Harmon Valley South HCSS Pilot Approval 11895 Annual Performance Presentation · 2020-03-13 ·...
Transcript of Harmon Valley South HCSS Pilot Approval 11895 Annual Performance Presentation · 2020-03-13 ·...
11-Feb-2015
Harmon Valley South HCSS Pilot Approval 11895Annual Performance Presentation
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Subsurface Agenda
1. Background2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Background – Primary Development
Primary scheme development began in 2004 under Approval No. 11060
The Harmon Valley South (HVS) Primary field has 18 primary wells operating on 8 wellpads
Currently there are 30 wells within 1,000m of the HVS Pilot Project, both primary producing and stratigraphic wells
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Background – Thermal Approval
Approval 11895 21-Sep-12 Original Pilot Approval
Approval 11895A 28-Nov-12Revised bottomhole location for pilot wells
AUC Approval for Pilot Power Plant 3-Oct-12
AUC Approval received
Approval 11895B 3-Mar-14
Increase maximum bottomhole operating pressure from 14,500 kPag to 21,500 kPag and light hydrocarbon circulation prior to steam injection
Approval 11895C 11-Aug-14
Increase steam injection volume above 14,500 kPag from 2,500 m3 to 12,500 m3
and reduction in maximum bottomhole injection pressure from 21,500 kPag to 20,000 kPag
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Background – Pilot Objectives
A three well HCSS project in the Bluesky Formation
80% quality steam injected at the heel of the well
Inject steam at a target rate of 500 m3/d CWE
Evaluate technology in various reservoir conditions:• Well 100/07-36: Tight, viscous conditions
• Well 102/15-06: High water saturation
• Well 103/14-06: High permeability
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Subsurface Agenda
1. Background
2. Geology3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Geology – Bluesky Formation Overview
Series of north/south oriented, stacked tidal distributary channels
Fine to medium grained litharenite
Average depth is 675m TVD
Thickness up to 26m
Porosities from 24% to 30% (Avg 25%)
Permeability from 450 to 4,200 mD
Oil Saturation from 55% to 85% (Avg 76%)
API Gravities of 8.7 to 9.8 API at 15.6°C
Viscosities from 11,000 to 300,000 cSt at 20°C
10-06-083-17W5 Type Log
Bluesky
Gething
Wilrich Mkr
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Geology – Thermal Pilot Location
Pilot HCSS Wells
• 100/07-36-082-18W5
• 102/15-06-083-17W5
• 103/14-06-083-17W5
Observation Wells
• 100/10-06-083-17W5
• 100/15-06-083-17W5
• 102/14-06-083-17W5
• 100/15-36-082-18W5
• 100/02-06-083-17W5
• 100/11-06-083-17W5
14-0615-06
10-06
15-36
02-06
11-06
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Geology – 3D Seismic
3D-HVS09 (North)
• Shot in January 2009
• Processed in January 2009
3D-HVS (South)
• Shot in March 2008
• Processed in March 2008
3D-HVS09
3D-HVS
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Geology – Bluesky Top Structure Map
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Geology – Bluesky Base Structure Map
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Geology – Net Pay Map
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Geology – Structural Cross-Section
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Geology – Structural Cross-Section100/07-36-082-18W5
Wilrich Mkr
Bluesky
Gething
Pay Top
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Geology – Structural Cross-Section102/15-06-083-17W5
Wilrich Mkr
Bluesky
Gething
Pay Top
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Geology – Structural Cross-Section103/14-06-083-17W5
Wilrich Mkr
Bluesky
Gething
Pay Top
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Geology - Cored Wells
Cored Wells
CSS Thermal Well
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Geology – Core Photos
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Geology – Average Reservoir Properties (Pilot)
*Based on the pilot project area
Net pay (m) 14.7Area (ha) 184Porosity (%) 27Water Saturation (%) 24Formation Temperature (˚C) 22Formation Pressure (kPa) 4,800Viscosity (cSt at 20oC) 30,000Average Hz Permeability (mD) 1,500Formation Volume Factor 1.02OBIP (e3m3)* 5,441
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Geology – Fracture Pressure
In 2011, a mini-frac test was conducted in 100/03-06-083-17W5
Penn West performed two new MDT mini-frac tests to determine the closure stress in the Wilrich and Bluesky Formations:• Wilrich Fm depth of 672m MD
• Bluesky Fm depth of 698m MD
After processing the data, the following gradients are calculated:
The MOP granted by the AER for the pilot is 20MPa (29.8 kPa / m)
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Drilling and Completions – Wellbore Design
60.3mm guide string to the toe
38.1mm coil tubing thermocouple instrumentation line inside the guide string
114.3mm injection and production string landed at the heel
Bubble tube strapped to the guide string
Injection/Production String:114.3 mm, 18.97 kg/m, L-80 Hydril 503
Reciprocating Rod Pump
Surface Casing:339.7 mm, 81.10 kg/m, J-55, ST&C
Production Casing: 244.5 mm, 59.53 kg/m, L-80, Hydril 563
ICP
Guide String:60.3 mm, 6.99 kg/m, L-80 Hydril 503
Bubble tube strapped to guide string.
