utah's energy landscape

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Utah’s EnergyLandscapeby Michael D. Vanden Berg

PUBLIC INFORMATION SERIES 95UTAH GEOLOGICAL SURVEY a division of DEPARTMENT OF NATURAL RESOURCES2009

Utah Geological Survey



Utah’s Energy Landscape

ISBN: 1-55791-823-6

Although this product represents the work of professional scientists, the Utah Department of Natural Resources, Utah Geological Survey, makes no warranty, expressed or implied, regarding its suitability for a particular use. The Utah Department of Natural Resources, Utah Geological Survey, shall not be liable under any circumstances for any direct, indirect, special, incidental, or consequential damages with respect to claims by users of this product.

Cover photo captions

1. Utah State Energy Program (USEP) staff constructing a 50-meter anemometer tower. (Photo by Jason Berry)

2. Coal loadout at the Horizon mine.3. Utah oil shale sample.4. The Hatch geothermal electric plant. (Photo courtesy of Raser

Technologies)5. Spanish Fork wind farm.6. Longwall mining machine at the Deer Creek coal mine.7. Coal loadout at the SUFCO mine.8. Hunter coal-burning power plant.9. Swaner Nature Center in Park City. (Photo courtesy of Swaner Nature

Center)10. Crude oil pump jack from the Aneth oil f ield.

For more information, contact:Michael D. Vanden Berg

Project Geologist

Energy & Minerals ProgramUtah Geological Survey801-538-5419

by Michael D. Vanden Berg

TABLE OF CONTENTS

Introduction ............................................................................................................................................1

Overview ................................................................................................................................................. 2

Coal .........................................................................................................................................................6

Crude Oil and Petroleum Products .....................................................................................................12

Natural Gas .......................................................................................................................................... 19

Renewable Resources .......................................................................................................................... 25

Unconventional Petroleum Resources—Oil Shale and Tar Sands ................................................... 32

Uranium ................................................................................................................................................33

Electricity ...............................................................................................................................................35

1 23

5

4

6 7

8 910



INTRODUCTION

The state of Utah is fortunate to have abundant and diverse energy resources including large reserves of conventional fossil fuels, several areas suitable for renewable resource development, and vast quantities of untapped unconventional fossil fuel energy sources. This publication, Utah’s Energy Landscape, was createdto offer a complete, visual-based, description of Utah’s entire energy portfolio.

The graphs found within this document were created using data compiled by the Utah Geological Survey(UGS) from several different sources, including the U.S. Department of Energy’s Energy InformationAdministration (EIA) and the Utah Division of Oil, Gas, and Mining (DOGM), as well as in-house surveysand conversations with individuals and companies.

Utah Energy and Mineral Statistics (UEMS) is a Web-based data repository located on the UGS Web site (seescreen shot below) and contains all the energy data used to create the graphs contained in this report. Each

graph includes a reference table number, indicating where the data can be found and downloaded either asa Microsoft Excel® file or an Adobe® PDF file.

Utah Energy and Mineral Statistics Web page: http://geology.utah.gov/emp/energydata



Utah’s Energy Landscape2

Utah produced 29% more energy than it consumed in 2008, making the state anet-energy exporter. The majority of this excess energy was in the form of exportedcoal and natural gas. Utah also exports significant amounts of electricity, producedfrom both fossil fuels and renewable sources.

Overview

UEMS Web page table: Table 1.4Source: EIA, UGS

Note: 2008 data is estimated.

Utah Energy Balance:

Production and Consumption, 1960–2008

T r i l l i o n B t u

1980 – Utah againbecame a net-exporterof energy

1,200

1,000

800

600

400

200

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Total energy production

Total energy consumption



Overview 3

Energy Production in Utah by Source

2008

Trillion Btu (Percent of total)

1960–2008

Geothermal5.5 (o.5%) Biomass

6.4 (o.5%)Hydroelectric6.3 (o.5%)

Natural gas (Dry)458 (39.2%)

Crude oil128 (10.9%)

Coal563 (48.3%)

Total:1,167 Trillion Btu

C o a l , c r u d e o i l , a n d n a t u r

a l g a s

( T r i l l i o n B t u )

H y d r o e l e c t r i c , g e o t h e r m a l , a n

d b i o m a s s


Fossil fuels made up 98.4% of Utah’s total energy production in2008, while renewable sourcesaccounted only for 1.6% of Utah’s

production portfolio.

UEMS Web page table: Table 1.8Source: EIA, UGSNotes: 2008 data are estimated; production from wind and solar are negligible;

IPP=Intermountain Power Project.

700

600

500

400

300

200

100

0

16

14

12

10

8

6

4

2

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

CoalCrude Oil

Natural gas

Hydroelectric

GeothermalBiomass

1963 – Flaming Gorgehydroelectric cameonline (152 MW)

1984 – Utah’s rstgeothermal power plant

1986 – Start of IPP –1800 MW of coal-redgeneration



Utah’s Energy Landscape4

2008Trillion Btu (Percent of total)

Geothermal6.4 (o.7%) Biomass

6.4 (o.7%)Hydroelectric

6.3 (o.7%)

Total:827 Trillion Btu*

Natural gas244 (25.6%)

Petroleum products292 (30.6%)

Coal399 (41.8%)

Fossil fuels made up 98.0% of Utah’s total energy consumption in

2008, while renewable sources only accounted for 2.0% of Utah’sconsumption portfolio. These graphs do not include net interstateflows and losses (see inset graph); Utah exported 127 trillionBtu of electricity (including losses) in 2008, thus reducing totalconsumption to 827 trillion Btu.

UEMS Web page table: Table 1.14Source: EIA, UGSNotes: 2008 data are estimated; consumption from wind and

solar are negligible.

*Total includes net interstate f lows and losses. Net interstate flow of electr icity isthe difference between the amount of energy in the electricity sold within a state(including associated losses) and the energy input at the electric utilities withinthe state. A positive number indicates that more electricity (including associatedlosses) came into the state than went out of the state during the year; conversely,a negative number indicates that more electr icity (including associated losses)went out of the state than came into the state.

The start of theIntermountain Power

Plant, which sends mostof its power out of state

Net Interstate Flows and Losses in Utah, 1960–2008


100

50

0

-50

-100

-150

-2001960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Net InterstateFlows and Losses

1960–2008

Energy Consumption in Utah by Source

C o a l , p e t r o l e u m p r o d u c t s , a n d n a t u r a l

g a s


H y d r o e l e c t r i c , g e o t h e r m a l , a n d b i o m a s s


400

300

200

100

0

16

14

12

10

8

6

4

2

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

CoalPetroleum productsNatural gas

HydroelectricGeothermalBiomass



Overview 5

UEMS Web page table: Table 1.16Source: EIANote: 2008 data are estimated*includes net interstate f lows and losses

2008

Trillion Btu (Percent of total)

Total:827 Trillion Btu*

The transportation sector, mostly gasoline anddiesel for vehicles, was the largest consumer of energy in Utah in 2008 (32.1%). The residential,commercial, and transportation sectors have allgradually increased over time, consistent withincreasing population and increasing energyconsumption per capita, while the industrialsector follows a pattern more closely tied to thenational economy (e.g., an economy-related dipin the mid-1980s).

Energy Consumption in Utah by Sector

GenevaSteel closed

1960–2008


300

250

200

150

100

50

0

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Transportation266 (32.1%)

Residential167 (20.2%)

Commercial157 (19.0%)

Industrial237 (28.7%)

Residential

Commercial

IndustrialTransportation



6 Utah’s Energy Landscape

COal

Kolob

Harmony

Alton

Sego

Kaiparowits

Plateau

Henry Mtns.

Salina

Canyon

Sterling

Wasatch

Plateau

Book

Cliffs

San Juan

La Sal

VernalTabby

Emery

Henrys Fork

Mt. Pleasant

Lost Creek

Grouse Creek

Goose Creek

Wales

Coalville

0 4020

miles

County

Interstate

Data Source: UGS

Active coal mine

Economic reserves

Prospective resources

Marginal resources

Coal >4 ft thick and <3000 ft deep

Coal

Dugout Canyon

West Ridge

Deer Creek

Emery

SUFCO

Horizon

Skyline

Zion

NP

Grand Staircase

Escalante NM

C a p

i t o l R e e f N P

Bryce Canyon NP

C a n y

o n l a n d s N P

Arches NP

Dinosaur NM

Coal Fields

Lila Canyon

Coal Hollow

Proposed coal mine

National park or monument

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALTLAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE WAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

Utah’s most economic coal reserves are located in three

coal fields forming an inverted “U” primarily acrossSevier, Emery, and Carbon Counties. One proposed minelies outside this area, the Coal Hollow mine in southernUtah’s Kane County. Utah’s largest coal deposit is withinthe Kaiparowits Plateau coal field and is currently off limits to development since this area sits within theGrand Staircase–Escalante National Monument.



