DOCSLIB.ORG

Shale and Tight Gas Framework

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Shale and Tight Gas Framework Guide to the Regulatory Framework for Shale and Tight Gas in Western Australia A Whole-of-Government Approach 2015 Edition April 2015 Department or Agency Director General Signature Department of Mines and Petroleum Richard Sellers ___________________________________ Department of Health David Russell-Weisz ___________________________________ Department of Water Mike Rowe ___________________________________ Environmental Protection Authority Paul Vogel ___________________________________ Office of the Environmental Protection Authority Kim Taylor ___________________________________ Department of Aboriginal Affairs Cliff Weeks ___________________________________ Department of Environment Regulation Jason Banks ___________________________________ Department of Parks and Wildlife Jim Sharp ___________________________________ Department of Planning Gail McGowan ___________________________________ Disclaimer The information in this document is provided in good faith and is considered to be accurate at the time of publication. This document is intended as an overview. The information in this document is not legal advice and does not purport to be a complete statement of all the legal responsibilities applicable to shale and tight gas operations or operators in all circumstances. Readers of this document should seek independent advice as to the legal responsibilities that apply to them. The State of Western Australia does not accept any liability in negligence or otherwise for any loss sustained by anyone in reliance on the information contained in this document. Copyright in this document resides with the State of Western Australia. Guide to the Regulatory Framework for Shale and Tight Gas in Western Australia 1 Contents Forward ...................................................................................................................................................... 5 1 Shale and tight gas in Western Australia .............................................................................................. 6 1.1 What is ‘shale and tight gas’? ...............................................................................................................................................................6 1.2 How does shale and tight gas differ to coal seam gas? ...........................................................................................................................6 1.3 Location and amount of shale and tight gas in Western Australia ............................................................................................................7 1.3.1 Perth Basin.........................................................................................................................................................................8 1.3.2 Canning Basin ....................................................................................................................................................................8 1.3.3 Other sedimentary basins with potential ...............................................................................................................................8 1.3.4 Viability of development .......................................................................................................................................................8 1.4 Developing shale and tight gas .............................................................................................................................................................8 1.4.1 What would a shale or tight gas project look like? .................................................................................................................9 1.4.2 Drilling techniques ............................................................................................................................................................11 1.4.3 Hydraulic fracture stimulation ............................................................................................................................................11 2 Statutory Framework .......................................................................................................................... 14 2.1 Relevant Acts and Government agencies .............................................................................................................................................14 2.2 DMP’s role in the Statutory Framework ................................................................................................................................................18 2.2.1 Exploration .......................................................................................................................................................................18 2.2.2 Proof of concept ...............................................................................................................................................................19 2.2.3 Production ........................................................................................................................................................................20 2.2.4 Decommissioning and rehabilitation ...................................................................................................................................21 2.3 Environmental assessment by other agencies ......................................................................................................................................21 2.3.1 Referral to the Environmental Protection Authority ...............................................................................................................21 2.3.2 Environmental Impact Assessment .....................................................................................................................................22 2.3.3 Referral to the Australian Department of the Environment ....................................................................................................22 2.3.4 Administrative arrangements with other State agencies .......................................................................................................23 3 Operational requirements ................................................................................................................... 