Thermal cement to surface
Slotted Liner:177.8 mm, 34.23 kg/m, L-80 Hydril 563
CT Instrumentation String: 38.1 mm coil tubing
Cement to surface
Liner Hanger
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Artificial Lift
3.25” insert rod pumps run on all three wells initially
Due to low reservoir temperatures in Well 103/14-06 following steam cycle 1, pump could not produce the viscous oil • Weatherford 56-1500 Insert PCP run in May 2014 to
enable continued production
• Intend to return to rod pump following second steam cycle on Well 103/14-06
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Well Instrumentation – HCSS Wells
Multiple thermocouples to monitor temperature from wellhead to the toe of the well (1,600 – 1,800m MD)
Heel pressure measurement via bubble tube strapped to the 60.3mm guide string
Toe pressure measurement via bubble tube in instrumentation coil
Ability to perform N2 purge from surface
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Well Instrumentation – Observation Wells
Five observation wells to measure reservoir response at various locations along the horizontal lengths of the wells
Real-time pressure and temperature monitoring via thermocouples and single point pressure gauges spaced in the reservoir
Permanent passive micro-seismic monitoring from 2 observation wells to monitor casing and caprock integrity
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic7. Scheme Performance
8. Future Plans
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4D Seismic
No current plans to conduct 4D Seismic at HVS
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance8. Future Plans
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Scheme Performance – Well 100/07-36
3-Jun-14 23-Jul-14
0
2
4
6
8
10
12
0
500
1,000
1,500
2,000
2,500
3,000
01-Jun-14 11-Jun-14 21-Jun-14 01-Jul-14 11-Jul-14 21-Jul-14 31-Jul-14
c SO
R
Cum
ulat
ive
Volu
me,
m3
Produced Oil Produced Water Total Steam Total cSOR
Well shut-in due to rod hang-up.
Awaiting next steam cycle.
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Scheme Performance – Well 100/07-36
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
01-Jun-14 11-Jun-14 21-Jun-14 01-Jul-14 11-Jul-14 21-Jul-14
Pres
sure
, kPa
Wellhead Pressure, kPa Heel Pressure, kPa Toe Pressure, kPa
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Scheme Performance – Well 100/07-36
0
50
100
150
200
250
300
350
400
01-Jun-14 11-Jun-14 21-Jun-14 01-Jul-14 11-Jul-14 21-Jul-14
Tem
pera
ture
, deg
C
489mKB 944mKB 1047mKB 1092mKB
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Scheme Performance – Well 100/07-36
686
688
690
692
694
696
698
700
702
704
20 22 24 26 28 30
Form
atio
n D
epth
, mK
B
Temperature, degC
3-Jun 10-Jun 14-Jun 30-Jun
685
690
695
700
705
710
715
20 22 24 26 28 30 32
Form
atio
n D
epth
, mK
B
Temperature, degC
3-Jun 10-Jun 14-Jun 30-Jun
100/02-06-083-17W5 100/15-36-082-18W5
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Scheme Performance – Well 102/15-06
5-May-14 26-Aug-14 18-Sep-14
0
2
4
6
8
10
12
14
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
01-Apr-14 21-May-14 10-Jul-14 29-Aug-14 18-Oct-14 07-Dec-14
c SO
R
Cum
ulat
ive
Volu
me,
m3
Produced Oil Produced Water Total Steam Total cSOR
Well shut-in due to rod hang-up.
