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Shale gas
extraction
in the UK:
a review of
hydraulic
fracturing
June 2012
Shale gas extraction in the UK: a review of hydraulic fracturing
   Issued: June 2012 DES2597

   © The Royal Society and The Royal Academy of Engineering 2012

   The text of this work is licensed under Creative Commons
   Attribution-NonCommercial-ShareAlike CC BY-NC-SA.

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   submitted to: science.policy@royalsociety.org

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   The Royal Society                                           The Royal Academy of Engineering
   Science Policy Centre                                       3 Carlton House Terrace
   6 – 9 Carlton House Terrace                                 London SW1Y 5DG
   London SW1Y 5AG                                             T +44 20 7766 0600
   T +44 20 7451 2500                                          W raeng.org.uk
   E science.policy@royalsociety.org
   W royalsociety.org



   This document can be viewed online at:
   royalsociety.org/policy/projects/shale-gas-extraction and raeng.org.uk/shale

2 Shale gas extraction in the UK: a review of hydraulic fracturing
Contents
Summary ........................................................4         Chapter 6 – Risk management ....................48
                                                                          6.1 The UK’s goal based approach to
Recommendations ..........................................6                   regulation ......................................................48
                                                                          6.2 Collecting data to improve risk
Terms of reference .........................................8                 assessments ................................................. 49
                                                                          6.3 Environmental risk assessments ................... 51
Chapter 1 – Introduction.................................9
1.1 Hydraulic fracturing.........................................9        Chapter 7 – Regulating shale gas .................53
1.2 Stages of shale gas extraction ...................... 10              7.1 Conditions of Petroleum Exploration and
1.3 The global policy context .............................. 10               Development Licences..................................53
1.4 Environmental concerns in the USA ............. 11                    7.2 Conditions of local planning permission.......54
1.5 Environmental concerns in Europe ............... 14                   7.3 Notification of well construction and the
1.6 Moratoria ...................................................... 15       well examination scheme..............................54
1.7 Concerns about seismicity ............................ 15             7.4 Conditions of environmental permits............55
1.8 The UK policy context ................................... 17          7.5 Regulating production activities on a
                                                                              nationwide scale ...........................................55
Chapter 2 – Surface operations .................... 19
2.1 Fracturing fluid .............................................. 19    Chapter 8 – Research on shale gas ..............57
2.2 Water requirements .....................................20            8.1 Uncertainties affecting small scale
2.3 Managing wastewaters .................................20                  exploratory activities .....................................57
2.4 Disposal of wastewaters ...............................21             8.2 Uncertainties affecting large scale
2.5 Disposal of solid wastes ...............................22                production activities ......................................57
2.6 Managing methane and other emissions ....22                           8.3 Funding research on shale gas .....................58

Chapter 3 – Well integrity ............................24
3.1 Preventing well failure ...................................25         References ....................................................60
3.2 Improving the well examination scheme .....26
3.3 Detecting well failure ....................................27         Acronyms .....................................................66

Chapter 4 – Fracture propagation ................. 31                     Glossary ........................................................68
4.1 Monitoring fractures .....................................31
4.2 Constraining fracture growth ........................32               Appendix 1 – Working Group .......................70
4.3 Hydraulic fracturing below aquifers ..............34
                                                                          Appendix 2 – Evidence gathering .................72
Chapter 5 – Induced seismicity ....................40
5.1 Natural seismicity ..........................................40       Appendix 3 – Review Panel ..........................75
5.2 Seismicity induced by coal mining ...............40
5.3 Seismicity induced by hydraulic fracturing... 41
5.4 Factors affecting seismicity induced by
    hydraulic fracturing .......................................42
5.5 Mitigating induced seismicity .......................43
5.6 Damage to well integrity ...............................45
5.7 Seismicity induced by disposal.....................45
5.8 Regulating induced seismicity ......................46




                                                                                       Shale gas extraction in the UK: a review of hydraulic fracturing 3
SUMMARY




   Summary
   The health, safety and environmental risks associated             Concerns have also been raised about seismicity
   with hydraulic fracturing (often termed ‘fracking’)               induced by hydraulic fracturing. Natural seismicity
   as a means to extract shale gas can be managed                    in the UK is low by world standards. On average,
   effectively in the UK as long as operational best                 the UK experiences seismicity of magnitude 5 ML
   practices are implemented and enforced through                    (felt by everyone nearby) every twenty years, and
   regulation. Hydraulic fracturing is an established                of magnitude 4 ML (felt by many people) every
   technology that has been used in the oil and gas                  three to four years. The UK has lived with seismicity
   industries for many decades. The UK has 60 years’                 induced by coal mining activities or the settlement of
   experience of regulating onshore and offshore oil                 abandoned mines for a long time. British Geological
   and gas industries.                                               Survey records indicate that coal mining-related
                                                                     seismicity is generally of smaller magnitude than
   Concerns have been raised about the risk of fractures             natural seismicity and no larger than 4 ML. Seismicity
   propagating from shale formations to reach overlying              induced by hydraulic fracturing is likely to be of even
   aquifers. The available evidence indicates that this              smaller magnitude. There is an emerging consensus
   risk is very low provided that shale gas extraction               that the magnitude of seismicity induced by hydraulic
   takes place at depths of many hundreds of metres or               fracturing would be no greater than 3 ML (felt by
   several kilometres. Geological mechanisms constrain               few people and resulting in negligible, if any, surface
   the distances that fractures may propagate vertically.            impacts). Recent seismicity induced by hydraulic
   Even if communication with overlying aquifers were                fracturing in the UK was of magnitude 2.3 ML and
   possible, suitable pressure conditions would still be             1.5 ML (unlikely to be felt by anyone). The risk of
   PGEGUUCT[ HQT EQPVCOKPCPVU VQ ƃQY VJTQWIJ HTCEVWTGU              seismicity induced by hydraulic fracturing can be
   More likely causes of possible environmental                      TGFWEGF D[ VTCHƂE NKIJV OQPKVQTKPI U[UVGOU VJCV WUG
   contamination include faulty wells, and leaks and                 real-time seismic monitoring so that operators can
   spills associated with surface operations. Neither                respond promptly.
   cause is unique to shale gas. Both are common to
   all oil and gas wells and extractive activities.                  Monitoring should be carried out before, during and
                                                                     after shale gas operations to inform risk assessments.
   Ensuring well integrity must remain the highest                   Methane and other contaminants in groundwater
   priority to prevent contamination. The probability of             should be monitored, as well as potential leakages of
   well failure is low for a single well if it is designed,          methane and other gases into the atmosphere. The
   constructed and abandoned according to best                       geology of sites should be characterised and faults
   practice. The UK’s well examination scheme was                    KFGPVKƂGF /QPKVQTKPI FCVC UJQWNF DG UWDOKVVGF VQ
   set up so that the design of offshore wells could be              the UK’s regulators to manage potential hazards,
   reviewed by independent, specialist experts. This                 inform local planning processes and address wider
   UEJGOG OWUV DG OCFG ƂV HQT RWTRQUG HQT QPUJQTG                    concerns. Monitoring of any potential leaks of
   activities. Effects of unforeseen leaks or spills                 methane would provide data to assess the carbon
   can be mitigated by proper site construction and                  footprint of shale gas extraction.
   impermeable lining. Disclosure of the constituents
   QH HTCEVWTKPI ƃWKF KU CNTGCF[ OCPFCVQT[ KP VJG 7-
   Ensuring, where possible, that chemical additives
   are non-hazardous would help to mitigate the
   impact of any leak or spill.




