Sustainability in Marcellus Shale Development Chevron Sustainability in Marcellus Shale Development Introduction to Engineering Design EDGSN 100 Section 001 SS&T INC / 6 Matthew Speir, personal.psu.edu/mvs6013, & mvs6013@psu.edu Katherine Seidl, personal.psu.edu/kxs5402, & kxs5402@psu.edu Tyler Turcheck, personal.psu.edu/twt5155, twt5155@psu.edu Presented to: Prof. Berezniak Date: 12/09/2016

Objective To improve to sustainability and efficiency of the current disposable of the HDPE well pad liner waste system. The project will be aimed to assist the environment and reduce cost for Chevron. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 2

Project Sponsor The project sponsor is Chevron, the second largest oil and gas company that is located in the United States. It is also one of the top companies internationally, focusing on reliable and affordable energy. The energy that is produced by Chevron is used by millions of people worldwide. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 3

Natural Gas Natural gas is the cleanest burning fossil fuel used for the production of energy. The first successful well was dug in 1821 by William Hart in Fredonia, New York. Conventional gas- resides in highly porous and permeable reservoirs and is easily extracted by standard vertical wells. Unconventional gas- has low permeability and is trapped in its original source rock, and is extracted by horizontal drilling and hydraulic fracturing. Technically Recoverable Resources (TRR)- All of the gas and oil that can physically be extracted by known technologies are considered TRR. Uses: - residential - commercial - industrial - electrical power - pipeline and distribution Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 4

Marcellus Shale reservoirs extend through New York, Pennsylvania, Ohio, Maryland, Virginia, and West Virginia.   low density, carbonaceous shale that was formed in the Middle-Devonian age. Shale is a sedimentary rock composed of a mixture of mud, clay, and other minerals. found about 2000 to 8000 feet below the surface of the Earth. In 2014, there were 141 trillion cubic feet of recoverable (economically and technically feasible to produce) natural gas from the Marcellus Shale. yielded 14.4 billion cubic feet of natural gas per day in 2015. This accounted for 36% of the shale gas produced. $34.7 billion was contributed to the PA state economy (5.8% of the total economic activity). produced 339,000 jobs (4.7% of the state’s total employment). The industry has also paid more than $2 billion in state taxes since 2007. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 5

Hydraulic Fracturing Process Site Development: Planning Phase The company identifies and determines:   Well Site Preparation: Execution Phase *The site is excavated and constructed; equipment is transported to the site; the rig is set up for drilling; all necessary systems are installed. Drilling and Completing Wells: Performance Phase * drilling operations are 24/7; 30 - 60 days * the completion process lasts 20 to 30 days- includes running production casing; simulating and fracturing the well; and installing equipment to facilitate the flow of natural gas out of the well. Well Production and Operations: Operational Phase * Liquids are removed from the gas at the wellhead; the gas is measured and sent to compressor stations via pipeline.; re-contour and reseed the well pad * ideal location for the well pad * environmental constraints * zoning/siting constraints * highway access constraints * landowner desires/preferences * presence of other sensitive locations Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 6

Environmental Concerns Contamination of Drinking Water Aquifers- drinking water aquifers are hundreds to thousands of feet below the shale, natural faults can carry fracking chemicals known as Volatile organic compounds (VOCs) such as benzene, toluene, ethylbenzene and xylene into the aquifers and contaminate water High Water Usage- Each well uses anywhere from 3 to 6 million gallons of water, and between 2005 and 2014, fracking operations have used over 250 billion gallons. Fugitive Methane- Fugitive methane is made up of the accidental escape of methane gas, as well as routine venting. Surface Runoff from Drill Pads- Frack water can be discharged into waterways by being carried by runoff rain water, which raises the level of total dissolved solids (TDS) in the water. This is the concentration of minerals such as salt that are dissolved in the water. This can come from runoff from surfaces around well sites, such as the drill pads. Spills and Leaks of Hydraulic Fracking Fluids- Diesel-like chemicals can be carried into drinking water; this is not through the ground but from spills of fracking fluids. These are not life-threatening and can be treated with simple filtration systems. Handling, Treatment and Disposal of Fracking Wastewaters- Deep injection wells are used to dispose fracking brine. These are wells designed specifically to take in any type of fluid used in oil and gas drilling. There are currently seven of these wells in Pennsylvania, and much of the fluid is taken to Ohio where there are more of them. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 7

Environment Continued Infrastructure Impact a. Land Use Horizontal fracking pads are larger than most other drilling pads, take up more land with roads and pipelines b. Pipelines Increase in shale production leads to the construction of pipelines across the country that affect wildlife c. Noise Drill sites produce a lot of light and noise from the drilling, and trucks entering the drill site which affect nocturnal animals and migrating birds d. Traffic Traffic at the drill site can be heavy; an estimated 900 to 1,300 truckloads of material is hauled in the well’s lifetime. The traffic causes noise, and the need for roads going into the site. e. Processing Facilities These facilities give off emissions and may cause people to inhale too much of these harmful gases. Water contamination may also result for people who live near these.

Project Description - Background High density polyethylene (HDPE) liners are a commonly used material to line the fracking wells during the fracking process. They are very durable and can withstand temperatures upward of 100◦ Celsius. They also perform well when in the presence of the chemicals that are typically used during the fracking process. Due to the durability of the material, leaks are generally prevented. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 9

Project Description - Common Practice The HDPE well pad liners are delivered to the fracking site in the form of rolls. The HPDE rolls, are extremely heavy and many must be laid down adjacent to one another. They are then welded together and tested for leaks. Based upon the information provided by Chevron, they use the pads once and they cut up and dispose of the pads afterward. They are not reused due the volume of traffic on the pads and the difficulty of transported the pads after they have been placed on the ground. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 10

Project Description - Findings The HDPE well pad liners can be recycled instead of disposed of and sent to landfills. HDPE is a commonly used plastic that can be found in many household material, such as milk jugs and shampoo bottles. There is a new company called Ultra-Poly that is beginning to recycle HDPE well pad liners. They can be recycled and remade into more HDPE well pad liners or sold to other companies to create other products. This process will decrease the environmental impact that fracking companies have on the environment and will also decrease the cost to the fracking company. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 11

Project Description - Recommendations It is recommended that Chevron implement the recycling system to decrease on their waste and to save on cost. If Chevron were to invest some money into their own recycling location, they could create a closed-loop system in which the HDPE well pad liners that they use are recycled and remade into more HDPE well pad liners. Trucks could ship the cut up HDPE well pad liners to this location. There would be a significant start-up cost, but this could be made back in the savings. Any excess HDPE from the recycling could also be sold to external companies that produce products made from HDPE. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 12

Closing It has been concluded that the best action to take concerning the HDPE well pad liners is to melt them down and recycle them to be molded into new HDPE well pad liners or other plastics. This process is now currently being used by other companies and is in fact saving them a significant amount of money. This would also help the environment by reduced the waste that is accumulating in landfills. Recycling the used HDPE well liners would not violate any regulations or policies. It is advised that this process be implemented by Chevron. Use this slide to create a new slide—use this template slide if you would prefer to have a Penn State blue background for your slides. 13