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O&G: UPSTREAM - Page 6-7: Construction & Facilities: Let’s Get Building

O&G: MIDSTREAM - Page 8-10: A Look At Pipeline Policy: Keystone XL

INDUSTRY INSIGHT - 2: CONSOL Energy Opens Gas Training Academy to Community

NEW TECHNOLOGY - Page 16-17: Reinventing the Velocity String

HEALTH & SAFETY - Pages 18-19: Remote Emission Monitoring

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ARTICLESO&G: UPSTREAM: Construction & Facilities: Let’s Get Building ........................................................ 6-7

O&G: MIDSTREAM: A Look At Pipeline Policy: Keystone XL ...................................................... 8-10

INDUSTRY INSIGHT: CONSOL Energy Opens Gas Training Academy to Community ......................... 12

NEW TECHNOLOGY: Reinventing the Velocity String .............................................................. 16-17

HEALTH & SAFETY: Remote Emission Monitoring ..18-19

ADVERTISER INDEXALBERTA RIG MATS ........................................... 14ALPINE ELECTRIC .............................................. 15BRAD PENN LUBRICANTS................................. 15CALU ................................................................... 14CHANCELLOR INSURANCE ............................... 14CPI SERVICE ......................................................... 7CST INDUSTRIES ............................................... 10DIRECT RESULTS ................................................. 7ECOM .................................................................... 4ERNST SEED ....................................................... 13ETC ........................................................................ 5GUTTMAN ............................................................. 1HKRENTS.COM ..................................................... 3LEE REGER BUILDS ........................................... 14LYDEN OIL COMPANY .......................................... 3MARCELLUS SAFETY CONSULTING ................. 15MCCLUSKEY ....................................................... 14MID-ATLANTIC STORAGE ................................. 14NEW PIG ENERGY ................................................ 2NORTH AMERICAN FIELD SERVICES ............... 14OHIO TANK SPECIALISTS ................................. 14OILFIELD CONNECT ........................................... 17PREMIER SAFETY & SERVICE INC ................... 13PSB INDUSTRIES ............................................... 15RJR SAFETY INC ................................................. 15TANK CONNECTION ........................................... 13TOTAL EQUIPMENT ........................................... 14WEAVERTOWN ENVIRONMENTAL ................... 15

CALENDARSASSOCIATION MEETINGS ................................... 4NETWORKING EVENTS ....................................... 5TRAINING & WORKSHOPS ............................... 15UPCOMING EVENTS .......................................... 11

EVENTSMARCELLUS-UTICA MIDSTREAM ..................... 20

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The Northeast ONG Marketplace will not be liable for any misprint in advertising copy which is not the fault of The Northeast ONG Marketplace. If a misprint should occur, the limits of our liability will be the amount charged for the advertisement.

We do not assume responsibility for the content of advertising or articles herein. Any warranties or representations made in the advertisements are those of the advertisers and not The Northeast ONG Marketplace. Any warranties, representations or opinions made in the advertisements or articles are those of the contributors and not The Northeast ONG Marketplace.

ASSOCIATION MEETINGS

AESC Annual Winter Meeting | February 10-11, 2016Marble Falls, TX - www.aesc.net

PIOGA Winter Meeting | February 23-24, 2016Seven Springs, PA - www.pioga.org

IOGAWV Annual Winter Meeting | February 2-3, 2016 Charleston, WV - www.iogawv.com

2016 OOGA Winter Meeting | March 16 – 18, 2016Columbus, OH - www.ooga.org

December 2015

December 9Oilfield Christian Fellowship

Bridgeville, PA | www.oilfieldchristianfellowship.com

Decemeber 11KOGA Christmas Party

Louisville, KY | www.kyoilgas.org

December 12TOGA Christmas Party

Gatlinburg, TN | www.tennoil.com

Decemeber 17OOGA Holiday Membership Reception

Newark, OH | www.ooga.org

January 13YPE Crew Change

Canonsburg, PA | www.ypepittsburgh.org

NETWORKING EVENTS

FOR MORE EVENTS VISIT WWW.ONGMARKETPLACE.COM/EVENTS


By: Adam Larson, Staff Writer, Shale Media Group

Tapping into the Utica is largely dependent on an ensemble of third-party contractors working for the operator. As it goes for looking at the different steps of exploring and developing shale oil and gas, after the completions crew is done with drillouts, the pad is handed off to construction and facilities. Prior to developing a pad, a slew of calculated procedures go into the facilities of a wellsite.

Namely, the land, engineering, and environmental health and safety departments get involved to ensure that the pad is up to par with state and federal regulations. For instance, spacing requirements play a large part in placing equipment on the

pad. The wellhead will be somewhat at the center of the pad, while the other equipment will be placed at the edges of the pad.

To handle the facilities of the pad usually a roustabout crew is hired to complete processes associated with installing equipment. Also, a welding and fab company will set-up shop in one of the corners of the pad to assist with putting parts, connections, and pipe together. Connecting to the wellhead, a flowline will link up with downstream equipment. Before installing the flowline, a channel is dugout so the line can run subsurface.