7Coal

Utah’s Recoverable Coal Resources

by Coal Field, 2008Million tons (Percent of total)

The majority of Utah’s recoverablecoal resources are located in theGrand Staircase–Escalante NationalMonument within the Kaiparowitscoal field (60.5% of Utah’s estimatedrecoverable coal, as of 2008). Only the Wasatch Plateau, Emery, and Book Cliffsfields currently contain economicallyrecoverable reserves and active mines.

8 Others277 (1.8%)

Salina Canyon208 (1.4%)

Sego341 (2.3%)

Henry Mountains485 (3.2%)

Book Cliffs683 (4.5%)

Total:15,035 million tons

UEMS Web page table: Table 2.3Source: UGSNote: For Wasatch Plateau, Alton, Emery, Book

Cliffs, and Henry Mountains, resources wereconstrained by a seam height minimum of

four feet, with no more than 3000 feet of cover. For the remaining fields, resourceswere constrained by an estimated resource

factor ranging from 30% to 40% of principal(unconstrained) resources. These resourcesdo not take into account economic or land-use constraints.

Kaiparowits9,096 (60.5%)

Wasatch Plateau1,282 (8.5%)

Alton1,056 (7.0%)

Kolob805 (5.4%)

Emery803 (5.3%)




U.S. Coal Production by State, 2008

T h o u s a n d t o

n s

500,000

450,000

400,000

350,000

300,000

250,000

200,00

150,000

100,000

50,000

0

W y o m i n g

W e s t V i r g i n i a

K e n t u c k y

P e n n s y l v a n i a

M o n t a n a

T e x a s

I n d i a n a

I l l i n o i s

C o l o r a d o

N o r t h D a k o t a

O h i o

N e w M e x i c o

V i r g i n i a

U t a h

A l a b a m a

A r i z o n a

L o u i s i a n a

M i s s i s s i p p i

M a r y l a n d

T e n n e s s e e

A l a s k a

O k l a h o m a

M i s s o u r i

K a n s a s

A r k a n s a s

14th

Utah Coal Production by Mine, 2008

T h o u s a n d t o n s

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0SUFCO Dugout

CanyonDeer Creek

WestRidge

Skyline Emery Bear Canyon

Aberdeen(now

closed)

Horizon

In 2008, Utah ranked as the 14th largeproducer of coal in the United States.

In 2008, 58.3% of Utah’s coal producticame from Canyon Fuel Company minlocated in Sevier and Carbon Counties



Canyon Fuel (Arch Coal)

Energy West Mining Co. (PaciCorp)

UtahAmerican Energy (Murray Energy)

CONSOL EnergyHiawatha Coal Co. (Co-op)

America West Mining Co.



9Coal

In 2008, Utah produced its 1 billionth ton of coal. In recentyears, coal production growth in Carbon County hasoutpaced that of Emery and Sevier Counties on strengthof the West Ridge, Dugout, and Skyline mines. Onlyone large mine, Deer Creek, remains in Emery County,while the only coal produced in Sevier County is from theSUFCO mine. In the next few years, the percentage of coal mined from Emery County should increase when thenew Lila Canyon mine commences production and minesin Carbon County deplete their reserves. In addition,the proposed Coal Hollow mine in the Alton coal fieldof southern Utah’s Kane County could result in the firstsignificant coal production outside Carbon, Emery, and

Sevier Counties in over 50 years.

2008Thousand tons (Percent of total)

Total:24,275 thousand tons

30,000

25,000

20,000

15,000

10,000

5,000

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005


1960–2008

Huntington andHunter power plantscame online

Recession related

drop in production

IPP power plantcame online

Skyline minetemporarily idled

UEMS Web page table: Table 2.10Source: UGSNote: Production too small to be seen on graph was reported from Summit, Iron, and Kane Counties,

mostly between 1960 and 1972.

Utah Coal Production by County

Sevier 6,946 (28.6%)

Carbon11,533 (47.5%)

Emery5,796 (23.9%)

Carbon Emery Sevier




2008Thousand tons (Percent of total)

The vast majority of coal in Utah (95.1%)is consumed at electric power plants. Thesecond-largest amount (4.8%) is consumedby the industrial sector at cement/limeplants and Kennecott Utah Copper’s power plant which provides electricity for copper smelting. Coke consumption ceased in2001 when Geneva Steel went out of business.

1960–200818,000

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005


IPP power plantcame online in 1986

Industrial852 (4.8%)

Residentialand commercial

22 (0.1%)

Utah Coal Consumption by Sector


Note: 2008 data are estimated.

Other industrial

Residential & commercial

Coke plant

Electric utilites

Electric utilities16,972 (95.1%)

Total:17,846 thousand tons



11Coal

The majority of Utah coal, 65.6%in 2008, is used in state, whil33.2% was shipped out of stateand 1.2% was shipped to othecountries. Foreign exports, mostlto Asia, peaked in 1996 when 5.million tons, or 19.7%, of Utah coawas shipped to foreign marketsThis export market ceased to beconomic as Australia and Chinincreased production.

Distribution of Utah Coal, 1970–200830,000

25,000

20,000

15,000

10,000

5,000

01970 1975 1980 1985 1990 1995 2000 2005


Average Minemouth Price and Value of Utah Coal, 1960–2008

$100

$80

$60

$40

$20

$0

$1,200

$1,000

$800

$600

$400

$200

$01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

$87

$27.78

$1.1 billion

$674 million

M i l l i o n

D o l l a r s

D o l l a r

p e r t o n

UEMS Web page table: Table 2.22Source: UGSNote: 2008 data are estimated.

UEMS Web page table: Table 2.19Source: UGSNote: 2008 data are estimated.

Utah’s minemouth price (the price at the mine) of $27.78 in 2008 was the 4th highest in history

in nominal dollars, but was well below the inflation-adjusted high of $87 reached in 1976. The2008 value of produced Utah coal equaled $674 million, a record in nominal dollars, but muchless than the inflation-adjusted value of $1.1 billion recorded in 1982.

Consumed in Utah

Domestic exports

Foreign exports

Minemouth price - $ per ton

Minemouth price - 2008 $ per ton

Value of coal produced - $

Value of coal produced - 2008 $




Crude Oil and

PetrOleum PrOduCts

0 4020

miles

County

Interstate

Data Source: UGS, DOGM

Petroleum refinery

Crude oil field

Crude Oil

Crude oil pipeline

Pet. products pipeline

Altamont/Bluebell

Greater Aneth

Covenant

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE

WAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

Utah’s crude oil production is mostly concentratedwithin Duchesne and Uintah Counties to thenorth and San Juan County to the south; smaller producing areas are in Summit and Grand Counties.The discovery of the Covenant field in central Utahboosted Utah’s overall declining production andopened up that area to new exploration.



13Crude Oil and Petroleum Products

Crude Oil and Natural Gas Liquid Reserves in Utah, 1960–2008600

500

400

300

200

100

0

$80

$60

$40

$20

$01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

M i l l i o n

b a r r e l s

W e l l h e a d p r i c e ( 2

0 0 8 $ p e r b a r r e l )

Oil and Gas Well Completions in Utah, 1960–2008

1,200

1,000

800

600

400

200

0

$80

$60

$40

$20

$0

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

N u m b e r o f w e l l s

W e l l h e a d p r i c e ( 2 0 0 8 $ p e r b a r r e l )

Natural gas liquid reserves surged in 1979, coinciding with a spike in crude oil prices, and peaked in thelate 1980s. The recent increase in crude oil price has translated into record crude oil reserves in 2007(355 million barrels), but has since declined in 2008.

The number of well completions (both oil and gas) has tracked closely with wellhead price, both peakingin the early 1980s and again in recent years. The recent price surge has facilitated a record high of 1207 wells drilled in 2008. Also of note is the decrease in the number of dry wells through the years asdrilling and exploration techniques have improved and high-risk wildcat drilling has decreased.

UEMS Web page tablTable 3.2 and Table 3Source: EIA

UEMS Web page tablTable 3.5 and Table 3.

Source: DOGM, EIA

Natural gas liquid reserves

Crude oil reserves

Wellhead price -2008 $ per barrel

Gas

Dry

Oil





Crude oil production in Utah is mostly concentratedin Duchesne, Uinta, and San Juan Counties.Recently production has started in Sevier Countywith the discovery of the Covenant field in centralUtah.

Utah has experienced three oil booms in the past 60 years and is currently defining a fourth. The first spike in crude oilproduction followed the discovery of the very large Bluebell and Greater Aneth f ields in 1955 and 1956, respectively. Thesecond spike coincided with a 1971 increase in wellhead price as well as the discovery of the Altamont field. The thirdspike in production resulted from the price spike of the early 1980s and followed the 1980 discovery of the AnschutzRanch East natural gas field, which also produced large amounts of crude oil. The current rise in crude oil productionis related to higher prices resulting in higher production from existing fields, as well as the discovery of the Covenantfield in central Utah.