4 Shale gas extraction in the UK: a review of hydraulic fracturing
SUMMARY




The UK’s goal based approach to regulation is to        more concentrated during waste treatment.
be commended, requiring operators to identify and       NORM management is not unique to shale gas
assess risks in a way that fosters innovation and       GZVTCEVKQP 014/ KU RTGUGPV KP YCUVG ƃWKFU HTQO
continuous improvement in risk management. The          the conventional oil and gas industries, as well
UK’s health and safety regulators and environmental     as in mining industries, such as coal and potash.
regulators should work together to develop              Much work has been carried out globally on
IWKFGNKPGU URGEKƂE VQ UJCNG ICU GZVTCEVKQP VQ JGNR      monitoring levels of radioactivity and handling
operators carry out goal based risk assessments         NORMs in these industries.
according to the principle of reducing risks to As
Low As Reasonably Practicable (ALARP). Risk             Shale gas extraction in the UK is presently at a very
assessments should be submitted to the regulators       small scale, involving only exploratory activities.
for scrutiny and then enforced through monitoring       Uncertainties can be addressed through robust
activities and inspections. It is mandatory for         OQPKVQTKPI U[UVGOU CPF TGUGCTEJ CEVKXKVKGU KFGPVKƂGF
operators to report well failures, as well as other     in this report. There is greater uncertainty about
accidents and incidents to the UK’s regulators.         the scale of production activities should a future
Mechanisms should be put in place so that reports       shale gas industry develop nationwide. Attention
can also be shared between operators to improve         must be paid to the way in which risks scale up.
risk assessments and promote best practices across      Co-ordination of the numerous bodies with
the industry.                                           regulatory responsibilities for shale gas extraction
                                                        must be maintained. Regulatory capacity may
An Environmental Risk Assessment (ERA) should           need to be increased.
be mandatory for all shale gas operations. Risks
should be assessed across the entire lifecycle of       Decisions are soon to be made about shale gas
shale gas extraction, including risks associated with   extraction continuing in the UK. The next round of
the disposal of wastes and abandonment of wells.        issuing Petroleum Exploration and Development
Seismic risks should also feature as part of the ERA.   Licences is also pending. This report has not
                                                        attempted to determine whether shale gas extraction
Water requirements can be managed through               should go ahead. This remains the responsibility
integrated operational practices, such as recycling     of the Government. This report has analysed the
and reusing wastewaters where possible. Options         technical aspects of the environmental, health and
for disposing of wastes should be planned from          safety risks associated with shale gas extraction to
the outset. Should any onshore disposal wells be        inform decision making. Neither risks associated with
necessary in the UK, their construction, regulation     the subsequent use of shale gas nor climate risks
and siting would need further consideration.            JCXG DGGP CPCN[UGF GEKUKQP OCMKPI YQWNF DGPGƂV
                                                        from research into the climate risks associated with
Wastewaters may contain Naturally Occurring             both the extraction and use of shale gas. Further
Radioactive Material (NORM) that are present in         DGPGƂV YQWNF CNUQ DG FGTKXGF HTQO TGUGCTEJ KPVQ VJG
UJCNGU CV NGXGNU UKIPKƂECPVN[ NQYGT VJCP UCHG NKOKVU    public acceptability of all these risks in the context
of exposure. These wastewaters are in need of           of the UK’s energy, climate and economic policies.
careful management should NORM become




                                                                   Shale gas extraction in the UK: a review of hydraulic fracturing 5
SUMMARY




   Recommendations
   Recommendation 1                                                  Recommendation 3
   To detect groundwater contamination:                              To mitigate induced seismicity:

   r The UK’s environmental regulators should work                   r BGS or other appropriate bodies should carry
     with the British Geological Survey (BGS) to carry                 out national surveys to characterise stresses and
     out comprehensive national baseline surveys of                    identify faults in UK shales. Operators should carry
     methane and other contaminants in groundwater.                    out site-specific surveys to characterise and identify
                                                                       local stresses and faults.
   r Operators should carry out site-specific
     monitoring of methane and other contaminants                    r Seismicity should be monitored before, during
     in groundwater before, during and after shale gas                 and after hydraulic fracturing.
     operations.
                                                                     r Traffic light monitoring systems should be
   r Arrangements for monitoring abandoned wells                       implemented and data fed back to well injection
     need to be developed. Funding of this monitoring                  operations so that action can be taken to mitigate
     and any remediation work needs further                            any induced seismicity.
     consideration.
                                                                     r DECC should consider how induced seismicity is
   r The data collected by operators should be                         to be regulated. Operators should share data with
     submitted to the appropriate regulator.                           DECC and BGS to establish a national database of
                                                                       shale stress and fault properties so that suitable
   Recommendation 2                                                    well locations can be identified.
   To ensure well integrity:
                                                                     Recommendation 4
   r Guidelines should be clarified to ensure the                    To detect potential leakages of gas:
     independence of the well examiner from the
     operator.                                                       r Operators should monitor potential leakages of
                                                                       methane or other emissions to the atmosphere
   r Well designs should be reviewed by the                            before, during and after shale gas operations.
     well examiner from both a health and safety
     perspective and an environmental perspective.                   r The data collected by operators should be
                                                                       submitted to the appropriate regulator. These
   r The well examiner should carry out onsite                         data could inform wider assessments, such as
     inspections as appropriate to ensure that wells                   the carbon footprint of shale gas extraction.
     are constructed according to the agreed design.
                                                                     Recommendation 5
   r Operators should ensure that well integrity tests               Water should be managed in an integrated way:
     are carried out as appropriate, such as pressure                r Techniques and operational practices should be
     tests and cement bond logs.                                       implemented to minimise water use and avoid
                                                                       abstracting water from supplies that may be
   r The results of well tests and the reports of
                                                                       under stress.
     well examinations should be submitted to
     the Department of Energy and Climate                            r Wastewater should be recycled and reused
     Change (DECC).                                                    where possible.

                                                                     r Options for treating and disposing of wastes
                                                                       should be planned from the outset. The
                                                                       construction, regulation and siting of any future
                                                                       onshore disposal wells need further investigation.




6 Shale gas extraction in the UK: a review of hydraulic fracturing
SUMMARY




Recommendation 6                                       Recommendation 9
To manage environmental risks:                         Co-ordination of the numerous bodies with regulatory
                                                       responsibilities for shale gas extraction should be
r An Environmental Risk Assessment (ERA) should        maintained. A single body should take the lead.
  be mandatory for all shale gas operations,           Consideration should be given to:
  involving the participation of local communities
  at the earliest possible opportunity.                r Clarity on roles and responsibilities.

r The ERA should assess risks across the entire        r Mechanisms to support integrated ways of
  lifecycle of shale gas extraction, including the       working.
  disposal of wastes and well abandonment.
  Seismic risks should also feature as part of         r More formal mechanisms to share information.
  the ERA.
                                                       r Joined-up engagement of local communities.
Recommendation 7
Best practice for risk management should be            r Mechanisms to learn from operational and
implemented:                                             regulatory best practice internationally.

r Operators should carry out goal based risk           Recommendation 10
  assessments according to the principle of            The Research Councils, especially the Natural
  reducing risks to As Low As Reasonably               Environment Research Council, the Engineering
  Practicable (ALARP). The UK’s health and safety      and Physical Sciences Research Council and the
  regulators and environmental regulators should       Economic and Social Research Council, should
  work together to develop guidelines specific to      consider including shale gas extraction in their
  shale gas extraction to help operators do so.        research programmes, and possibly a cross-Research
                                                       Council programme. Priorities should include
r Operators should ensure mechanisms are put in        research into the public acceptability of the extraction
  place to audit their risk management processes.      and use of shale gas in the context of UK policies on
                                                       climate change, energy and the wider economy.
r Risk assessments should be submitted to the
  regulators for scrutiny and then enforced through
  monitoring activities and inspections.

r Mechanisms should be put in place to allow
  the reporting of well failures, as well as other
  accidents and incidents, between operators.
  The information collected should then be shared
  to improve risk assessments and promote best
  practices across the industry.

