Managing Current and Future Emissions from Oil and Gas Production Regional Emissions and Air Quality Modeling Studies Workshop July 29, 2008 Denver, Colorado

Topics Covered Air quality challenges in the Rockies Existing inventories Strategic planning Regulatory agencies Resource development Value of annual updates

Air Quality Challenges NEPA Evolving process for air quality Photochemical modeling to address ozone impacts Lack of monitors Cumulative impacts

Air Quality Challenges Regional standards Non-attainment Revised ozone ambient standard Regional haze

Air Quality Challenges Greenhouse Gases Developing topic Multiple agencies developing inventory protocols Regional and state governments seeking emission reductions

Emissions Inventories Existing inventories WRAP Phase I and II Lack regional specific information Local state inventories Generally lack VOC information Lack information on un-permitted sources/activities

2006 DJ Basin - NOx Emissions Permitted vs. Un-permitted 44% of basin total NOx emissions from unpermitted sources Source: Environ

2006 DJ Basin - VOC Emissions Permitted vs. Un-permitted 45% of basin total VOC emissions from previously un-inventoried un-permitted sources Source: Environ

Strategic Planning Regulatory change - emission reductions Decision making based on best available information Low hanging fruit Size of the prize

Strategic Planning Regional Growth Voluntary controls – Pinedale-Anticline Programmatic changes to new facility construction Retrofit for existing equipment Facility consolidation Innovation

Value of Annual Updates Future-year updates Allow the inventory to evolve with time Mechanism to show effectiveness of controls Tool to balance growth projections against reality

Anadarko Petroleum Corporation Questions Contact information: Phillip Schlagel Air Quality Manager Anadarko Petroleum Corporation (720) 929-6798 Phillip.Schlagel@anadarko.com