Saturday, June 13, 2015

New Source For Geothermal Electricity In North Dakota -- Harold Hamm In The News Again -- June 13, 2015

Nothing ceases to amaze me any more about the Bakken; it never fails to surprise me. A reader sent this link to a most interesting article. The Star Phoenix is reporting:
In a few weeks a generator in North Dakota will fire up, powered by nothing more than waste water from an oil well.
The pilot project is designed to show that it's possible to generate geothermal electricity from the boiling water that comes out of the wells. The concept is something Alison Thompson, managing director of the Canadian Geothermal Energy Association, has long been calling for in Canada's oilpatch.
"We've been advocating for many years to do what we'll call the hot sedimentary-style geothermal, which is really no more than taking what the oil and gas companies are already producing and running it through a little turbine right at their site."
Canada produces huge amounts of geothermal power, but so far none of it is being used to generate electricity, Thompson said.
"We just actually bring up all that potential to the surface and then do nothing with it. It's actually treated as a waste or a cost to the company." She equates the waste to the gas flaring that was common across Alberta until stricter regulations came in 2000. She says either higher carbon pricing or more regulation would encourage companies to try the technology, but there isn't enough incentive now.
The pilot project in North Dakota, which is being developed with energy company Continental Resources Inc., cost about US$3.5 million and includes several years of research and development. Gosnold said if the pilot project is successful, new geothermal units could be constructed at a cost of US$250,000 each.
The two generators on site have a combined 250 kilowatt hour capacity, which Gosnold estimates could mean about US$150,000 in annual energy cost savings in total. At 250 kWh, the generators would produce enough power to meet the annual needs of about 300 homes.

Friday, June 12, 2015

GM To Cut Production At Small-Car Plant -- June 12, 2015

This is so cool. For background, read this post, dated February 22, 2015. The 30-second bite: CAFE standards favor SUVs and trucks, of all sizes. Result? Today's story out of GM being reported by Reuters: GM to lay off workers, cut production at Michigan small-car plant.
General Motors Co will lay off 100 workers and cut production at its Orion Assembly small-car plant in suburban Detroit because of slow sales, the company said on Friday.
This is in addition to the 160 layoffs GM announced last November at Orion Assembly.
U.S. consumers continue to prefer SUVs and pickup trucks over sedans, particularly small ones, as gasoline prices remain low. The plant makes the Chevrolet Sonic and Buick Verano compact cars.
The plant has about 1,580 hourly workers and 180 salaried positions. GM said the 260 workers to be laid off will be let go by the end of this year.
This is embarrassing. I had never heard of the Orion. Or the Sonic. Or the Verano. Seriously. Never heard of them. For me, the Orion is a constellation; Sonic is a fast food chain with really good milk shakes; and, "verano" is an Italian word for "we don't serve Americans here." Or maybe Greek for "it's all over now."

Housing Boom In The Bakken -- June 12, 2015

Earlier I posted Bakken economy milestones which included a bit on the housing boom in the Bakken. Here's a longer report, coming from the Twin Cities.

From The Star Tribune:
North Dakota built new housing at a faster clip than any other state from 2010 through last summer, as people flooded the state in search of work in the booming oil patch.
The U.S. Census Bureau's latest annual estimate shows North Dakota's housing growth rate far outpaced any other state's in the year leading up to last July 1, continuing a longer trend dating back to the last 10-year Census in 2010.
"We've seen families move into North Dakota from around the country, and the majority are coming because of the influx with the oil boom," said Kim Schneider, executive officer with the North Dakota Association of Builders.
The state's 3 percent growth in housing units from mid-2013 through mid-2014 was well ahead of Utah's 1.4 percent, which ranked second, according to the new report. From 2010 through mid-2014, North Dakota's housing units grew by 10.4 percent, far exceeding second-place Texas' 4.5 percent.
Among U.S. counties with at least 5,000 housing units, Williams County in the heart of the North Dakota oil patch had the fastest growth rate from mid-2013 through mid-2014, at 11.6 percent. Four other western counties also ranked in the top 12 nationally, including Stark, Morton, Ward and Burleigh counties.
Cass and Grand Forks counties in the east also were in the top 20, with growth rates above 3 percent, showing that not all of North Dakota's growth happened in the west.
The state overall has a healthy economy, and some families in the west also have moved east to escape the headaches associated with the oil boom, such as increased traffic and crime, according to Schneider.
"The need for housing around the oil boom area also gave a lot of families the opportunity to sell their homes or property at a price much higher than in a normal market," which created demand for housing in other parts of the state as the sellers moved, she said.
Between 2010 and 2014, Williams County was No. 1 in the nation with a 56.8 percent growth rate in housing units and Stark County was second with a 28 percent rate. Ward and Morton counties were in the Top 10, with growth rates above 14 percent, and Burleigh and Cass counties were in the Top 20, with rates above 10 percent.
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A Note for the Granddaughters

At this link, there is a science experiment that is perfect for middle school students, and maybe even for high school students. It's an experiment to test various household anti-microbials to see which works better / best.