Recommendation 8
The UK’s regulators should determine their
requirements to regulate a shale gas industry should
it develop nationwide in the future. Skills gaps and
relevant training should be identified. Additional
resources may be necessary.




                                                                  Shale gas extraction in the UK: a review of hydraulic fracturing 7
SUMMARY




   Terms of reference
   6JG 7- )QXGTPOGPVoU %JKGH 5EKGPVKƂE #FXKUGT 5KT                  Methodology
   John Beddington FRS, asked the Royal Society and                  A Working Group was set up to oversee this project
   the Royal Academy of Engineering to carry out an                  (see Appendix 1). The Working Group met on six
   KPFGRGPFGPV TGXKGY QH VJG UEKGPVKƂE CPF GPIKPGGTKPI               occasions when it was briefed by other experts.
   evidence relating to the technical aspects of the                 Consultations with other experts and stakeholders
   risks associated with hydraulic fracturing to inform              were held between meetings. Submissions were
   government policymaking about shale gas extraction                received from a number of individuals and learned
   in the UK.                                                        societies (see Appendix 2). This report has been
                                                                     reviewed by an expert Review Panel (see Appendix 3)
   The terms of reference of this review were:                       and approved by the Engineering Policy Committee
                                                                     of the Royal Academy of Engineering and the Council
   r What are the major risks associated with hydraulic              of the Royal Society.
     fracturing as a means to extract shale gas in the
     UK, including geological risks, such as seismicity,             The Royal Academy of Engineering and The Royal
     and environmental risks, such as groundwater                    5QEKGV[ CTG ITCVGHWN VQ VJG )QXGTPOGPV 1HƂEG HQT
     contamination?                                                  5EKGPEG HQT KVU ƂPCPEKCN UWRRQTV HQT VJKU TGXKGY

   r Can these risks be effectively managed?
     If so, how?

   This report has analysed environmental and health
   and safety risks. Climate risks have not been
   analysed. The risks addressed in this report are
   restricted to those associated with the onshore
   extraction of shale gas. The subsequent use of shale
   gas has not been addressed.




8 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 1




Introduction
1.1 Hydraulic fracturing                                pumped into the well to maintain the pressure in the
Shale is a common type of sedimentary rock formed       well so that fracture development can continue and
from deposits of mud, silt, clay and organic matter.    proppant can be carried deeper into the formation
Shale gas mainly consists of methane, although          (API 2009). A well may be too long to maintain
other gases may also be present, trapped in shale       sufficient pressure to stimulate fractures across its
with very low permeability. Shale gas does not          entire length. Plugs may be inserted to divide the well
readily flow into a well (‘produce’). Additional        into smaller sections (‘stages’). Stages are fractured
stimulation by hydraulic fracturing (often termed       sequentially, beginning with the stage furthest away
‘fracking’) is required to increase permeability (see   and moving towards the start of the well. After
Figure 1). Once a well has been drilled and cased       fracturing, the plugs are drilled through and the well
(‘completed’), explosive charges fired by an electric   is depressurised. This creates a pressure gradient
current perforate holes along selected intervals        so that gas flows out of the shale into the well.
of the well within the shale formation from which       Fracturing fluid flows back to the surface (‘flowback
shale gas is produced (‘production zone’). Pumps        water’) but it now also contains saline water
are used to inject fracturing fluids, consisting of     with dissolved minerals from the shale formation
water, sand (‘proppant’) and chemicals, under           (’formation water’). Fracturing fluid and formation
high pressure into the well. The injection pressure     water returns to the surface over the lifetime of the
generates stresses in the shale that exceed its         well as it continues to produce shale gas (‘produced
strength, opening up existing fractures or creating     water’). Although definitions vary, flowback
new ones. The fractures extend a few hundred            water and produced water collectively constitute
metres into the rock and the newly created fractures    ‘wastewaters’ (EPA 2011).
are propped open by the sand. Additional fluids are




                                                                   Shale gas extraction in the UK: a review of hydraulic fracturing 9
CHAP TER 1




       Figure 1 An illustration of hydraulic fracturing (Al Granberg/ProPublica) Fracturing fluids are
       injected under pressure to stimulate fractures in the shale. The fractures are propped open by sand
       contained in the fracturing fluid so that shale gas can flow out of the shale into the well.


                                   Well

                                                                Sand keeps
                                                                fractures open

                                                                Shale gas                  Fracture
                                                                flows from
                                                                fractures into well           Mixture of
                                                                                         Well water, sand
                                                                                              and chemical
                                                                                              additives




                                                                                                 Fractures




                                          Shale




   1.2 Stages of shale gas extraction                                                    through them and access only a small volume of
   Shale gas extraction consists of three stages:                                        the shale. Horizontal wells are likely to be drilled
                                                                                         and fractured. Once a shale formation is reached
   r Exploration. A small number of vertical wells                                       by vertical drilling, the drill bit can be deviated to
     (perhaps only two or three) are drilled and                                         run horizontally or at any angle.
     fractured to determine if shale gas is present
     and can be extracted. This exploration stage may                                 r Abandonment. Like any other well, a shale gas
     include an appraisal phase where more wells                                        well is abandoned once it reaches the end of
     (perhaps 10 to 15) are drilled and fractured to                                    its producing life when extraction is no longer
     characterise the shale; examine how fractures will                                 economic. Sections of the well are filled with
     tend to propagate; and establish if the shale could                                cement to prevent gas flowing into water-bearing
     produce gas economically. Further wells may be                                     zones or up to the surface. A cap is welded into
     drilled (perhaps reaching a total of 30) to ascertain                              place and then buried.
     the long-term economic viability of the shale.
                                                                                      1.3 The global policy context
   r Production. The production stage involves the
     commercial production of shale gas. Shales                                       1.3.1 Potential global shale gas resources
     with commercial reserves of gas will typically                                   ‘Gas in place’ refers to the entire volume of gas
     be greater than a hundred metres thick and                                       contained in a rock formation regardless of the
     will persist laterally over hundreds of square                                   ability to produce it. ‘Technically recoverable
     kilometres. These shales will normally have                                      resources’ refers to the volume of gas considered
     shallow dips, meaning they are almost horizontal.                                to be recoverable with available technology. ‘Proved
     Vertical drilling would tend to pass straight                                    reserves’ refers to that volume of technically



10 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 1




recoverable resources demonstrated to be                                estimates the total volume of technically recoverable
economically and legally producible under existing                      shale gas worldwide to be 6,622 tcf. The USA has
economic and operating conditions.                                      approximately 862 tcf, and China 1,275 tcf (see
                                                                        Figure 2). In Europe, Poland and France are two of
Shale gas could increase global natural gas                             the most promising shale gas countries with 187
resources by approximately 40%. The US Energy                           tcf and 180 tcf of technically recoverable resources,
Information Administration (EIA) estimates the global                   respectively. Norway, Ukraine and Sweden may also
technically recoverable resources of natural gas                        possess large technically recoverable resources.
(largely excluding shale gas) to be approximately                       The EIA estimates the UK’s technically recoverable
16,000 trillion cubic feet (tcf) (EIA 2011). The EIA                    resources to be 20 tcf (EIA 2011)


   Figure 2 Estimates of technically recoverable shale gas resources (trillion cubic feet,
   tcf) based on 48 major shale formations in 32 countries (EIA 2011) Russia, Central Asia,
   Middle East, South East Asia and central Africa were not addressed in the Energy Information
   Administration report from which this data was taken.



