WRAP Oil & Gas: Part 1: 2002/2005 and 2018 Area Source Emissions Inventory Improvements

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1 WRAP Oil & Gas: Part : 22/25 and 28 Area Source Emissions nventory mprovements WRAP SSJF Working Group Members and Other nterested Parties May 8, 27

2 WRAP Phase Project Overview Project is focused on developing an improved emissions inventory of oil and gas exploration and production area sources in the WRAP region Area source categories include compressor engines, drilling rigs, heaters and other wellhead equipment Previous emission inventory (E) efforts: - WRAP Phase analysis, 22 and 28 (completed 25) - NMED E for San Juan and Rio Arriba counties (completed 26) Specific objectives of the Phase project: - Emissions inventory improvements for 22 - Current base year updates for growth factor projections improvements - Control technology evaluations and control strategies scenarios - 28 point source SO 2 emissions improvements 2

3 Western States Oil & Gas Regions of nterest Major basins of O&G activity in Phase analysis: Permian Basin (NM) San Juan Basin South (NM) San Juan Basin North (CO) Uinta-Piceance Basin (CO and UT) Denver-Julesburg Basin (CO) Paradox Basin (UT) Green River Basin (WY) Wind River Basin (WY) Big Horn Basin (WY and MT) Powder River Basin (WY and MT) 3

4 22 Emissions nventory mprovements New methodology estimated 22 emissions on a basinwide average basis for all basins in the WRAP region, focusing on those basins where major O&G activities are occurring and detailed producer information is available n basins where significant activity was not occurring, or producer information was unavailable, used Phase estimates 4

5 Data Collection from O&G Producers Data were collected from all major and some medium-sized and independent oil and gas companies operating in the WRAP region Data collection was in the form of a questionnaire sent to each producer nformation was provided on: - Overall activity (i.e. number of wells, gas production, etc.) - Equipment used and equipment counts - Emissions controls in use or planned - Projections of future activity, demand, and production in the region 5

6 Brief Overview of Methods Basin-specific emissions estimates were made using activity and equipment information provided directly by the producers - Previous Phase work used available data from limited areas and generalized to WRAP region For Phase E improvements, focus is on well-head compressors and drilling rigs as area sources Focused basin list only these are the areas where major oil and gas activity is occurring or expected to occur Updated baseline emissions year from 22 to 25 Revised 28 projections using most recent planning information available and producer data where available 6

7 22 Emissions nventory Drilling Rig Emissions mproved estimate of actual drilling time by formation and basin from producer information on drilling times (rather than spud date and well completion date) mproved estimate of average drilling rig engine load by formation and basin Determined average horsepower requirements by formation and basin and identified most often used or representative makes/models of drilling rig engines ncorporated manufacturer s rated emissions factors for makes/models identified, or producers emissions tests where available ncorporated SO 2 emissions factors (based on sulfur content of fuel) 7

8 22 Emissions nventory Drill Rig Emissions - TPY NOx SOx VOC Alaska Arizona Colorado 2,83 8 Montana, Nevada 24 New Mexico 5, North Dakota, Oregon South Dakota 29 6 Utah Wyoming 4, WRAP Total 7,23,85 4 Note: Emissions estimates include data from previous work for the NMED in the San Juan Basin and the Southern Ute Note: Emissions estimates include data from previous work for the NMED in the San Juan Basin and the Southern Ute inventory in Colorado 8

9 22 Emissions nventory Compressor Engine Emissions Determined for each basin either (a) the average percentage of wells with wellhead, lateral and central compression, or (b) percentage of total HP with wellhead, lateral or central compression Did not include central and lateral compressors that have been counted in a point source inventory for each state Determined for each basin a representative or most often used make/model of compressor, including HP and rated or tested emissions factors Determined for each basin an average load factor for wellhead/lateral compressors Basin-wide emissions estimate on the basis of total well count 9

10 22 Emissions nventory Compressor Engine Emissions - TPY NOx SOx VOC Alaska Arizona 8 Colorado 3,27,24 Montana,79 4 Nevada 33 New Mexico 35,4 3,54 North Dakota 2,92 Oregon 73 South Dakota 284 Utah Wyoming,79 23 WRAP Total 46,54 5,34 Note: Emissions estimates include data from previous work for the NMED in the San Juan Basin and the Southern Ute inventory in Colorado. Other Colorado compressor emissions are assumed to be part of Colorado s point source inventory and are not included here.