UEMS Web page table: Table 3.8Source: DOGM Note: “Other” includes Garfield, Carbon, Emery,

Sanpete, and Daggett Counties.

UEMS Web page tables: Table3.7 and Table 3.20Source: DOGM, EIA

Utah Crude Oil Production by County, 2008Thousand barrels (Percent of total)

Duchesne8,703 (39.5%)

Other 241 (1.2%)

Grand268 (1.2%)

Summit320 (1.5%)

Sevier 2,140 (9.7%)

San Juan3,813 (17.3%)

Uintah6,525 (29.6%)

Total:22,010 thousand

barrels

Utah Crude Oil Production, 1945-2008

40,000

30,000

20,000

10,000

0

$80

$60

$40

$20

$01945 1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

T h o u s a n d b

a r r e l s

W e l l h e a d p r i c e ( 2 0 0

8 $ p e r b a r r e l )

Production





In 2008, Utah ranked as the 13th largest producer of crude oil in the United States (notincluding federal offshore areas).

As the total number of producing oil wells has increased over the years, the average yearlyproduction per well has decreased. This graph illustrates how it requires more wells to producethe same amount of crude oil.

UEMS Web page table:Table 3.6Source: EIA, DOGM

UEMS Web page table:Table 3.7Source: DOGM

Number of Producing Crude Oil Wells in Utah Versus

Average Yearly Production per Well, 1960–2008

3,000

2,500

2,000

1,500

1,000

500

50,000

40,000

30,000

20,000

10,000

01960 1965 1970 1975 1980 1985 1990 1995 2000 2005


B a r r e l s p e r w e l l p e r y e a r

U.S. Crude Oil Production by State, 2008450,000

400,000

350,000

300,000

250,000

200,000

150,000

100,000

50,000

0

T e x a s

A l a s k a

C a l i f o r n i a

L o u i s i a n a

O k l a h o m a


N e w M e x i c o

W y o m i n g

K a n s a s

M o n t a n a

C o l o r a d o


U t a h

I l l i n o i s

A l a b a m a

M i c h i g a n

A r k a n s a s

O h i o


K e n t u c k y

N e b r a s k a

F l o r i d a

I n d i a n a

S o u t h D a k o t a


N e v a d a

N e w Y o r k

T e n n e s s e e

M i s s o u r i

A r i z o n a

V i r g i n i a

F e d . O f f s h o r e G u l f

F e d . O f f s h o r e C a l .

T h o u s a n d b a r r e l s

13th

398,014421,697

2 4 9 , 8 7 4

2 1 4 , 5 4 4

7 3 , 0 1 1

6 4 , 0

6 5

6 2 , 7 7 6

5 9 , 4 0 3

5 2 , 9 4 3

3 9 , 5

8 2

3 1 , 5 4 5

2 4 , 0

5 4

2 4 , 1 4 7

2 2 , 1 0 2

2 2 , 0 1 0

9 , 4 3 2

7 , 5 4 6

6 , 2 2 3

6 , 0 7 9

5 , 7 1 5

3 , 6 1 1

2 , 6 4 5

2 , 3 9 4

1 , 9 5 6

1 , 8 5 8

1 , 6 9 7

1 , 5 9 3

4 3 6

3 8 6

3 4 4

9 9

5 2

7

Average yearly production per well

# of producing oil wells




Crude Oil Shipped to Utah Refineries by State or

Country of Origin, 1960–200860,000

50,000

40,000

30,000

20,000

10,000

0

100%

90%

80%

70%

60%

50%

40%1960 1965 1970 1975 1980 1985 1990 1995 2000 2005


R e n e r y u t i l i z a t i o n r a t e

( % )

Utah Refinery Production by Product, 2008Thousand barrels (Percent of total)

LRG1,755 (2.7%)

Residual fuel3,273 (5.1%)

Utah refineries receive crude oil from four main sources: Utah, Colorado, Wyoming, and, asof 1995, Canada. Utah’s refinery utilization rate, the average ratio of crude oil inputs to totalrefinery capacity, has averaged 86% over the past 20 years. In 2006, the average rate was greater than 90% for the first time since 1973, but has since dropped to 87% in 2008 as the high priceof gasoline helped decrease demand.

Utah refineries produced over 31 million barrels of motor

gasoline in 2008, of which roughly 14 million barrels wasshipped to surrounding states.

UEMS Web page tables: Table 3.15 and Table 3.17Source: EIA, UGSNote: “Other” includes small amounts from Nevada,

Montana, and New Mexico.

UEMS Web page table: Table 3.16Source: EIANote: LRG = Liquefied refinery gases

Colorado WyomingCanada

OtherUtah Refinery utilization rate

Other 6,637 (10.3%)

Jet fuel4,998 (7.8%)

Distillate fuel16,012 (24.9%)

Motor gasoline

31,622 (49.2%)

Total:64,297 thousand

barrels




Residual fuel309 (0.6%)

2007

Thousand barrels (Percent of total)

Total:

55,689 thousandbarrels

Other 6,296 (11.3%)

Jet fuel7,085 (12.7%)

Distillate fuel15,945 (28.6%)

Motor gasoline26,054 (46.8%)

1960–200760,000

50,000

40,000

30,000

20,000

10,000

0

3,000

2,500

2,000

1,500

1,000

500

0

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005


U t a h P o p u l a t i o n

Consumption of Petroleum Products in Utah

Motor gasoline was the most used petroleum productin 2007, accounting for 46.8% of all consumption.Distillate fuel ranked second at 28.6%, followed by jetfuel at 12.7%. Residual fuel use has declined greatlysince the mid-1980s since it is no longer used as a fuel inpower plants. Overall petroleum product consumptiontracks well with Utah’s population growth.

UEMS Web page table: Table 3.18Source: EIANotes: 2008 data are not yet available; “Other” includes asphalt and

road oil, aviation gasoline, kerosene, liquefied petroleum gases,lubricants, among others.

Jet fuel

Distillate fuel

Residual fuel

Other

Motor gasoline

Utah popluation




Average Wellhead Price and Value of Crude Oil in Utah, 1960–2008

$80

$60

$40

$20

$0

$2,500

$2,000

$1,500

$1,000

$500

$01960 1965 1970 1975 1980 1985 1990 1995 2000 2005

M i l l i o n d o

l l a r s

D o l l a r s p e r b a r r e l

Utah Price of Motor Gasoline and Diesel, 1980–2008$4.00

$3.50

$3.00

$2.50

$2.00

$1.50

$1.00

$0.50

1980 1985 1990 1995 2000 2005

Regular unleaded gasoline - 2008 $

Regular unleaded gasoline - $

Diesel - 2008 $

Diesel - $

D o l l a r s p e r g a l l o n

Utah’s crude oil wellhead price hit an all-time high of $86.58 per barrel in 2008, evenwhen adjusted for inflation. The value of Utah’s crude oil also reached a record high of $1.9 billion in nominal dollars, but is the third-highest value in inflation-adjusted dollarsbehind 1984 and 1985.

Regular unleaded gasoline reached the highest inflation-adjusted level since 1981,averaging $3.23 per gallon in 2008, while diesel prices hit an all-time inflation-adjustedhigh of $3.86 per gallon in 2008.

UEMS Web ptable: Table 3.Source: EIA

Source: UGS, E

Wellhead price - 2008 $ per barrel

Wellhead price - $ per barrel

Value of crude oil produced - 2008 $

Value of crude oil produced - $

$80.86 $86.58$2.1 billion

$1.9 billion



19Natural Gas

0 4020

miles

County

Interstate

Data Source: UGS, DOGM

Natural gas processing plant

Natural gas field

Natural Gas

Natural gas pipeline

Coalbed methane field

Natural

Buttes

Drunkards Wash

Anschutes Ranch East

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTEWAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

Utah’s natural gas production is mostly concentratedwithin Uintah and Grand Counties in the east andSummit County in the north. Coalbed methane fieldsin central Utah have added greatly to Utah’s overallnatural gas production.

natural Gas




Natural Gas Reserves in Utah, 1950–20087

6

5

4

3

2

1

0

$8

$6

$4

$2

$01950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

T r i l l i o n c u b i c f e e t

W e l l h e a d p r i c e ( 2 0 0 8 $ p e r t h o u s a n d c u b i c f e e t )

Natural gas reserves surged in 1980 and 1981, coinciding with an increase in wellhead price, and a secondsurge occurred in the late-1990s, coinciding with new development of coalbed methane. The current increasein reserves is again the result of higher prices.

UEMS Web page tables: Table 4.2 and Table 4.16Source: EIANote: Nonassociated natural gas is not in contact with significant quantities of crude oil in the reservoir. Associated-dissolved

natural gas occurs in crude oil reservoirs either as free gas (associated) or as gas in solution with crude oil (dissolved gas).