                                                                     83 Norway
              388    Canada
                                                        UK 20          187 Poland
                                                       France 180
                 862      USA
                                                                                                                    1275         China
                                                       Algeria 231                    Pakistan 51
                                                                       290 Libya
               681     Mexico                                                                   India 63




                                        226 Brazil




                                    62 Paraguay                                                                     Australia   396
                                64 Chile                                 485     South Africa


                                  774      Argentina




1.3.2 Global climate change and energy security                         molecule of methane is greater than that of carbon
Shale gas is championed by some commentators as                         dioxide, but its lifetime in the atmosphere is shorter.
a ‘transition fuel’ in the move towards a low carbon                    On a 20-year timescale, the global warming potential
economy, helping to displace higher-emitting fuels,                     of methane is 72 times greater than that of carbon
such as coal (Brinded 2011). Others argue that shale                    dioxide. On a century timescale, it is 25 times greater
gas could supplement rather than displace coal use,                     (IPCC 2007).
further locking in countries to a fossil fuel economy
(Broderick et al 2011). The development of shale gas                    1.4 Environmental concerns in the USA
could also reduce and/or delay the incentive to invest                  Hydraulic fracturing was pioneered in the 1930s and
in zero- and low-carbon technologies and renewable                      ƂTUV WUGF CHVGT VJG 5GEQPF 9QTNF 9CT KP VJG 75# VQ
energy (Broderick et al 2011, Stevens 2010).                            exploit the relatively shallow Devonian Shale in the
                                                                        GCUVGTP 75 CPF #PVTKO 5JCNG KP VJG /KFYGUV 6JG ƂTUV
There are concerns that even small leakages of                          well to be hydraulically fractured was in 1949. Only
methane during shale gas extraction may offset the                      a modest volume of gas was recovered. Advances
effects of lower carbon dioxide emissions (Howarth                      in technology in the late 1980s and early 1990s led
et al 2011). The global warming potential of a                          to directional drilling and hydraulic fracturing in the

                                                                                        Shale gas extraction in the UK: a review of hydraulic fracturing 11
CHAP TER 1




   Barnett Shale in Texas (Selley 2012). An important                 1.4.1 Improper operational practices
   turning point came in the 1990s. Geochemical                       There has been widespread concern in the USA
   studies of the Antrim Shale of the Michigan Basin                  about the environmental impact of hydraulic
   revealed that the gas being released was not                       fracturing. One cause for concern has been improper
   thermogenic (produced by the alteration of organic                 operational practices. A US Environmental Protection
   matter under high temperatures and pressures over                  Agency (EPA) study reported that hydraulic fracturing
   long time periods) but was biogenic (produced                      had contaminated groundwater and drinking
   by bacteria) (Martini et al 1998). This discovery                  water supplies in Pavillion, Wyoming (DiGiulio et
   opened up new areas for exploration where the                      al 2011). The well casing was poorly constructed,
   shale had previously been deemed either immature                   and the shale formations that were fractured were
   or over-mature for thermogenic gas generation.                     as shallow as 372m. Many claims of contaminated
   At the same time, progress was being made in                       water wells due to shale gas extraction have been
   methods of drilling, such as directional drilling that             made. None has shown evidence of chemicals
   could steer the drill bit to exploit regions with high             HQWPF KP J[FTCWNKE HTCEVWTKPI ƃWKFU 9CVGT YGNNU KP
   concentrations of carbon and where the shale is                    areas of shale gas extraction have historically shown
   most amenable to being fractured. By 2002-03, the                  high levels of naturally occurring methane before
   combination of hydraulic fracturing and directional                operations began. Methane detected in water wells
   drilling made shale gas commercially viable.                       with the onset of drilling may also be mobilised by
                                                                      vibrations and pressure pulses associated with the
   Shale gas production has been enhanced by US lease                 drilling (Groat and Grimshaw 2012). In 2011, the EPA
   regulations that require a leaseholder to commence                 was directed by Congress to undertake a study to
   operations within a primary term period (normally                  better understand the potential impacts of hydraulic
   ƂXG [GCTU QT NQUG VJG NGCUG TGICTFNGUU QH RTKEG 5JCNG            fracturing on drinking water resources. This EPA
   gas production in the USA has caused gas prices to                 study is examining impacts from the acquisition of
   fall as supply has outstripped demand. Shale gas has               water and its mixing with chemicals to create fracture
   FKXGTUKƂGF FQOGUVKE GPGTI[ UWRRNKGU CPF TGFWEGF                    ƃWKF VJTQWIJ VQ VJG OCPCIGOGPV QH ƃQYDCEM CPF
   75 FGRGPFGPEG QP KORQTVU QH NKSWGƂGF PCVWTCN ICU                  RTQFWEGF YCVGT KPENWFKPI FKURQUCN # ƂTUV TGRQTV
   Shale gas rose from 2% of US gas production in                     KU GZRGEVGF CV VJG GPF QH  6JG ƂPCN TGUWNVU
   2000 to 14% in 2009, and is projected to rise to                   are due in 2014. In 2011, the Secretary of Energy
   more than 30% by 2020 (EIA 2011).                                  Advisory Board Natural Gas Subcommittee submitted
                                                                      its recommendations to improve the safety and
                                                                      environmental performance of shale gas extraction
                                                                      (see Textbox 1).




12 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 1




Textbox 1 Recommendations of the US Secretary of Energy Advisory Board Natural Gas
Subcommittee (DoE 2011a, DoE 2011b)

Recommendations ready for implementation             Recommendations ready for implementation
primarily by federal agencies                        primarily by state agencies
r Communication among federal and state              r Measurements of groundwater should be
   regulators should be improved. Federal funds         made prior to any shale gas operations to
   should be provided to support the non-               provide a baseline to assess any claims of
   profit State Review of Oil and Natural Gas           water contamination.
   Environmental Regulations (STRONGER) and
   Ground Water Protection Council (GWPC).           r Microseismic monitoring should be carried
   STRONGER began as a voluntary programme             out to assure that fracture growth is
   developed to improve state regulations and          constrained to producing formations.
   has since emerged as a partnership between
   industry, non-profit groups and regulators that   r Best practice for well construction should
   develops best practice, including through new       be developed and implemented, including
   guidelines.                                         pressure testing and cement bond logs, to
                                                       verify rock formations have been properly
r Incentives should be provided for states to          isolated.
  offer their regulation framework to peer review
  under STRONGER. Extra funding would                r Inspections should be carried out to confirm
  allow GWPC to expand its Risk Based Data             that operators have remediated any defective
  Management System that helps states collect          well cementation effectively. Inspections
  and publicly share data, such as environmental       should also be carried out at safety-critical
  monitoring of shale gas operations.                  stages of well construction and hydraulic
                                                       fracturing.
r Operators should disclose all chemicals
  used in fracturing fluid and not just those        r The composition of water should be
  that appear on Material Safety Data Sheets.          monitored and publicly reported at each
  Disclosure should be reported on a well-by-          stage of shale gas extraction, including the
  well basis and made publicly available. Extra        transport of water and waste fluids to, and
  funding would support GWPC’s fracturing fluid        from, well sites.
  chemical disclosure registry, Frac Focus, so
  that information can be accessed, according to
  chemical, well, company and geography.             Recommendations whose implementation
                                                     require new partnerships
r Operators and regulators should be                 r A systems approach to water management
  encouraged to reduce air emissions using              should be adopted, requiring more effective
  proven technologies and practices. Systems            sharing of federal and state responsibilities.
  should be implemented to monitor air
  emissions from shale gas operations, the           r Mechanisms should be established to engage
  results of which should be made publicly             regulators, operators and local communities
  available. The data collected should be used         to discuss measures to minimise operational
  to assess the carbon footprint of shale gas          impacts, including scientific studies to assess
  extraction compared to other fuels.                  impacts on local water resources, land use,
                                                       wildlife and ecology.