Even before going ahead with laying out the pad, the equipment on-site

heavily hinges upon what shale play is being developed and whether the well is producing two-phase gas and water or three-phase gas, water, and condensate. Topping this, facilities are also drawn up to include expected capacities, which obviously differs depending on the geology, location of the pad, and what similar pads produce in the nearby area. For the purposes of this article, we will look at a facility that is developed in the wet-gas (three-phase) portion of the Utica Shale in the Appalachian Basin.

Depending on the operator, coming off the wellhead, and linking up directly with the flowline, will be a sand trap. Usually a vertical sand trap will be implemented to leverage gravity so sand can settle at the bottom, while the multiphase flow continues downstream. Off the sand trap, there will be a Gas Processing Unit (GPU). Operating at line pressure, the GPU uses a glycol bath for separation.

In the GPU, a Micro Motion Flow Meter is used for measurement purposes for product coming off that particular well. For example, if there are six wells on location, then there will be equally six GPUs, and so on and so forth. To control flow rate of the well, there will be two sweet spots to do so: the wellhead and the GPU. Coming off the GPU, the gas will feed into the sales line and the water and condensate will reroute elsewhere.

Water and condensate flow into the Heater Treater (HT) to further separate water and condensate and to stabilize the condensate. Inside, heated up to about 80-120°F, the condensate and water will commingle and then separate. Flash gas will come off the top. Another piece of downstream equipment, which is used to further stabilize condensate, is the Low Pressure Tower (LPT). This operates at about 3-5 psi, stabilizes condensate before it runs to the production tanks, and is the last place to flash off gas.

When handling larger capacities of condensate, a stabilizer skid or compressor could be placed on-site. The bare bones of the stabilizer skid will pull natural gas liquids (NGLs) from the condensate stream, and eventually the NGLs will reroute to the bullet tanks to collect, then being hauled off at certain load times. Furthermore, brine water and oil make their way to their last stop at the production tanks, while the natural gas freely flows into the sales line. Lastly, the combustor is used to flare off any excess gas that collects in the production tanks and is also on location for safety and emission standards.

When constructing the pad, the entire network of pipes is built with redundancies in place, so certain pieces of equipment can be maintained or worked on. When scheduling regular maintenance for equipment, an operator doesn’t want to shut the pad down, as product is flowing non-stop 365 days, 24/7.

Before cracking open the well, all of the permanent production equipment will be placed and tested on- site. The Superintendent, engineers, and roustabout crew will complete leak tests and walk around the pad to ensure that all connections and bolts are greased and torqued to specifications. Usually, before bringing the well online and running it through permanent equipment, flowback equipment will be hauled and brought to location.

Flowback equipment acts as a temporary means of initially flowing back the well so the operator isn’t running the risk of damaging permanent production equipment. The moment the well is initially brought online will be the hardest the well will ever run. Excess frac sand and plug parts could potentially be spit up, so this is the reasoning behind temporary flowback equipment.

Construction and facilities ensure that they are handing the pad off to production in tiptop shape, since that will be the permanent state of the location’s appearance to the naked eye and ultimately how the equipment operates. Throughout this

CONSTRUCTION & FACILITIES: LET’S GET BUILDING

O&G:UPSTREAM

entire process, safety is the number one priority. Sign-in and sign-out sheets will immediately be passed around when entering the site. When signing off on these, the crew will explain what activity is taking place and where to look for tripping hazards.

*This article is the third in a series of articles looking at the entire upstream process. The next article and final article for the series will include a look at production in the upstream sector. The production article will take a deeper look at downstream production equipment and will look at how artificial lift systems and lease operators play an integral role in the lifetime of a well. The first article in the series appeared in the October edition of ONG and focused on drilling, while the second appeared in the November edition and centered on completions.

Shale Media Group (SMG) is the news, information, and education resource dedicated to the shale oil and gas industries by messaging across video, Internet, publications, events, and radio. For more, check out ShaleMediaGroup.com to access all platforms. Adam Larson is a Staff Writer with Shale Media Group. Adam also studies Petroleum and Natural Gas Engineering at Penn State University. Contact him at [email protected].

December 2015


By: Kristie Kubovic, Director of Communications, Shale Media Group

After nearly seven years of effort, President Barack Obama rejected a permit application by TransCanada Corporation on November 6 to build the final phase of the Keystone XL pipeline, a pipeline project that would have permitted American oil producers more access to the large refining markets in the Midwest and along the Gulf Coast. Perhaps no other pipeline in US history has been studied and scrutinized more or created such a polarizing divide with environmental groups on one side and the shale oil and gas industry on the other.

The Keystone XL pipeline is actually comprised of four project phases. Of those four, three are in operation, while Phase IV is the portion that President Obama just rejected.

• Phase I (Keystone Pipeline) moves oil over 2,147 miles from Hardisty, Alberta, Canada to the junction at Steele City, Nebraska. From Steele City, it could be transferred to the Wood River Refinery and the Patoka Oil Terminal Hub in Illinois. Phase I has a delivery capacity of 590,000 barrels of oil per day and was completed in June 2010.

• Phase II (Keystone-Cushing Extension) extends 291 miles from Steele City, Nebraska to Cushing, Oklahoma, storage and distribution facilities. Phase II has a delivery capacity of 590,000 barrels of oil per day was completed in February 2011.

