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PRSRT STD U.S. POSTAGE PAID BECKLEY, WV 25801 PERMIT NO.19 JUNE 2013 M A I L E D F R O M Z I P C O D E 2 5 8 0 1 COVERING ALL NORTHEAST U.S. SHALE PLAYS SUBSCRIPTIONS ARE FREE!!!

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PRSRT STD

U.S. POSTAGE PAID

BECKLEY, WV 25801

PERMIT NO.19

JUNE 2013

MA

ILE

DFR

OM ZIP CO

DE

25

801COVERING ALL NORTHEAST U.S. SHALE PLAYS

SUBSCRIPTIONSARE FREE!!!

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 2

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 3

You see, Joe has worked in the O & G industry for more than half a century,and he’s seen a lot of containment systems come and go.

SiteSaver™ represents a vast improvement in liner system performance andsafety. There are dozens of logical reasons why you should considerswitching to SiteSaver for all of your containment needs. To name a few:

�Safer - Significant Reduction in Slip/Trip/Fall Incidents�Reusable�Recyclable�Heavy Gauge HDPE�Chemical Resistant�Puncture Resistant�Reduces Fines and Clean Up Costs�Secondary Containment Solution�Meets ISO 9000 & ISO 14000 Standards�Reduced Repair Costs�More Stable and Safer Than Poly Liners

SiteSaver. Simply a better lining and containment system.

For more information: www.thesitesaver.com | Toll Free: 855-798-7287

“SiteSaver is one of thesafest and most resilientdrill pad liners I have ever worked with.”JOE MURRAYCOMPANY MAN GEOLOGICAL ENGINEERING SERVICES

Approvedby the PA DEP

Joe ought to know.

© 2013 Penda Corporation. *Patent pending

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 4

ADVERTISER INDEX PAGE

Alpine Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

Asayo Creative. . . . . . . . . . . . . . . . . . . . . . . . . . . 28

Badger Daylighting . . . . . . . . . . . . . . . . . . . . . . . 24

Bare’s Fence Company . . . . . . . . . . . . . . . . . . . . 22

Blue Rock Energy Partners . . . . . . . . . . . . . . . . . 12

Bri-Chem . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

Bruce Allen Pipeline . . . . . . . . . . . . . . . . . . . . . . . 12

Cam-Tek Systems . . . . . . . . . . . . . . . . . . . . . . . . . 5

Clinton County, PA . . . . . . . . . . . . . . . . . . . . . . . 16

ContactPointe . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Doss Enterprises . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Drill Baby Drill Staffing . . . . . . . . . . . . . . . . . . . . . 24

Energy Speaks . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Ernst Seed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

ETC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Facteon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Fisher Welding LLC . . . . . . . . . . . . . . . . . . . . . . 22

GapVax . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

GexPro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Godwin Pumps - Xylem . . . . . . . . . . . . . . . . . . . 24

Hapco Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Hunyady Auction Company . . . . . . . . . . . . . . . . . 11

Iron Eagle Enterprises LLC. . . . . . . . . . . . . . . . . 14

Joseph Sylvester Construction . . . . . . . . . . . . . . 24

Keystone Clearwater Solutions . . . . . . . . . . . . . . 11

Layfield Environmental . . . . . . . . . . . . . . . . . . . . 14

LEC Solutions . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

Lee Reger Builds . . . . . . . . . . . . . . . . . . . . . . . . 12

Lyden Oil Company . . . . . . . . . . . . . . . . . . . . . . 24

Mansfield Crane . . . . . . . . . . . . . . . . . . . . . . . . . 24

Mustang Ariel Services . . . . . . . . . . . . . . . . . . . . 11

New Pig Energy . . . . . . . . . . . . . . . . . . . . . . . . . . 17

New River Engineering . . . . . . . . . . . . . . . . . . . . 12

North American Field Services . . . . . . . . . . . . . . 12

Oil & Gas Safety Supply . . . . . . . . . . . . . . . . . . . . 2

Oil Center Research . . . . . . . . . . . . . . . . . . . . . . 25

Peoples Bank . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

PIOGA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19

Premier Fence Systems . . . . . . . . . . . . . . . . . . . 12

PSB . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Rig Maids . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

SiteSaver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

STICK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24

Sunnyside Supply . . . . . . . . . . . . . . . . . . . . . . . . 28

Superior Heating Solutions . . . . . . . . . . . . . . . . . 23

Truss Tank . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1, 20

Unit Liner Technologies . . . . . . . . . . . . . . . . . . . . . 9

Viking Energy Disposal . . . . . . . . . . . . . . . . . . . . 14

Weavertown Environmental Group . . . . . . . . . . . 24

Wildcat Drilling . . . . . . . . . . . . . . . . . . . . . . . . . . 21

The Northeast ONG Marketplace will not be liable for anymisprint in advertising copy which is not the fault of TheNortheast ONG Marketplace, and if a misprint shouldoccur the limits of our liability will be the amount chargedfor the advertisement.