                                                            Shale gas extraction in the UK: a review of hydraulic fracturing 13
CHAP TER 1




   1.4.2 Exemptions from regulation                                   and Awareness of Chemicals Act (FRAC ACT) bills
   Another cause for concern was a number of                          were introduced in the House of Representatives
   exemptions granted to shale gas extraction from                    and Senate. The FRAC ACT would have required
   federal regulations. The 2005 Energy Act exempted                  companies to disclose such details, although not the
   hydraulic fracturing from being considered an                      proprietary formula. These bills had been proposed
   ‘underground injection’ under the Safe Drinking                    in the previous session of Congress but never
   Water Act. Compliance with various federal                         became law.
   requirements to prevent water contamination
   was not necessary. Fracturing wastes are exempt                    Environmental protection remains mainly a state
   from disposal restrictions under the Resource                      responsibility. In some states, requirements
   Conservation and Recovery Act. Operators are                       exempted from federal regulation are still imposed
   exempt from certain liabilities and reporting                      through state regulation. Some states are revising
   requirements relating to waste disposal under                      their regulations with a particular focus on three
   the Comprehensive Environmental Responsibility,                    areas of concern: water abstraction and disclosure
   Compensation, and Liability Act. Exemption from                    QH HTCEVWTKPI ƃWKF EQORQUKVKQP YGNN EQPUVTWEVKQP
   the Emergency Planning and Community Right to                      and wastewater management (Groat and Grimshaw
   Know Act means the type and quantity of chemicals                  2012). Some states may have more capacity and
   to be used in fracturing do not need to be disclosed               experience to regulate shale gas operations than
   to the EPA. In 2010, the Fracturing Responsibility                 other states (see Textbox 2).




       Textbox 2 Complications of US state and federal regulation

       A study by the University of Texas at Austin                   r Well construction. Some states are updating
       reviewed state regulations and enforcement                       provisions for well construction, according
       capabilities in 16 US states where shale gas                     to site-specific operational and geological
       extraction is currently underway, or is anticipated              conditions.
       (Groat and Grimshaw 2012). This study
       concluded that variation exists among states in                r Wastewater management. Some states are
       the regulation of:                                               requiring operators to formulate disposal plans.
                                                                        In some states, disposal is primarily by
       r Water abstraction and disclosure of                            underground injection. In others with less
         fracturing fluid composition. In some states,                  suitable subsurface conditions disposal is via
         groundwater is privately owned and subject                     discharge into publicly owned treatment works.
         to different requirements than in other states                 The latter method has been prohibited by some
         where groundwater is owned by the state and                    states. Other states require pre-treatment before
         subject to state abstraction permits. More                     discharge. In some shale gas areas, wastes from
         uniform disclosure of the composition                          multiple well sites are managed at a centralised
         of fracturing fluids may be needed among                       disposal site.
         state regulators.


   1.5 Environmental concerns in Europe                               potential to extract and use unconventional fossil
   Shale gas extraction in Europe is at the exploration               fuel resources, including shale gas, should be
   stage. It is many years away from US levels of                     assessed (European Council 2011). In 2012, the
   commercial production, especially in the light                     European Commission (EC) judged that its existing
   of differences in geology, public acceptability,                   legal framework was adequate to address shale gas
   population density, tax breaks and environmental                   extraction (Vopel 2012). Shale gas could reduce some
   regulation (Stevens 2010). In 2011, European                       European countries’ dependence on natural gas
   Union (EU) Heads of State concluded that Europe’s                  imports (European Parliament 2012b).



14 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 1




The EC Directorate-General for the Environment           1.7 Concerns about seismicity
is conducting a desk study on environmental and          Concerns in the UK have focused on seismicity
health risks associated with hydraulic fracturing        induced by hydraulic fracturing. ‘Seismicity’ or
to identify knowledge gaps. The EC Directorate-          ‘seismic events’ refer to sudden phenomena that
General for Climate Action is carrying out a similar     release energy in the form of vibrations that travel
study focused on gas emissions associated with           through the Earth as sound (seismic) waves. Energy
shale gas extraction, including potential leakages of    may be released when rocks break and slide past
methane. The EC Directorate-General for Energy has       each other on surfaces or cracks (‘faults’). Energy
carried out a project on licensing, authorising and      may also be released when rocks break in tension,
the issuing of operational permits for shale gas. The    opening up cracks or fractures. The passage and
Joint Research Centre (JRC) is examining whether         TGƃGEVKQP QH UGKUOKE YCXGU ECP DG OQPKVQTGF D[
the exposure scenarios of Chemical Safety Reports        seismometers at seismic stations. Geophones are
under Registration, Evaluation, Authorisation and        used along regular lines (‘seismic lines’) or grids
Restriction of Chemicals regulation are adequate         VQ QDVCKP VYQ QT VJTGG FKOGPUKQPCN RTQƂNGU QH VJG
for shale gas extraction. The JRC is also assessing      'CTVJoU UWDUWTHCEG UVTWEVWTG 
nUGKUOKE TGƃGEVKQP
the potential impacts on water and land use under        surveys’). Seismicity is measured according to
various national and EU-wide scenarios. Results of       the amount of energy released (magnitude) or the
these studies should be available by the end of 2012.    effect that energy release has at the Earth’s surface
                                                         (intensity) (see Textbox 3).
All EU member states are members of an Ad
Hoc Technical Working Group on Environmental             On 1st April 2011, the Blackpool area in north
Aspects of Unconventional Fossil Fuels, In Particular    England experienced seismicity of magnitude
Shale Gas. The Working Group seeks to exchange           2.3 ML shortly after Cuadrilla Resources (‘Cuadrilla’,
information; identify best practice; assess the          hereafter) hydraulically fractured a well at its Preese
adequacy of regulation and legislation; and provide      Hall site. Seismicity of magnitude 1.5 ML occurred
ENCTKV[ VQ QRGTCVQTU +V OGV HQT VJG ƂTUV VKOG KP        on 27th May 2011 following renewed fracturing of
January 2012 and was attended by representatives         the same well. Hydraulic fracturing was suspended.
of approximately two thirds of member states. The        Cuadrilla commissioned a set of reports to investigate
Working Group may meet again in summer 2012              the cause of seismicity (de Pater and Baisch 2011).
when the results of some of the aforementioned           The Department of Energy and Climate Change
EC research are published. It is unclear whether the     (DECC) also commissioned an independent
Working Group will continue to meet thereafter.          report that was published for public comment
                                                         (Green et al 2012).
1.6 Moratoria
Environmental concerns have led to moratoria on
hydraulic fracturing for shale gas extraction in parts
of the USA and in other countries. In May 2010, the
Marcellus Shale Bill was passed in Pennsylvania,
enforcing a three-year moratorium while a
comprehensive environmental impact assessment
is carried out. In August 2010, New York State
imposed a temporary moratorium, pending further
research into environmental impacts. Moratoria
have also been imposed elsewhere, including in the
province of Quebec, Canada (March 2011), France
(July 2011), South Africa (August 2011) and Bulgaria
(January 2012).