• Phase IIIa (Gulf Coast Extension) runs 435 miles from Cushing, Oklahoma to Nederland, Texas to the Port Arthur refineries. Phase IIIa has a delivery capacity of 700,000 barrels of oil per day and was completed in January 2014.

• Phase IIIb (Houston Lateral Pipeline) is a 47 mile pipeline from the Liberty County, Texas portion of the Gulf Coast Extension to Houston, Texas refineries and terminals. Phase IIIb is under construction expected to be completed in 2016.

• Phase IV (Proposed Keystone XL Pipeline) would essentially duplicate Phase I, but hosts a shorter route through the Bakken formation with a larger diameter pipe. If approved, the proposed pipeline project would have extended 1,179 miles from Hardisty, Alberta, to Steele City, Nebraska with 329 miles in Canada and 840 miles in the United States. The 36-inch diameter pipeline would have had the capacity to move 830,000 barrels of crude oil per day from Canada and the Bakken region of North Dakota and Montana to large refineries in the Midwest and along the Gulf Coast. By running through the Bakken, American-produced light crude oil could be added to the synthetic crude oil and diluted bitumen coming out of the oil sands of Canada. Phase IV was projected to be completed approximately two years after the issuance of a Presidential Permit.

Throughout Phase IV’s history, TransCanada has worked through various requirements. Here is a look at the proposed Keystone XL pipeline’s timeline:

July 2008TransCanada publicizes its plans to expand the Keystone oil pipeline system to the Gulf Coast.

September 19, 2008TransCanada files its first application for a cross-border permit with the US State Department, a requirement for building any cross-border pipeline.

October 15, 2010Then-Secretary of State Hillary Clinton relays the administration was “inclined” to approve the pipeline.

July 26, 2011The House passes the North American-Made Energy Security Act by a vote of 279 – 147 that required a decision on the Keystone XL pipeline be made by November 1, 2011.

August 26, 2011The US State Department releases its first environmental review of the project and concludes that “it wouldn’t add significant amounts of greenhouse gas emissions to the atmosphere.”

A LOOK AT PIPELINE POLICY: KEYSTONE XL

(Image from keystone-xl.com/about/the-keystone-xl-oil-pipeline-project/)

O&G: MIDSTREAM

December 2015

November 10, 2011President Obama delays a decision on the pipeline until after the 2012 election due to environmental concerns over the pipeline’s path in Nebraska and says a new route must be selected.

December 12, 2011Nebraska Governor Dave Heineman “supports efforts to accelerate federal approval” of the Keystone XL pipeline through Nebraska.

January 18, 2012President Obama rejects TransCanada’s permit.

March 8, 2012The Senate rejects an amendment by a vote of 56 – 42 that would approve the Keystone XL pipeline project.

May 4, 2012TransCanada files a second permit application with the US State Department, restarting the regulatory review process.

May 2012TransCanada also decides to proceed with Phase III of the expansion as a separate project.

January 2013Nebraska Governor Dave Heineman approves TransCanada’s proposed revised route in Nebraska, which minimizes land and water disruptions in the state.

March 1, 2013The US State Department releases a Keystone XL Environmental Impact Statement that says “there would be no significant impacts to most resources along the proposed Project route.”

May 22, 2013The House passes a resolution by a vote of 228 – 185 that would set “forth the rule for consideration of the bill to approve the construction, operation, and maintenance of the Keystone XL pipeline.”

June 25, 2013President Obama states he will only approve the Keystone XL pipeline if it doesn’t “significantly exacerbate climate change.”

January 31, 2014The US State Department releases its final environmental impact statement, which again finds that “the pipeline would not significantly exacerbate climate change.”

February 19, 2014A Nebraska district court judge proclaims “the law that allowed for the pipeline’s route through the state unconstitutional.”

April 18, 2014The US State Department issues an indefinite extension of the inter-agency review of the pipeline, noting “ongoing litigation over a Nebraska law that allowed the pipeline’s route through the state.”

November 14, 2014The House passed a bill that “authorizes TransCanada Keystone Pipeline, L.P. to construct, connect, operate, and maintain the pipeline and cross-border facilities specified in an application filed by TransCanada Corporation to the Department of State on May 4, 2012.”

November 18, 2014The Senate rejects a bill by a vote of 59 – 41 that would have authorized the Keystone XL pipeline.

December 16, 2014After the 2014 midterm election, incoming Senate Majority Leader Mitch McConnell vows, “the first item up in the new Senate will be the Keystone XL pipeline.”

January 8, 2015The House passes a resolution by a vote of 244 – 181 that provides “for consideration of the bill to approve the Keystone XL Pipeline.”

January 9, 2015The House passes the Keystone XL Pipeline Act by a vote of 266 – 153.

January 29, 2015The Senate passes the Keystone XL Pipeline Approval Act by a vote of 62 – 36.

February 11, 2015The House passes the Keystone XL Pipeline Approval Act by a vote of 270-152 and a resolution that provides “for consideration of the bill to approve the Keystone XL Pipeline” by February 23, 2015.

February 24, 2015President Obama vetoes the Keystone XL Pipeline Approval Act.

March 4, 2015With a vote of 62 – 37, the Senate doesn’t acquire the two-thirds majority needed to override President Obama’s veto.

November 2, 2015TransCanada sends a letter to the US State Department requesting a postponement of the review, while it works with Nebraska authorities on a state review process.

