risked
ensate and 1
re I-21. Stratig
ERCB/AGS Open
Assessme
tive area of
on the east b
y Shale has
Within the 7,
concentratio
2,900-mi2 d
Bcf/mi2.
resource in
on barrels o
properties an
d, technica
33 Tcf of dr
I-
graphic Cross
n File Report 20
ent
the Duvern
by low therm
s a resource
350-mi2 we
ons of 0.5 m
dry gas pros
-place in t
of shale oil/
nd analog in
lly recovera
ry and wet sh
EIA/ARI W
32
s Section B-B’
12-06, October
ay Shale in
mal maturity.
e concentrat
et gas/conde
million barrel
spective are
he prospec
/condensate
formation fro
able resour
hale gas.
World Shale Ga
’ of the Duvern
2012.
the East an
Within the
tion of 7.1
ensate pros
s of conden
ea, the Duve
ctive areas
e and 483 T
om U.S. sha
rces of 4.
s and Shale Oil
nay Formation
nd West Sh
13,000-mi2
million barre
spective are
nsate and 4
ernay Shale
of the Duv
Tcf of shale
ales such as
0 billion b
Resource Asses
n
ale Basin co
prospective
els of oi/mi2
a, the Duve
47 Bcf of we
e has a reso
vernay Sha
gas. Base
s the Eagle
barrels of s
ssment
overs
area 2 plus
ernay
et gas
ource
ale is
ed on
Ford,
shale
-
I. Canada
June, 2013
2.4 R
T
billion sp
by Canad
the domi
each hold
M
Hz wells
operators
vertical)
In
are most
and Verm
Recent Act
The Duverna
pent (in 2010
dian Natura
nant land po
d over 100 m
Much of the c
plus one v
s. Since the
have been d
EnCana r
barrels pe
Celtic’s be
condensa
n the Pembin
t active. In t
million are dr
ivity
ay Shale is
0 and 2011)
l Resources
ositions. Tw
mi2 of leases
current activ
vertical well
e first Celtic
drilled or are
reports that i
er day of con
est Duverna
ate.
na area, En
he Edson A
rilling Duvern
I-
the current
in auctions
s (600+ mi2),
welve additio
s.
vity is in the
and Celtic w
well in the D
being drilled
its Duvernay
ndensate.
ay well tested
Cana with fo
rea, where a
nay Shale e
EIA/ARI W
33
“hot” shale
for leases.
, EnCana (5
onal compan
Kaybob we
with 7 Hz a
Duvernay S
d (mid-2012
y well tested
d at 5.8 Mcfd
our Hz wells
active leasin
xplorations w
World Shale Ga
e play in We
Athabasca
580+ mi2) an
nies, ranging
et gas/conde
and 5 vertica
hale in 2010
2).
at 2.3 MMc
d of wet gas
s and Conoc
ng is still und
wells.
s and Shale Oil
estern Cana
Oil (with 1,0
nd Talisman
g from Chev
ensate area.
al wells are
0, a total of
cfd of wet ga
s plus 638 ba
coPhillips wi
derway, Ang
Resource Asses
ada with ove
000 mi2) follo
(560+ mi2)
vron to Ener
. EnCana w
e the most a
45 wells (Hz
as and 1,632
arrels per da
th three Hz
le Energy, C
ssment
er $2
owed
have
rplus,
with 8
active
z and
2
ay of
wells
CNRL
-
I. Canada
June, 2013
3. N
3.1 G
T
Figure I-2
Formatio
carbonat
area, wh
Nordegg
carbonat
served a
of the De
NORDEGG
Geologic Se
The Nordegg
22.19 The L
on, shown b
te-rich depo
here the sh
Shale is an
tes as well a
s a prolific s
eep Basin.
Source: M
SHALE/DE
etting.
g Shale asse
ower Jurass
by the cros
sition on the
hale interval
n organic-ric
as siltstones
source rock f
Figure I-22.
Modified from ER
I-
EEP BASIN
essed in this
sic Nordegg
s-section o
e south into
l is sometim
ch mudstone
s and some
for shallowe
Outline and
RCB/AGS Open
EIA/ARI W
34
N.
s study is lo
Shale Mem
n Figure I-2
o a fine-grai
mes referred
e (shale) wh
sandstone,
r convention
Depth of Nord
File Report 2012
World Shale Ga
ocated within
mber is locat
23.19 The
ned rock on
d to as the
ich also inc
Figure 1-24
nal hydrocar
degg Shale (A
2-06, October 2
s and Shale Oil
n the Deep
ted at the ba
Nordegg tra
n the north.
e Gordonda
ludes cherty
4.19 The No
rbon reservo
Alberta).
012.
Resource Asses
Basin of Alb
ase of the F
ansitions fro
In the nor
ale Member
y and phosp
ordegg Shale
oirs in this po
ssment
berta,
Fernie
om a
rthern
r, the
phoric
e has
ortion
-
I. Canada
June, 2013
Source:
Fig
Source: ERC
Figure I-23.
