challenges and opportunities for increased access to on-shore federal lands natural gas technologies...

Challenges and Opportunities for Increased Access to On-shore Federal Lands

Natural Gas Technologies

What’s New & What’s Next

Orlando, FL

January 30-February 2, 2005

U.S. DOE National Energy Technology Laboratory (NETL)

Office of Fossil Energy

Strategic Center for Natural Gas and Oil

Authors

David Alleman

Environmental Technology Manager


U. S. Department of Energy

Tulsa, OK

Viola Rawn-Schatzinger

CDO Technologies, Inc.

Tulsa, OK


Federal Lands Resource

BLM administers 507 million acres of Federal Land

Represents 1/5 of all U. S. land 68% of all oil and gas reserves are on Federal

Lands Mostly in the Rocky Mountain States and

Alaska


U. S. Demand for Natural Gas

Use: 23 trillion Tcf / year Production: 19 Tcf / year Shortfall: 4 Tcf / year

Minerals Management Service

58% (362Tcf) lies offshore Outer Continental Shelf is in decline


Challenges to Federal Lands Access

41 million fewer acres available in 2004 than in 1999 Complicated regulations and standards

Protect environment and provide multiple use Conflicts between uses

Grazing rights Water rights Mineral Rights Timber Production Recreation

Mineral development No access Limited Access Split Estates


Energy Policy and Conservation Act

Mandated by Congress 2000

Inventory oil and gas resources in the U. S. and the potential for recovery

Departments of: Interior Energy Agriculture

BLM lead organization EPCA Phase I

Published January 2003


Interior West Map

Paradox/San Juan Basins

Uinta/Piceance Basins Greater Green River

Basin Powder River Basin Montana Thrust Belt


Interior West

Resource

138 Tcf natural gas

3,854 MMbbl oil

1,255 fields

Recoverable Reserves

53% of oil reserves

60% of natural gas reserves


Access RestrictionsNatural Gas

11% Closed

26% Restricted

63% Standard Lease Terms

Closed

Restricted

Standard Lease


Access RestrictionsOil

15% Closed

28% Restricted

57% Standard Lease Terms

Closed

Restricted

Standard Lease


Leasing Stipulation Categories

1 to 3 No leasing 4 Leasing with no surface occupancy 5 to 8 Leasing with timing limitations

(9 months, 6-9 months, 3-6 months, 3 months)

9 Leasing with controlled surface use 10 Standard lease terms


Challenges

Increased cost and delays in permitting Areas where mineral rights can be leased, but

the surface can’t be occupied. Roadless areas or limited roads Seasonal restrictions

Breeding/winter habitat of wildlife 1,265 Endangered Species in U. S.

Spatial restrictions Distance from streams Restricted Topographic features


Public Concerns

Split Estates controversy

Fears over surface land rights Disturbance of soils, vegetation, livestock and

hunting rights Permanent damage from pollution of surface waters

Lease terms


Restrictions based on Wildlife

Raptor nests Sage Grouse leks Breeding habits of

various birds and mammals

Big game migrations patters/ winter ranges

Big game calving areas/seasons

Waterfowl migration


How DOE can Help

Provide an Energy Policy Perspective Sound Science

Assess restrictions Assess impacts

Smaller Footprint Horizontal drilling Smaller drilling pad Improved waste handling

Improved Data Management & Decision Tools


DOE / BLM Federal Lands Technology Partnership

Provide sound science to determine impacts of oil and gas development – support appropriate protections

Develop tools to allow faster, environmentally sound decision-making


Alaskan Tundra Travel

Scientific study of ice and permafrost depth for ice roads and heavy equipment movement

North Slope season opened 3 weeks earlier in 2004

Adequate protection of tundra

Extended operational season enables exploration and production


Joint DOE/BLM projects in Rocky Mountains

Studies on Environmental Impacts Methane seepage in San Juan Basin Historic leakage and brine spills in Oklahoma CBNG studies on water, vegetation, soils and erosion

issues Studies of wildlife breeding habits and land use

Sage grouse study used to determine impacts of natural gas drilling activities in Wyoming


DOE Oil and Gas Research Program

Promote increased development of oil and gas resources on Federal Lands AND increased

environmental protection Provide technologies to lower the cost of

compliance Provide sound science for environmental

protection Provide data-management and decision-

making tools to speed sound permitting decisions

challenges and opportunities for increased access to on-shore federal lands natural gas technologies...

Documents

gas resources

natural gasuse

oilstrategic center

declinestrategic center

alaskastrategic center

okstrategic center

tcf yearshortfall

tcf yearproduction