Associated-dissolved

Nonassociated

Wellhead price - 2008 $per thousand cubic feet



21Natural Gas

Utah Natural Gas Production (Gross) by County, 2008

Gross natural gas production in Utah is mostly

concentrated in Uintah and Carbon Counties(Carbon County production is predominantlyfrom coalbed methane).

The first major increase in natural gas production occurred in the mid-1980s, coincidingwith a large spike in prices and the discovery of coalbed methane in central Utah. Thecurrent surge in production is also price related, with the majority of production centered inUintah County.

UEMS Web page table: Table 4.6Source: DOGM Note: “Other” includes Daggett,

Sanpete, and Garf ield Counties.

UEMS Web page tTable 4.5 and 4.16Source: DOGM, EIA

Duchesne26.6 (6.0%)

Emery16.7 (3.8%)

San Juan13.4 (3.0%)

Summit10.3 (2.3%)

Grand6.2 (1.4%) Other

1.1 (0.3%)

Utah Natural Gas Production, 1960–2008

400

300

200

100

0

$8

$6

$4

$2

$0

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

W e l l h e a d p r i c e ( 2 0 0 8 $ p e r t h o u s a n d c u b i c f e e t )

B i l l i o n c u b i c f e e t

Wellhead price - 2008 $per thousand cubic feet

Dry production

Marketed production

Gross withdrawals

Carbon94.5 (21.4%) Uintah

273 (61.8%)

Total:442 billion cubic

feet

Billion cubic feet (Percent of total)




U.S. Natural Gas Production (Dry) by State, 20076,000

5,000

4,000

3,000

2,000

1,000

0

T e x a s

W

y o m i n g

O

k l a h o m a

N e w M e x i c o

L

o u i s i a n a

C o l o r a d o

A l a s k a

U t a h

K a n s a s

C

a l i f o r n i a

A r k a n s a s

M

i c h i g a n

A l a b a m a


P e n n s l y v a n i a

M o n t a n a

V i r g i n i a

K e n t u c k y

O h i o


N

e w Y o r k


T e n n e s s e e

I n d i a n a

F l o r i d a

N e b r a s k a


A r i z o n a

O r e g o n

I l l i n o i s

M

a r y l a n d

N e v a d a

G u l f o

f M e x i c o

B i l l i o n c u b

i c f e e t

8th

5,704.4

1 , 8 4 9 . 0

1 , 6 4 7 . 8

1 , 4 4 8 . 6

1 , 2 5 2 . 8

1 , 2 0 4 . 4

4 0 7 . 2

3 3 7 . 8

2 6 1 . 8

2 6 9 . 7

2 9 3 . 6

2 5 0 . 6

3 7 3 . 7

2 2 3 . 1

1 8 1 . 4

1 1 5 . 3

1 1 2 . 1

9 3 . 5

8 8 . 1

6 0 . 4

5 4 . 9

4 7 . 3

3 . 9

3 . 6

0 . 7

1 . 6

0 . 4

1 . 6

0 . 1

1 . 0

0 . 0 4

2 , 7

9 8 . 7

0 . 0 1

In 2007, Utah ranked as the 8th largest producer of natural gas in the United States (notincluding production in the Gulf of Mexico).

Similar to crude oil, as the total number of producing gas wells has increased over theyears, the average yearly production per well has decreased.

UEMS Web pagetable: Table 4.4Source: EIA, DOGM

Note: 2008 data are nyet available.

UEMS Web pagetable: Table 4.5Source: DOGM

Number of Producing Natural Gas Wells in Utah Versus

Average Yearly Production per Well, 1961–2008

5,000

4,000

3,000

2,000

1,000

0

800

600

400

200

0

M i l l i o n c u b i c f e e t p e r w e l l p e r y e a r


1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Average yearly production per well

# of producing gas wells



23Natural Gas

Natural gas is mostly used for home heating(residential, 28.6%), but starting in mid-2004,1300 MW of new natural-gas-fired electriccapacity have come online, greatly increasingthe amount used by the electric utility sector (from 7.6% in 2005 to 24.8% in 2008).

UEMS Web page table: Table 4.15Source: EIANotes: 2008 data are estimated; “Other” includes

lease use, plant use, and pipeline fuel.

Electric utilities57,241 (24.8%)

Other 36,600 (15.9%)

Residential65,972 (28.6%)

Commercial37,605 (16.3%)

Vehicle fuel205 (0.1%)

Industrial33,112 (14.4%)

Total:230,735 million

cubic feet

2008

Million cubic feet (Percent of total)

Consumption of Natural Gas in Utah

1960–2008250,000

200,000

150,000

100,000

50,000

0

M i l l i o n c u b i c f e e t

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Vehicle fuel

Commercial

Industrial

Electric utilities

Other

Residential




Average Price of Residential Natural Gas by State, 2008$50

$40

$30

$20

$10

$0

H a w a i i

F l o r i d a

C o n n e c t i c u t

A l a b a m a

G e o r g i a D C

V e r m o n t

R h o d e I s l a n d

S o u t h C a r o l i n a

M a i n e

A r i z o n a

M a s s a c h u s e t t s

N e w Y o r k

M a r y l a n d

N e w H a m p s h i r e

N o r t h C a r o l i n a


V i r g i n i a

D e l a w a r e

I n d i a n a

L o u i s i a n a

N e w J e r s e y


O h i o

T e n n e s s e e

A r k a n s a s


O r e g o n

T e x a s

K e n t u c k y

M i s s o u r i

N e v a d a

W a s h i n g t o n

K a n s a s

W i s c o n s i n

C a l i f o r n i a

N e w M e x i c o

O k l a h o m a

I l l i n o i s

I o w a

M i c h i g a n

M o n t a n a


M i n n e s o t a

I d a h o

N e b r a s k a


W y o m i n g

C o l o r a d o

U t a h

A l a s k a

50th

$44.75

$ 2 1 . 2 9

$ 1 9 . 8

5

$ 1 8 . 5

5

$ 1 3 . 0

6

$ 1 8 . 5 0

$ 1 3 . 0 3

$ 1 8 . 4 1

$ 1 2 . 8 0

$ 1 8 . 3 1

$ 1 2 . 7 4

$ 1 8 . 0 4

$ 1 2 . 3 1

$ 1 7 . 5 4

$ 1 1 . 9 3

$ 1 7 . 6

6

$ 1 2 . 0 9

$ 1 7 . 9 9

$ 1 2 . 2 9

$ 1 7 . 1 1

$ 1 1 . 8 2

$ 1 6 . 7

8

$ 1 1 . 5 2

$ 1 6 . 7 7

$ 1 1 . 3 2

$ 1 6 . 7 4

$ 1 1 . 3 0

$ 1 6 . 7 1

$ 1 1 . 2

5

$ 1 6 . 2 4

$ 1 1 . 1

5

$ 1 6 . 2 0

$ 1 0 . 3 4

$ 1 6 . 1 7

$ 1 0 . 1 2

$ 1 5 . 8 2

$ 9 . 8 1

$ 1 5 . 5 1

$ 9 . 0 0

$ 1 5 . 1 9

$ 6 . 7 4

$ 1 4 . 6 1

$ 1 3 . 9 3

$ 1 4 . 5 1

$ 1 3 . 8 9

$ 1 4 . 3

6

$ 1 3 . 7 9

$ 1 4 . 1

8

$ 1 3 . 7 7

$ 1 3 . 3 3

$ 1 3 . 3 9

D o l l a r s p e r t h o u s a n d c u b i c f e e t

The value of Utah’s natural gas production in 2008 reached an all-time high of $2.7 billion,even when adjusted for inflation. This dramatic increase was the product of record highproduction resulting from near-record-high wellhead prices.

In 2008, Utah had the second-lowest price for residential natural gas in the country, behindonly Alaska.

UEMS Web pagetable: Table 4.16Source: EIA

UEMS Web page tTable 4.18Source: EIA

Notes: 2008 data are preliminary;includes the Dof Columbia.

Average Wellhead Price and Value of Natural Gas in Utah, 1960–2008

$8

$6

$4

$2

$0

$3,000

$2,500

$2,000

$1,500

$1,00

$500

$0

M i l l i o n d o l l a r s

D o l l a r s p e r t h o u s a n

d c u b i c f e e t

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Wellhead price - 2008 $per thousand cf

Value of natural gasproduced - 2008 $

Wellhead price - $ perthousand cf

Value of natural gasproduced - $

$8.45

$6.15

$2.7 billion



25Renewable Resources

renewable

resOurCes

To promote and identify Utah’s utility-scale electrical renewable energy resources and to assess transmission to bring thoseresources to load centers in Utah, former Governor Huntsman commissioned the Utah Renewable Energy Zones (UREZ) TaskForce to (1) identify geographical areas in Utah where utility-scale renewable energy development could occur (see maps onfollowing pages); (2) assess the electrical generation potential of wind, solar, and geothermal technologies; and (3) identify newand existing transmission needed to bring renewable energy generation sources to market.

