Project Number: DE-FC26-05NT42590
Presented to:
Regional Carbon Sequestration Partnerships 2011 Peer Review
Arlington, Virginia
March 17, 2011
Presented by:
Susan Hovorka
Research Scientist
Bureau of Economic Geology
The University of Texas at Austin
Vello A. Kuuskraa
President
Advanced Resources International, Inc.

 This material is based upon work supported by the U.S.
Department of Energy National Energy Technology
Laboratory.
 Cost share and research support provided by SECARB/SSEB
Carbon Management Partners.
2

3

SECARB Early Test was recognized by DOE for furthering CCS technology and meeting
G-8 goals for deployment of 20 similar projects by
2010. The Early Test is the fifth project worldwide to reach the
CO
2 injection volume of one million tonnes and the first in the U.S.
- (DOE Techline, 11/05/2009)
Early Test
Denbury Resources’ Cranfield Field
Near Natchez, Mississippi
Anthropogenic Test
Capture: Alabama Power ‘s Plant Barry,
Bucks, Alabama
Transportation: Denbury Onshore LLC
Geo Storage: Denbury’s Citronelle Field
,
Citronelle, Alabama
4

Predict storage capacities within +/- 30%
 Well known based upon production history; Early Test advanced the understanding of efficiency of pore-volume occupancy (E factor).
 Success metrics: Measure saturation during multiphase plume evolution
(completed). Increase predictive capabilities (modeling underway).

Evaluate protocols to demonstrate that 99% of CO
2 is retained
Permanence of geologic system well understood prior to test because of retention of large volumes of methane.


Retention uncertainties lie in well performance. Early Test is evaluating methods to assess well performance.
Success metrics: Measure changes above the injection zone along well, above zone monitoring interval (AZMI), and at surface (P-site) over long times
(underway).
Contribute to development of Best Practices Manuals
 Early Test researchers have contributed to Best Practices Manuals on MVA, characterization, risk and modeling. Assistance has been provided on related protocol development, including IOGCC (U.S.), Pew Center accounting study
(U.S.), IPAC-CO
2
(Canada), and CO
2
-Care (EU).
5

Goal 1 - Adequate Injectivity and Capacity
 Advanced the understanding of efficiency of pore-volume occupancy (E factor) by measuring the saturation during multiphase plume evolution. Anticipate increasing predictive capabilities through modeling.
Goal 2 - Storage Permanence
 Although well understood prior to test, assessed methods for documenting well performance, which include:
– Measure changes above the injection zone along well, above zone monitoring interval
(AZMI), and at surface (P site) over long times (underway)
Goal 3 - Areal Extent of Plume and Potential Leakage Pathways






Measured down-dip extent of plume via VSP and 4-D seismic to improve the uncertainty regarding the radial flow (down dip/out of pattern) in the 4-way closure.
Increase predictive capabilities through modeling
Goal 4 -Risk Assessment
Saline storage site is located in EOR field with operator owning CO
2
.
Use Early Test to advance risk assessment techniques and share information.
Completed certification framework assessment of leakage risk.
Confirmed well performance as highest uncertainty and focus of monitoring research.
6

Goal 5 - Develop Best Practices
 Participated in developing BPMs for MVA, characterization, risk and reservoir modeling.


Goal 6 - Public Outreach and Education



On-site outreach handled by Landmen.
SSEB and Early Team focus on O&E in public and technical arenas.
Hosted site visits, responses to local and trade media, Fact Sheets, and website postings of project information.
Goal 7 - Improvement of Permitting Requirements
 Permits obtained by site operator.
Project team focus is on development of regulatory framework for GHG.
Provided experience with monitoring instruments and well performance to decision makers.
7

DOE/NETL
Early Test
TX BEG /Gulf Coast Carbon Center
(Collaborators outlined in
Early Test section)
Environmental Information
Volumes
Steve Walden Consulting
Program Management
Project Management & Budget/Administrative Oversight
Southern States Energy Board (SSEB)
Anthropogenic Test
Electric Power
Research Institute
(Collaborators outlined in
Anthropogenic Test section)
Environmental Information
Volumes
Cardno ENTRIX, Steve Walden
Consulting
Regional Activities
Continued Characterization
TX BEG/GCCC, EPRI, ARI
Outreach
SSEB
Legal & Regulatory
SSEB
Offshore Study
(Collaborators: SSEB,
TX BEG/GCCC, Geological
Survey of Alabama, and
IOGCC)
8