                                                                   Shale gas extraction in the UK: a review of hydraulic fracturing 15
CHAP TER 1




       Textbox 3 Measuring seismic magnitude and intensity

       Magnitude scales are calibrated to Richter’s                   The frequency of the radiated seismic waves is
       magnitude scale. The scale is logarithmic so the               proportional to the size of the fracture. Since
       smallest events can have negative magnitudes.                  engineered hydraulic fractures are typically small,
       Each unit step in the scale indicates a 32-fold                seismic events induced by hydraulic fracturing
       increase in the energy released. Seismic intensity             only produce high frequency radiated seismic
       is an indication of how much a seismic event                   waves, and so do not produce ground shaking
       affects structures, people and landscapes at the               that will damage buildings. The number of people
       Earth’s surface. Surface effects are compared                  who feel small seismic events is dependent on the
       to a scale originally developed by Mercalli                    background noise.
       that considers who can feel an event along
       with visual and structural effects. The Mercalli               The British Geological Survey (BGS) runs a network
       scale has been superseded by the European                      of approximately 100 stations to monitor seismicity
       Macroseismic Scale that incorporates new                       in the UK. The Atomic Weapons Establishment
       knowledge about how buildings behave during                    also has a limited number of stations to monitor
       seismic events.                                                international compliance with the Comprehensive
                                                                      Nuclear Test Ban Treaty. Other seismic stations
       The effect a given seismic event will have at                  include those maintained for research by
       the earth’s surface depends on several factors.                universities. The detection limit of this national
       The deeper a seismic event occurs the more its                 network is a function of background noise that
       radiated energy is attenuated. A deeper seismic                OC[ KPENWFG VTCHƂE VTCKPU CPF QVJGT KPFWUVTKCN
       event will have a lower intensity than a shallower             noise, as well as natural noise, such as wind. Given
       event of the same magnitude. Different                         average background noise conditions in mainland
       materials attenuate seismic waves to different                 UK, a realistic detection limit of BGS’ network is
       degrees. Soft rocks, such as shale, attenuate                  magnitude 1.5 ML. For regions with
       seismic waves more than hard rocks, such                       more background noise, the detection limit may
       as granite. Different buildings and structures                 be closer to magnitude 2-2.5 ML. Vibrations from
       respond differently depending on how they are                  a seismic event of magnitude 2.5 ML are broadly
       constructed. The response of a building to a                   GSWKXCNGPV VQ VJG IGPGTCN VTCHƂE KPFWUVTKCN CPF
       seismic event also depends on the frequency                    other noise experienced daily (see Table 1).
       of the ground shaking. High frequencies
       (above 20-30 Hz) will do relatively little damage.




16 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 1




Table 1 The average annual frequency of seismic events in the UK

    Magnitude (ML) Frequency in the UK                  Felt effects at the surface
    -3.0               Not detected by BGS’ network Not felt
    -2.0               Not detected by BGS’ network Not felt
    -1.0               Not detected by BGS’ network Not felt
    0.0                Not detected by BGS’ network Not felt
    1.0                100s each year                   Not felt, except by a very few under especially
                                                        favourable conditions.
    2.0                25 each year                     Not felt, except by a very few under especially
                                                        favourable conditions.
    3.0                3 each year                      (GNV D[ HGY RGQRNG CV TGUV QT KP VJG WRRGT ƃQQTU QH
                                                        buildings; similar to the passing of a truck.
    4.0                1 every 3-4 years                Felt by many people, often up to tens of kilometres
                                                        away; some dishes broken; pendulum clocks may
                                                        stop.
    5. 0               1 every 20 years                 Felt by all people nearby; damage negligible in
                                                        buildings of good design and construction; few
                                                        instances of fallen plaster; some chimneys broken.


1.8 The UK policy context                                6JG ƂTUV 7- YGNN VQ GPEQWPVGT UJCNG ICU YCU FTKNNGF
The UK has experience of hydraulic fracturing and        KP  +VU UKIPKƂECPEG CV VJG VKOG YGPV WPPQVKEGF
directional drilling for non-shale gas applications.     as abundant conventional reservoirs made shale
Over the last 30 years, more than 2,000 wells have       gas extraction uneconomic. It was not until the
been drilled onshore in the UK, approximately 200        mid-1980s that research began into the potential
(10%) of which have been hydraulically fractured         for gas production from UK shales. In 2003, the
to enhance recovery. The combination of hydraulic        Petroleum Revenue Act was repealed, exempting
fracturing and directional drilling allowed the          shale gas production from the Petroleum Revenue
FGXGNQROGPV QH 9[VEJ (CTO ƂGNF KP QTUGV KP              Tax (Selley 2012). In 2008, 97 Petroleum Exploration
1979. Discovered by British Gas in the 1970s and         and Development Licences were awarded for shale
QRGTCVGF D[ $TKVKUJ 2GVTQNGWO UKPEG  VJG ƂGNF       gas exploration in the UK during the 13th Round of
is responsible for the majority of UK onshore oil        Onshore Licensing (see chapter 7). A 14th licensing
RTQFWEVKQP CPF KU 'WTQRGoU NCTIGUV QPUJQTG QKN ƂGNF     round is pending.
Over 200 wells have been drilled. Drilling vertically
onshore then horizontally out to sea has proved          Industry interest in shale gas extraction in the
more cost-effective than building offshore platforms,    UK includes:
allowing oil to be produced beneath the Sandbanks
estate, Bournemouth, from oil reservoirs 10km away.      r England. Five potential shale gas exploration
In 1996, British Gas hydraulically fractured a well        well sites have been identified by Cuadrilla in
KP VJG 'NUYKEM )CU ƂGNF KP .CPECUJKTG 
MO HTQO          Lancashire. The first test well was drilled in August
Cuadrilla’s Preese Hall well). Gas has been produced       2010 at Preese Hall; a second at Grange Hill Farm
from it ever since. In the 1990s, several wells were       later that year; and a third near the village of
also fractured in the UK to extract coal bed methane.      Banks in August 2011. Hydraulic fracturing has




                                                                    Shale gas extraction in the UK: a review of hydraulic fracturing 17
CHAP TER 1




       been undertaken at only one site. DECC has also                1.8.1 UK climate change and energy security
       granted a license for a site in Balcombe, West                 The UK government has agreed to meet a number of
       Sussex identified by Cuadrilla. Three possible sites           domestic and European targets to decarbonise the
       have been identified in the Mendip Hills by UK                 UK economy (Moore 2012). The Climate Change Act
       Methane and Eden Energy. Planning permission                   2008 calls for an 80% reduction in greenhouse gas
       has been sought for boreholes for geological                   emissions by 2050. This includes an interim target
       samples. UK Methane has stated it has no interest              of a 34% reduction in emissions by 2020 and a 50%
       in hydraulic fracturing at this stage. One site has            reduction in emissions by the 2023–2027 budget
       been identified in Woodnesborough, Kent, by                    (all from a baseline of 1990). The EU has a target to
       Coastal Oil and Gas Ltd. Planning permission                   reduce EU-wide greenhouse gas emissions by 20%
       has been granted. Neither Cuadrilla’s West                     between 1990 and 2020. It has also agreed that 20%
       Sussex nor Coastal Oil and Gas Ltd’s Kent sites                of total energy production across the EU should be
       have yet been granted permission for drilling or               generated by renewable sources, and so the UK
       hydraulic fracturing.                                          has committed to sourcing 15% of its energy from
                                                                      renewables.
   r Wales. Three sites have been identified by Coastal
     Oil and Gas Ltd. DECC has given permission for                   The House of Commons Energy and Climate Change
     drilling at two of these sites, but not hydraulic                Committee carried out an inquiry into shale gas
     fracturing. Planning permission has been granted                 in 2011. The inquiry considered the prospects for
     for the sites at Neath and Maesteg where wells                   shale gas in the UK; risks and hazards involved;
     will be deepened to obtain geological samples.                   potential carbon footprint of large-scale shale gas
     Planning permission was refused at Llandow, Vale                 extraction; and implications for the UK of large-
     of Glamorgan. The decision is being appealed with                scale shale gas production around the world (HoC
     a public inquiry.                                                 6JG %QOOKVVGG EQPENWFGF VJCV KH C UKIPKƂECPV
                                                                      amount of shale gas enters the UK market (whether
   r Scotland. Although potential shale formations                    from domestic or foreign sources), it will probably
     do exist in Scotland, to date there has been                     discourage investment in more expensive, lower
     no interest in shale gas extraction. Consent for                 carbon emission renewables (HoC 2011).
     hydraulic fracturing has been provided to one
     operator with an interest in extracting coal bed                 Over the last decade, the UK has experienced
     methane.                                                         reduced domestic production from the North Sea
                                                                      and an increased reliance on natural gas imports.
   r Northern Ireland. Tamboran Resources has                         New pipelines from Norway and the Netherlands
     an interest to extract shale gas in an area that                 CPF NKSWGƂGF PCVWTCN ICU OCMG WR VJG FKHHGTGPEG
     extends across the border between Northern                       The House of Commons Energy and Climate Change
     Ireland and the Republic of Ireland.                             Committee also concluded that domestic resources
                                                                      could reduce the UK’s dependence on imports, but
   The Environment Agency (EA), serving England and                   the effect on energy security may be ‘unlikely to be
   Wales, has been reviewing the adequacy of existing                 enormous’ (HoC 2011). The UK has an open gas
   regulation. In 2011, the Scottish Environmental                    market with large new import infrastructure and a
   Protection Agency (SEPA) published a position                      diversity of potential gas suppliers (Moore 2012).
   statement based on its preliminary views of shale
   gas extraction (SEPA 2011). The Northern Ireland                   1.8.2 Joint academies review
   Environment Agency is working with the Irish                       6JG 7- )QXGTPOGPVoU %JKGH 5EKGPVKƂE #FXKUGT 5KT
   environmental regulator to develop a regulatory                    John Beddington FRS, asked the Royal Society and
   framework suitable for transboundary activities.                   the Royal Academy of Engineering to carry out an
                                                                      KPFGRGPFGPV TGXKGY QH VJG UEKGPVKƂE CPF GPIKPGGTKPI
                                                                      evidence to inform government policymaking about
                                                                      shale gas extraction in the UK. The following chapters
                                                                      analyse environmental and health and safety risks
                                                                      associated with the onshore extraction of shale gas.