11 22 Emissions nventory Exploration & Production Previous Work included: Tanks - flashing, working and breathing losses (VOC) Glycol dehydration units (VOC) Heaters (VOC and NOx) Pneumatic Devices (VOC) Completion-venting and flaring (VOC, NOx, CO) Work Plan identified potential additional work to estimate VOC from: Venting (from unloading fluids) Fugitives (using typical well diagrams) Dehydrators (look at point source vs. area source distribution) Resources did not allow this work to be completed

12 Additional Categories CBM Engines Emissions from CBM wells were addressed through estimating drilling rig and compressor emissions Previous estimates for CBM pump engine emissions were not updated Fugitive Dust Emissions Resources did not allow estimating fugitive dust emissions 2

13 Comparison of Phase with Phase 2 NOx Emissions for 22 WRAP Phase and Phase NOx Emissions for 22 7, 6, NOx Emissions [tpy 5, 4, 3, 2, CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs, Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 3

14 Comparison of Phase with Phase SOx Emissions for 22 WRAP Phase and Phase SOx Emissions for 22,6,4,2 SOx Emissions [tpy, 8 6 CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 4

15 Updated Emissions Objective was to update base year for projections from 22 to 25 using newly available state OGC data for represents a more current base year for projections and can be used as a second data point to verify projections methodology Methodology was to first update 22 emissions using the Phase tasks described here, then to scale up 22 data using 25 OGC well count or production n areas with no production or wells in 22, but with production or wells in 25 emissions were scaled based on state average emissions per well (or per production unit) 5

16 Updated Emissions Drill Rig Emissions - TPY NOx SOx VOC Alaska Arizona Colorado 2,83 8, Montana,46 3, Nevada New Mexico 5,476 8, North Dakota,536 3, Oregon South Dakota Utah 334 2, Wyoming 4,997 5, WRAP Total 7,23 42,448,85 2,835 4,242 6

17 Updated Emissions 25 Compressor Engine Emissions - TPY NOx SOx VOC Alaska Arizona 8 6 Colorado 3,27 3,32,24,225 Montana,79 2,267 4 Nevada New Mexico 35,4 35,345 3,54 3,542 North Dakota 2,92 2,799 Oregon 73 5 South Dakota Utah Wyoming,79 3, WRAP Total 46,54 48,393 5,34 5,3 Note: Emissions estimates include data from previous work for the NMED in the San Juan Basin and the Southern Ute inventory in Colorado. Other Colorado compressor emissions are assumed to be part of Colorado s point source inventory and are not included here. 7

18 28 Emissions Emissions estimated for county-level emissions in WRAP region for: NOx, SO 2, VOC, CO Emissions included updated growth projections from Resource Management Plans, Alaska Oil & Gas Report, and National Energy Forecast released by the Energy nformation Administration (EA) Projected emissions to 28 using 25 base case and growth factors State controls evaluated: - Wyoming BACT requirements for permitted sources - Colorado controls requirements for point sources (ERG) - Utah BACT requirements for compressors Federal controls evaluated: - Federal nonroad engine standards - EPA nonroad diesel fuel sulfur content standards 8

19 9 28 Emissions Projections Drilling Rigs - TPY 67, ,835 25,652 42,448 WRAP Total ,883 5,783 Wyoming ,888 Utah South Dakota Oregon 4 688,655 3,55 North Dakota ,343 8,64 New Mexico 2 37 Nevada ,82 3,7 Montana ,43 8, Colorado Arizona Alaska VOC SOx NOx

20 28 Emissions Projections Compressor Engines - TPY NOx SOx VOC Alaska Arizona 6 8 Colorado 3,32 4,6,225,485 Montana 2,267 3, Nevada 33 4 New Mexico 35,345 47,599 3,542 4,879 North Dakota 2,799 8,399 Oregon 5 37 South Dakota Utah Wyoming 3, WRAP Total 48,393 76,399 5,3 7,34 Note: Colorado 28 emissions projections for compressor engines are applied only to the Southern Ute inventory. All other compressor emissions are assumed to be part of Colorado s point source inventory and are not included here. 2

21 WRAP Phase NOx Emissions for 22, 25 and 28 WRAP Phase NOx Emissions for 22, 25, 28 8, 7, 6, NOx Emissions [tpy 5, 4, 3, CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs 2,, Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 2

22 WRAP Phase SOx Emissions for 22, 25 and 28 WRAP Phase SOx Emissions for 22, 25, SOx Emissions [tpy CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 22