25 3.1 Standards for hydraulic fracture stimulation .........................................................................................................................................25 3.2 Well construction ...............................................................................................................................................................................25 3.3 Well integrity......................................................................................................................................................................................25 3.4 Volumes of water used in the hydraulic fracture stimulation fluid ...........................................................................................................28 3.4.1 Estimated water volumes...................................................................................................................................................28 3.4.2 Access to water for hydraulic fracture stimulation and drilling ..............................................................................................29 3.4.3 Assessment of water licence applications ...........................................................................................................................29 2 Guide to the Regulatory Framework for Shale and Tight Gas in Western Australia 3.5 Hydraulic fracture stimulation — use of chemicals ..............................................................................................................................29 3.6 Spill mitigation and planning ...............................................................................................................................................................30 3.7 Waste disposal ..................................................................................................................................................................................30 3.8 Processes associated with decommissioning .......................................................................................................................................31 4 Community engagement..................................................................................................................... 32 4.1 Industry engagement .........................................................................................................................................................................32 4.2 DMP’s stakeholder engagement strategy .............................................................................................................................................32 5 Addressing potential issues and impacts ........................................................................................... 34 5.1 Land access ......................................................................................................................................................................................34 5.1.1 Comparison of access rights between mining and petroleum projects ..................................................................................34 5.1.2 Access to petroleum resources in public reserves ...............................................................................................................35
Load more

Recommended publications
  • Unconventional Gas and Oil in North America Page 1 of 24
    Unconventional gas and oil in North America This publication aims to provide insight into the impacts of the North American 'shale revolution' on US energy markets and global energy flows. The main economic, environmental and climate impacts are highlighted. Although the North American experience can serve as a model for shale gas and tight oil development elsewhere, the document does not explicitly address the potential of other regions. Manuscript completed in June 2014. Disclaimer and copyright This publication does not necessarily represent the views of the author or the European Parliament. Reproduction and translation of this document for non-commercial purposes are authorised, provided the source is acknowledged and the publisher is given prior notice and sent a copy. © European Union, 2014. Photo credits: © Trueffelpix / Fotolia (cover page), © bilderzwerg / Fotolia (figure 2) [email protected] http://www.eprs.ep.parl.union.eu (intranet) http://www.europarl.europa.eu/thinktank (internet) http://epthinktank.eu (blog) Unconventional gas and oil in North America Page 1 of 24 EXECUTIVE SUMMARY The 'shale revolution' Over the past decade, the United States and Canada have experienced spectacular growth in the production of unconventional fossil fuels, notably shale gas and tight oil, thanks to technological innovations such as horizontal drilling and hydraulic fracturing (fracking). Economic impacts This new supply of energy has led to falling gas prices and a reduction of energy imports. Low gas prices have benefitted households and industry, especially steel production, fertilisers, plastics and basic petrochemicals. The production of tight oil is costly, so that a high oil price is required to make it economically viable.
    [Show full text]
  • 200 LNG-Powered Vessels Planned in Chongqing by 2020
    Number #110 April 2016 2016, APRIL 1 Asian NGV Communications is a publication of AltFuels Communications Group. China: 200 LNG-powered vessels planned in Chongqing by 2020 India Emirates 15,000 vehicles MAN showcases converted to CNG natural gas buses in Delhi this year in Dubai 2 ASIAN NGV COMMUNICATIONS 2016, APRIL 3 Summary April 2016 #110 COPIES DISTRIBUTION We print and mail to 24 Asian countries around 4,000 hard copies addressed to conversion pag 04 China: 200 LNG-powered vessels planned in Chongqing by 2020 centres, Oil & Gas companies, OEM NGVs, governmental related offices, filling station 11. MAN showcases natural owners, equipment suppliers, gas buses in Dubai related associations and industries. In addition, the 12. New collaboration electronic version of the magazine is sent to more than boosts LNG use as 15,000 global NGV contacts in marine fuel in Middle 94 countries. East pag 06 New LNG terminal project begins commercial This e-version is also available 13. Pioneer dual fuel engine for free download to all visitors operations in Beihai of www.ngvjournal.com. demonstrated in Korea Below is the list of hard copy 14. Korean scientists develop receivers. Armenia, Australia, engine operating with Azerbaijan, Bangladesh, China, Egyp, India, Indonesia, Iran, hydrogen and CNG Israel, Japan, Kazakhstan, Korea, Malaysia, Myanmar (Burma), 15. Japan: first hydrogen New Zealand, Pakistan, The refuelling station will Philippines, Russia, Singapore, open in Tohoku Taiwan, Thailand, Turkey, United pag 08 India: 15,000 vehicles Arab Emirates, Vietnam, If your 16. New venture will NGV business is in Asia, the converted to CNG in Delhi Pacific, and the Middle East, promote hydrogen fuel since January advertise with us! cell technologies in Japan Asian NGV Communications 1400 - PMB 174, 300-5, Changchon –Ri, Namsan- 17.