18 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 2




Surface operations
 (TCEVWTKPI ƃWKF                                       allowing each stage to address local conditions,
6JG ƃWKFU OQUV EQOOQPN[ WUGF HQT J[FTCWNKE                such as shale thickness; presence of natural faults;
fracturing are water-based. The water can be              and proximity to other well systems (API 2009).
abstracted from surfacewater bodies, such as rivers       Operations require specialised equipment, including
and lakes, or from groundwater bodies, such as            ƃWKF UVQTCIG VCPMU RTQRRCPV VTCPURQTV GSWKROGPV
aquifers or public and private water sources. Sand        and blending and pumping equipment. These
is added as a proppant to keep fractures open.            components are assembled and linked to monitoring
Various chemicals are also added (see Figure 3).          U[UVGOU UQ VJCV CFLWUVOGPVU ECP DG OCFG VQ ƃWKF
During multistage fracturing, a series of different       XQNWOG CPF EQORQUKVKQP ƃWKF KPLGEVKQP TCVG CPF
XQNWOGU QH HTCEVWTKPI ƃWKFU KU KPLGEVGF YKVJ URGEKƂE      pressure.
concentrations of proppant and other additives,


   (KIWTG  6[RKECN EQORQUKVKQP QH HTCEVWTKPI ƃWKF D[ XQNWOG 
UQWTEG $TKVKUJ )GQNQIKECN 5WTXG[
   The 0.17% of chemical additives may include scale inhibitor to prevent the build up of scale on the walls
   of the well; acid to help initiate fractures; biocide to kill bacteria that can produce hydrogen sulphide
   CPF NGCF VQ EQTTQUKQP HTKEVKQP TGFWEGT VQ TGFWEG HTKEVKQP DGVYGGP VJG YGNN CPF ƃWKF KPLGEVGF KPVQ KV CPF
   UWTHCEVCPV VQ TGFWEG VJG XKUEQUKV[ QH VJG HTCEVWTKPI ƃWKF


                                                                              Additives
                                                                              0.17%



                                                                                                 e
                                         Sand
          Water                         5.23%                                d
          94.60%
                                                                                                     a

                                                                                    c       b




                                                                                  a. Scale inhibitor
                                                                                  b. Acid
                                                                                  c. Biocide
                                                                                  d. Friction reducer
                                                                                  e. Surfacant



2.1.1 Disclosing the composition of                       QH HTCEVWTKPI ƃWKF 
QT YCUVGYCVGTU QPUKVG ECP DG
        fracturing fluid                                  mitigated using established best practices. In the
In the USA, there are calls for operators to disclose     UK, installing impermeable site lining (‘bunding’) is
HWNN[ VJG EQORQUKVKQP QH HTCEVWTKPI ƃWKF CFFKVKXGU 
UGG   typically a condition of local planning permission.
section 1.4.2). This is already required in the UK. In    6JG KORCEV QH HTCEVWTKPI ƃWKF URKNNU ECP DG HWTVJGT
the UK, the environmental regulator has the power         mitigated by using non-hazardous chemicals
under the Water Resources Act 1991 to demand the          where possible. In the UK, there is no generic list
FKUENQUWTG QH VJG EQORQUKVKQP QH HTCEVWTKPI ƃWKFU        QH CRRTQXGF EJGOKECNU HQT WUG KP HTCEVWTKPI ƃWKF
                                                          The environmental regulators use a methodology
2.1.2 Spills of fracturing fluid                          developed by the Joint Agencies Groundwater
5WTHCEG URKNNU QH HTCEVWTKPI ƃWKF OC[ RQUG C ITGCVGT      Directive Advisory Group to assess the hazard
contamination risk than hydraulic fracturing itself       potential of any chemical to be used, according to
(Groat and Grimshaw 2012). The impact of any spills       VJG URGEKƂE UKVG CPF NQECN J[FTQIGQNQIKECN EQPFKVKQPU




                                                                    Shale gas extraction in the UK: a review of hydraulic fracturing 19
CHAP TER 2




   2.2 Water requirements                                                2.2.2 Alternatives to water
   There are concerns that hydraulic fracturing could                    Another option would be to use waterless fracturing
   TGSWKTG XQNWOGU QH YCVGT VJCV YQWNF UKIPKƂECPVN[                      ƃWKFU 6JGUG KPENWFG IGNU CPF ECTDQP FKQZKFG CPF
   deplete local water resources (Entrekin et al 2011).                  nitrogen gas foams (King 2010). These techniques are
   Reported estimates for the volumes of water required                  important where shales are susceptible to damage
   for shale gas extraction vary according to local                      from water-based fracturing (King 2010). Gelled liquid
   geology, well depth and length and the number of                      RGVTQNGWO ICU 
.2) HTCEVWTKPI ƃWKFU EQWNF DQQUV
   hydraulic fracturing stages. In the UK, under the                     initial production rates and allow near full recovery
   Water Resources Act 1991, an operator is required                     QH VJG HTCEVWTKPI ƃWKFU YKVJKP FC[U QH UVKOWNCVKQP
   to seek an abstraction permit from the environmental                  6JG WUG QH VJGUG ƃWKFU RCTVKEWNCTN[ RTQRCPGDCUGF
   regulator if more than 20m3 of water is to be                         LPG, could reduce the toxicity of wastewaters since
   abstracted per day from surface or groundwater                        they do not dissolve salts, heavy metals or Naturally
   bodies. If water is instead sourced from a mains                      Occurring Radioactive Material (NORM) in shales to
   supply, the water company will need to ensure it can                  the extent that water does.
   still meet the conditions of the abstraction permit that
   it will already be operating under.                                   2.3 Managing wastewaters
                                                                         Approximately 25% to 75% of the injected fracturing
   Overall water use is important. Estimates indicate                    ƃWKF ƃQYU DCEM VQ VJG UWTHCEG YJGP VJG YGNN KU
   that the amount needed to operate a hydraulically                     FGRTGUUWTKUGF 6JKU ƃWKF KU OKZGF YKVJ OGVJCPG
   fractured shale gas well for a decade may be                          and saline water containing minerals from the shale
   equivalent to the amount needed to water a golf                       HQTOCVKQP 6JG XQNWOG QH ƃQYDCEM YCVGT FGRGPFU
   course for a month; the amount needed to run a                        on the properties of the shale, the fracturing design
    /9 EQCNƂTGF RQYGT RNCPV HQT  JQWTU CPF                      CPF VJG V[RG QH HTCEVWTKPI ƃWKF WUGF 
-KPI 
   the amount lost to leaks in United Utilities’ region                  Produced water will continue to return to the
   in north west England every hour (Moore 2012).                        surface over the well’s lifetime. These wastewaters
   The rate of abstraction is also important. Hydraulic                  typically contain salt, natural organic and inorganic
   fracturing is not a continuous process. Water is                      compounds, chemical additives used in fracturing
   required periodically during drilling and then at each                ƃWKF CPF 014/ 
02%  8GT[ NKVVNG KU EWTTGPVN[
   fracturing stage. Operators could consult water                       known about the properties of UK shales to explain
   utilities companies to schedule operations to avoid                   YJCV HTCEVKQP QH HTCEVWTG ƃWKF YKNN TGVWTP CU ƃQYDCEM
   periods when water supplies are more likely to be                     water, as well as the composition of formation
   under stress (Moore 2012).                                            waters and produced water.1