23 Discussion of Phase vs Phase NOx and SOx Emissions nventory NOx emissions jump in North Dakota - due to Dakota Prairie Grasslands Resource Management Plan (RMP). Wyoming NOx emissions decrease from 25 to 28 due to wellhead compressor emissions reduction, implementation of the BACT controls requirement by 28 Oil vs. gas wells corrected the Phase assumption of emissions based on all gas production, no gas equipment on oil wells. Bar chart comparing Phase and Phase 28 NOx emissions is the clearest place to see the impact of the Phase methodology reducing wellhead compression emissions (primarily in WY, MT, and in NM) SO 2 emissions in both 22 and 28 have been reduced from Phase due to improved estimates of actual drilling times based on producer feedback General trend in both Phase and Phase analyses is for SOx emissions to decrease substantially by 28 due to the phase-in of ultra-low sulfur diesel fuel 23

24 Comparison of Phase with Phase NOx Emissions for 28 WRAP Phase and Phase NOx Emissions for 28 6, 4, 2, NOx Emissions [tpy], 8, 6, CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs 4, 2, Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 24

25 Comparison of Phase with Phase SOx Emissions for 28 WRAP Phase and Phase SOx Emissions for SOx Emissions [tpy] CBM Pump Engines Gas Well - All Sources Compressor Engines Oil Well - All Sources Salt Water Disposal Artificial Lift Drill Rigs Alaska Arizona Colorado Montana Nevada New Mexico North Dakota Oregon South Dakota Utah Wyoming 25

26 28 Point Source SO 2 Emissions Revised Pechan report on 28 SO 2 emissions projections to incorporate ENVRON projection methodology and producers information on growth forecasts and emissions controls dentified major SO 2 point source emissions sources in each state of interest Obtained producer information on control strategy effectiveness, implementation rate, timetable and growth trends from as well as for 28 based on production forecasts Conducted review of Title V Permits to determine emissions with and without control technologies Revised estimates of 28 emissions 26

27 28 Point Source SO 2 Emissions Wyoming Plant Name Operator County Previous 28 SO2 Emissions [tpy] (Pechan) Updated 28 SO2 Emissions [tpy] Whitney Canyon Gas Plant BP Uinta 9,72 Lost Cabin Gas Plant Burlington Fremont 3,7 2,378 Carter Creek Gas Plant Chevron Uinta, Beaver Creek Gas Plant Devon Fremont 42 Shute Creek Facility Exxon Lincoln 2,65 52 Elk Basin Gas Plant Howell Petroleum Park 2,36 6 Oregon Basin Gas Plant Marathon Oil Park Worland Gas Plant Highland Partners Washakie 38 Brady Gas Plant Anadarko Sweetwater 2 8 Total 8,96 3,666 27

28 Total 28 Point Source SO 2 Emissions New Mexico Plant Name Maljamar Gas Plant ndian Basin Gas Plant Artesia Gas Plant Monument Gas Plant Dagger Draw Gas Plant Denton Gas Plant Eunice Gas Plant Linam Ranch Gas Plant Jal No. 3 Gas Plant Eunice Gas Plant Saunders Gas Plant Operator Frontier Field Services Marathon Oil Duke Energy Targa Midstream Services Agave Energy Davis Gas Processing Duke Energy Duke Energy Sid Richardson Targa Midstream Services Targa Midstream Services Lea Lea Lea Lea Lea Lea Lea Lea County Eddy Eddy Eddy Previous 28 SO2 Emission s [tpy] (Pechan) 3,373 2,794,34, ,26,633 2,936 Updated 28 SO2 Emission s [tpy] 3,574, 9, , ,27 28

29 Task/deliverable Project workplan Project deliverables and status Status Completed and reviewed by SSJF working group Date November 26 Questionnaire to major producers 22 E update baseline scale-up E projections Control technology evaluation Control scenarios Final report Presentation of controls analysis to SSJF Oil and Gas Work Group Completed and responses compiled Completed, results in SMOKEready files Completed Completed, results in SMOKEready files Completed control technology white papers n process March 27 April 27 April 27 April 27 March 27 Mid-May End of May End of May 29

30 Upcoming Conference Call Part 2: Control Technology Evaluation Control Technology Discussion May 3, 27 2: p.m. (MDT) Call-in number: Pass code: Discussion to cover Control technology options Potential emission reductions Costs and cost-effectiveness 3

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