    [Show full text]
  • Natural Gas in the US Economy
    Natural Gas in the U.S. Economy: Opportunities for Growth Robert Pirog Specialist in Energy Economics Michael Ratner Specialist in Energy Policy November 6, 2012 Congressional Research Service 7-5700 www.crs.gov R42814 CRS Report for Congress Prepared for Members and Committees of Congress Natural Gas in the U.S. Economy: Opportunities for Growth Summary Due to the growth in natural gas production, primarily from shale gas, the United States is benefitting from some of the lowest prices for natural gas in the world and faces the question of how to best use this resource. Different segments of the U.S. economy have different perspectives on the role natural gas can play. Suppliers, which have become the victims of their own production success, are facing low prices that are forecast to remain low. Some companies that have traditionally produced only natural gas have even turned their attention to oil in order to improve their financial situation. Smaller companies are having a difficult time continuing operations and larger companies, including international companies, have bought into many shale gas assets. Prices have remained low even as consumption has increased, in part, because producers have raised production to meet the demand and because companies have improved efficiency and extraction techniques. Some companies, many with large production operations, have applied for permits to export natural gas. This has raised concerns from consumers of natural gas that domestic prices will rise. The debate regarding exports is ongoing. Industries that consume natural gas have seen input costs drop, and some have heralded low natural gas prices as the impetus for a manufacturing revolution in the United States.
    [Show full text]
  • CLIMATE ACTION PLAN Websites
    CLIMATE ACTION PLAN Websites Climate action cuts across all sectors of our economy and is being addressed in multiple ways. Information on government actions related to climate action are also found in the following: h LiveSmart BC http://www.livesmartbc.ca/ h The BC Energy Plan: A Vision for Clean Energy Leadership http://www.energyplan.gov.bc.ca/ h The BC Bioenergy Strategy http://www.energyplan.gov.bc.ca/bioenergy/ h The Agriculture Plan: Growing a Healthy Future for BC Farmers http://www.al.gov.bc.ca/Agriculture_Plan/ h The Mountain Pine Beetle Action Plan http://www.for.gov.bc.ca/hfp/mountain_pine_beetle/ h Living Water Smart: British Columbia's Water Plan http://www.livingwatersmart.ca./ h The BC Air Action Plan http://www.bcairsmart.ca/ h The BC Transit Plan http://www.th.gov.bc.ca/Transit_Plan/index.html h Energy Efficient Building Strategy http://www.energyplan.gov.bc.ca/efficiency/ h BC Green Building Code http://www.housing.gov.bc.ca/building/green/ h Pacific Institute for Climate Solutions http://www.pics.uvic.ca/ h Towns for Tomorrow http://www.townsfortomorrow.gov.bc.ca/ h Climate Action Secretariat http://www.climateactionsecretariat.gov.bc.ca/ BRITISH COLUMBIA’S Contents Message from the B.C. Government 1 Highlights 2 The Challenge 6 The Opportunity 10 The B.C. Climate Action Plan – Phase One 12 Section One: Setting the Course 13 Section Two: Acting in Every Sector 25 Acting in Every Sector: Transportation 26 Acting in Every Sector: Buildings 36 Acting in Every Sector: Waste 41 Acting in Every Sector: Agriculture 43 Acting
    [Show full text]
  • Shale Gas and the Environment
    Shale Gas and the Environment: Critical Need for a Government–University–Industry Research Initiative POLICYMAKER GUIDE Shale gas production is increasing at a rapid rate and is expected to become half of the U.S. natural gas supply by 2040. A government– university–industry research initiative is needed to fill critical gaps in knowledge at the interface of shale gas development and environmental protection so the nation can better prepare for its energy future. CONTENTS 4 OVERVIEW 4 What Is Shale Gas? 4 Where Is Shale Gas Located in the United States? 5 How Is Shale Gas Extracted? 5 Are All Shale Gas Plays the Same? 6 How Much Shale Gas Production Is Expected in the United States? 6 What Are the Potential Benefits from Shale Gas? 8 What Does the Public Think about Shale Gas Development and the Environment? 10 SHALE GAS DEVELOPMENT AND THE ENVIRONMENT 10 How Might Shale Gas Development Impact Water Resources? 12 What Have Carnegie Mellon University Researchers Found about Shale Gas Development and Water Resources? 13 What Key Questions about Shale Gas and Water Resources Are Unanswered? 14 How Might Shale Gas Development Impact Air Quality? 15 What Have Carnegie Mellon University Researchers Found about Shale Gas Development and Air Quality? 16 What Key Questions about Shale Gas and Air Quality Are Unanswered? 16 How Might Shale Gas Development Impact Greenhouse Gas Emissions? 17 What Have Carnegie Mellon University Researchers Found about Shale Gas Development and Greenhouse Gas Emissions? 18 What Key Questions about Shale Gas and Greenhouse