November 5, 2015US Secretary of State John Kerry denies that request as Congressional Democrats push President Obama to deny Keystone XL construction before the United Nations Climate Change Conference takes place in Paris on November 30.

November 6, 2015President Obama rejects TransCanada’s application permit for the proposed Keystone XL oil pipeline.

Despite the numerous approvals and studies, which pointed to no sound environmental reason to deny the $8 billion Keystone XL Pipeline, President Obama stated in a press conference, “After extensive public outreach and consultation with other cabinet agencies, the State Department has decided the Keystone XL pipeline would not serve the national interests of the United States. I agree with that decision.”

President Obama added, “This pipeline would neither be a silver bullet for the economy, as was promised by some, or the expressway to climate disaster, proclaimed by others.” Conversely, the decision is viewed by many as a politically motivated decision.

According to an email by Matt Koch, Vice President, Institute for 21st Century Energy, US Chamber of Commerce, “The Keystone XL Pipeline project would have created 42,000 new jobs for American workers during construction, putting $2.2


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billion in workers’ pockets; [and] the Keystone XL Pipeline would have contributed $3.4 billion to U.S. GDP.” Additionally, “Congress voted 10 times on legislation in support of the President granting the construction permit, [while] 57% of Americans support the construction of the Keystone XL Pipeline.”

Koch’s email also states, “The American energy revolution faces an infrastructure problem. The Keystone XL Pipeline would have helped solve this problem by moving up to 100,000 barrels per day of crude oil from North Dakota. The Keystone XL Pipeline would have provided us with energy from a friendly neighbor – energy essential to fueling our economy. Every barrel of oil imported from Canada, via the Keystone XL Pipeline, would have reduced our dependency on oil from unfriendly nations.”

Mike Krancer, former Secretary of the Pennsylvania Department of Environmental Protection (DEP) and now Partner and head of the energy industry team at Blank Rome LLP in the firm’s Philadelphia office, says the Keystone XL saga emphasizes the need for lawmakers at all levels to reform the permitting process for major energy infrastructure projects, so they don’t all turn into drawn-out reviews. “We need a better handle on the timing of certain decisions, regardless of whether it’s a yes or a no. A seven-year timeline is a disgrace, it’s dysfunctional.”

The US is in need of infrastructure, such as transmission lines, to safely move energy. The Keystone XL pipeline would be a critical infrastructure project for the energy security of the country by reducing Middle East and Venezuelan oil dependence. For example, OPEC countries import about 4.3 million barrels per day (MMbbl/d). Plus Keystone XL would strengthen the economy in the process.

Also, keep in mind, the crude oil needs moved regardless. With inadequate pipelines, that means rail cars will likely be more heavily relied on. The train transportation method likely yields more greenhouse gases than by pipe. Plus, there is an increased chance for accidents and spills.

In recent years the demand for rail car transport has already increased. For example, according to the Association of American Railroads, in 2008 around 9,500 carloads of crude oil were transported by rail; however, by 2014, that number soared to a record 493,146 carloads. Additionally, in the US from 1975 to 2012, 800,000 gallons of crude oil were spilled from rail cars according to the Pipeline and Hazardous Materials Safety Administration. However, in 2013 alone in the US, 1.5 million gallons of crude oil were spilled from rail cars—more than the previous 37 years combined. When you include Canada, those numbers increase. In just one accident in July 2013, 1.5 million gallons of crude oil spilled in Lac-Megantic, Quebec.

Directly affecting the Plains, Midwest, and Gulf Coast states, the proposed Keystone XL pipeline has been one of the most studied, scrutinized, and debated pipeline projects in US history. Only time will tell if it has implications throughout the US. For example, thus far the Northeast hasn’t faced challenges like Keystone XL has endured. As for the Keystone XL pipeline, it could still be approved, but will have to wait for a new election and administration. Currently the Senate lacks the votes needed to override the President’s decision.

Shale Media Group (SMG) is the news, information, and education resource dedicated to the shale oil and gas industries by messaging across video, Internet, publications, events, and radio. For more, check out ShaleMediaGroup.com to access all platforms. Kristie Kubovic is the Director of Communications at Shale Media Group. Contact her at [email protected].

December 2015

UPCOMING EVENTS

Denotes National EventVisit our website for links to these events

WWW.ONGMARKETPLACE.COM/EVENTS

DECEMBER8

Energy Exports Executive Summit Houston, TX | www.hartenergy.com

8Energy Project Finance Tutorial New York, NY | www.infocastinc.com

10-112015 Utility Regulation Conference Washington, DC | center.snl.com

26-28Marcellus-Utica Midstream Pittsburgh, PA | www.marcellusmidstream.com

2-3IADC Health, Safety, Environment & Training Conference Houston, TX | www.iadc.org

9-11SPE Hydraulic Fracturing Technology Conference The Woodlands, TX | www.spe.org

9-12NAPE Summit Houston, TX | www.napeexpo.com

16-18Midstream Summit Houston, TX | www.infocastinc.com

1-3IADC/SPE Drilling Conference Fort Worth, TX | www.iadc.org

22-23SPE/ICOTA Coiled Tubing and Well Intervention Conference Houston, TX | www.spe.org

6-8PESA Annual Meeting San Diego, CA | www.pesa.org

11OGIS New York New York, NY | www.ipaa.org

12-13National Fluids Conference & Exhibition Houston, TX | www.aade.org

21Michigan Petroleum Conference Acme, MI | www.michiganoilandgas.org

MARCH

APRIL

JANUARY

FEBRUARY


By: Heather Eisiminger, Training Facilitator, CONSOL Energy

A gem in the heart of the Marcellus/Utica shale play in Washington County, PA, CONSOL Energy has opened its doors to the community with a state-of-the-art Gas training facility providing best-in-class training for the O&G community.