Modified from E
ure I-24. Stra
B/AGS Open Fil
I-
. Prospective
ERCB/AGS Open
atigraphic Cros
le Report 2012-0
EIA/ARI W
35
e Area for Nord
n File Report 20
ss Section F-F
06, October 201
World Shale Ga
degg Shale (A
12-06, October 2
F’ of the Nord
2.
s and Shale Oil
Alberta)
2012.
egg Member
Resource Asses
ssment
-
I. Canada
June, 2013
3.2 R
In
from 3,3
prospect
gas/cond
The shal
high net
T
82 samp
line with
(Ro of 0.8
and a dr
suggests
3.3 R
W
concentr
gas and
million ba
area, the
C
estimated
reservoir
recovera
Nordegg
Reservoir P
n the Nordeg
300 feet in
ive area of
densate pros
le thickness
to gross rati
The total org
les from 16
increasing d
8% to 1.0%)
ry gas area
s that the No
Resource A
Within the 6
ration of 5.6
condensate
arrels of oil
e Nordegg S
Combined, th
d at 20 billio
r properties
ble resource
Shale.
Properties
gg Shale pro
the north-e
12,400 mi2
spective are
in the overa
o of about 0
anic carbon
wells. The
depth. The
) on the nort
(Ro >1.3) o
ordegg Shale
Assessmen
6,900-mi2 o
million barre
prospective
and 20 Bcf
hale has a r
he risked res
on barrels of
and analog
es of 0.8 bil
I-
(Prospecti
ospective ar
east to abo2, the volatil
ea is 4,000 m
all prospect
0.8.
(TOC) in th
thermal mat
overall Nor
h, a wet gas
on the south
e is over-pre
nt.
oil prospect
els of oil per
e area, the N
f of wet gas
esource con
source in-pla
f oil/condens
information
lion barrels
EIA/ARI W
36
ive Area).
rea, the drill
out 15,000
e/black oil
mi2, and the
ive area ran
he prospecti
turity (Ro) of
rdegg Shale
s/condensate
h. While th
essured.
tive area,
r mi2 plus as
Nordegg Sha
per mi2. W
ncentration o
ace for the p
sate and 72
n from U.S.
of oil/conde
World Shale Ga
ing depth to
feet in the
prospective
e dry gas pr
nges from 50
ive area is h
f the shale in
prospective
e area in the
he data are
the Nordeg
ssociated ga
ale has a re
Within the 1,
of 22 Bcf/mi2
prospective a
Tcf of natur
shales, we
ensate and
s and Shale Oil
o the top of
south. W
area is 6,9
rospective a
0 feet to 15
high, at ove
ncreases to
e area has a
e center (Ro
sparse, ind
gg Shale h
as. Within t
esource conc
500-mi2 dry2.
area of the N
ral gas. Bas
estimate ri
13 Tcf of na
Resource Asses
the shale ra
Within the ov
900 mi2, the
rea is 1,500
0 feet and h
r 11%, base
the southwe
an oil prone
of 1.0% to 1
ustry inform
has a reso
he 4,000-mi
centrations o
y gas prospe
Nordegg Sh
sed on mod
sked, techn
atural gas fo
ssment
anges
verall
e wet
0 mi2.
has a
ed on
est in
area
1.3%)
mation
ource
i2 wet
of 0.4
ective
ale is
derate
nically
or the
-
I. Canada
June, 2013
3.4 C
T
place of
Shale.19
ERCB/AG
we judge
moderate
volatile/b
3.5 R
O
Recently
test wel
moderate
large lan
active in
produced
well that
Comparison
The ERCB/A
40,645 milli
The in-plac
GS study du
e this resou
ely over-pres
black oil pros
Recent Act
Only a mode
y, Anglo Can
l (Sturgeon
ely heavy, 2
d position, w
the Nordegg
d 500 BOED
had a 30-da
n with Oth
AGS resourc
on barrels a
ce resource
ue to the foll
rce area to
ssured; and
spective reso
ivity
st number o
nadian drille
n Lake 05-
25o API oil.
with 272 mi2
g oil fairway
D, with 80%
ay initial prod
I-
er Resourc
ce study, dis
and an unris
e values in
owing: (1) g
be only 50
(3) we have
ource area t
of exploration
ed a horizon
-10-68-22W5
Tallgrass E2 in the Nord
has comple
oil (42o API
duction rate
EIA/ARI W
37
ce Assess
scussed abo
sked mean g
our study a
iven the still
0% de-risked
e a significan
han used in
n wells have
tal test well
5) which p
Energy has
degg Shale.2
eted one Nor
), during its
of 78 barrels
World Shale Ga
sments
ove, calculat
gas in-place
are different
l emerging n
d; (2) we fin
ntly lower as
the ERCB/A
e been comp
(Shane 07-
produced n
since acqui22 The litera
rdegg Hz we
initial flow t
s of 32o API
s and Shale Oil
ted an unris
e of 164 Tcf
t than those
nature of the
nd the Nord
ssociated ga
AGS study.