    [Show full text]
  • Natural Gas Liquids
    Brookings energy security initiative natural gas task Force natural gas BrieFing Document #1: Natural Gas Liquids march 2013 charles k. ebinger govinda avasarala Brookings natural g as task Force Issue Brief 1: Natural Gas Liquids 1 PREFACE n may 2011, the Brookings institution energy security initiative (ESI) assembled a task Force of independent natural-gas experts, whose expertise and insights provided inform its research on various issues regarding Ithe u.s. natural gas sector. in may 2012, Brookings released its first report, analyzing the case and prospects for exports of liquefied natural gas (lng) from the united states. the task Force now continues to meet pe- riodically to discuss important issues facing the sector. With input from the task Force, Brookings will release periodic issue briefs for policymakers. the conclusions and recommendations of this report are those of the authors and do not necessarily reflect the views of the members of the task force. members of the Brookings institution natural gas task Force JOHN BANKS, Brookings institution KELLY BENNETT, Bentek energy, LLC JASON BORDOFF, columbia university KEVIN BOOK, clearview energy Partners, LLC TOM CHOI, Deloitte CHARLES EBINGER, Brookings institution, task Force co-chair DAVID GOLDWYN, goldwyn global strategies, LLC, task Force co-chair SHAIA HOSSEINZADEH, Wl ross JAMES JENSEN, Jensen associates ROBERT JOHNSTON, eurasia group MELANIE KENDERDINE, massachusetts institute of technology energy initiative VELLO KUUSKRAA, advanced resources international MICHAEL LEVI, council on Foreign relations ROBERT MCNALLY, the rapidan group KENNETH MEDLOCK, rice university’s James a. Baker iii institute for Public Policy LOU PUGLIARESI, energy Policy research Foundation, inc. BENJAMIN SCHLESINGER, Benjamin schlesinger & associates, LLC JAMIE WEBSTER, PFc energy non-participating observers to task Force meetings included officials from the energy information adminis- tration and the congressional research service.
    [Show full text]
  • Welfare and Distributional Implications of Shale Gas
    BPEA Conference Draft, March 19–20, 2015 Welfare and Distributional Implications of Shale Gas Catherine Hausman, Ford School of Public Policy, University of Michigan Ryan Kellogg, Department of Economics, University of Michigan and National Bureau of Economic Research We thank Steve Cicala, David Lagakos, David Romer, and Justin Wolfers for valuable comments; Timothy Fitzgerald, Joshua Hausman, Lutz Kilian, Tom Lyon, Lucija Muehlenbachs, Barry Rabe, and Daniel Raimi for helpful feedback; and Sarah Johnston for excellent research assistance. Welfare and Distributional Implications of Shale Gas Catherine Hausman Ryan Kellogg∗ March 2015 Abstract Technological innovations in horizontal drilling and hydraulic fracturing have en- abled tremendous amounts of natural gas to be extracted profitably from underground shale formations that were long thought to be uneconomical. In this paper, we provide the first estimates of broad-scale welfare and distributional implications of this supply boom. We provide new estimates of supply and demand elasticities, which we use to estimate the drop in natural gas prices that is attributable to the supply expansion. We calculate large, positive welfare impacts for four broad sectors of gas consumption (residential, commercial, industrial, and electric power), and a negative impact for producers, with variation across regions. We then examine the evidence for a gas-led \manufacturing renaissance" and for pass-through to prices of products such as retail natural gas, retail electricity, and commodity chemicals. We conclude with a discussion of environmental externalities from unconventional natural gas, including limitations of the current regulatory environment. Overall, we find that the shale gas revolution has led to an increase in welfare for natural gas consumers and producers of $48 billion per year, but more data are needed on the extent and valuation of the environmental costs of shale gas production.