With renovations completed in 2015, the nearly 24,000 square-foot CONSOL Gas Training Academy provides seven classrooms and meeting rooms, as well as breakout areas for group collaborative learning. Each classroom offers individual food prep and instructor offices allowing a completely independent and unique training opportunity. The Training Academy is designed to accommodate both large and small groups while maintaining a comfortable atmosphere and learning experience. Each training space offers its own unique amenities from mounted projectors to speaker microphones and magnetic white boards running the length of the rooms. The Gas Training Academy offers the latest technology in training such as wireless presentation with Smart features allowing writing and highlighting

on presentations while presenting with an instructors monitor in the rear of the classroom.

The Gas Training Academy was designed with O&G hands-on training in mind. Among the technical training capabilities at the academy is a fully functional pipeline, from the well head to a pigging receiver. This pipeline allows training on measurement, purging, pressure testing, pigging, odorization and valve operation and maintenance. The operations room has a height of twenty-four feet with a garage door and epoxy floor allowing the classroom to be designed around large and cumbersome field equipment with blended indoor and outside learning experience capabilities.

Outside the main building within the spacious parking lot the Gas Training Academy houses the latest in hands-on fire simulation. This simulator operates on liquid propane with instructor controls providing live fire extinguishing exercises for natural gas ground, well head, pan, split pipe

and flange fires. “We created this facility to enhance the training and development opportunities that we have available for our employees and to continue improving our safety and compliance performance,” said Kurt Salvatori, Vice President of Human Resources. “After we began operations at the facility, we realized that with its great space and perfect location we could offer the same opportunities to our industry partners and to the general public.”

The Academy offers a wide variety of training options and services. Aside from CONSOL-hosted compliance and safety courses open to the public, the classrooms and conference space can be rented by the public for training sessions or meetings. The facility will also be the site of the majority of PetroSkills course offerings in the Pittsburgh region for 2016, among other top training professional organizations.

Locating the Gas Training Academy in Washington County made perfect sense and has made it the East Coast hub for O&G training. From a geographic perspective the Training Academy is located in the center of the Marcellus and Utica shale development and CONSOL’s own O&G operations. The Training Academy is located just two and half miles off the I-70/79 exchange in Washington, PA. Opening the facility to the public further demonstrates CONSOL’s commitment to safety and training. The Gas Training Academy provides a needed service to the industry and our service partners enhancing the skill of the Appalachian Basin workforce. By opening the academy to the public and providing a central training location, employees from the industry can come together in the region to grow and expand safety, technology and industry knowledge within the O&G operations.

For more information about the rental space and services available at the Gas Operations Training Academy please contact [email protected] or view the upcoming training programs on the website at https://consolenergy.frontdeskhq.com .

CONSOL ENERGY OPENS GAS TRAINING ACADEMY TO COMMUNITY

INDUSTRYINSIGHT

December 2015

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AW-Lake Company Announces New ATEX and IECEx Certifications - CSA-certified RT-30EX Flow Transmitter and HUB-41EX Flow Sensor add certification for global use in hazardous areas.

FRANKSVILLE, WI – October 22, 2015 AW-Lake Company, the leading North American manufacturer and distributor of flow meter products, is proud to announce new ATEX and IECEx explosion-proof certifications of their popular RT-30EX meter-mounted flow transmitter and HUB-41EX flow sensor, for use in hazardous areas. These new certifications are important to engineers designing systems in environments with explosive atmospheres, because they ensure compliance with all standards set forth by European Parliament and of the Council and the International Electrotechnical Commission (IEC) for safety and performance. The formal evaluation process involves months of examination, testing and continuous follow-up inspections.

AW-Lake will continue to offer the RT-30EX transmitter with CSA (US & Canada) certification, as well as the non-certified models for those not requiring such stringent criteria as mandated by these certifying bodies.

Together with its European sister companies, KEM-Kueppers, Vogtlin Instruments, and LitreMeter, AW-Lake services and distributes a broad portfolio of flow measurement instrumentation throughout North America, South America, Europe, and Asia. For information, please contact Marcia Reiff, Marketing Manager, at 800-850-6110, e-mail [email protected], or visit AW-Lake’s Web site at www.aw-lake.com.