Yesterday, we took our three granddaughters to the Perot Museum in Dallas. Our older granddaughter has been at the museum several times and has always wanted to do that experiment. Yesterday, she was thrilled. She got to to the experiment.

The lab in the museum is set up such that no instructor or museum employee actually has to be there to to help you. There is one museum employee -- a college biology major -- who manages traffic flow, helps students get started, and then answers any questions.

I was very impressed how effortless it was to carry out a fairly sophisticated experiment.

It is impossible to enumerate all the concepts that were necessary for this experiment to work and how, even after completing the experiment, there were questions about the experiment to be explored and answered.

The two biggest questions: the issue of fluorescence and microbes, and what role the "indicator solution" played. The "indicator solution" information can be found at this site.

Update On NIMBY And The Sierra Club; Bakken Economy Milestones Being Celebrated-- June 12, 2015

In response to an earlier NIMBY story, a reader has provided a list of sites that the Sierra Club has "approved" for energy development:
  • solar: none
  • wind: none
  • ethanol: none
  • oil: none
  • coal: none
  • natural gas: none
  • the moon: if appropriately regulated, but only one test site on the dark side of the moon
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Hell Froze Over

Conservative talk radio cheers Ms Pelosi.

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Now It's Personal

The White House says this is a "temporary setback." If so, it's now one-on-one; he-v-she; his narcissism vs her ego, and maybe even mano-o-mano.

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For Those Keeping Score At Home
Published Today -- Just Four Hours Ago

From The New York Times:
A month and a half after six officers were charged in Mr. Gray’s death, policing has dwindled in some of Baltimore’s most dangerous neighborhoods, and murders have risen to levels not seen in four decades. The totals include a 29-year-old man fatally shot on this drug corner last month. Police union officials say that officers are still coming to work, but that some feel a newfound reluctance and are stepping back, questioning whether they will be prosecuted for actions they take on the job.

Around the nation, communities and police departments are struggling to adapt to an era of heightened scrutiny, when every stop can be recorded on a cellphone. But residents, clergy members and neighborhood leaders say the past six weeks have made another reality clear: that as much as some officers regularly humiliated and infuriated many who live here, angering gang members and solid citizens alike, the solution has to be better policing, not a diminished police presence. [It's a two-way street.]
“Without law enforcement, there is no order,” Pastor Weah said. “In truth, residents want a strong police force, but they also want accountability.” She said that she sympathized with many officers who did their jobs well but were now just as hated as the abusive officers, and that she prayed the spate of killings would be the shock that finally caused change. ["Without law enforcement, there is no order." Really? The Romanticists thought the savage noble.]
“This crisis was bound to happen because of the broken relationship between law enforcement and the people,” she said. “When something gets this infected, you have to break it down and start from new.” [Giving them space to destroy is the first step in starting anew, apparently.]
At least 55 people, the highest pace since the early 1970s, have been murdered in Baltimore since May 1, when the state’s attorney for the city, Marilyn J. Mosby, announced the criminal charges against the officers. Victims of shootings have included people involved in criminal activity and young children who were simply in the wrong place.
One can track Baltimore homicides sort of like tracking Bakken rigs and wells.  I thought all these Baltimore homicides were occurring on "the west side." Spin. Look at the map. The only place in/around Baltimore that I don't see shootings in on the Patapsco River. West of Baltimore. North of Baltimore. East of Baltimore. Downtown Baltimore. It looks like the one safe place is the riverfront.

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Chicago Not Far Behind

CBS Local is reporting:
Three people suffered minor injuries early Friday, when someone in another vehicle shot up their car on the Dan Ryan Expressway, the 19th shooting so far this year on Chicago area expressways, matching last year’s total for the entire year.
A reader tells me one can track Chicago homicide data here
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Bakken Economy
Milestones

The Western Area Water Supply (WAWS) Project and Williston Regional Water Treatment Plan will celebrate milestones during a private ceremony on Wednesday, June 17th. WAWS will celebrate its 4th anniversary; WRWTP will celebrate the completion of its expansion project. The water treatment plant has increased capacity from 14 million gallons per day to 21 mgd.

Officials plan to open two lanes of the Williston Northwest Truck Reliever Route on Saturday, Juen 13, 2015. The route will cost the state a total of $162 million. Work on southbound lanes of the route is expected to be completed in August.

On US malls rom CNBC:
For the first 100 years of its existence, the tiny town of Williston, North Dakota, was known for little more than ranching, farming and its proximity to where the Yellowstone and Missouri rivers meet. It was a true frontier town, with a small downtown district and the closest shopping mall some 125 miles away.
Blink and you could miss it.
Today Williston-which sits atop the oil-rich Bakken shale formation-is enjoying a second life as a key player in the state's booming economy. Following several years of record population growth and real estate development, the town will soon boast one more draw: a $500 million retail mecca complete with shopping, a hotel and indoor water park. Not bad for a town of just 32,000 people.
Williston is one of five major projects across the U.S. that highlight the many challenges facing the modern-day shopping mall-from the rise of online buying to Americans' flight to the cities. But they also identify some possible solutions, whether it's incorporating elements of what makes that town unique, or weaving in other forms of entertainment.
From AP/Star Tribune: ND's housing growth rate the fastest in the US.