We do not assume responsibility for the content of adver-tising or articles herein. Any warranties or representationsmade in the advertisements are those of the advertisersand not The Northeast ONG Marketplace.

ARTICLESFOCUS; COMPLETIONS STRATAGIES - A Complex Connection

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6, 7

FOCUS; COMPLETIONS STRATAGIES - Packers Plus CaseStudy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10, 11

FOCUS; COMPLETIONS STRATAGIES - Fresh Water vs. Recy-cled Brine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22, 23

Cultural Resource Studies . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Safety On The Job - Can’t Touch This - Skin Exposures . . .16, 17

CALENDARSAssociation Meetings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

Job Fairs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24

Networking Events . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

Other Industry Events . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25

Training and Workshops Calendar . . . . . . . . . . . . . . . . . . . . . . .24

Upcoming Events . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 & 18

EVENTSElite Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23

Marcellus Meet Up . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

NAPE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19

PA Gas Expo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

CONTACT US FOR ADVERTISING INFORMATION

OR MAILING LIST CHANGES:

THE NORTHEAST ONG MARKETPLACE

P. O. BOX 1441 • OAK HILL, WV 25901

1-855-269-1188

FAX: (304) 465-5065

E-MAIL: [email protected]

EDITORIAL FOCUS /

CONFERENCE

July HSEWV Oil & Gas Equipment

August New TechnologyPIOGA Eastern Oil & Gas

September ProppantsYOUNG / Shale Insight

October More WaterWV Oil and Gas Expo

November EnvironmentDUG East

December Cold WeatherOOGA Oilfield Expo

A LOOK AHEAD AT OURUPCOMING EDITORIAL AND

CONFERENCE SCHEDULES

NEW YORKJUNE 26-27, 2013 ~ FINDLEY LAKE, NY

IOGA OF NY ANNUALSUMMER MEETING

WWW.IOGANY.ORG

WEST VIRGINIAAUGUST 4-6, 2013 ~ WHITE SULPHER SPRINGS, WV

IOGA WV SUMMER MEETINGWWW.IOGANY.ORG

TENNESSEEJUNE 5-7, 2013 ~ MEMPHIS, TN

TENNESSEE GAS ASSOCIATIONANNUAL MEETING

WWW.TNGAS.ORG

KENTUCKYJUNE 18-20, 2013 ~ COVINGTON, KY

KOGA’S ANNUAL MEETINGWWW.KYOILGAS.ORG

VIRGINIAJUNE 26-28, 2013 ~ VIRGINIA BEACH, VA

VA OIL & GAS ASSOCIATIONSUMMER MEETING

WWW.VAOILANDGAS.COM

OHIOAUGUST 5-6, 2013 ~ ZANESVILLE, OH

OOGA SUMMER MEETINGWWW.OOGA.ORG

WEST VIRGINIASEPTEMBER 9-12, 2013 ~ WHEELING, WV

WVONGA ANNUAL MEETINGWWW.WVONGA.COM

ILLINOISNOVEMBER 1, 2013 ~ TBD

IOGA FALL MEETINGWWW.IOGA.COM

LET US KNOW WHATYOU WOULD LIKE

TO SEE IN OUR 2014EDITORIAL CALENDAR!

1-855-269-1188

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 5

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THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 6

When faced with the proverbial dilemma of whether to move on or call itquits, Shakespeare’s Hamlet solemnly intoned, “To be or not to be? That isthe question.” Paraphrasing the Bard, one of the most important questionsa gas operator may ask when faced with their own critical crossroads is, “Tocomplete or not to complete? That is the question.”