Repairs completed on
steam plant prior to commencing
next steam cycle.
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Scheme Performance – Well 102/15-06 Bottomhole Conditions
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
01-May-14 20-Jun-14 09-Aug-14 28-Sep-14 17-Nov-14
Pres
sure
, kPa
Wellhead Pressure, kPa Heel Pressure, kPa Toe Pressure, kPa
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Scheme Performance – Well 102/15-06 Bottomhole Conditions
0
50
100
150
200
250
300
350
400
18-Sep-14 28-Sep-14 08-Oct-14 18-Oct-14 28-Oct-14 07-Nov-14 17-Nov-14
Tem
pera
ture
, deg
C
450mKB 752mKB 785mKB 832mKB 879mKB 923mKB 973mKB1,020mKB 1,068mKB 1,115mKB 1,162mKB 1,209mKB 1,256mKB 1,303mKB1,350mKB 1,397mKB 1,444mKB 1,491mKB 1,538mKB 1,585mKB
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Scheme Performance – Well 102/15-06 Bottomhole Conditions
0
50
100
150
200
250
300
350
400
0 200 400 600 800 1000 1200 1400 1600 1800
Tem
pera
ture
, deg
C
Measured Depth of Thermocouple, mKB
Cycle 1 Cycle 2
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Scheme Performance – Well 102/15-06
675
680
685
690
695
700
705
20 25 30 35 40 45 50
Form
atio
n D
epth
, mK
B
Temperature, degC
5-May 18-May 26-Aug
18-Sep 23-Nov 31-Dec
670
675
680
685
690
695
700
0 20 40 60 80 100 120
Form
atio
n D
epth
, mK
B
Temperature, degC
5-May 18-May 26-Aug
18-Sep 23-Nov 31-Dec
100/10-06-083-17W5 100/15-06-083-17W5
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Scheme Performance – Well 103/14-06
5-Mar-14 11-Sep-14 14-Dec-14
0
2
4
6
8
10
12
0
1,000
2,000
3,000
4,000
5,000
6,000
01-Nov-13 21-Dec-13 09-Feb-14 31-Mar-14 20-May-14 09-Jul-14 28-Aug-14 17-Oct-14 06-Dec-14
c SO
R
Cum
ulat
ive
Volu
me,
m3
Produced Oil Produced Water Total Steam Total cSOR
Well shut-in awaiting next steam cycle.
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Scheme Performance – Well 103/14-06 Bottomhole Conditions
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
01-Mar-14 20-Apr-14 09-Jun-14 29-Jul-14 17-Sep-14 06-Nov-14 26-Dec-14
Pres
sure
, kPa
Wellhead Pressure Heel Pressure Toe Pressure
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Scheme Performance – Well 103/14-06
680
682
684
686
688
690
692
694
696
698
20 22 24 26 28 30
Form
atio
n D
epth
, mK
B
Temperature, degC
3-Mar 15-Mar 30-Mar 8-Apr
1-Sep 14-Dec 31-Dec
670
675
680
685
690
695
700
705
20 40 60 80 100
Form
atio
n D
epth
, mK
B
Temperature, degC
3-Mar 15-Mar 30-Mar 8-Apr
1-Sep 14-Dec 31-Dec
100/11-06-083-17W5 102/14-06-083-17W5
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Scheme Performance – Steam Injection
0
60
120
180
240
300
360
420
480
0
10
20
30
40
50
60
70
80
01-Dec-13 20-Jan-14 11-Mar-14 30-Apr-14 19-Jun-14 08-Aug-14 27-Sep-14 16-Nov-14
Stea
m T
empe
ratu
re, S
team
Rat
e
Stea
m Q
ualit
y, S
team
Pre
ssur
e
Steam Pressure, MPa Steam Quality, % Steam Rate, m3/d Steam Temperature, degC
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Thermal WellPrimary Well
Scheme Performance – Offsetting Primary Wells
Offsetting primary wells are thermally compatible
To date, Penn West has not identified any communication between the thermal wells and the offsetting primary wells
Temperature of the produced fluids is monitored to identify any potential steam migration, and will be shut in if temperatures show a significant increase
860m
585m
400m
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Scheme Performance – Recovery Factor
Cycle 1 Production, m3 2,067Cycle 2 Production to Date, m3 1,335Total Production to Date, m3 3,402OBIP, m3 5,441,000Current Recovery, % 0.1%Estimated Ultimate Recovery*, % 3%
*Estimated Ultimate Recovery is low due to the large project area defined. Typical primary recovery in this area is 5%.