SSEB
Gulf Coast Carbon Center
Bureau of Economic Geology
Jackson School of Geosciences
The University of Texas at Austin
Denbury Resources
Field owner and injection system design, management, 4-D survey, HS&E
Vendors e.g. local landman
Sandia Technologies
Monitoring Systems
Design, Installation,
HS&E
50 Vendors e.g. Schlumberger
MSU Umiss
Hydro & hydrochem
Core Lab
UT DoG
Anchor QEA
Federal collaborators
Vis FWP
LBNL
Well-based geophysics,
U-tube and lab design and fabrication
LLNL
ERT
USGS
Geochemistry
Environmental
Information Volumes
Walden Consulting
Vendors e.g. equipment
Separately funded
ORNL
PFT, Stable isotopes
NRAP
VSP
NETL
Rock-water interaction
Stanford, Princeton, U Edinburgh, UT
PGE & ICES (CFSES), U. Tennessee, USGS
RITE, BP
9

Project Overview: Scope of Work





Task 1.0: Continued Characterization of Regional Sequestration
Opportunities
– Assessment of regionally significant formations (saline); update of CO
2 sources; regional/national Atlas updates; participation in RCSP capacity work group.
Task 2.0: Public Outreach and Education
– Local (field test), regional , national, and international public outreach and education.
Task 3.0: Site Permitting
– Identification and submittal of required site permitting (EQs, EAs, drilling and injection permits from Miss. Oil and Gas Board).
Task 4.0: Site Characterization and Modeling
– Detailed site characterization (existing data and new data collection)
Task 5.0: Well Drilling and Completion
– Design and completion of observation and injection wells (Sandia
Tech/Denbury)
10

Project Overview: Scope of Work






Task 6.0: Infrastructure Development
– Mostly provided by Denbury. Enlarge well pad, electricity for MVA
Task 7.0: CO
2
Procurement
– Procure additional CO
2 to meet project metric.
Task 8.0: Transportation and Injection Operations
– Transportation and injection operations provided by Denbury
Task 9.0: Operational Monitoring and Modeling
– Early Test surface and subsurface monitoring, data collection, and modeling.
Task 10.0: Site Closure
– Early Test discontinuation plan: Denbury continue commercial injection for decades
Task 11.0: Post-Injection Monitoring and Modeling
– Time lapse monitoring and model updates to history match; RCSP MVA
Work Group participation.
11

Project Overview: Scope of Work




Task 12.0: Project Assessment
– Site-specific, regional and Partnership-wide findings.
Task 13.0: Project Management
– Local project management for field sites and overall project management and oversight.
Task 14.0: Does Not Exist
– A pipeline study was proposed for Phase III but was later added to the
Phase II program instead. Task 15.0, which was proposed at the same time, was added to the Phase III program. The task numbers were not changed, so there is no Task 14.0 in the Phase III SOW.
Task 15.0: Preliminary Evaluation of Offshore Transport and Storage of
CO
2
– Resource mapping offshore Gulf of Mexico (state and federal waters); infrastructure inventory; legal and regulatory analysis; outreach and education regarding findings.
12


–
Early Test adjusted to match Denbury’s field development plan

Phase III Early Test
Dollars Percent
DOE Share $34,186,226 59.53%
Non-DOE Share $23,240,580 40.47%
Total Value
Expenditures as of
12/31/2010
$57,426,806*
$37,796,045
*Does not include the Anthropogenic Test, continued characterization (Task 1), offshore study
(Task 15), or regional activities (outreach, project assessment, project management). The total
SECARB Phase III Program budget is $111,413,431.
13

14

All tasks are on schedule and budget.
15

Confining System
Repetitive depositional units
• Results transferable to:
• older and younger units
• other parts of region
Confining System

2
Denbury Pipeline System
17

Mississippi River
Natchez
Mississippi
3,000 m depth
Gas cap, oil ring, downdip water leg
Shut in since 1965
Strong water drive
Returned to near initial pressure
18
Illustration by Tip Meckel

Upper Cretaceous Tuscaloosa-Woodbine Trend – Cranfield in
Mississippi Salt Basin
Source of large volumes of
CO
2 via pipeline
Cranfield
Source: Dutton and others 1993
19

W
Phase II
Oil-water contact
Phase III
E
Cross section from 3-D seismic survey
Tip Meckel
20

2006 2007
First cored well, brine samples baseline seismic
2008 2009 2010
Drill Phase III
3 DAS wells
Monitoring
2011
Phase III injection
Phase II injection
2012
Phase II
Phase II + III
12/20/2009 1 million tons Phase III injection
10/2010
Repeat geophysical monitoring
10/2010