    [Show full text]
  • Underground Coal Gasification and Coal Chemicals Around the World
    FUELLING THE FIRE The chequered history of Underground Coal Gasification and Coal Chemicals around the world ‘Fuelling the Fire: the chequered history of Underground Coal Gasification and Coal Chemicals around the world’ is a Friends of the Earth International report produced by Friends of the Earth Scotland and published in July 2016. Friends of the Earth International is the world’s largest grassroots environmental network, uniting 74 national member groups and some 2 million members and supporters around the world. We challenge the current model of economic and corporate globalisation, and promote solutions that will help to create environmentally sustainable and socially just societies. Our vision is of a peaceful and sustainable world based on societies living in harmony with nature. We envision a society of interdependent people living in dignity, wholeness and fulfilment in which equity and human and peoples’ rights are realised. This will be a society built upon peoples’ sovereignty and participation. It will be founded on social, economic, gender and environmental justice and be free from all forms of domination and exploitation, such as neoliberalism, corporate globalization, neo-colonialism and militarism. We believe that our children’s future will be better because of what we do. Friends of the Earth International has member groups in Argentina, Australia, Austria, Bangladesh, Belgium, Belgium (Flanders), Brazil, Bulgaria, Cameroon, Canada, Chile, Colombia, Costa Rica, Croatia, Curaçao (Antilles), Cyprus, Czech Republic, Denmark,
    [Show full text]
  • US Shale Gas Development What Led to the Boom?
    Date Issue Brief # I S S U E BRIEF US Shale Gas Development What Led to the Boom? Zhongmin Wang and Alan Krupnick May 2013 Issue Brief 13-04 Resources for the Future Resources for the Future is an independent, nonpartisan think tank that, through its social science research, enables policymakers and stakeholders to make better, more informed decisions about energy, environmental, and natural resource issues. Located in Washington, DC, its research scope comprises programs in nations around the world. 2 [AUTHORS] | RESOURCES FOR THE FUTURE US Shale Gas Development What Led to the Boom? Zhongmin Wang and Alan Krupnick1 Key Points The shale gas boom resulted from factors that 1. Introduction ultimately enabled firms to produce shale gas In this issue brief, we provide an overview of the economic, profitably, including policy, and technology history of shale gas development in technological innovation, the United States to ascertain what led to the shale gas government policy, private boom. For a much more detailed review, see our discussion entrepreneurship, private paper (Wang and Krupnick 2013). land and mineral rights ownership, high natural gas In the past decade, shale gas experienced an extraordinary prices in the 2000s, market boom in the United States, accounting for only 1.6 percent of structure, favorable total US natural gas production in 2000, 4.1 percent by 2005, geology, water availability, and an astonishing 23.1 percent by 2010. This remarkable and natural gas pipeline growth has spurred interest in exploring for shale gas infrastructure. resources elsewhere. A number of countries, including China, The key question for Mexico, Argentina, Poland, India, and Australia are beginning policymakers in countries to develop their own shale gas resources.
    [Show full text]
  • Unconventional Gas
    POSTNOTE Number 374 April 2011 Unconventional Gas Overview UK reserves of unconventional gas, principally shale gas and coalbed methane (CBM), may add an additional 50% to the UK‟s potentially recoverable gas resources. There is significant uncertainty, however, over the prospects for both gas sources. Several companies in the UK are looking to exploit them but there is currently no full- scale production. Gas may reduce greenhouse gas emissions Unconventional sources of gas have recently by displacing coal, but there are concerns gained much attention due to the significant that the gas might instead supplement coal contribution they are making to US gas and lead to an overall increase in emissions. production. This POSTnote examines the Several groups are also concerned about potential for unconventional gas exploitation in the local environmental impact of shale gas the UK, the regulatory regimes covering such extraction, though the industry disputes activity, and the issues surrounding the most of their claims. extraction and use of the gas. Large-scale production of either shale gas or CBM is unlikely in the next five years. Background There is also much discussion about the possibility of gas The principal component of natural gas and the main contributing to an even greater share of electricity constituent of both conventional and unconventional gas is generation to help the UK meet its greenhouse gas methane. The term unconventional refers to the source emission-reduction targets, as gas produces half the 2 rather than the nature of the gas itself (Box 1). In the last emissions of coal. decade, the USA has experienced a significant increase in unconventional gas production as a result of developments This situation has led to significant interest in the UK‟s own in extraction technology.