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Subsurface Agenda
1. Background
2. Geology
3. Drilling and Completions
4. Artificial Lift
5. Well Instrumentation
6. 4D Seismic
7. Scheme Performance
8. Future Plans
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Future Plans
Complete second steam cycle on Well 103/14-06 in Q1 2014
Begin second steam cycle on Well 100/07-36
Evaluate second production cycles on all three pilot wells to determine third steam cycle schedule
With the increased injection volumes, Penn West is still early in the evaluation phase of pilot results and the technology’s application in the specific reservoir conditions
Continuously evaluating project economics in light of current market conditions
Harmon Valley South HCSS PilotSurface Review
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Surface Agenda
1. Facilities2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Facilities – Pilot Plot Plan
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Facilities – Process Flow Diagram
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Facilities - Modifications
Pilot plant facility construction completed in Q4 2013 with the following major equipment:• 14.65 MW OTSG
• Water Treatment Package
• Water Tank Farm
• Produced Fluids Tank Farm
• MCC / Instrument Air Building
• Diesel and Natural Gas Generators
• Glycol System
• HP/LP Flare
• Three HCSS wells with electrically powered pump jacks
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Facilities - Modifications
Drilled one horizontal source water well (14-25-082-18W5) and one vertical source water well (16-36-082-18W5) and connected to the facility via pipeline in Q3 2013
Constructed 8” 23.4km fuel gas pipeline from TransCanada 05-09-085-17W5 to pilot facility
Constructed telecommunications infrastructure in Q3 2013 including tower, microwave and radio equipment and UPS
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Facility Performance
Bitumen Treatment:
• Successfully produced sales spec oil with existing facility
• Each production well is tied into common header/production system
Steam Generation:• OTSG capacity 14.65MW and 80% steam quality
• Design to steam one well at a time
• Have not run the OTSG consistently at full capacity and steam quality due to injectivity constraints caused by the reservoir conditions
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Facility Performance
Other Equipment:• Genset Packages: installed diesel and natural gas
generators. Downtime for various reasons, such as overcurrent trips, cooked wires, detonation problems, fan failure, VFD faults.
• Glycol Heaters: Downtime caused by variety of reasons, such as overloads, coolant leaks, cooked VFD, VFD faults.
• The fuel gas lines were mostly installed without insulation or heat tracing – moisture in lines caused variety of problems and equipment trips.
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Facility Performance
Radar level transmitters in produced fluids tanks failed to provide correct tank level feedback. Tank level gauges installed instead.
Significant work required to swing well from steaming to production service. In future, use spectacle blinds instead of removable spools in places where possible.
The flare knock-out drum was not fitted with separate liquid transfer pump. The vacuum truck is used as a solution. Operating costs should be considered when looking into decisions aimed at capital savings.
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Facility Performance – Power Consumption
Harmon Valley South Thermal Pilot operates using an natural gas generator with a diesel generator as back-up.
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Facility Performance – Fuel Use
Month
Purchased Gas Vent Gas Flare Gas Produced GasProduced Gas
Recovery
e3m3 e3m3 e3m3 e3m3 %Jul-13 22.3 0 0 0 0%Aug-13 206.4 0 0 0 0%Sep-13 186.5 0 0 0 0%Oct-13 239.9 0 0 0 0%Nov-13 304.7 0 18.1 0 0%Dec-13 639.5 0 6.2 0 0%Jan-14 389.6 0 6.2 0 0%Feb-14 277.3 0 6.2 0 0%Mar-14 280.6 0 6.2 0 0%Apr-14 210.9 0 5 0 0%May-14 261.2 0 6.9 0.1 0%Jun-14 293.7 0 11.5 0.3 0%Jul-14 73.5 0 6.9 0.3 0%Aug-14 92.4 0 6.7 0.2 0%Sep-14 256.2 0 3.6 0.2 0%Oct-14 527.2 0 10.6 0 0%Nov-14 419.7 0 18.1 0 0%Dec-14 435.7 0 17.1 0.1 0%
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Surface Agenda
1. Facilities
2. Measurement and Reporting3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Measurement and Reporting
• Updated MARP submitted in August 2014 – Revision 6
• Oil production volumes are estimated on lease by tank gauge and measured at the sales point by coriolis meter
• Gas produced with emulsion and casing gas flows directly to HP Flare and is measured by annubar meter. Solution gas from the produced fluid tanks is directed to LP Flare and measured by ultrasonic meter. Both meters to be updated on new MARP revision.