Reservoir characterization;
3-D, Production history
Existing cores and logs
Existing aquifer data
GEM, TOUGH2
Geochemist workbench models for assessment
GEM and
TOUGH2 models for experiment design
Well drilling
Cross well seismic
Multi-well hydro tests
Logging, coring,
Petrography, petrophysics
Soil gas recon,
Groundwater surveillance
GEM, TOUGH2
Geochemist workbench models for Operations
Time-lapse Cross well, VSP, repeat 3-D
Groundwater
Surveillance
P-site measurements
GEM, TOUGH2
Geochemist workbench models for assessment
BHP BHT DTS
ERT, RST, U-tube geochemistry
Measurement
Groundwater
Surveillance
P-site measurements
22

Area tested Whole plume Focus study
Atmosphere
Soil gas
Groundwater
Not tested
Time-lapse surveys at active and P&A well pads
Monitoring well at each injector
Shallow production
Not tested
AZMI
Geo
Mechanical test
Injection zone
Not tested
Not tested
Geochemistry breakthrough
Not tested
“P site” methodology assessment
EGL-7 UM cored test well. Push-pull test
Not tested
DAS pressure and EGL
7 pressure + fluids
GMT-failed
DAS multi-well multi tool array
23

5km
EGL-7
High Volume
Injection Test
(HiVIT)
Psite
Phase II
Pipeline head&
Separation facility
GMT
Detail Area
Study DAS
Injector
Producer
(monitoring point)
Observation Well
GIS base Tip Meckel
24

Commercial Deployment
Subsurface perturbation predicted
Contingency plan
Parsimonious public assurance monitoring
CO
2 retained in-zonedocument no leakage to air-no damage to water
Surface monitoring: approach verification
Groundwater program
Gas variation over time
Above-zone acoustic monitoring (CASSM) & pressure monitoring
Sensitivity of tools; saturated-vadose modeling of flux and tracers
CO
2 saturation correctly predicted by flow modeling
CO
2 saturation measured through time – acoustic impedance + resistivity
Tomography and change through time, gravity
3- D time lapse surface/
VSP seismic
Dissolution and saturation measured via tracer breakthrough and chromatography
Lab-based core response to EM and acoustic under various saturations, tracer behavior
Pressure (flow plus deformation) correctly predicted by model
Microseismic test,
RITE pressure mapping
Acoustic response to pressure change over time
Advanced simulation of reservoir pressure field
25

Above-Zone Pressure Monitoring –powerful tool for leakage detection
AZMI
Middle Tuscaloosa
Confining System
Tuscaloosa DE injection zone
CO2 Injection Zone
Fifteen Months of pressure data
Tip Meckel
26

Channel erosion
Point bar
Channel erosion
Point bar
Channel erosion
Channel erosion
Galloway 1983
Stratal slicing of 3-D volume
Hongliu Zeng
Meander fluvial model
27

Injector
CFU 31F1
Obs
CFU 31 F2
Obs
CFU 31 F3
Closely spaced well array to examine flow in complex reservoir
Petrel model Tip Meckel
10,500 feet BSL
F1 F2 F3
Above-zone monitoring
Above Zone Monitoring
Injection Zone
68m
112 m 28

FI F2 F3
Jong-won Choi and JP Nicot BEG
29

Observed breakthrough
Jong-won Choi and JP Nicot BEG
30

2



Well-based methods
– Wireline logs in time lapse -RST
– Temperature
Cross well methods
–
–
Time- lapse ERT
Time – lapse acoustic (seismic)
Arial methods
– Azimuthal and walk away VSP
– Time-lapse 3-D seismic from surface
31

Baseline
Sep. 2009
F
3
F
2
Prelim. Cross-well Seismic F1
(Injection)
Change
Nov.
2010
0.0
140 Inter-well Distance
(ft)
367
Ajo-Franklin and Daley LBNL

2007 (pre injection)- 11/2010
Injector
Producer
Trevor Richards, Denbury

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
11/29/09 0:00
Originally brine methane saturated
CH4
CO2
12/4/09 0:00 12/9/09 0:00
Breakthrough of of CO
2
12/14/09 0:00 12/19/09 0:00
SAMPLING TIME
12/24/09 0:00 12/29/09 0:00 1/3/10 0:00
Double
Additional flow paths – more injection rate methane extracted
Small diameter sampler with N
2 intact drive brings fluids quickly to surface with tracers
CO
2 dissolution into brine liberates dissolved CH
4
BEG, LBNL, USGS, ORNL, UTDoG, data compiled by Changbing Yang BEG
35

