1. Environmental Considerations Related to Oil Shale Development INTEK September 23, 2008 SPE #116599 Emily Knaus, INTEK Inc. Anton Dammer, U.S. Department of Energy

2. 147 $/Bbl 147 $/Bbl Economic Setting U.S. domestic oil shale resource offers a large prize; particularly with high prices Price of crude oil has risen dramatically in the past decade (graph represents USD per barrel)

3. Domestic Oil Shale Region 2 Trillion Barrels 6 Trillion Barrels

4. Domestic Oil Shale Resource Potential Total Resource 6 Trillion Barrels High Quality Resource 2 Trillion Barrels Technical Recovery 1.2 Trillion Barrels Estimated Reserves 600 – 800 Billion Bbls Source: INTEK, Inc.

5. Technology Considerations Modified In-Situ 1 2 Surface Mining / Surface Retort Underground Mining / Surface Retort True In-Situ

6. Air QualityAir Quality Water Use and QualityWater Use and Quality Land DisturbanceLand Disturbance Wildlife ImpactsWildlife Impacts Environmental Impacts Overview

7. Air Quality - Potential Emissions HC Gas CO 2 SO 2 NO x Oil Shale Processing Carbon dioxide emissionsCarbon dioxide emissions Criteria pollutantsCriteria pollutants

8. Air Quality – Mitigation Strategies  Capture and Clean using Existing Technology Capture for:  CO 2 Enhanced Oil Recovery  Sequestration  Other Industrial Uses  Capture for Process Plant Use HC Gas CO 2 SO 2 NO x Oil Shale Processing Current technologiesCurrent technologies Emerging technologiesEmerging technologies

9. Water Use and Quality Considerations Water consumptionWater consumption Produced water runoffProduced water runoff Surface water protection Surface water protection Ground water protectionGround water protection

10. Water Consumption Oil Shale Production Rate (MBbls/D) Oil Shale Industry Water Demand (MMG/D) Projected Population Growth (People) Additional Water to Support Population (MMG/D) Total New Water Demand (MMG/D) Total New Water Demand (MM acre- ft/yr) Source: Wood, Thomas., “Water Resources for Oil Shale”., Battelle., (2006). 21 to 63 96,00013 34 to 76 0.04 to 0.09 42 to 126 177,00024 86 to 150 0.10 to 0.17 105 to 315 433,00058 163 to 373 0.18 to 0.42 2,500 500 1,000

11. Produced Water Water is a by- product of oil shale retortingWater is a by- product of oil shale retorting ~2-5 gal/ton~2-5 gal/ton Produced water will contain a variety of substancesProduced water will contain a variety of substances

12. Surface Water Protection Mining and retorting operationsMining and retorting operations Treatment facilities for productsTreatment facilities for products Other wastewatersOther wastewaters Spent shaleSpent shale

13. Ground Water Protection Source: INTEK, Inc. Impermeable Barrier

14. Shell’s Freeze Wall Test Source: DOE, Secure Fuels Report, 2008

15. Land Disturbance - Magnitude BLM PEIS 1.9 MM Acres 20% 1 MMBbl/D Oil Shale Industry = 0.08 MM Acres 1% Green River Formation = 11 MM Acres Undisturbed Area ~9 MM Acres

16. Land Disturbance - Impacts Mining disrupts the surfaceMining disrupts the surface Increase in spent shaleIncrease in spent shale Reclamation will help to mitigate the long-term impactsReclamation will help to mitigate the long-term impacts

17. Wildlife Impacts - Aquatic Species Four endangered speciesFour endangered species Colorado River Basin is critical habitatColorado River Basin is critical habitat Site-specific data and analyses necessarySite-specific data and analyses necessary Source: U.S. DOI/BLM PEIS (December 2007)

18. Wildlife Impacts - Terrestrial Species One mammal is endangeredOne mammal is endangered Two are threatenedTwo are threatened Water supplyWater supply Fragmentation of habitatFragmentation of habitat Source: U.S. DOI/BLM PEIS (December 2007)

19. Wildlife Impacts - Avian Species Two endangered speciesTwo endangered species Migratory and permanent bird residentsMigratory and permanent bird residents Habitat preservationHabitat preservation Water quality supplyWater quality supply Source: U.S. DOI/BLM PEIS (December 2007)

20. Wildlife Impacts - Plant Species Six endangered speciesSix endangered species Ten threatened speciesTen threatened species 41 sensitive species41 sensitive species Land disturbanceLand disturbance Source: U.S. DOI/BLM PEIS (December 2007)

21. Conclusions Unmitigated, oil shale development can potentially have impacts on:Unmitigated, oil shale development can potentially have impacts on: –Air quality –Water quality and consumption –Land disturbance –Associated ecological and wildlife systems Mitigation practices can significantly reduce impactsMitigation practices can significantly reduce impacts