• Steam injection volumes are measured by differential pressure meter across the flow nozzle
• Water to injection facility from source water wells is measured at each well by turbine meters
• Fuel gas supply from TransCanada Pipeline is measured at facility by vortex meters
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Measurement and Reporting
Test separator equipped with watercut analyzer used to prorate oil volumes to each well
Wells put into test on rotation
Reporting as per Directive 017 requirements
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Measurement and Reporting - Proration Factors
Multiple wells producing Jun-14 through Sep-14
0
1
2
3
4
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
Jun-14 Jul-14 Aug-14 Sep-14
Num
ber o
f Wel
ls O
nlin
e
Pror
atio
n Fa
ctor
Harmon Valley South Proration FactorsOil Proration Factor Water Proration Factor Wells Online
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Measurement and Reporting – Water Balance
MonthTOTAL IN TOTAL OUT
INVENTORY ADJUSTMENT BALANCE
m3 m3 m3 m3 %Nov-13 2,808 2,463 315 -29 1.0%Dec-13 5,420 5,428 -8 0 0.0%Jan-14 2,749 2,807 26 85 3.1%Feb-14 717 908 -51 140 19.5%Mar-14 3,231 3,157 71 -3 0.1%Apr-14 1,601 1,598 3 0 0.0%May-14 2,969 2,849 -43 -164 5.5%Jun-14 2,515 2,544 -104 -74 3.0%Jul-14 0 0 0 0 0.0%Aug-14 43 0 41 -2 4.8%Sep-14 3,077 2,992 85 0 0.0%Oct-14 6,081 6,117 -36 0 0.0%Nov-14 4,368 4,368 0 0 0.0%Dec-14 3,566 3,512 54 0 0.0%
INJECTION FACILITY AB IF 0128299
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Water Use
Water source wells: 1F1/16-36-082-18W5 and 100/14-25-082-18W5
A Water Act Application was not required as water is sourced from the Paddy-Cadotte Aquifer of the Peace River Formation, which is approximately 4,700 ppm TDS in this area
Brackish Water, m3
1F1/16-36-082-18W5 100/14-25-082-18W5Nov-13 461 931Dec-13 4,272 1,139Jan-14 2,578 171Feb-14 592 125Mar-14 1,554 1,677Apr-14 63 1,527May-14 1,347 1,622Jun-14 413 2,102Jul-14 0 0Aug-14 23 0Sep-14 1,887 1,105Oct-14 6,063 18Nov-14 4,313 55Dec-14 2,637 928
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Water Treatment
Water Treatment Package designed to treat saline water and produce BFW quality suitable for OTSG
The source water is treated by a softening system consisting of multimedia filter, primary and secondary WAC softeners, neutralization, regen and dosing systems
Water Treatment Package designed with condensed equipment and piping spacing, resulting in limited maintenance access
Separate heated storage for chemicals currently being constructed
Harmon Valley South Pilot facility does not recycle produced water due to make up water requirements of less than 500 000 m3/year
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Water and Waste Disposal
Produced water from the facility is sent for disposal to the Class II Disposal facility at 14-18-082-17W5
Class II Disposal Scheme Approval No. 11913 for disposal in the Leduc Formation
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Water Disposal
Includes all disposal water injected at 100/14-18-082-17W5
0
1000
2000
3000
4000
5000
6000
0
100
200
300
400
500
600
2013-Jan-01 2013-Apr-11 2013-Jul-20 2013-Oct-28 2014-Feb-05 2014-May-16 2014-Aug-24 2014-Dec-02
Inje
ctio
n Pr
essu
re, k
Pa
Inje
cted
Vol
ume,
m3/
d
100/14-18-082-17W5 Disposal WellInjected Volume Injection Pressure
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Sulphur Balance
Month
SulphurProduction
Sulphur in Flared Gas
Sulphur in Recovered Gas
tonne/d tonne/d tonne/dJan-14 0.000 0.0000 0.0000