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Phone (330) 499-1420407 North Main StreetNorth Canton, Ohio 44720

Jason Cottrell Cell: (330) 289-7081

FAX: (330) [email protected]

www.ohiotankspecialties.com

December 2015

RJR Safety Inc

Claysville, PA 15323 724-809-4234 cell

[email protected]

www.rjrsafety.com

Consulting & Training – partnering with clients to develop/improve worker

safety

Wayne Vanderhoof CSP Safety Professional/President

“Working Safe, Preventing Injuries, Protecting Profits”

Custom Purification Systems - Natural Gas Drying & Purification - Regenerative Dryers - Refrigeration Dryers

Deliquescent Dryers - Filtration Systems - Custom FabricationHigh Pressure Ball Valves - Center Guided Check Valves

Specialized Precision Machining

Visit us at www.psbindustries.comCall us at 1-814-453-3651

30-April 1OGA Technical Seminar Dublin, OHwww.ohiogasassoc.org

28KOGA Eastern KY Technical Seminar Prestonburg, PAwww.kyoilgas.org

3SafeLand USA – AWARE IADC Rig PassWashington, PAwww.rjrsafety.com

8IADC Rig PassWashington, PAwww.ypepittsburg.org

8SafeLand USA – AWARE IADC Rig PassBridgeport, WVwww.rjrsafety.com

14First Responders One-Day SeminarDublin, OHwww.ohiogasassoc.org

17SafeLand USA – AWARE IADC Rig PassWashington, PAwww.rjrsafety.com

21PEC Basic OrientationPittsburgh, PAwww.amhealthandsafety.com

22SafeLand USA – AWARE IADC Rig PassCaldwell, OHwww.rjrsafety.com

TRAINING & WORKSHOPS

DECEMBER MARCH

APRIL

WANT YOUR TRAINING EVENT ON OUR CALENDAR?

CALL US AT 724-787-4451 OR EMAIL [email protected]

304 692-6446

Company and Industry Specific

ATV-UTV Safety Training

Knowledge and performance based evaluations and documentation


By: Michael Kenworthy, Technology Commercialization Corp.

Liquid loading is the ultimate “cause of death” for most gas wells. Gas well reservoirs typically contain connate fluids (water mostly) that were trapped in sedimentary rocks as they were deposited. Declines in reservoir pressure over time with depletion results in a decline in gas velocity up the production tubing. Eventually, the velocity of the gas is not sufficient to lift all produced liquids to the surface, and liquid collects in the bottom of the wellbore. Accumulated liquid impedes the flow of gas, imposes backpressure on the reservoir and eventually leads to intermittent flow and the need for artificial lift. The remaining life of the well is an exercise in employing various methods and devices to remove the liquid to enable the gas to flow, all of which take time and money. “Death” is imminent when operating expenses exceed revenues, and shutting in the well can trigger abandonment payments to plug the well and a potential termination of the underlying lease.

The minimum gas velocity needed to maintain steady state flow in gas wells has been an area of research interest for almost 50 years, pioneered by Turner, and followed by Coleman and Li. “Turner’s critical velocity” equation is based on empirical data from about 100 gas wells (tubing ID of mostly 2 inches or more), and does not account for diameter. Researchers from other fields (G.B. Wallis and D.J. Reinemann) found that diameter had a great impact on the ability of the gas phase to slip past the liquid phase in vertical tubes.

In all cases, reducing the diameter of tubing for gas-liquid flow reduces the rate of gas slippage. The impact that reducing diameter has on flooding reversals is at the heart of the Wallis Correlation. And Reinemann found that in air-water airlift pump systems, this effect increases at an increasing rate from diameters of 20mm down to 6mm, and that there was no gas slippage with diameters of 6mm or less. This hints at a potential methodology for engineering “gas slippage qualities”

for a conduit transporting multi-phase flow… although the ancillary effect of flow restriction limits its application in practice.

A new type of “production tubing” (multi-channel production string, or MCS) has been developed to side step this problem, i.e. severing the relationship between diameter of production tubing and flow volume considerations. An MCS is a polymer extrusion having a multitude of internal passageways with the same diameter. Multiple passageways compensates for the constricting/ choking effects on flow volume at higher flowrates when using smaller diameter tubing. “From an engineering point of view, making diameter an independent function vs. flow volume has huge implications in the management of gas slippage rates in conduits with multi-phase flow,” says Michael Kenworthy of Technology Commercialization Corp, owner of all rights to the patented MCS technology.

A traditional velocity string works mostly by increasing the velocity of the gas phase needed to lift liquid by way of constriction. An MCS works by reducing the minimum velocity of the gas phase needed to lift liquid to prevent liquid accumulation, thereby maintaining steady state flow in the well down to very low flowrates.

The MCS pictured below was installed in a 1,930-foot vertical gas well on a two-week slugging cycle aided regularly with soap sticks. It averaged 15 Mcfd with 2½ bbls of water, having reservoir pressure of 280# and line pressure of 70#. After the MCS was installed, the well kicked off by itself, unloading ~ 360 feet of water above the MCS entrance over three days, and then flowing at a steady state rate within a very narrow range (20 Mcfd with 3 bbls of water). Three years later, production is over 18 Mcfd and there has been virtually no maintenance required to date.

In this pilot well, flow velocity within the MCS extrusion was calculated at 4.4 feet-per-second at the bottom and 11 fps at the top, well below the minimum critical velocity predicted by Turner (~ 20 fps) to maintain liquid evacuation. Based on an LGR of 130 bbls/MMcf, the calculated net water content in each “1930-foot MCS passageway column” was less than ½ foot, implying mist flow up the low-friction polymer passageways. Using this extrusion configuration, a minimum “MCS critical velocity” of from 1 to 2 fps is predicted. This could permit the well to be produced in a steady state manner down to under 5Mcfd, likely putting abandonment 10 plus years into the future… even longer if individual passageways are sequentially plugged one by one.