PLUG OR PRODUCE: IT’S ALL ABOUT ROIIt’s a complex, critical question demanding research, testing and analysis inorder to make that determination. If the well is classified as “productive”then it is deemed to be a satisfactory Return on Investment (ROI) for thecompany. Conversely, if the well is classified as a “dry hole” then it becomesa “P&A”, meaning it is plugged and abandoned. As explained on MineralWeb.com, determining whether to produce or plug a gas well is a highlytechnical issue. “Following the drilling process, a critical decision must bemade – whether to complete a well. This is the decision that says, yes, we’repretty sure we’ve got a productive well here, and will move ahead in pur-chasing casing, tubing, surface equipment, and possibly constructing apipeline. While sometimes a very simple decision, at other times this canelicit differing judgment calls from reasonable minds. Let me pause hereand emphasize that there is nothing non-technical at all about this decision– in fact it’s one of the most technically important decisions ever made inthe life of an oil or gas well. The completion process typically takes from afew weeks to a few months, sometimes longer.”http://www.mineralweb.com/owners-guide/leased-but-not-producing/oil-and-gas-production-nontechnical-language/

One of the key steps in determining whether a gas well should be completedis based on an accumulation of research called a Formulation Evaluation.This is a report that draws on numerous sources, including gas well logs, en-gineers, and geologists, that gives operators a detailed picture of the via-bility of that particular well. It is a vast improvement over years past. Onlythe most viable sites are used now, saving time, money, and resources. How-ever, even with all of the data, the decision to plug or produce isn’t alwayseasy.

“Some oil or gas may be present but not in amounts great enough to justifythe expense of completing the well. Therefore, several cement plugs will beset in the well to seal it off more or less permanently. However, wells thatwere plugged and abandoned as dry at one time in the past may be re-opened and produced if the price of oil or gas has become more favorable.The cost of plugging and abandoning a well may only be a few thousand dol-lars. Contrast that cost with the price of setting a production string of cas-ing - $50,000 or more. Therefore, the operator’s decision is not alwayseasy.”http://www.usoilandgas.net/completing.htm

Essentially, the purpose of completion is to allow the gas or oil to be brought

to the surface. Once a well has been determined to be economically viablea number of major processes are set in motion. First, the hole has to becased. “Casing protects the well stream from outside incumbents, like wateror sand. Consisting of steel pipe that is joined together to make a continu-ous hollow tube, casing is run into the well. The different levels of the welldefine what diameter of casing will be installed. Referred to as a casing pro-gram, the different levels include production casing, intermediate casing,surface casing and conductor casing.”http://www.rigzone.com/training/insight.asp?insight_id=326

This step is followed by cementing which fills in the space between the cas-ing and the area surrounding the pipe. The completion process then in-volves perforating, gravel packing and finally, installing a production tree,which is an assembly of valves and pipes mounted on the top of the wellcasing to regulate the flow of gas out of the well. Even the term comple-tion isn’t a simple one to grasp because its definition is as vast and dense asthe physical shale being penetrated. It is often illustrated as upper comple-tion and lower completion.

GAS WELL COMPLETIONS: A Complex ConnectionEd Becker, Writer, ShaleMediaGroup.com

Chris Stroyne, Editor, TheMarcellusShale.com, TheUticaShale.comKristie Kubovic, Writer, ShaleMediaGroup.com

Continued e

FOCUS COMPLETIONS STRATEGIES

An image from Access Science’s Oil and Gas Well Completion

article: http://www.accessscience.com/loadBinary.aspx?

filename=466600FG0010.gif.

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 7

LOWER COMPLETION“Lower completions refer to the portion of the well across the production orinjection zone. Typically, the lower completion is set across the productivezone using a liner hanger system, which anchors the lower completion tothe production casing string. The upper completion refers to all componentsfrom the bottom of the production tubing upwards. Proper design of this"completion string" is essential to ensure the well can flow properly giventhe reservoir conditions and to permit any operations as are deemed nec-essary for enhancing production and safety.”http://en.wikipedia.org/wiki/Completion_(oil_and_gas_wells)#Cased_hole_completion

Moreover, there are different types of completions. Each one has its owncharacteristics, advantages and disadvantages. The use of any type of com-pletion depends on the characteristics and location of the hydrocarbon for-mation to be mined.

These completion classifications include:• Open Hole Completion• Conventional Perforated Completion• Sand Exclusion Completion• Multiple Zone Completion• Drainhole Completion

Rigzone.com outlines some of the specialized features of each completiontype. The most common type are ‘open hole completions’ and most com-monly found in the Marcellus and Utica shale plays. “Open hole comple-tions are the most basic type and are used in formations that are unlikely tocave in. An open hole completion consists of simply running the casing di-

rectly down into the formation, leaving the end of the piping open withoutany other protective filter. Very often, this type of completion is used onformations that have been ‘acidized’ or ‘fractured.’”http://www.naturalgas.org/naturalgas/well_completion.asp#completion

Those shale plays whose geography involves a vast amount of loose sandoften use what is termed, ‘Sand Exclusion Completion’. “Methods of sandexclusion were first used in water wells and were later applied in oil and gaswells by oil-industry engineers. The failure to successfully prevent sand pro-duction in oil wells may usually be attributed to a failure to recognize the ef-fects of: 1, type of well completion; 2, formation characteristics; 3,type ofcompletion fluids; and 4, completion technique.”http://www.onepetro.org/mslib/servlet/onepetropreview?id=API-58-066