Western ND airports seek upgrades; from The Bismarck Tribune:
Passengers can find a place to park at the Dickinson Airport but, for many, it's going to be on gravel. And despite lower oil prices, air traffic to Tioga is growing along with airport amenities. Many North Dakota airports have been underfunded for a long time, according to the state Aeronautics Commission. So while airline boarding numbers are leveling off, investments are still needed to meet demand and provide permanent solutions.

Off The Net For Awhile -- June 12, 2015

I've been updating the cumulative production numbers for "high IP" wells that were spud back in 2013. It is amazing how much these wells have been choked back (mostly taken off-line) for the past few months.

Some examples (there may be many reasons why production was down, including erroneous reporting, commingling/erroneous reporting, conditioning rules, flaring rules, operational reasons due to pad drilling, work-over [unlikely], pump installation, quotas being met, weather, etc -- but, whatever the reason, one can see how much oil can be cut back on any given well).

First example:
  • 24484, 2,932, BR, CCU Prairie Rose 31-30TFH, Corral Creek, t8/13; cum 128K 4/15; 
Note:
  • this well is capable of at least 4,000 bop month
  • in November, 2014, was on-line for only 13 days
  • in February, 2015, produced only 3 bbls of oil 
  • still flaring
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-201525196519657401722985737
BAKKEN3-2015312266230788015321311221
BAKKEN2-20152731448401976191355
BAKKEN1-20153131923197873268026710
BAKKEN12-20143135363467930306630591
BAKKEN11-20141315401577396104610430
BAKKEN10-201431283928261333275727520

Second example:
  • 23438, 2,464, Statoil, M. Macklin 15-22 7H, Cow Creek, t8/13; cum 139K 41/5:
Note:
  • this well is capable of 5,000 bopm
  • typical Bakken well with an IP of 2,464 should have had huge 2nd, 3rd, and 4th months (despite being a Statoil well)
  • 18 days in April, 2015
  • flaring until April, 2015
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-201518194323373946137013700
BAKKEN3-201531491249408469383227991033
BAKKEN2-20152847035005635348374009828
BAKKEN1-201531584356735740493730021935


Third example:
  • 24338, 2,576, HRC, Fort Berthold 148-94-33D28-4H, McGregory Buttes, t8/13; cum 280K 41/5:
Note:
  • remember earlier discussions on general pattern of Bakken wells; typical Bakken well, especially an HRC well with an IP of 2,576, should have had incredible 2nd, 3rd, and 4th months;
  • note two months in a row with few days on-line
  • still flaring
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-2015301114510179666295788716652
BAKKEN3-2015722982503149118101393368
BAKKEN2-2015914831622119616391467109
BAKKEN1-20153160366460450751384614307
BAKKEN12-20143192329133445066326079336

Fourth example:
  • 24339, 2,302, HRC, Fort Berthold 148-94-33D-28-5H, McGregory Buttes, t8/13; cum 282K 4/15:
Note:
  • this well is easily capable of 8,000 bopm
  • this well should have produced 20,000 bopm 2nd, 3rd, 4th months
  • down to 3,000 bbls in April
  • 19 days in March, 2015
  • the company can operate the well for 19 days and get as much production as a full 30-day month
  • still flaring
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-2015292331261517082652238960
BAKKEN3-20151970177746466053844998253
BAKKEN2-20152461745407372149174596153
BAKKEN1-20153164286603477256145143254
BAKKEN12-20143169516876575473886981190
BAKKEN11-2014306385666245756031578635
BAKKEN10-201431720473525383563941061316

Last example:
  • 24906, 2,971, BR, CCU Meriwether 34-19TFH, Corral Creek, t7/13; cum 65K 4/15:
Note:
  • just plain crazy to the casual observer, but I'm sure it can all be explained
  • remember, this field has been unitized, which may explain a lot
  • still flaring
  • capable of 8,000 bopm
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-2015121026975610741565176
BAKKEN3-20150000000
BAKKEN2-201500790000
BAKKEN1-201517178917981060148014760
BAKKEN12-20141221232036570181718130
BAKKEN11-20140000000
BAKKEN10-20141073016160
BAKKEN9-20141220932057670236123544
BAKKEN8-201437499071417357330
BAKKEN7-20141640643868395338493476365
BAKKEN6-2014001100000
BAKKEN5-20142931573131990280428000
BAKKEN4-201492414233012702183215722
BAKKEN3-20141090061600
BAKKEN2-201412183019851502046201825
BAKKEN1-2014253504342810454908487224
BAKKEN12-2013939783922686137813714
BAKKEN11-201312541953062561293129262
BAKKEN10-201300930000
BAKKEN9-201320762978194736860986040
BAKKEN8-201392207321790388793479270
BAKKEN7-20138300030000000