pleted in the
-11-77-03W
non-commerc
ired Anglo C
ature reports
ell with a mu
test and com
oil.23
Resource Asses
sked mean o
f for the Nor
e reported in
e Nordegg S
egg Shale t
as-oil ratio fo
e Nordegg S
W6) and a ve
cial volume
Canadian an
s that a com
ulti-stage frac
mpleted a se
ssment
oil in-
rdegg
n the
Shale,
to be
or the
Shale.
ertical
es of
nd its
mpany
c that
econd
-
I. Canada
June, 2013
4. M
4.1 G
T
Duvernay
northeas
Alberta a
north, the
Within th
primarily
T
Beaverhi
limestone
MUSKWA S
Geologic Se
The Muskwa
y Shale in c
st British Co
are the Albe
e Peace Riv
his larger de
in the weste
The Muskwa
ill Lake Fo
e deposited
Source:
SHALE/NO
etting
Shale depo
central Alber
lumbia, Figu
erta/British C
ver Arch on
epositional a
ern portion o
a Shale is o
rmation, Fig
in a deep-w
Figure I-25.
ERCB/AGS Ope
I-
RTHWEST
osition in no
rta and the e
ure I-25.19 T
Columbia bo
the south, a
area, the Mu
of the larger
overlain by
gure I-27.19
water marine
. Outline and
en File Report 2
EIA/ARI W
38
T ALBERTA
orthwest Alb
eastern cont
The bounda
order on the
and the Gro
uskwa Shale
Muskwa Sh
the Ft. Sim
The Musk
setting.
Depth of Mus
012-06, Octobe
World Shale Ga
A
berta is the
tinuation of
aries of the
e west, the
osmont Carb
e has a pros
ale depositio
mpson Shal
kwa Shale
skwa Shale (A
r 2012.
s and Shale Oil
northern co
Muskwa/Ott
Muskwa Sh
Alberta/NW
bonate Platf
spective are
onal area, F
le and is d
is primarily
lberta).
Resource Asses
ontinuation o
ter Park Sha
hale in north
WT border o
form on the
ea of 19,100
Figure I-26.19
deposited on
an organic
ssment
of the
ale in
hwest
n the
east.
0 mi2,
n the
c-rich
-
I. Canada
June, 2013
Source:
Figu
Sou
Figure I-26.
ERCB/AGS Ope
ure I-27. Strati
rce: ERCB/AGS
I-
Prospective
en File Report 2
igraphic Cross
S Open File Rep
EIA/ARI W
39
e Area for Mus
012-06, Octobe
s Section C-C
port 2012-06, Oc
World Shale Ga
skwa Shale (A
r 2012.
C’ of the Muskw
ctober 2012.
s and Shale Oil
Alberta).
wa Formation
Resource Asses
n
ssment
-
I. Canada
June, 2013
4.2 R
In
3,300 fee
from 33 f
T
TOC pay
of 47 TO
maturity
thermally
thermal m
a wet gas
4.3 R
T
approxim
a resourc
gas/cond
of 1 millio
T
Tcf of sh
River and
of 2.1 bil
4.4 C
T
place of
Shale stu
reported
Muskwa
the Mus
associate
Reservoir P
n the prospe
et in the no
feet to nearly
The total org
y excluded b
OC measure
(Ro) of the s
y mature for
maturity, the
s/condensat
Resources
The overall o
mately 19,10
ce concentra
densate pros
on barrels of
The risked re
hale gas. G
d Cordova E
lion barrels o
Comparison
The ERCB/A
115,903 mil
udy area in
in the ERC
Shale in NW
kwa Shale
ed gas-oil ra
Properties
ective area,
rtheast to 8
y 200 feet, w
ganic conten
by the net to
ments from
shale increas
r wet gas a
e Muskwa S
te area on th
Assessme
oil and gas
0 mi2. Withi
ation of 6 m
spective are
f oil/condens
esource in-p
Given favora
Embayment
of shale oil/c
n with Oth
AGS resourc
llion barrels
NW Alberta
CB/AGS stud
W Alberta, w
in this area
atio for the sh
I-4
(Prospecti
the drilling
,200 feet in
with a high n
nt (TOC) ran
o gross pay
5 wells prov
ses with dep
nd condens
hale has an
he northwest
ent
prospective
in the oil pro
million barrels
a of 6,600 m
sate per mi2
place is estim
able reservo
shales, we
condensate
er Resourc
ce study, dis
and an unri
a.19 The in-
dy due to th
we judge this
a to be mod
hale.
EIA/ARI W
40
ive Area)
depth to the
the southw
et to gross p
nges from le
ratio. Exclu
vided an ave
pth, ranging f
sate (Ro of 1
oil-prone ar
t.
area of the
ospective are
s of oil per m
mi2, the Mus
and 34 Bcf
ma