Feb-14 0.000 0.0000 0.0000
Mar-14 0.000 0.0000 0.0000
Apr-14 0.000 0.0000 0.0000
May-14 0.000 0.0000 0.0000
Jun-14 0.000 0.0000 0.0000
Jul-14 0.000 0.0000 0.0000
Aug-14 0.000 0.0000 0.0000
Sep-14 0.000 0.0000 0.0000
Oct-14 0.000 0.0000 0.0000
Nov-14 0.000 0.0000 0.0000
Dec-14 0.000 0.0000 0.0000
2014 Total Sulphur Production = 0 tonne
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SO2 Production
EPEA Approval for Harmon Valley South Pilot facility does not require real-time Sulphur Dioxide (SO2) emission monitoring
Site is equipped with passive air monitoring for SO2, nitrogen dioxide (NO2) and hydrogen sulphide (H2S) emissions
Reports submitted monthly
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SO2 Emissions
Peak Reading (ppb) Average Reading (ppb)Aug-13 0.4 0.3
Sep-13 0.3 0.2
Oct-13 0.3 0.3
Nov-13 0.5 0.3
Dec-13 0.5 0.4
Jan-14 0.1 0.1
Feb-14 0.4 0.3
Mar-14 0.4 0.4
Apr-14 0.2 0.2
May-14 2.8 1.9
Jun-14 0.4 0.2
Jul-14 0.6 0.4
Aug-14 0.1 0.1
Sep-14 0.2 0.1
Oct-14 0.3 0.2
Nov-14 0.5 0.4
Dec-14 0.5 0.5
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental8. Compliance
9. Non-Compliance
10. Future Plans
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Environmental
Penn West received EPEA Approval No. 303255-00-00 on October 23, 2012• Additional burners on new emulsion tanks added Q2
2014 operating under Director’s Authorization
Monitoring ongoing as per EPEA Approval conditions:• Air Emissions
• Industrial Wastewater and Industrial Runoff
• Groundwater
• Soil Monitoring
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance9. Non-Compliance
10. Future Plans
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Statement of Compliance
To the best of our knowledge, Penn West is in compliance with all the requirements and conditions of Commercial Scheme Approval No. 11895C and all other approvals related to the Harmon Valley South HCSS Pilot.
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Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance10. Future Plans
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Non-Compliance – Voluntary Self-Declarations
Jan 2013: High Risk Enforcement due to application for Directive 056 Facility License prior to Directive 042 MARP Approval
April 2014: Exceeded steam injection volume to 103/14-06-083-17W5 during steam cycle 1• Injected 3,569 m3 above 14.5MPa due to faulty
cumulative steam calculated tag
161pennwest.com | TSX: PWT NYSE: PWE
Surface Agenda
1. Facilities
2. Measurement and Reporting
3. Water Use
4. Water Treatment
5. Water and Waste Disposal
6. Sulphur Production
7. Environmental
8. Compliance
9. Non-Compliance
10. Future Plans
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Future Plans
Evaluating project success with increased injection volumes
Evaluating project economics in light of current market conditions
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Questions?
Stock ExchangeToronto: PWTNew York: PWE
Legal CounselBurnet, Duckworth & Palmer LLP
Independent Reserves EvaluatorSproule Associates Limited
Transfer AgentCanadian Stock Transfer CompanyToll Free: 1-800-387-0825Email: [email protected]: www.canstockta.com
Investor RelationsClayton Paradis Manager, Investor Relations Telephone: (403) 539-6343Email: [email protected]
Toll Free: 1-888-770-2633Email: [email protected]: www.pennwest.com
Penn WestSuite 200, Penn West Plaza207 – 9th Avenue SWCalgary, Alberta, Canada T2P 1K3Telephone: (403) 777-2707Toll Free: 1-866-693-2707Facsimile: (403) 777-2699Website: www.pennwest.com