This study identified renewable energy zones totaling approximately 13,262 square miles and an estimated 837 gigawatts (GW) oelectrical generating capacity. The multitude of factors that could not be taken into account at this point of the assessment includeproject level resource data, site specific land use and environmental restrictions, and federal, state, and local regulatory policiesthat may complicate or restrict development.

The scope of work for this phase of the UREZ process was not to assess the development potential from an economic perspectiveRather, analogous to estimating resources and reserves in the oil and gas industry, this project’s scope of work was to identify thepotential resources, within reason, for short-term (~<10 years) and long-term (~>10 years) potential. Again, similar to estimatingconventional natural resource reserves, the quantity is a constantly changing value. More importantly, this macro-level assessmenwill identify likely areas of multiple resource zones that may have utility-scale generation potential.

The entire document is available on the UGS Web page: http://geology.utah.gov/sep/renewable_energy/urez/phase1

Utah Renewable Energy Zones Task Force Phase I Report:

Renewable Energy Zone Resource Identification




0 4020

miles

County

Interstate

Data Source: NREL, UGS

6.0 - 6.25

6.25 - 6.5

6.5 - 6.75

6.75 - 7.0

7.0 - 7.25

Solar

Direct Normal Irradiance

(kWh/sq. meter/day)Areas with slope <3%

0 4020

miles

County

Interstate

Data Source: NREL

6.0 - 6.25

6.25 - 6.5

6.5 - 6.75

6.75 - 7.0

7.0 - 7.25

Solar

Direct Normal Irradiance

(kWh/sq. meter/day)

5.2 - 5.5

5.5 - 5.75

5.75 - 6.0

7.25 - 7.4

Major findings from the solar assessment:

• Sixteen thousand five hundred (16,500theoretically potential 50 MW solarRenewable Energy Zone (REZ) areas (1 kmsquare zones) were identified (826 GW).

• The geospatial distribution of the quality othe solar resource follows a simple north tosouth trend.

• Southern Utah has the higher qualityresources (6.5 kWh/m2/day or greater)while northern Utah has a slightly lowerquality solar resource (6.0 kWh/m2/day orless).

• The prime solar REZ areas constitute les

than 1.5% of the identified sites, while themajority of the sites (43.2%) have a lowerresource potential.

• The total area of the solar REZs is 6,37square miles.

Utah’s solar resources are clearly abundant (mapon right, no screening applied). The analysisidentified 6,371 square miles of land that has

a theoretical potential of about 826 gigawatts(GW) of utility-scale capacity. The solar analysisused several criteria to shape the methodology(map below): (1) measurements of Direct NormalIrradiance (DNI), with a threshold value of 6.0kilowatt hours per meter squared (kWh/m2)/day or greater, (2) screening out steeper areas(slopes of 3% or greater) unable to accommodatea large solar collection field, (3) screening outenvironmentally sensitive areas such as nationalparks, wilderness areas, wetlands, etc., that arenot available for development, and (4) applyingproxy technology, of a 50 megawatt (MW)parabolic trough concentrating solar thermalpower plant, to estimate electrical energycapacity.

SOLAR ASSESSMENT




WIND ASSESSMENT

Milford Wind Coridor - 203 MW

Spanish Fork - 19 MW

Camp Williams - 0.9 MW

0 4020

miles

County

Interstate

Data Source: UGS

50 meter anemometer site

Wind

Wind farm

Wind energy zone

20 meter anemometer site

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE WAYNE

GARFIELD

SAN JUAN

KANEWASHINGTON

Utah’s extreme diversity in landscape and climate are wellknown. These factors significantly affect Utah’s windresources. As a result, Utah has a wide array of locationsthat may be viable options for wind energy development.The resource analysis to identify REZs was based uponwind data collected from 109 anemometer towers stationedthroughout the state. The wind resource analysis incorporated

several criteria to shape the methodology: (1) screening outenvironmentally sensitive areas, (2) setting a maximumelevation of 9,500 feet, (3) eliminating land too rugged fordevelopment, (4) deleting military operating airspace, and (5)

using a proxy wind turbine, General Electric 1.5 sle model, toestimate electrical energy capacity from identified sites.

Major findings from the wind assessment:

• The combined technical electrical generating capacity isapproximately 9,145 MW from the 51 wind REZs (orangeareas on map).

• The estimated annual average gross capacity factor for the51 REZ sites is 27.4%.

• Twelve sites have expected gross capacity factors of at least30%, accounting for 1,830 MW or greater of generatingcapacity.

• Eleven sites have an estimated capacity of at least 250 MWeach (2,750 MW).

• The greatest concentration of wind resources is locatednear Milford with an estimated capacity of 2,500 MW.

• Total area of the 51 wind sites is 1,838 square miles.




GEOTHERMAL ASSESSMENT

RaftRiver Mtns.

Wasatch FrontValleys

Uinta BasinOil and Gas Fields

SevierDesert

Black Rock Desert

SW EscalanteDesert

Thermo

Hot Springs

Roosevelt

Hot Springs

Cove Fort -

Sulphurdale

0 4020

miles

County

Interstate

Data Source: UGS

Geothermal spring (>25ºC)

Geo. development area

Geothermal

Geothermal power plant

Geothermal energy zone

Geothermal well (>25ºC)

Thermo Hot Springs - 10 MW

Blundell - 38 MW

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE WAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

Although a number of geothermal power projects are currentlyunderway, there is a general lack of subsurface drill-holeinformation for individual resource areas. The effort describedhere uses published information from various sources, butmostly relies on deep well data and shallow thermal-gradientinformation. Utah’s identified higher-quality geothermalresources lie within a 50-mile-wide corridor along the easternmargin of the Basin and Range Province—a corridor that alsoparallels Interstate 15. Geothermal power generation projectsare underway in southcentral and southwestern Utah. Thegeothermal analysis incorporated the following criteria to

shape the methodology: (1) screening out environmentallysensitive areas not available for development, (2) calculatingreservoir volume, and (3) factoring in porosity and sweepefficiency, which characterize the ability of the reservoir totransfer heat.

Major findings from the geothermal assessment:

• A total of 2,166 MW of geothermal development potentiaexists within the state (orange areas on map).• Utah’s identified higher-quality geothermal resources lie

within a 50-mile-wide corridor along the eastern marginof the Basin and Range Province—a corridor that parallelsInterstate 15.

• The estimated potential for electric generation fromidentified geothermal systems is approximately 754 MW

• The total estimated potential from undiscoveredgeothermal systems is approximately 1,413 MW.

• The total area of the four major geothermal REZ areas(Uinta Basin included) is 5,053 square miles.




Renewable Net Summer Capacity by Energy Source and State, 2008

25,000

20,000

15,000

10,000

5,000

0

W a s h i n g t o n

C a l i f o r n i a

O r e g o n

T e x a s

N e w Y o r k

A l a b a m a

T e n n e s s e e

M o n t a n a

I o w a

A r i z o n a

G e o r g i a

I d a h o


M i n n e s o t a

C o l o r a d o


A r k a n s a s

O k l a h o m a



M a i n e

V i r g i n i a

N e v a d a


W i s c o n s i n

I l l i n o i s

F l o r i d a

W y o m i n g

K e n t u c k y

M i c h i g a n

M a r y l a n d

M i s s o u r i


K a n s a s


L o u i s i a n a

N e w M e x i c o


A l a s k a

V e r m o n t

U t a h

N e b r a s k a


I n d i a n a

H a w a i i


N e w J e r s e y

O h i o


D e l a w a r e

R e n e w a b l e c a p a c i t y ( M e g a w a t t s )

3,000

2,500

2,000

1,500

1,000

500

0

W a

s h i n g t o n

C

a l i f o r n i a

O r e g o n

T e x a s

N e w Y o r k

A l a b a m a

T e n n e s s e e

M o n t a n a

I o w a

A r i z o n a

G e o r g i a

I d a h o

N o r t h

C a r o l i n a

M

i n n e s o t a

C o l o r a d o

S o u t

h D a k o t a

A r k a n s a s

O

k l a h o m a


S o u t h

C a r o l i n a

M a i n e

V i r g i n i a

N e v a d a

N o r t

h D a k o t a

W

i s c o n s i n

I l l i n o i s

F l o r i d a

W

y o m i n g

K e n t u c k y

M i c h i g a n

M a r y l a n d

M i s s o u r i


K a n s a s


L

o u i s i a n a

N e w M e x i c o


A l a s k a

V e r m o n t

U t a h

N e b r a s k a


I n d i a n a

H a w a i i


N e w J e r s e y

O h i o


D e l a w a r e

Utah’s Renewable Net Summer Capacity

by Energy Source, 2008

Megawatts (Percent of total)

Wind19 (5.6%)

Biomass7 (2.1%)

Total:347 megawatts

Geothermal43 (12.6%)

Hydroelectric278 (81.8%)

In 2008, Utah ranked 41st in the nation in total renewable netsummer electric capacity.