    [Show full text]
  • Oil, Gas & Coal
    Oil, Gas & Coal Marco Mazzotti CCS and the Industry of Carbon-Based Resources – FS2020 February 24th, 2020 | | CCS overview I. Fossil fuel resources and II. CO2 and III.CCS: the global energy system climate change the concept years millions of years seconds hours/days years millenia | 24/02/2020 | 2 Oil, Gas & Coal: uses and processing Fossil fuels – stratigraphic age distribution Legend: CAMBRIAN, ORDOVICIAN, SILURIAN, DEVONIAN, MISSISSIPPIAN, PENNSYLVANIAN, PERMIAN, TRIASSIC, JURASSIC, CRETACEOUS, TERTIARY, QUATERNARY. | 24/02/2020 | 3 Oil, Gas & Coal: uses and processing Fossil fuels – an overview Decay of biomass through bio-geochemical processes Not present in nature Coal Oil Natural gas Hydrogen solid liquid gas gas ~ 2C/1H ~ 1C/2H ~ 1C/4H H2 100% 100% Carbon Hydrogen Production 3,900,000,000 toe 4,200,000,000 toe 2,900,000,000 toe 200,000,000 toe (2012, world) Uses Heat & electricity Coke (Steel) Chemicals Transport Hydrogen ~12% ~15% ~53% | 24/02/2020 | 4 From last week | 24/02/2020 | 5 Readings . Daniel Yergin „The prize – The epic quest for oil, money & power“, 1991 . Daniel Yergin „The quest – Energy, security, and the remaking of the modern world“, 2011 . Vaclav Smil „Energy at the crossroads – Global perspectives and uncertainties“, 2003 (chapter 4) . Rachel Maddow „Blowout – Corrupted democracy, rogue state Russia, and the richest, most destructive industry on earth“, 2019 . William T. Vollmann „No immediate danger – Vol. 1 of carbon ideologies“, 2018 (nuclear) . William T. Vollmann „No good alternative – Vol. 2 of carbon ideologies“, 2018 (coal, natural gas and oil) | 24/02/2020 | 6 Today’s topics . Oil & Gas . Extraction technologies .
    [Show full text]
  • Natural Gas Flaring and Venting: State and Federal Regulatory Overview, Trends, and Impacts
    Office of Oil and Natural Gas Office of Fossil Energy Natural Gas Flaring and Venting: State and Federal Regulatory Overview, Trends, and Impacts June 2019 NATURAL GAS FLARING AND VENTING: STATE AND FEDERAL REGULATORY OVERVIEW, TRENDS, AND IMPACTS 1 Executive Summary The purpose of this report by the Office of Fossil that is permitted, as described in the “Analysis of Energy (FE) of the U.S. Department of Energy State Policies and Regulations” section of this report. (DOE) is to inform the states and other stakeholders Domestically, flaring has become more of an issue on natural gas flaring and venting regulations, the with the rapid development of unconventional, level and types of restrictions and permissions, tight oil and gas resources over the past two and potential options available to economically decades, beginning with shale gas. Unconventional capture and utilize natural gas, if the economics development has brought online hydrocarbon warrant. While it is unlikely that the flaring and resources that vary in their characteristics and limited venting of natural gas during production proportions of natural gas, natural gas liquids and and handling can ever be entirely eliminated, both crude oil. While each producing region flares gas for industry and regulators agree that there is value in various reasons, the lack of a direct market access developing and applying technologies and practices for the gas is the most prevalent reason for ongoing to economically recover and limit both practices. flaring. Economics can dictate that the more valuable FE’s objective is to accelerate the development of oil be produced and the associated gas burned modular conversion technologies that, when coupled (or reinjected) to facilitate that production.
    [Show full text]