Romanak and Yang, BEG
36






SIMSEQ – interpartnership model development test
GEM models – DAS and HiVIT
LBNL – TOUGH2
DOE BES EFRC program - CFSES
NRAP
TOUGH2
DAS
Doughty
LBNL
GEM modeled CO
2 plume evolution HiVIT
Nicot and Choi BEG
Dec 2009 March 2010
37

Nicot, (BEG) Oldenburg (LBNL) and others,
2011
38

Nicot, (BEG) Oldenburg
(LBNL) and others, 2011
2600
2800
3000
3200
0.0001
2000
2200
2400
0.001
Mass Flux (kg/m 2 /s)
0.01
0.1
Wilcox
Midway Claystones
1
Austin Chalk
Eagle Ford
Eutaw
Upper Tuscaloosa
Middle Tuscaloosa
Lower Tuscaloosa
Base Case
Sensitivity Case 1
Sensitivity Case 2
Lower Tuscaloosa
Middle Tuscaloosa
Upper Tuscaloosa
Eutaw
Eagle Ford
Austin Chalk
Midway Claystones

Examples
U.S. and International Programs
NRG CCPI BIG CCS
(Norway)
Sharing results with future projects
Univ. Oslo
(Norway)
SIM-
SEQ
Scottish
RITE
Microsesmic
Center CCS
Florida
USGS
IPAC-CO2
Florida
Polk Co
CFSES
AP/Leucadia
/Hastings
NRAP
Decatur
SECARB Anthro Test
Exchange with sister projects SECARB Early Test
Ketzin
Mountaineer
Building from past experiences
Otway
Nagaoka
GEO-SEQ Frio Test 1&2
In Salah
Plant Daniel
More commercial 40

• GCCC Outreach: press, conferences, publications, testimony www.gulfcoastcarbon.com
• ARRA Funded Projects
– STORE:
• sequestration training outreach research and education www.storeCO2now.com
– SECARB-Ed www.secarb-ed.org
(led by SSEB)
41





–
–
–
–
–
History match pressure response
Above-Zone Monitoring Interval (AZMI)
Fluid flow measured/monitored with multiple tools in complex flow field
Quantification of dissolution
Knowledge sharing, outreach, risk assessment
42



Extensive modeling
Continue monitoring Downhole,
P&T , AZMI P site , groundwater,
 Mine existing Cranfield data and share with others to increase predictive capabilities (e.g., SIM-
SEQ inter-partnership model development program).
43

44

Coal Seam Project
Host Company: El Paso E&P near Tuscaloosa, Alabama
Coal Seam Project
Host Company: CNX Gas
Russell County, Virginia
Stacked Storage Project
Cranfield Test Site
Host Company: Denbury Resources, Inc.
near Natchez, Mississippi
Mississippi Test Site
Mississippi Power’s Plant Daniel
Escatawpa, Mississippi
45

46




Organization (Tasks 1, 15 are unique)
Organization (Tasks 2-13)
– Task Level (Activity)
 Subtask Level (Field Test Site or Regional Effort)
–
–
–
Early Test is X.1
Anthropogenic Test is X.2
Regional Efforts are X.3
Example
– Task 2.0: Public Outreach and Education



Subtask 2.1: SECARB Early Test Public
Outreach and Education
Subtask 2.2: SECARB Anthropogenic Test
Public Outreach and Education
Subtask 2.3: Regional and Partnership Public
Outreach and Education
47

All tasks are on schedule and budget.
Task
Continued Characterization of Regional Sequestration Options (TASK 1.0)
Subtask 1.1: Improved Geologic Characterization of Regionally Significant
Tuscaloosa/Woodbine Saline Formations
Subtask 1.2: Information for Use in the Update to the Regional Atlas
Subtask 1.3: Participation in Capacity Subgroup
Subtask 1.4: Further Geologic Characterization of Regionally Significant Large Capacity Saline
Formations
Subtask 1.5: Updated Assessment of the CO2 Storage Potential of the SECARB Coals and the
Organic Shales
Subtask 1.6: Reservoir Characteristic Data for Other SECARB Saline Reservoirs
Subtask 1.7: Update of CO2 Sources in the SECARB Region
Subtask 1.8: Provide Information for Use in the Updates to the Regional Atlas
Subtask 1.9: Provide Information on Subsequent Updates to Regional Atlas
Public Outreach and Education (TASK 2.0)
Subtask 2.1: SECARB Early Test Public Outreach and Education
Subtask 2.2: Anthropogenic Test Public Outreach and Education
Subtask 2.3: Regional and Partnership Public Outreach and Education
Start
10/1/07
1/1/08
10/1/07
10/1/07
1/1/09
1/1/09
10/1/09
10/1/09
10/1/12
10/1/15
10/1/07
10/1/07
1/1/09
10/1/07
End
3/31/17
12/14/09
9/25/08
9/25/08
12/31/12
12/17/10
9/30/12
9/30/12
9/30/15
3/31/17
9/30/17
9/30/17
9/30/15
9/30/17
48