UPPER COMPLETION: Beginning to look a lot like ChristmasThe final phase of completion is the installation of the well head. The wellhead plays a critical safety role in the extraction of the gas. “The wellheadconsists of the pieces of equipment mounted at the opening of the well tomanage the extraction of hydrocarbons from the underground formation.It prevents leaking of oil or natural gas out of the well, and also preventsblowouts caused by high pressure. Formations that are under high pressuretypically require wellheads that can withstand a great deal of upward pres-sure from the escaping gases and liquids. These wellheads must be able towithstand pressures of up to 20,000 pounds per square inch (psi). The well-head consists of three components: the casing head, the tubing head, andthe 'Christmas Tree.’”http://www.naturalgas.org/naturalgas/well_completion.asp#completion

The most visible part of a gas well is the ‘Christmas Tree’ earning its nick-name because of the resemblance to the traditional holiday fixture. Typi-cally it stands about six feet tall and appears like a bundle of pipes and valveswithout the candy canes. However, this equipment isn’t decorative---it playsa critical role in allowing the gas operator to monitor and control the gasflow from the well. Once the completion process is finalized, the well isthoroughly tested to ensure there is a safe, uninterrupted flow of gas to thesurface.

The Shale Media Group is your news and information resource on the oil andnatural gas industry. SMG keeps you apprised of the latest news and infor-mation, along with GIS mapping by messaging across Internet, Radio, Pub-lications, and Events. For more, check out ShaleMediaGroup.com,TheMarcellusShale.com, The UticaShale.com, The EagleFordShale.com,Shaleadvantage.com, or listen to Tejas Gosai, host of the “Shale EnergyNow” which is syndicated around the word, on podcasts, and at ShaleEn-ergyNow.com. In addition, you could register for the next Elite Energy Event(E3) at ShaleMediaGroup.com. It is the sixth in a series and will be held onJune 20 at the Holiday Inn Express in Bentleyville, PA from 5:00-9:00 pm.

An image of an Oil & Gas ‘Christmas Tree’ from

http://d.gr-assets.com/photos/1354359422p8/636005.jpg.

FOCUS COMPLETIONS STRATEGIES

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 8

JUNE3-4, 2013

4TH ANNUAL SHALE ENERGY CONFERENCEWWW.NEIENERGY.ORG/EVENTS

FARMINGTONPA

JUNE21, 2013

NORTHERN TIER MARCELLUS BUSINESS EXPOWWW.NTMARCELLUSEXPO.COM

TROYPA

JUNE26, 2013

PA GAS EXPO 2013WWW.PAGASEXPO.COM

INDIANAPA

JULY10-11, 2013

WEST VIRGINIA OIL AND GAS EQUIPMENT SHOWWWW.IOGAWV.COM

BUCKHANNONWV

AUGUST20-22, 2013

SPE EASTERN REGIONAL MEETINGWWW.ERM-2013.ORG

PITTSBURGHPA

AUGUST27-28, 2013

PIOGA’S EASTERN OIL & GAS CONFERENCE AND TRADE SHOWWWW.PIOGA.ORG

MONROEVILLEPA

SEPTEMBER12-13, 2013

YOUNG 2013WWW.YOUNG2013EXPO.COM

YOUNGSTOWNOH

SEPTEMBER25-26, 2013

SHALE INSIGHT 2013WWW.SHALEINSIGHT.COM

PHILADELPHIAPA

SEPTEMBER25-29, 2013

ADDC ANNUAL CONFERENCEWWW.ADDC.ORG

CHARLESTONWV

OCTOBER2, 2013

WEST VIRGINIA OIL & GAS EXPOWWW.WVOILANDGASEXPO.COM

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NOVEMBER13-15, 2013

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VISIT OUR WEBSITE FOR LINKS TO THESE EVENTS - ONGMARKETPLACE.COMEVENTS CONTINUED ON PAGE 18

UPDATED!

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 9

TELL OUR ADVERTISERS YOU SAW THEIR AD IN THE NORTHEAST ONG MARKETPLACE

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 10

BackgroundThe Marcellus Shale is an attractive formation for oil and gas operatorsdue to increasing estimated total recoverable reserves and its proximityto nearly one‑sixth the U.S. population. The formation is found at depthsfrom 4,000 to 8,500 ft and underlies approximately 95,000 square milesof Pennsylvania, New York, Ohio and West Virginia. With 262 Tcf in esti-mated recoverable reserves and 1,500 Tcf original gas in place, the Mar-cellus is being hailed as a top contributor to the U.S. gas reserves withpositive well economics. Efficient and reliable drilling and completionstrategies are critical to ensure operators are optimizing the developmentof the Marcellus moving forward.