REINVENTING THE VELOCITY STRING

NEWTECHNOLOGY

December 2015

An MCS extrusion is hung from the wellhead and extends down to the perforations. The pilot well MCS cost less than $1.50 per foot, and weighs about three feet to a pound. A crew of two with a spooler truck can handle two MCS workovers a day. The total out-of-pocket cost for the 1930-foot pilot well was under $5,000. In addition to extending the life of producing wells, many abandoned gas wells may be revived cost-effectively, especially given the alternative of plugging the well (~ $20,000). MCS extrusions designed with fewer passageways for even lower-volume stripper wells would further reduce costs, and bring new life into many wells on their last legs.

In particular, there is a “sweet spot” with this MCS technology for legacy shallow gas wells in the Northeast Region. Pennsylvania was a pioneer in drilling for gas, in part because some of their reservoirs are so shallow. While

an MCS extrusion can be fabricated to reach just about any needed well depth, the cost per foot is particularly low for shallow wells. The polymer mix used in the MCS pilot well has tensile strength sufficient to be hung 3,000 feet, costing under $1.50 per foot in 10,000-foot lengths. To help offset costs, the former production tubing can be removed for salvage.

MCS technology is at its infancy. While shallow gas wells may be the best entry point in its application, given their low out-of-pocket and opportunity costs, there are also applications in deep wells (gas and oil), offshore jumper lines, and riser systems having diameters of 4 inches or more.

For more information, contact Michael Kenworthy at [email protected], or Technology Commercialization Corp., 219 Blood Rd., Chester, VT 05143-8410

Basin Energy Continues To See Growth in Current Climate

After months of construction and preparation, Basin Energy Group officially opened the doors at it’s new location on November 12, 2015. The two-story office building, shop, and two-acre yard houses Basin Energy, as well as it’s two subsidiaries, ProActive Services and Starett’s Well Service. Basin Energy serves as a holding company and focuses on providing services and solutions to the midstream segment of the natural gas industry.

Since it’s formation in mid-2014, Basin Energy has grown from 40 employees to more than 100. The new location in Clarksburg, WV is positioned in the middle of many industry leaders working in the Marcellus and Utica shale plays and combines three offices into one central hub.

“We are very fortunate to be working for some of the major players in the industry,” said Bill Johnson, CEO. “This new facility will allow us to continue the growth that we’ve seen during the last year and potentially grow our service offerings as well.”

But, the company’s growth doesn’t end with the new office. Basin Energy is also putting the finishing touches on a new satellite office in Caldwell, OH. The office will provide support space for any work being done in the western sections of the Marcellus and Utica shale plays by Basin Energy. That office will be operational by early 2016.

Basin Energy, and it’s subsidiaries, offers a wide range of services to companies drilling and producing in the Appalachian Basin. For more information about the company, visit www.basinenergygroup.com.

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Oilfield Connect contacts supplier to match job site need.

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By: Gregory B. Clark, Business Development Manager, Alert Plus LLC

Abstract:Production activity has increased dramatically over the past 10 years as oil/gas operations have expanded the utilization of efficient extraction and production methods. Legacy operations have extended production lifetimes and new drilling operations utilize enhanced production methods to accelerate time to production. The scale of operations drive the compelling requirement of Safety Management to mitigate the risk to personnel and communities. Regulatory agencies have strong roles in setting requirements and enforcing the implementation of compliance requirements for safety and emissions performance.

Remote monitoring products and services provide additional resource to scale Safety Management to meet the expectations of enterprise, regulatory, and community requirements. The solutions are a key component to addressing those requirements and expectations. Present risk assessment and mitigation method already employed by the oil and gas industry in operations management are directly leveraged by emission products with economy of cost scale. Additional efficiencies with remote monitoring are gained with work process, situational assessment, and emission incident avoidance.

Remote Emission MonitoringAlert Plus’s Aegis 400 was designed by field engineering personnel to proactively provide emission status data to enhance operational integrity and mitigate emission incidents. A site-based instrument provides continuous monitoring of volatile emissions activity; Modbus 4–20 mA compatibility insures integral tag location on SCADA or Intermediate Operation Center (IOC) control systems/rooms. Site based mobile access provides situation assessment for field and operations stake holders

to determine present emission threat status. Intelligence provided by remote

emission monitoring is able to be included with operations knowledge base to establish SOP and threat addressment – all response activities able to be linked with the original emission alarm alerts for later review and assessment. Remote monitoring capability is aligned with Operations Integrity Management driven by existing DOT/PHMSA CRM initiatives. The concept is to integrate remote emissions management into a comprehensive life-cycle management process as present deployed in DOT/PHMSA connected operations. Illustrated in Figure 1 below is the life cycle management process as defined by ANSI/ASI 18.2 Alarm Management standard, a requirement for CRM compliance by DOT/PHMSA.

Technology Adoption.Another benefit of remote emission monitoring is the adoption of technology of a remote emission monitoring method process by field and operations team members. For example, SOP changes to remotely pre-assess emission levels before entering the site mitigates the emission threat that personnel will be exposed to. Comprehensive pre-assessment can set a draft work flow schedule for the work day, alerting ancillary support resources for that day’s task list. The long term benefit is work flow efficiency improvement and process repeatability as a return on investment (ROI) for remote emission monitoring.