Utah’s renewable electric capacity is dominated by hydroelectricpower (Flaming Gorge), with increasing amounts fromgeothermal (Raser Technologies is planning to build severalmore 10 MW scale geothermal plants in southwestern Utah)and wind (the 203 MW Milford wind farm came online in late2009). The biomass portion is mainly from Wasatch Front

landfill gas operations. The SunSmart solar array in St. Georgeis Utah’s first utility-owned solar installation, but at only 100kilowatts capacity, it is too small to be recorded by EIA or in thegraphs on this page.

UEMS Web page table: Table 6.1Source: EIANote: Only includes utility scale capacity.

22,999

1 5 , 8

6 7

9 , 6

8 1

7 , 8

6 8

5 , 3 7 3

3 , 8 4 6

2 , 8 3 9

2 , 8 0 8

2 , 8 0 6

2 , 7

6 5

2 , 7 0 4

2 , 5 7 2

2 , 3 0 3

1 , 8 8 2

1 , 7 5 2

1 , 6 5 6

6 8 7 1 ,

6 2 3

6 6 8 1 ,

6 1 9

5 9 4 1 ,

6 0 7

5 8 6 1 ,

5 8 9

5 8 2 1 ,

4 6 4

5 6 0 1 ,

3 6 4

4 0 3 1 ,

3 2 8

4 0 1 1 ,

2 4 8

3 4 7 1 ,

1 4 9

3 0 9 1 ,

1 4 1

2 8 8 1 ,

0 4 8

2 3 0 9

2 9

2 2 9 8

7 9

2 2 9 7

6 5

2 2 3 7

2 5

2 1 3 7

2 0

2 8

7

41st

2 , 7 0 4

2 , 5 7 2

2 , 3 0 3

1 , 8 8 2

1 , 7 5 2

1 , 6 5 6

6 8 7

1 , 6 2 3

6 6 8

1 , 6 1 9

5 9 4

1 , 6 0 7

5 8 6

1

, 5 8 9

5 8 2

1 , 4 6

4

5 6 0

1 , 3 6 4

4 0 3

1 , 3 2 8

4 0 1

1 , 2 4 8

3 4 7

1 , 1 4 9

3 0 9

1 , 1 4 1

2 8 8

1 , 0 4 8

2 3 0

9 2 9

2 2 9

8 7 9

2 2 9

7 6 5

2 2 3

7 2 5

2 1 3

7 2 0

2 8

7

Geothermal

Wind

Biomass

Hydroelectric

Solar




Renewable Electric Generation by State, 2008

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

I d a h o

W

a s h i n g t o n

O r e g o n

M a i n e

S o

u t h D a k o t a

M o n t a n a

C a l i f o r n i a

N e w Y o r k

V e r m o n t

A l a s k a


A r k a n s a s

M i n n e s o t a

C o l o r a d o

I o w a

N e v a d a

N o

r t h D a k o t a

O k l a h o m a

H a w a i i

T e n n e s s e e

A l a b a m a

A r i z o n a

M a r y l a n d


N

e w M e x i c o

V i r g i n i a

W i s c o n s i n

T e x a s

L o u i s i a n a

N o r

t h C a r o l i n a

G e o r g i a

C

o n n e c t i c u t

K a n s a s

W y o m i n g

M i c h i g a n

S o u

t h C a r o l i n a


M i s s o u r i

K e n t u c k y

P e

n n s y l v a n i a

N e b r a s k a


D e l a w a r e

F l o r i d a

U t a h


I l l i n o i s

N e w J e r s e y

I n d i a n a

O h i o

P e r c e n t o f t o t a l e l e c t r i c a l g e n e r a t i o n

f r o m r e n e w a b l e

s o u r c e s

Renewable Electric Generation in Utah, 20

Gigawatthours(Percent of total renewables) (Percent of total net generation)

Biomass34

(3.6%)(0.0%)

Total:934 gigawatthours

Geothermal260

(27.8%) (0.6%)

Hydroelectric640

(68.5%)(1.4%)

In 2008, Utah ranked 45th in the nation in percent of total net electricitygeneration from renewable resources. Of particular note, Utah is one of onlyfour states where electricity is generated from geothermal resources (two morestates, Idaho and Montana, were added to this list in 2009).

Utah’s renewable electric generation is dominated byhydroelectric power, but electricity from geothermal andwind sources will increase in coming years. The biomassportion is electricity generated from burning landfill gases.Two smaller scale anaerobic digesters are located in Utah,

but are not utility scale.

UEMS Web page table: Table 6.2Source: EIA

45th

85.0%

7 4 . 2

%

6 3 . 0

%

5 0 . 2

%

4 4 . 4

%

3 5 . 6

%

2 2 . 1

%

2 1 . 4 %

1 9 . 9

%

1 8 . 3

%

1 1 . 9

%

1 1 . 5

%

1 1 . 1

%

9 . 3

%

9 . 0

%

8 . 8

%

8 . 5

%

8 . 0

%

7 . 8

%

7 . 3

%

6 . 5

%

6 . 2

%

5 . 4

%

5 . 3

%

5 . 3

%

5 . 3

%

5 . 1

%

4 . 3

%

4 . 2

%

4 . 1

%

4 . 0

%

3 . 8

%

3 . 8

%

3 . 8

%

3 . 3

%

3 . 1

%

3 . 1

%

2 . 5

%

2 . 4

%

2 . 4

%

2 . 2

%

2 . 1

%

2 . 1

%

2 . 1

%

2 . 0

%

1 . 8 %

1 . 5 %

1 . 4 %

0 . 7

%

0 . 6

%

Geothermal

Wind

Biomass

Hydroelectric

Solar




Renewable Energy Consumption in Utah2007

Billion Btu (Percent of total)

Geothermal4,150

(26.3%)

Biomass6,224 (39.5%)

Solar 53 (0.3%)

Hydroelectric5,325 (33.8%)

1960–2007

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

B i l l i o n B t u

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Utah’s 2007 consumption of energy from renewable sourceswas evenly split between hydroelectric, geothermal, andbiomass, with very small amounts coming from commercial-and residential-scale solar photovoltaic arrays.

UEMS Web page table: Table 6.7Source: EIANotes: 2008 data are not yet available; includes the electric utility sector;

data on Utah wind energy consumption not available.Total:15,752 billion Btu

Biomass

Solar

Hydroelectric

Geothermal




unCOnventiOnal PetrOleum resOurCes

0 20

miles

CountyInterstate

Data Source: UGS

Tar Sand Triangle

Circle Cliffs

San Rafael Swell

PR Springs

Asphalt Ridge

Tar sand d

>0-5 ft

5-20 ft

20-40 ft

40-60 ft

60-80 ft

80-100 ft

100-130 ft

Oil Shale and Sand Deposits

Thickness of the 25 per ton oil shale zo

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE

WAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

The most prospective unconventional fossil fuel resources alocated in the Uinta Basin in northeastern Utah.

OIL SHALEThe Utah Geological Survey recently completed a comp-rehensive oil shale resource assessment for deposits inthe state of Utah. This assessment answers the questionsof “where” and “how much” that many people ask aboutUtah’s largest unconventional resource by providingdetailed basin-wide resource maps and estimates of in-place shale oil.

• A continuous interval of oil shale that averages 50gallons of oil per ton of rock (GPT) contains an in-place resource of 31 billion barrels of shale oil.

• A continuous interval of oil shale that averages 35 GPT contains an in-place resource of 76 billion barrels of shale oil.

• A continuous interval of oil shale that averages 25GPT contains an in-place resource of 147 billionbarrels of shale oil (see included map).

• A continuous interval of oil shale that averages 15GPT contains an in-place resource of 292 billionbarrels of shale oil.

After calculating total in-place resource numbers, theUGS imposed several constraints on the total endowmentto offer a more realistic impression of Utah’s potentiallyeconomic oil shale resource. The constraints used were:

• deposits having a richness of at least 25 GPT (assumedminimum grade),

• deposits that are at least 5 feet thick (assumedminimum mining thickness),

• deposits under less than 3000 feet of cover (maximumunderground mining depth),

• deposits that are not in direct conf lict with currentconventional oil and gas operations, and• deposits located only on U.S. Bureau of Land

Management, state trust, private, and tribal lands.

Accounting for these constraints, UGS estimates thatapproximately 77 billion barrels of shale oil are located innorth-central Utah.

Currently, only a handful of companies are pursuingoil shale development in Utah, including the Oil ShaleExploration Company (OSEC), which was the onlycompany awarded an oil shale research and developmentlease from the U.S. Bureau of Land Management.