ChallengeAs a true shale, low porosity and permeability values make the Marcelluschallenging and cost intensive to develop. Maintaining communication withthe formation and capitalizing on natural fractures is crucial to attain highultimate production. The conventional cemented casing, “plug and perf”(CCPP) method has historically been the completion strategy of operatorsin the Marcellus, but in order to ensure success as development ramps up,operators must consider what strategy will be the most effective given the

formation characteristics. Compared to openhole completions, the CCPP method is morecost intensive due to the additional equip-ment and time required for tripping in andout of hole. This results in an inefficient andtime-consuming process. Production usingthis method can also be limited, as cement-ing the wellbore cuts off communication tomany of the natural fractures and fissuresthat would otherwise contribute to overallproduction.

SolutionPackers Plus open hole, multi-stage systemsallow operators to capitalize on natural frac-tures and ensure maximum contact with theformation. Open hole completions allow forproduction from the entire length of the well-bore, as opposed to CCPP, which restrictsproduction to perforations. This grants openhole completions access to production fromexisting natural fractures in the formationand as a result, delivers higher recovery com-pared to the CCPP method. High fracturestage density using the StackFRAC® HD™

system ensures optimal drainage of the formation. This system ensures ef-ficient fracture treatments along the entire lateral via a single, continuouspumping operation. It also allows operators to put the well on productionimmediately after stimulation is complete, increasing the number of wellsthey are able to complete every month and accelerating connection to thesales line.

ResultsA comparison study was done in the Marcellus to measure production ofwells completed with StackFRAC systems compared to surrounding offsetwells in the field completed using the CCPP method. The two study areaswere in Washington County, PA and Susquehanna County, PA and cumula-tive production was compared at 6, 12 and 24 months. In both areas theStackFRAC wells were drilled and completed between 2007 and 2009, whilethe CCPP wells included those completed in the same time period to newerwells completed in 2011. The StackFRAC wells were completed with an av-erage of 8 stages in both counties and an average lateral length of 2,500 ftand 1,800 ft in Washington and Susquehanna County, respectively.

Packers Plus® Case StudyStackFRAC Open Hole Systems Maximize

Assets In The Marcellus Shale

Continued e

FOCUS COMPLETIONS STRATEGIES

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 11

In both study areas, the wells completed with StackFRAC systems outper-formed the CCPP completed wells in terms of production. The StackFRACwells produced from 43% to 84% higher than the offset CCPP average inWashington County (Figure 1). These results were also seen in SusquehannaCounty with the StackFRAC wells increasing production by up to 37% com-pared to the offset CCPP average. In addition to higher production asdemonstrated by this study, StackFRAC systems also provide improved effi-ciency and cost savings compared to the CCPP method. StackFRAC com-pleted wells can be stimulated in less than a day compared to approximately2 to 3 days required for CCPP wells. This efficiency also reduces equipmentand personnel costs.

With the ongoing success of the StackFRAC system throughout the U.S.,Packers Plus is focused on developing technology that will continue to im-prove production results for operators. For example, the RepeaterPORT®sleeve and the QuickFRAC® system are allowing operators to increase stagenumbers available in the StackFRAC HD system. Packers Plus has run multi-ple jobs with these new technologies, achieving over 40 stages in a singlewell. With this and other technologies being developed by Packers Plus, op-erators can continue to achieve improved results moving forward in theMarcellus Shale.

This information was originally presented at the SPE Americas Unconven-tional Resources Conference held in Pittsburgh, Pennsylvania, USA, 5 – 7 June2012. SPE 155095 © Society of Petroleum Engineers.

Figure 1. Cumulative production of StackFRAC completed wellscompared to offsets in the Marcellus in Washington County, PA.

FOCUS COMPLETIONS STRATEGIES

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THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 16

The National Institute for Occupational Safety and Health estimatesthat more than 13 million workers in the United States have the po-tential to be exposed to chemicals that can be absorbed throughthe skin. This dermal exposure to hazardous agents can result in avariety of occupational diseases and disorders, including occupa-tional skin diseases (OSD) and systemic toxicity. In the past, themain focus of workplace exposures to hazardous chemicals andfumes was on inhalation effects and not skin exposure. As a resultof this focus, there are well developed strategies for evaluating in-halation exposures, and very few standardized methods for assess-ing skin exposures.