Knowledge based retention.Knowledge base retention is a continuing challenge for field operations management. Personnel turnover and industry retirements challenge the integrity of operations with operations knowledge loss. Introduction of new technology sets opportunity to establish more efficient practices and capture the improved knowledge base with remote monitoring solutions such as the Aegis 400. Operations can extract the best practices from existing methods and processes, and integrate the efficiencies gained from remote monitoring resources into a continuous improvement best practice operation strategy. All is captured into a linked activities database that is reviewed, improved, and set to life cycle management process.

Imagine the capabilities provided with remote monitoring resources. An emission event is alerted to the IOC or SCADA control room. Remote data assessment provides for assessment of the threat and the immediacy of the response to protect field personnel or local communities. Mobile access from the field provides an instantaneous glimpse as to emission levels before entry to the site. All are captured in an alarm and event database to connect a response process to mitigate the impact of the emission threat. Monthly threat review meetings allow a team review of that incident, the response, and the event completion SOP to determine if efficiencies

REMOTE EMISSION MONITORING FOR ENHANCED OPERATIONS SAFETY MANAGEMENT

Figure 2. Repeatable Work Process

HEALTH& SAFETY

December 2015

can be applied to future incidents or threats. Figure 2 is a repeatable work process to manage remote monitoring emission alerts at field site locations.

Site Implementation Flexibility. Streamline connectivity for remote emissions monitoring to existing operations assets is a primary goal of implementation. Aegis 400 provides that flexibility for power and communication; sensor type selection for that site equipment or production type; and low temperature operation for cold climates. A proprietary pneumatic valve design provides capability to shut down remote equipment pending a critical emission event or explosion to protect equipment, personnel, and communities, and thus production value.

Regulatory Management ValueThe primary benefit of Remote Emission monitoring is Safety Management. With a multitude of operations based regulatory compliance challenges, remote emission monitoring is a key asset to manage activities and metric alignment performance as demonstrable data for compliance efforts. Colorado is an excellent baseline for Emission and Safety driven initiatives and looks to be a model that gains adoption with the EPA and states. Highlights of Colorado efforts include LDAR (leak detection and repair) at compressor assets and production facilities, methods to identify high emitters and develop program to mitigate it, storage tank emission management (STEM) with remote emission monitoring among other methods. The Colorado requirements harmonize well with Remote Emission Monitoring methods and the best practices. Emerging methane emission regulations such as EPA NSPS emission guidelines justify the utilization of remote monitoring resources beyond just Safety Management programs.

Summary/Conclusion:Remote emission monitoring enhances the Safety Management methods of operation strategy. An emission alert based process proactively triggers emission events to drive remote assessment process on the threat level to production assets, personnel, and communities. Implementation is iterative to present asset infrastructure and links a technology driven methodology to present operations management. It supports Integrity Management and Risk assessment/plan mitigation that harmonizes well with life cycle methods advocated by Regulatory

driven best practices. The implementation has economy of scale and is able to be categorized as enhancement investment to existing IOC or SCADA based control systems. There is return-on-investment (ROI) for emission incident avoidance, work process improvement, inclusion to present service and maintenance procedures, regulatory issue avoidance, and safety system enhancement. There continue to be community challenges to accept existing production operations and new drilling efforts. Aside the present oil and gas market economics, remote monitoring offers opportunity to illustrate production investments that demonstrate the stewardship message production companies wish to convey. Consider the public relations benefit of leveraging a remote emissions monitoring system for monthly community reports on emission performance to community stake holders as one example. The yield of such efforts provide multiple levels of benefit to all stake holders.

Gregory B. ClarkBusiness Development ManagerAlert Plus [email protected]

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Presented by Hosted by

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JANUARY 26-28, 2016

THE HEART OF THEREVOLUTION

PITTSBURGH, PADAVID L. LAWRENCE CONVENTION CENTER

North America’s shale revolution has a beating heart – the Marcellus-Utica region, where breakevens are low, activity is brisk and natural gas is abundant. Beyond the Marcellus’ 500-800 Tcf of recoverable natural gas, a new study predicts the Utica holds 782.2 Tcf (20x more than previous estimates). The biggest players in midstream are working to make the Appalachian region a net exporter of natural gas in 2015, two years ahead of the rest of the country. Is your company ready?

This January, the Marcellus-Utica Midstream conference and exhibition brings the region’s key players together for an in-depth look at the latest production estimates and major midstream projects planned, underway and coming on-stream. Secure your seat today!

To ATTEND, SPONSOR or EXHIBIT, visit

MarcellusMidstream.com From the

producers of

CONFIRMED SPEAKERS:

n Elie G. Atme, Vice President, Marketing and Midstream Operations, Range Resources Corp.

n Rob Wingo, Executive Vice President, Midstream & Marketing, Rice Energy; Chief Operating Officer, Rice Midstream Partners

n Robin Rorick, Group Director, Midstream and Industry Operations, API

MUM2016-ONG-1215.indd 1 11/16/15 2:27 PM

the northeast ong marketplace - december 2015

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