Task
Site Permitting (TASK 3.0)
Subtask 3.1: Permitting for the Early Test Site
Subtask 3.2: Permitting for the Anthropogenic Test Site
Site Characterization and Modeling (TASK 4.0)
Subtask 4.1: Site Characterization and Modeling for the Early Test Site
Subtask 4.2: Site Characterization and Modeling for the Anthropogenic Test Site
Well Drilling and Completion (TASK 5.0)
Subtask 5.1: Early Test Site Well Drilling and Completion
Subtask 5.2: Anthropogenic Test Well Drilling and Completion
Infrastructure Development (TASK 6.0)
Subtask 6.1: Early Test Site Infrastructure Development
Subtask 6.2: Anthropogenic Test Site Infrastructure Development
CO2 Procurement (TASK 7.0)
Subtask 7.1: Early Test CO2 Procurement
Subtask 7.2: Anthropogenic Test CO2 Procurement
Transportation and Injection Operations (TASK 8.0)
Subtask 8.1: Early Test CO2 Transportation and Injection Operations
Subtask 8.2: Anthropogenic Test CO2 Transportation and Injection Operations
Operational Monitoring and Modeling (TASK 9.0)
Subtask 9.1: Early Test Operational Monitoring and Modeling
Subtask 9.2: Anthropogenic Test Operational Monitoring and Modeling
All tasks are on schedule and budget.
Start
10/1/07
10/1/07
10/1/10
9/28/08
9/28/08
10/1/10
9/30/09
9/30/09
1/1/11
11/15/07
11/15/07
4/1/10
7/7/07
7/7/07
1/1/09
10/1/07
10/1/07
1/1/09
10/1/07
10/1/07
10/1/09
End
6/30/11
5/15/09
6/30/11
12/15/11
12/15/11
7/31/11
9/30/11
5/21/10
9/30/11
9/30/11
1/30/11
9/30/11
2/28/11
1/30/11
2/28/11
3/31/14
1/30/11
3/31/14
3/31/15
1/30/11
3/31/15
49

All tasks are on schedule and budget.
Task
Site Closure (TASK 10.0)
Subtask 10.1: Cranfield Test Discontinuation
Subtask 10.2: Anthropogenic Test Site Closure
Post-Injection Monitoring and Modeling (TASK 11.0)
Subtask 11.1: Early Test Post-Injection Monitoring and Modeling
Subtask 11.2: Anthropogenic Test Post-Injection Monitoring and Modeling
Project Assessment (TASK 12.0)
Subtask 12.1: Early Test Project Assessment
Subtask 12.2: Anthropogenic Test Project Assessment
Subtask 12.3: Regional Project Assessment
Project Management (TASK 13.0)
Subtask 13.1: Project Management - GCCC
Subtask 13.2: Project Management - EPRI
Subtask 13.3: Project Management - SSEB
Preliminary Evaluation of Offshore Transport and Storage of CO2 (TASK 15.0)
Subtask 15.1: Offshore Gulf of Mexico Resource Mapping - Federal Waters
Subtask 15.2: Offshore Gulf of Mexico Resource Mapping - State Waters - Florida
Panhandle, Alabama, Mississippi, and Louisiana
Subtask 15.3: Legal and Regulatory Structures and Opportunities
Start
10/1/07
10/1/07
10/1/15
6/15/09
6/15/09
6/1/15
10/1/07
4/1/08
10/1/10
10/1/07
10/1/07
10/1/07
10/1/07
10/1/07
10/1/09
10/1/09
10/1/09
10/1/09
End
3/31/17
10/30/13
3/31/17
3/31/17
9/30/14
3/31/17
7/30/17
9/15/15
7/30/17
7/30/17
10/31/17
7/30/17
7/30/17
10/31/17
9/30/11
9/30/10
9/30/10
9/30/11
50