Due to the lack of standardized methods for assessing skin expo-sures to hazardous materials, OSD have become the second mostcommon type of occupational disease and can occur in several dif-ferent forms. Some forms of occupational skin diseases include,but are not limited to, irritant contact dermatitis, allergic contactdermatitis, various skin cancers, skin injuries, and other miscella-neous diseases. Before we can begin to understand these OSD andtheir effects, we must first understand the skin and its functions.

The skin is the body’s largest organ. It accounts for more than10% of an average human’s total body weight which is a total areaof about 20 square feet. Our skin protects us from microbes andthe elements, helps regulate body temperature, and permits thesensation of touch, heat and cold. Skin consists of 3 layers, thefirst of which is the epidermis or outermost layer. The epidermisis provides a waterproof barrier and creates skin tone. The sec-ond layer, beneath the epidermis, is the dermis. The dermis con-tains tough connective tissue, hair follicles and sweat glands. Thethird layer is the hypodermis and is made up mostly of fats andconnective tissues. (SEE DIAGRAM)

ANATOMY OF HUMAN SKIN (Diagram From The Mayo Clinic)

The Centers for Disease Control and Prevention categorize thecauses of occupational skin disease into four main hazards. Thesehazards are chemical agents, physical agents, mechanical traumaand biological agents. Chemical agents are the main cause of OSDand skin disorders. These agents are divided into 2 types: primaryirritants and sensitizers. Primary irritants act directly on the skinthrough chemical burns, where sensitizers may not cause immedi-ate reactions, but repeated exposure can result in allergic reac-tions. A worker’s skin could be exposed to hazardous chemicalsthrough direct contact with contaminated surfaces, deposition ofaerosols, immersion or splashes.

Physical agents are those which act on the skin in the form of ex-treme temperatures (hot or cold) and radiation such as UV or solarradiation. Examples of physical agents include frostbite and sun-burn. Mechanical trauma includes friction, pressure, abrasions, lac-erations and contusions. Examples of this type of trauma includescrapes, cuts and bruises. Biological agents include parasites, mi-croorganisms, plants and animal materials. Examples of biologicalagents include tapeworm and poison ivy.

SAFETY ON THE JOB

Can't Touch This - Skin Exposures

Continued e

THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 17

As I mentioned above, when dealing with these hazards, some will causean immediate reaction, like a chemical burn, while others may cause aslower reaction on the skin, and sometimes even have an effect on otherparts of the body. The transport of a chemical from the outer surface ofthe skin both into the skin and into the body is known as dermal absorp-tion. Studies show that dermal absorption can occur without the workernoticing and in some cases can represent the most significant exposurepathway. In other words, the stuff you don’t notice splash on your skincould have a very significant impact on your health in the future. Referredto as systemic toxicity, chemicals like pesticides and organic solvents canenter the blood stream through the skin and have serious effects on otherbody organs and tissues. Due to this risk, it is very important to keep inmind that the rate of absorption is dependent on whether or not the skinis intact, the location of exposure, the physical and chemical properties ofthe hazardous substance, the concentration of the chemical on the skinsurface, duration of exposure, and the amount of surface area exposed.

Inflammation of the skin as a result of chemical exposure is called con-tact dermatitis, or eczema. Contact dermatitis is the most commonlyreported form of OSD and accounts for approximately 90-95% of allcases reported in the United States each year. Occupational contactdermatitis is typically divided into 2 categories, irritant contact der-matitis and allergic contact dermatitis. Irritant contact dermatitis is in-flammation of the skin as the direct result of a chemical agent, whileallergic contact dermatitis is usually associated with the material caus-ing an allergic reaction. Common symptoms of both types of contactdermatitis include, but are not limited to, itching, pain, redness,swelling, formation of blisters and dry, cracking skin. Because the symp-toms of irritant and allergic contact dermatitis are so similar, it is ex-tremely difficult to distinguish between the two without appropriateclinical testing.

In order to prevent OSD in workers, the CDC and NIOSH recommend fol-lowing their “hierarchy of controls” when dealing with hazardous sub-stances. In most cases, preventing skin contact with chemicals or otherskin damaging agents will prevent disease. Eliminating contact with thehazardous compound or product that causes a skin condition is the mosteffective method of control. If possible, employers should try to sub-stitute a less hazardous agent in any processes. If elimination and sub-stitution are not possible, the addition of local exhaust systems,isolation booths and safety showers should be a top priority. As always,the last piece of the puzzle is making sure to properly train all employ-ees and to make sure any necessary PPE is readily available. PPE whendealing with hazardous compounds should include gloves, aprons, cov-eralls, safety glasses/face shields and boots.