TAR SANDSNorth America has the greatest tar sand resources inthe world, the majority of which are in Canada. Utah’star sand resource, though small in comparison to that of Canada, is the largest in the United States. Utah’s tar sanddeposits contain 14 to 15 billion barrels of measured in-

place oil, with an additional estimated resource of 23 to 28 billion barTwenty-four individual deposits exist in the Uinta Basin, mainly aroits periphery, and an additional 50 deposits are scattered throughoutsoutheastern part of the state. Utah’s major tar sand deposits individuhave areal extents ranging from 20 to over 250 square miles, as man13 pay zones, gross thickness ranging from 10 to more than 1000 feet,overburden thickness ranging from zero to over 500 feet.With the current high price of crude oil as an incentive, new drilbitumen extraction, and upgrading techniques developed in Canmay provide the necessary knowledge for successful and sustain

development of tar sand in Utah in the near future. However, facsuch as site accessibility, adequate infrastructure, water availabenvironmental concerns, land access and permitting, and the problassociated with the heterogeneity of reservoir sands must be resobefore tar sand development can become a reality in Utah.

Currently, two companies are researching development of tar sawithin the Asphalt Ridge deposit, and one company is looking at posdevelopment in the PR Springs area.



33Uranium

uranium

0 4020

miles

County

Interstate

Uranium

Uranium districts

Active or recently

active mine

Tony M

Daneros

Rim

Velvet

Energy Queen

Beaver

Snowball

Whirlwind

Pandora

White Mesa Mill

Uranium mill

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALT

LAKE

UTAH

DAVIS

WASATCH DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE WAYNE

GARFIELD

SAN JUAN

KANE

WASHINGTON

The most prospective uranium resources arelocated in northern San Juan County and near the Henry Mountains in eastern Garfield County.




Uranium Production in Utah, 1910–200810,000

8,000

6,000

4,000

2,000

0

$100

$80

$60

$40

$20

$01910 1920 1930 1940 1950 1960 1970 1980 1990 2000

T h o u s a n d p o u n d s U 3 O 8

2 0 0 8 d o l l a r s p e r p o u n d o f U 3 O 8

From 1909 to 1940, uranium was produced as a byproduct of first radium, thenvanadium. Utah’s first big uranium boom started in 1948 when the U.S. AtomicEnergy Commission set a guaranteed price and bonus schedule for domesticuranium ore, driven by the requirements of nuclear weapons production. Utah’suranium production grew rapidly during the late-1940s and 1950s, peaking in

1958 at 8.9 million pounds of U3O8before declining in the mid-1960s. During

this time, production occurred at over 500 individual mines. A second period of uranium production began in the early 1970s with the development of the nuclear

power industry, peaking in 1978 at 5.8 million pounds U3O8. Since the mid-1980s,

Utah’s underground ores had diff iculty competing with other lower cost operations,exacerbated by the discovery of very large, high-grade, near-surface uranium orein Canada and Australia. By 1990, all of Utah’s uranium production had ceased,and within a few years there were no longer any underground uranium minesoperating in the United States. Beginning in 2004, the price of uranium began torise, reaching an inflation-adjusted record high of $102 per pound in 2007. Thisnew resurgence in uranium price resulted in the reopening of several Utah mines

which produced 183,000 pounds in 2007 and 670,000 pounds in 2008. In addition,the White Mesa uranium mill, located outside of Blanding, Utah, once again beganprocessing uranium ore.

UEMS Web page table: Table 9.1Source: EIANote: 2008 data are preliminary.

Uranium produced as aby-product of radium andvanadium

Utah’s first uraniumboom was driven bythe production of nuclear weapons

Utah’s seconduranium boomwas driven bythe need for

fuel at nuclearpower plants

First newproductionin 16 years

Uranium production

2008 $ perpound U3O

8



35Electricity

eleCtriCity

1-25 MW

25-100 MW

100-500 MW

<1 MW

500-1000 MW

>1000 MW

Coal

Natural gas

Petroleum

Hydroelectric

Geothermal

Wind

Biomass

Solar

0 4020

miles

County

Interstate

Data Source: UGS, EIA

Electricity

Transmission

IPP

Hunter

Huntington

Sunnyside

Carbon

Bonanza

Milford*

Blundell

CurrantCreek

Spanish Fork

Payson

Nebo

Flaming Gorge

Heber

Jordanelle

Whitehead

Provo

OlmsteadLaketown

Murray

Trans Jordan LF

Gadsby

West Valley

Salt Lake LF

Wasatch LF

Little Mtn

Bountiful

Logan

Cutler

Thermo Hot Springs

MillcreekRed Rock

BloomingtonSunSmart

(>138 KV)

Utility plants >10 MW(except solar and biomass)

*Came online in late 2009

BOX ELDER

TOOELE

CACHE

RICH

WEBER

MORGAN

SUMMIT

SALTLAKE

UTAH

DAVIS

WASATCH

DUCHESNE

UINTAH

DAGGETT

JUAB

MILLARD

SANPETE

CARBON

EMERY

GRAND

SEVIER

BEAVER

IRON

PIUTE WAYNE

GARFIELD

SAN JUAN

KANEWASHINGTON

Utah’s electric generation is dominated by six largecoal-fired power plants (blue), but in recent years,many new natural-gas-fired power plants (red) havebeen built near population centers along the I-15corridor. Renewable resources, like the geothermaland wind resources found in Beaver County, will playan increasingly important role in Utah’s electricitygeneration future.




Utah’s 10 Largest Power Plants, 2008

Capacity in megawatts (Percent of total)

Intermountain1,800 (24.6%)

Hunter 1,472 (20.1%)

Huntington996 (13.6%)

All others471

(6.4%)

Flaming Gorge152 (2.1%)

Carbon189 (2.6%)

West Valley217 (3.0%)

Gadsby

393 (5.4%)

Bonanza500 (6.8%)

CurrantCreek

567 (7.7%)

Lakeside568 (7.8%)

Coal plant

NG plant

Hydro

Utah’s electricity portfolio is dominated by coal-fired power plants. However, several new natural

gas plants have been built in the past eight years(Lakeside – 2007, Currant Creek – 2005–2006, West Valley – 2002, and three new units atGadsby – 2002) decreasing our reliance on coalgeneration.

Utah’s total net generation of electricity ranked 33rd in the nation in 2008.

UEMS Web page table: Table 5.1Source: EIANote: Only includes utility plants.

UEMS Web page table:Table 5.9Source: EIANote: 2008 data are prelimin

U.S. Electricity Generation by State, 2008450,000

400,000

350,000

300,000

250,000

200,000

150,000

100,000

50,000

0

T e x a s


F l o r i d a

I l l i n o i s

C a l i f o r n i a

O h i o

A l a b a m a

N e w Y o r k

G e o r g i a

I n d i a n a


A r i z o n a

M i c h i g a n

W a s h i n g t o n


K e n t u c k y

L o u i s i a n a


M i s s o u r i

T e n n e s s e e

O k l a h o m a

V i r g i n i a

W i s c o n s i n

N e w J e r s e y

O r e g o n

A r k a n s a s

M i n n e s o t a

I o w a

C o l o r a d o


M a r y l a n d

K a n s a s

U t a h

W y o m i n g


N e w M e x i c o

N e v a d a


N e b r a s k a


M o n t a n a


M a i n e

I d a h o

H a w a i i

D e l a w a r e



A l a s k a

V e r m o n t D C

33rd G i g a w a t t h o u r s

2 2 2 , 8 4 3

4 0 2 , 7 3 1

2 1 9 , 2

5 4

1 9 9 , 5 9 2

1 9 9 , 4 1 2

1 5 4 , 0

6 0

1 4 6 , 7

5 1

1 3 9 , 4 4 4

1 2 6 , 2 2 2

1 2 9 , 8 2 6

1 3 7 , 0 2 0

1 1 9 , 2 7 6

4 6 , 5 1 5

1 1 5 , 0

5 9

1 1 0 , 9 7 1

1 0 1 , 9 2 6

9 8 , 5

6 0

9 2 , 7

8 2

9 1 , 7 3 2

9 1 , 6 1 9

9 1 , 3 9 3

7 6 , 2 3 8

7 3 , 2 7 8

6 4 , 1

6 5

6 3 , 8 4 2

5 8 , 3 9 5

5 5 , 0 9 3

5 4 , 4 4 1

5 3 , 6 9 6

5 3 , 6 9 3

4 8 , 6 2 0

4 7 , 1 1 3

4 6 , 9 1 9

4 6 , 2 1 7

4 2 , 4 0 5

3 6 , 7 4 1

3 5 , 0 3 9

3 2 , 7 3 8

3 2 , 4 2 5

3 0 , 1 2 0

2 9 , 3 7 0

2 3 , 1 7 2

1 6 , 7 3 6

1 1 , 9 9 9

1 0 , 8

8 3

7 , 6 1 5

7 , 2

6 2

7 , 0 9 3

6 , 4

5 6

6 , 1 0 5

7 2

Utah’s Total Electric Capacity:7,323 Megawatts



37Electricity

2008Gigawattshours (Percent of total)

Hydroelectric

640 (1.4%)

Geothermal260 (0.6%)

Municipalsolid waste169 (0.4%)

Petroleum46 (0.1%)

Landll gas

27 (0.1%)

Coal has always dominated Utah’s electricity generationportfolio, accounting for 94.2% of Utah’s total net generationin 2005. However, in the past five years, 1318 megawatts of new natural-gas-fired electric capacity were built, decreasingcoal’s overall share to 81.9% in 2008 and increasing naturalgas’s share to 15.6%.

