Addressing Frac Water Demand From the Perspective of Non/Fresh Surface Water Permits Application Strategy, Logistics, Limitations Jeremy Hogg, White Water Management Let’s work together to reduce the use! Application Strategy • Quantify Utility • Amalgamate Projects • Contextualize Permit Requirements Quantify Utility • The basic utility measurement is the unit ratio of water demand to oil/gas extracted – As a minimum approximation, consider the number of wells and anticipated fracs per well • A given source will always also bear on contingent utilities – Consider all contingent utilities, e.g.: relation to dust, traffic, emissions, ground disturbance, shoreline integrity Quantify Utility: the Water Table • The utility is ultimately adjusted with reference to the water table – Borrow pits are prioritized because they do not contribute directly to the water table – Non-fresh water is prioritized because • A) it does not contribute to the water table, or • B) it contributes to the water table poorly Non-Fresh Water Priority • A) does not contribute to the water table – High contamination • Disposed of – e.g., flowback • Held – e.g., tailings ponds • B) contributes poorly to the water table – Low water quality, controlled pollutant • Treated sewage (e.g., town) • Industrial effluent (e.g., pulp mill) • Natural watercourse, proximally downstream of pollutant discharge Amalgamate and Contextualize Case Study Cequence Engery, Simonette River Sub-basin “Our aim in including a wider scope of activity in our application is to contextualize our overall water use effect in the given area, create an opportunity for additional relevant limitations…, and to facilitate water tracking around a central plan.” Strategic points of diversion cover the water needs of an area for an extended period of time Satisfying multiple projects with one permit, representing a contextual water management plan Reveals total operational water demand compared to total environmental stress (POD 0) POD 0: Net Effects Conceptualization by sub-basin rather than by project edifies: • Sum Environmental Stress – Total water demand on the sub-basin for a given period from one company – The ratio of a sum instantaneous water diversion rate to discharge rate of the sub-basin • Water dependant operations planning • Water Tracking Sum % of discharge rate diverted Each point of diversion may be compliant while the sub-basin exceeds regulatory standards Operational Planning Advantages • Uncover risks to operational intentions well in advance • Gain resilience against shifting order and timing of projects • Plan within confines of sub-basin limitations Logistics • Relate Frac Rate, Water Demand, Storage, Environmental Limitation, and Operational Cost • High Utility Sourcing from the Point of View Permit Applications – The Hydrological Cycle and Water Banking – Borrow Pits – Non-Fresh Surface Water Dynamics of Water Demand and Cost Example1 Example2 Water Quantity Demand: 60,000m3 Water Per Frac: 1,500m3 Onsite Initial Storage: 5,000m3 Water Quantity Demand: 60,000m3 Water Per Frac: 1,500m3 Onsite Initial Storage: 5,000m3 Supply Rate (Environment): 4.0m3/m Supply Rate (Environment): 2.0m3/m Therefore: Days Fracking: Therefore: Days Fracking: 9.54 Cost = (cost of all services onsite)(9.54) 19.10 Cost = (cost of all services onsite)(19.10) Working with the Hydrological Cycle Water Banking and Borrow Pits During run-off season (May-June), fill storage (borrow pits) to use as late as fall-winter Permit the watercourse (e.g., Blindman River) and the borrow pit with the same application package Describe the long term plan of the water diverted, banked, and later used when environmental discharge rates are lessor Utilizing Non-Fresh Surface Water Case Study Industry Partner and a Local Community Access to 200,000+m3 of treated waste water per year Advantages • No cap on the supply rate • Available during environmental low discharge seasons • Stands as a reliable back up for other plans • Centralized • Employs water that would otherwise be discharged as a controlled pollutant • Includes the public in a water management plan Limitations (Environmental and Social) • Risk Management – Weather: Year to Year and Week to Week – Water Competition – Foreseeable Increase in Magnitude of Demand • Responsible Business – Due Proof of Stewardship re Shared Resources – Obligation to Pursue Rational Alternatives Risk Management • Weather – Environmental supply rates during a project may change – Droughts will occur - our last being 2001-2002 [Khandekar, M., Canadian Prairie Drought: A climatological Assessment, 2004] • Water Competition – Oil Co.s may impact the same source at the same time • As can other sectors, such as agriculture • Increasing Demand – Progression toward many wells on one pad-site concentrates demand, both in time and place – Industry growth predicts town growth, exacerbating demand near municipalities Responsible Business • Stewardship of Shared Resources – The public is always a tacit stakeholder in every project – The effects of water management travel downstream, effecting non-local areas • Pursuing Alternatives to Fresh Surface Water – The public eye sees • • A) fresh water is not required to frac B) there is an abundance of non-fresh water available Therefore, it is rational for the public to question our water management strategies