More information on protecting yourself and your employees from thehazards of chemical reactions on the skin can be found by visiting theCenters for Disease Control and Prevention website at www.CDC.gov,the National Institute for Occupational Safety and Health website atwww.CDC.gov/NIOSH, and the Occupational Safety and Health Admin-istration Website at www.OSHA.gov. More information on medical re-sponse and medical dangers can be found by visiting The Mayo Clinicwebsite at www.MayoClinic.com.

By Chris Chadwick, Safety Products Coordinator at SunnySide Supply, Inc.www.SunnySideSupply.com

References:

“Centers for Disease Control and Prevention.” (n.d.). Web. 16 May2013. http://www.CDC.gov

“National Institute for Occupational Safety and Health.” (n.d.). Web.16 May 2013. www.CDC.gov/NIOSH

“Occupational Safety and Health Administration.” (n.d.). Web. 21 May2012. www.OSHA.gov

“The Mayo Clinic.” (n.d.). Web. 21 May 2013. www.mayoclinic.com

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THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 21

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How history affected where industry is now and where it is going.When the horizontal drilling boom started in 2008, the use of freshwaterbecame the number one hot issue for operators, regulators and peopleconcerned about the environment. Operators believed they needed fresh-water to frac the wells and quickly began seeking freshwater withdrawalapprovals from regulatory agencies that control the consumptive use ofwater. Regulators started the process of modifying regulations to controlthe amount of freshwater that could be used as well as control the sourcesfrom which the freshwater was taken. At the same time, environmental-ists began discussing potential concerns with the amounts of freshwaterused as well as potential concerns with the freshwater being mixed withchemicals, pumped underground and then returning to the surface as flow-back or produced water.

Since horizontal drilling was fairly new back in 2008, most operators usedfreshwater alone to frac wells as it was uncertain whether using recycled,treated brine water would harm the integrity of the well, thereby reduc-ing the production of natural gas. Concerns centered around potentialscaling associated with reused water that would clog the fractures andimpede gas flow.

Therefore, the industry sought disposal solutions for flowback and pro-duced water. Disposal options were Centralized Wastewater Treatment(CWT) facilities, Publically Owned Treatment Works (POTW) and injectionwells in Ohio. CWT’s and POTW’s treated the water to meet the PA De-partment of Environmental Protection (DEP) discharge standards at thetime. However, over the next few years DEP revised the regulations re-garding the Chapter 95 Total Dissolved Solids (TDS) discharge standards toreduce the levels of TDS that could be discharged into the waterways ofthe Commonwealth. Next, in April of 2011, then DEP Sec. Michael Krancerissued a letter to Marcellus Shale natural gas drillers to cease deliveringtheir wastewater to the 15 wastewater treatment plants that were grand-fathered in to treat and dispose under the new Chapter 95 regulations.This effectively halted the disposal of flowback and produced water fromthe Marcellus formation.

Foreseeing a changing regula-tory environment and deter-mined to find more costeffective alternatives to dis-posal, natural gas companiesand innovative treatment com-panies had already begun re-search and developmentfocused on treating brinewater for reuse rather thandisposal. Some gas companieshad started to blend smallamounts of treated brine withlarger volumes of freshwater inorder to conduct in-depthstudies to determine if usingtreated brine would harm theintegrity of the well. Recyclingfacilities started to spring up atthe same time that gas compa-nies began to find successfulresults fracking with treatedbrine.

Freshwater vs. Recycled Brine Water for Completions?Teresa Irvin McCurdy, TD Connections, Inc.

Continued e

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THE NORTHEAST ONG MARKETPLACE • JUNE 2013 • PAGE 23

One such company was Hydro Recovery, LP based in Blossburg, TiogaCounty, PA whose business model was to recycle produced and flowbackwater to create a Hydraulic Stimulation Fluid (HSF) that would meet indus-try specifications for reuse. The owners of the company conducted exten-sive research into the makeup of flowback and produced water to design asystem to treat wastewater for 100% reuse.

One of Hydro’s first customers was Seneca Resources, who has consistentlytaken an innovative approach to the reuse of water. Doug Kepler, VP of En-vironmental Engineering for Seneca Resources, stated, “Seneca has alwaysemphasized environmental stewardship in their O&G activities. Developinga recycled water program was logical and consistent with that philosophy.”Before Hydro opened its doors in June 2011, the two companies sharedsome of their independent research in a collaborative effort to make recy-cling a reality.

