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Well Stimulation Treatment First Annual Report

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Well Stimulation Treatment First Annual Report December 31, 2015 Well Stimulation Treatment First Annual Report California Department of Conservation Division of Oil, Gas, and Geothermal Resources STATE OF CALIFORNIA NATURAL RESOURCES AGENCY DEPARTMENT OF CONSERVATION EDMUND G. BROWN, JR. JOHN LAIRD DAVID BUNN Governor Secretary Director (This page intentionally blank.) Well Stimulation Treatment First Annual Report Reporting Period: January 1, 2014 – September 30, 2015 DIVISION OF OIL, GAS, AND GEOTHERMAL RESOURCES Kenneth A. Harris Jr. State Oil and Gas Supervisor December 31, 2015 iii (This page intentionally blank.) iv Contents Acronyms and Abbreviations .............................................................................................................. 1 Executive Summary ............................................................................................................................. 3 Part I: Introduction.............................................................................................................................. 5 Objective and Scope of This Report ................................................................................................ 5 Development and Implementation of Senate Bill 4 ....................................................................... 6 Overview of Implementation of Senate Bill 4 ............................................................................. 6 Environmental Impact Report ..................................................................................................... 8 Independent Scientific Study (ISS) .............................................................................................. 8 Chronologic Listing of Key Events ............................................................................................... 9 Transition from Interim to Permanent WST Regulations ......................................................... 10 Contact Information...................................................................................................................... 11 Part II: Well Stimulation in California ................................................................................................ 12 Public Resources Code section 3215, subdivision (c) and Related Information ........................... 12 Disposition of Post-WST Produced Fluids ................................................................................. 12 California Geology and Well Stimulation .................................................................................. 16 Trade Secret Information .......................................................................................................... 23 WST Witnessing and Spot-Checking ......................................................................................... 23 Division Enforcement ................................................................................................................ 24 Reports of Incidents/Events ...................................................................................................... 25 Public Resources Code section 3160 and Related Information .................................................... 26 Well Stimulation Treatment Applications and Notices ............................................................. 26 Stimulated Wells ....................................................................................................................... 32 72-Hour WST Notices Received from Well Operators .............................................................. 46 Notification of Availability for Water Testing and Sampling .................................................... 46 Groundwater Protection Compliance Status ............................................................................ 49 Water Usage (Base Fluid) .......................................................................................................... 51 Recovered Fluids ....................................................................................................................... 59 Chemical Constituents Used in Well Stimulation Treatment ................................................... 59 Additives Used in Well Stimulation Treatment......................................................................... 69 Appendix A – Geographic Information ............................................................................................. 76 Oil and Gas District Map ............................................................................................................... 76 v Area Maps: Oil Fields with Stimulations ....................................................................................... 77 Area Maps: WST with Groundwater Monitoring Plans or Statement of Non-applicability ......... 81 Appendix B – Background of Well Stimulation in California ............................................................. 85 History in California ...................................................................................................................... 85 Concepts and Terminology of Hydrocarbon Flow in Rock ............................................................ 85 Petroleum Formation Systems and Reservoirs ............................................................................. 87 Oil Reserves and Locations of Well Stimulation Treatment in California ................................. 88 Diatomite .................................................................................................................................. 89 Types of Well Stimulation Treatments ......................................................................................... 89 Hydraulic Fracturing Well Stimulation Treatment .................................................................... 89 Acid Matrix WST ........................................................................................................................ 93 Acid Fracturing Well Stimulation Treatment ............................................................................ 94 Dimensions and Extent of Hydraulic/Acid Fracturing and Acid Matrix Treatments ..................... 94 Hydraulic Fracturing .................................................................................................................. 94 Acid Matrix Stimulation ............................................................................................................ 95 Acid Fracturing .......................................................................................................................... 95 California Well Construction Standards ........................................................................................ 95 Preventing the Migration of Fluids ........................................................................................... 95 Appendix C – Public Outreach and Stakeholder Workshops ............................................................ 97 SB 4 Regulations Outreach and Workshop Schedules .................................................................. 97 Appendix D – References and Data Sources ................................................................................... 101 Appendix E - Glossary ..................................................................................................................... 102 List of Figures Figure 1: Use of "Height" and "Length" in Describing WST Fractures in Californian ........................ 19 Figure 2: Average Length of Fracture by Formation ......................................................................... 20 Figure 3: Average Depth of Penetration by Formation .................................................................... 23 Figure 4: Average Measured Depth and True Vertical Depth of Stimulated Wells by Stimulation Type ........................................................................................................................ 34 Figure 5: Oil and Gas District Boundaries ......................................................................................... 76 vi Figure 6: Location of Oil Fields with WST ......................................................................................... 77 Figure 7: Kern County Oil Fields with WST ....................................................................................... 78 Figure 8: Kings County Oil Fields with WST....................................................................................... 79 Figure 9: Ventura County Oil Fields with WST .................................................................................. 80 Figure 10: Kern County East – WST Wells under a GWMP or Statement of Non-applicability ........ 81 Figure 11: Kern County North – WST Wells under a GWMP or Statement of Non-applicability ..... 82 Figure 12: Kern County South – WST Wells under a GWMP or Statement of Non-applicability ..... 83 Figure 13: Kings County – WST Wells under a GWMP or Statement of Non-applicability ............... 84 Figure 14: Example of Porosity ......................................................................................................... 85 Figure 15: Example of Permeability .................................................................................................. 86 Figure 16: Example of Typical Well Casing Characteristics ............................................................... 88 Figure 17: Stages of Base Fluid Usage ............................................................................................... 91 Figure 18:
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