UEMS Web page table: Table 5.10Source: EIANotes: 2008 data are preliminary; “Other” includes municipal solid

waste, landfill gas, and other gases der ived from fossil fuels.

Net Generation of Electricity in Utah by Energy Source

1960–200850,000

40,000

30,000

20,000

10,000

0

G i g a w a t t h o u r s

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Coal38,118 (81.9%)

Natural gas7,255 (15.6%)

Total:46,515 gigawatthours

Petroleum

Hydroelectric

Other

Coal

Natural gas

Geothermal




2008Gigawattshours (Percent of total)

Electricity sales in Utah have averaged a 4.5% increase eachyear since 1960, roughly following increases in population(an average increase of 2.4% per year) and increases in per customer electricity use (an average increase of 3.0% per year). Each customer in Utah used roughly 13 MWh per year in 1960, and today each Utahn uses about 27 MWh per year.

UEMS Web page table: Table 5.19Source: EIA

Notes: 2008 data are preliminary; Electricity used by thetransportation sector (UTA transit) is very small (35 GWh in2008) and is not shown on the graphs.

1960–200830,000

25,000

20,000

15,000

10,000

5,000

0

30

25

20

15

10

5

0

G i g a w a t t h o u r s

S a l e s ( M W h ) p e r c u s t o m e r

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Commercial

10,230 (36.4%)

Industrial9,086 (32.4%)

Residential10,722 (31.1%)

Sales of Electricity in Utah by Sector

Total:28,074 gigawatthours

Commercial

Residential

Industrial

Sales per customer



39Electricity

PacifiCorp’s 2009 Resource Energy Mix PacifiCorp’s 2018 Projected

Resource Energy Mix

Utah’s net generation portfolio shows the fuel used to generate electricity at power plants in Utah; however, it is not areliable indicator of the source of the electricity we actually use since much of the electricity generated in Utah travelsout of state (e.g., about 75% of the electricity generated at IPP is consumed in California). The source of the electricity atthe customer’s electric outlet can be estimated based on PacifiCorp’s (Utah’s largest electricity provider) resource energymix. For example, in 2009, a PacifiCorp customer can assume that 4.5% of the electricity they consume was generatedby renewable resources such as wind, solar, geothermal, or biomass and that 8.9% comes from hydroelectric sources.

Source: PacifiCorp IRP

Existingpurchases

7.1%

Existingpurchases

7.8%

Renewable 4.5%

Renewable 9.7%

Gas-SCCT2.3%

Gas-SCCT1.2%

Front ofcetransaction

1.1%

Front ofcetransaction

7.7%

Class 2DSM0.5%

Class 2DSM5.4%

Interruptible0.1%

Interruptible0.1%

CHP0.03%

CHP0.5%Class 1 DSM

0.00%

Class 1 DSM0.02%

DSG0.00%

DSG0.005%

Hydroelectric8.9%

Hydroelectric7.3%

Gas-CCCT17.4%

Gas-CCCT19.7%

Coal58.0%

Coal40.6%

CHP: Combined heat and power

Class 1 DSM: Demand side management (i.e., energy efficiency measures) – Class 1 programs are those for which capacity savings occur as a result of active company control or advanced scheduling. Once customers agree to participate in Class 1 DSM program, the timing and

persistence of the load reduction is involuntary on their part within the agreed limits and parameters of the program. In most cases, loadsare shifted rather than avoided.

Class 2 DSM: Demand side management (i.e., energy efficiency measures) – Class 2 programs are those for which sustainable energy andcapacity savings are achieved through facilitation of technological advancements in equipment, appliances, lighting, and structures.

Class 2 programs generally provide financial and/or service incentives to customers to replace equipment and appliances in existing customer owned facilities (or to upgrade in new construction) to more efficient lighting, motors, air conditioners, insulation levels, windows, etc.Savings will endure over the life of the improvement.

DSG: Distributed standby generators

Existing Purchases: Power purchase agreements, PURPA qualified facilities (may include renewables).Front Office Transactions: Proxy resources that represent procurement activity made on an annual forward basis to help the company cover short term positions (i.e., spot market purchases may include renewables).

Interruptible: Directly curtailed loads

Gas-CCCT: Combined-cycle combustion turbine

Gas-SCCT: Simple-cycle combustion turbine

Renewable: Wind, geothermal, solar, and biomass




Price of Electricity in Utah by Sector, 1960–2008

16

12

8.

4

0

C e n t s p e r k i l o w a t t h o u r

1960 1965 1970 1975 1980 1985 1990 1995 2000 2005

Average Residential Price of Electricity by State, 200835

30

25

20

15

10

5

0

H a w a i i


N e w Y o r k



A l a s k a

M a i n e

N e w J e r s e y


V e r m o n t

C a l i f o r n i a

D e l a w a r e

M a r y l a n d

T e x a s D C

N e v a d a

F l o r i d a

W i s c o n s i n


I l l i n o i s

M i c h i g a n

L o u i s i a n a

A l a b a m a


A r i z o n a

C o l o r a d o

O h i o

G e o r g i a

N e w M e x i c o


M i n n e s o t a

I o w a


V i r g i n i a

A r k a n s a s

O k l a h o m a

M o n t a n a

K a n s a s

I n d i a n a

T e n n e s s e e

O r e g o n

U t a h


W y o m i n g

M i s s o u r i

K e n t u c k y

N e b r a s k a

W a s h i n g t o n



I d a h o

N o m i n a l c e n t s p e r k i l o w a t t h o u r

42nd

The price of electricity in Utah has generally decreased (when examining inflation-adjustedprices) over the years, with an average residential price of 8.3 cents per kilowatthour in 2008.Also, since 1989, Utah’s residential price has averaged 1.7 cents less than the national average.

Utah’s average price of residential electricity ranked 10th lowest in the nation in 2008 becauseof Utah’s fully amortized coal-fire generation.

UEMS Web page table:Table 5.20Source: EIANote: 2008 data are prelim

UEMS Web page tableTable 5.21Source: EIANotes: 2008 data are

preliminary;includes District

of Columbia.

1 9 . 3

6

32.50

1 8 . 7 9

1 7 . 5 7

1 7 . 5 0

1 6 . 3

5

1 5 . 9

6

1 5 . 9

5

1 4 . 4 1

1 4 . 6 2

1 5 . 6 9

1 3 . 9 2

8 . 3 0

1 3 . 8 1

1 2 . 8 3

1 2 . 6

8

1 1 . 9 3

1 1 . 6 7

1 1 . 6 0

1 1 . 3 9

1 1 . 0 7

1 0 . 9 4

1 0 . 3 9

1 0 . 3

6

1 0 . 3 0

1 0 . 2

5

1 0 . 1

5

1 0 . 1 3

1 0 . 0

6

1 0 . 0 2

9 . 9 9

9 . 7 9

9 . 7 2

9 . 7 0

9 . 4

6

9 . 2

5

9 . 1 4

8 . 9

8

8 . 9 3

9 . 7 2

8 . 8 1

8 . 5 2

8 . 2 2

8 . 1

8

8 . 0 3

7 . 9 7

7 . 8 2

7 . 5

8

7 . 4

8

7 . 0 3

7 . 0 1

Residential (cents)

Commercial (cents)

Industrial (cents)

U.S. average res. (cents)

Residential (2008 cents)

Commercial (2008 cents)

Industrial (2008 cents)

U.S. average res. (2008 cents)



41Electricity

The majority of electricity in Utah is providedby PacifiCorp, supplying 75% of Utahcustomers and accounting for 80% of in-statesales. Thirty-eight municipal-owned utilitiesprovide the next-largest contribution, followedby nine cooperative electric utilities.

UEMS Web page table: Table 5.24Source: EIANotes: 2008 data are not yet

available; “other” includesstate, political subdivision,and federal.

Electric Utility Customers in Utah by

Class of Ownership, 2007

# of customers (Percent of total)

Cooperative41,740 (4.1%)

Other 3,816 (0.4%)

Municipal217,185 (21.1%)

PaciCorp767,689 (74.5%)

Cooperative983,573 (3.5%)

Other 114,979 (0.4%)

Municipal4,334,736 (15.6%)

PaciCorp22,352,159 (80.4%)

Electric Utility Sales in Utah by Class

of Ownership, 2007

Megwatthours (Percent of total)

utah's energy landscape

Documents