Since that time, many operators have presented at different natural gaswater conferences explaining how they have been able to take treated brineand reuse it successfully. Many have touted that they have seen their pro-duction rates increase by using treated brine.

Since the Marcellus Shale is in naturally a salty formation, injecting treatedbrine water rather than freshwater has been found by many to protect theintegrity of the formation’s structure and thus enhance gas recovery. “Al-though recycling took some time to develop and catch on,” said Chris Wunz,COO of Hydro Recovery, “we have seen our customers increase the ratio ofour HSF to freshwater to as much as 80/20 while producing natural gas atphenomenal rates.”

As recycling hits its stride, innovators are now turning toward identifyingsolutions for handling production and flowback water in the future whenwater production may outpace the demand for recycled water used in newfracking activity. “We have commenced several studies along with equip-ment companies, researchers, and treatment providers to determine a cost-effective, environmentally friendly approach to recycle Marcelluswastewater into other reusable products,” said Wunz.

No one knows when the exploration and production of natural gas in theMarcellus will end or what the next formation may yield, but one thing thatis certain is that managing natural gas wastewater will be an issue for dozenof years after the last wells are drilled. As technology advances and inno-vative companies press on to find answers to solve issues; they will benefitthe environment, the gas industry and the country as we strive toward en-ergy independence.

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CULTURAL RESOURCE STUDIES

Cultural resource studies of varying scope and intensity are completed for many federally permittedprojects, including activities associated with the shale gas industry. Common are permits issued bythe U.S. Army Corps of Engineers (USACE) for activities including, but not limited to pipeline, accessroad, and substation constructions. For example, for gas projects in the Marcellus and Utica plays inparts of Pennsylvania, Ohio and West Virginia, the USACE Pittsburgh District commonly issues NationWide Permits 3, 7, 12, 14, and 39, Pennsylvania State Programmatic General Permit–4, or a standardpermit. Not all of these USACE permitted activities require the completion of a cultural resourcestudy, an in some instances the need for such study is dependent on the accumulative amount ofimpacts to stream crossings and wetlands, resulting in differing requirements for different jurisdic-tions and projects.

The USACE’s regulatory program includes two primary authorities: Section 10 of the River and Har-bors Act of 1899 (33 USC 403) and Section 404 of the Clean Water Act (33 USC 1344). The USACE car-ries out its cultural resources “compliance” under Appendix C of their regulatory program regulations(33 CFR 320-332 and 334), which was never approved by the Advisory Council on Historic Preserva-tion or the National Conference of State Historic Preservation Officers as counterpart regulations toSection 106 of the National Historic Preservation Act. Under Appendix C only the permitted or ju-risdictional areas as determined by the USACE are considered for potential effects to cultural re-sources; not typically included is the larger amount of the project area outside the permitted area(s).This departs from the regulatory programs of other federal agencies that follow the “regular” Section106 regulations (36 CFR 800), in which the entire project area is considered.

While the gas industry may look at this in a positive light, increased liability is introduced given thatsignificant and culturally sensitive resources unknown to developers and their subcontractors may beimpacted. An example is found in West Virginia where earthmoving in association with a pipelineproject physically impacted a marked African American cemetery. A jury decision awarded the plain-tiffs $900,000 in punitive and compensatory damages. Although the decision is being appealed, theconsiderable negative press about the incident cast an unwanted shadow over the companies in-volved and to some extent the industry at large. The situation could have easily been avoided hada cultural resources investigation been completed during the planning stage.

We are of the opinion that for USACE permitted projects it is in the overall interest of the gas industryto work with qualified cultural resource firms at an early stage of planning to identify and avoid signif-icant sites, including historic cemeteries, located within the entire project area including non-regulatedareas. Review of records on file at State Historic Preservation Offices combined with information avail-able from historical maps and online sources (e.g., county historical and genealogical societies, etc.) canprovide information for the presence of known and potential resources, as well as identify areas withhigh probability to contain sites and cemeteries. Such review can be followed by field surveys to con-firm the presence of known sites and record undocumented sites. Having this information available dur-ing the early planning stages of projectswill not only allow significant sites andcemeteries to be avoided, it will also pro-vide a level of risk management for theindustry that decreases the probability oflaw suits like the one cited for West Vir-ginia. In a future article we will provide amore in-depth discussion of cultural re-source studies for USACE permitted gasprojects and provide suggestions fordealing with the issue on a regionalrather than project-specific scale.

Cultural Resource Studies for USACE Permitted Gas Projects

By Michael Anslinger, Senior V.P. East Region, and Mike Clem, Principal Investigator,Cultural Resource Analysts, Inc., Hurricane, West Virginia. www.crai-ky.com

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