   2.2.1 Alternative sources of water                                    2.3.1 Storing wastewaters
   Water stress can be avoided by using alternative                      In the USA, wastewaters have historically been
   sources of water. Freshwater was necessary early                      stored onsite in open pits, such as excavated and
   in the development of certain US shales when                          lined containment ponds (API 2009). The possible
   friction reducers, scale inhibitors, and particularly                 leakage of liners has led to calls to avoid the use of
   UWTHCEVCPVU UJQYGF RGTHQTOCPEG FKHƂEWNVKGU YJGP                      pits in favour of closed loop steel tanks and piping
   mixed in saline water (King 2010). Technologies                       systems (Groat and Grimshaw 2012). Open storage
   developed to overcome these problems in offshore                      ponds are not permitted in the UK. Wastewaters
   hydraulic fracturing (where the use of seawater is                    are instead stored in closed metal tanks before
   more prevalent) are now being applied to onshore                      being treated. Leaks or spills of wastewaters can
   operations (Harris and van Batenburg 1999). The                       be managed in the same way as spills of fracturing
   use of saline water from deep aquifers is being                       ƃWKF 
UGG UGEVKQP  6JKU JCCTF KU PQV WPKSWG
   considered in some US shales (Yost 2011).                             to shale gas extraction but common to many
                                                                         industrial processes.




   1   Contribution from Professor Richard Davies, Director of Energy Institute, University of Durham (private correspondence)

20 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 2




2.3.2 Reuse of wastewaters                               2.3.4 Transporting wastewaters
Integrated operational practices should be adopted       The transport of wastewaters offsite is carried out by
to minimise water use and avoid abstracting water        road haulage companies licensed by the UK’s health
from supplies that may be under stress. Recycling        and safety regulators with experience of transporting
wastewater where possible would reduce the               hazardous substances. The UK’s environmental
volumes of wastewater in need of disposal, although      TGIWNCVQTU KUUWG ECTTKGT TGIKUVTCVKQP EGTVKƂECVGU
it could concentrate contaminants and thereby            and the Department of Transport and Vehicle and
complicate disposal.                                     Operator Services Agency are responsible for vehicle
                                                         licensing and testing.
Wastewaters can be diluted with freshwater and
then reused in subsequent fracturing operations.         2.4 Disposal of wastewaters
Pre-treatment may be necessary. The composition          Disposal wells may be necessary if wastewater
of wastewaters changes over the lifetime of a            volumes exceed the capabilities of onsite, closed-
well. The most appropriate treatment will depend         NQQR UVQTCIG VCPM U[UVGOU +PLGEVKQP QH YCUVG ƃWKFU
on the waters’ degree of salinity (King 2010). The       into porous and permeable rock formations has been
environment in which some shales were initially          VJG RTKOCT[ FKURQUCN QRVKQP HQT YCUVG ƃWKFU HTQO VJG
deposited was marine (King 2012). Produced               US oil and gas industry (DoE 2009). Disposal wells
water in the latter stages of shale gas extraction       are often depleted oil and gas wells, but wells can be
is more saline owing to the increased amount of          FTKNNGF URGEKƂECNN[ HQT FKURQUCN KH KV KU GEQPQOKE VQ FQ
saline formation water that it contains. Desalination    so. The site of disposal wells depends on geological
technologies are being developed to control              conditions and regulation. In the USA, some wastes
salinity and support reuse of wastewaters. These         are transported to disposal sites by truck or pipeline
technologies concentrate salt and recover water          (DoE 2009).
through evaporation, distillation, electric separation
or chemical treatment. The most common treatment         2.4.1 Disposing of fluids
WUGU UGNGEVKXG OGODTCPGU VJCV ƂNVGT QWV UCNV KQPU        Wastewaters are considered to be an ‘extractive
when high pressure is applied across them. As            waste’, and so are regulated under the Mining Waste
well as producing pure water, these desalination         Directive. Operators are required to formulate waste
technologies typically produce a small amount of         management plans that identify how wastes are to
brine slurry that may be converted to solid waste in     minimised, treated, recovered and disposed of. This
a crystalliser before disposal (ALL Consulting 2005).    includes identifying environmental and health impacts
Microorganisms, such as bacteria, can exist even         and measures to address them, including control and
in deep shale formations, and so may be present          monitoring activities. Disposal would be regulated
in the formation water within wastewaters. These         in the UK under the Mining Waste Directive and
microorganisms need to be removed for health             Water Framework Directive. An environmental permit
and safety and commercial reasons. Bacterial can         would be necessary, as well as pre-treatment, before
produce hydrogen sulphide and acids that corrode         discharge into a disposal well. If wastewaters contain
well casings, and so potentially contribute to well      014/ CDQXG URGEKƂGF NKOKVU C HWTVJGT RGTOKV YQWNF
HCKNWTG KUKPHGEVKQP VGEJPKSWGU KPENWFG ƂNVTCVKQP       be required. The Radioactive Substances Regulation
techniques, as well as ultraviolet light, chlorine,      would also apply. Currently, a disposal well would be
iodine, ozone and acid treatments (ALL Consulting        constructed in the UK according to the Borehole Sites
2005).                                                   and Operations Regulations 1995 if the disposal well
                                                         was in a mining area and to a depth of 30m or greater.
Pre-treatment could take place onsite, although this     Offshore disposal would involve extra environmental
is currently expensive. Technologies could build on      regulations, such as those under the Convention
VJQUG CNTGCF[ WUGF VQ VTGCV YCUVG ƃWKF HTQO QHHUJQTG     for the Protection of the Marine Environment of the
oil and gas extraction. Alternatively, wastewaters       North-East Atlantic (the OSPAR Convention).
could be transported to a treatment facility offsite.
Numerous facilities exist in the UK with extensive
experience of treating similar wastes from a range
of industrial sectors.



                                                                    Shale gas extraction in the UK: a review of hydraulic fracturing 21
CHAP TER 2




   2.5 Disposal of solid wastes
   Shale tends to contain more uranium than other                        RECOMMENDATION
   types of rocks. The radioactive decay of uranium-238                  Water should be managed in an
   produces radium-226 that decays to radon-222                          KPVGITCVGF YC[
   gas. Other NORM found in shales includes thorium
   and lead-210, concentrations of which vary from                       r Techniques and operational practices
   formation to formation. NORM in shales is usually at                    should be implemented to minimise
   NGXGNU UKIPKƂECPVN[ NQYGT VJCP UCHG NKOKVU QH GZRQUWTG                 water use and avoid abstracting water
   NORM dissolves in formation water, so wastewaters                       from supplies that may be under stress.
   need careful management should NORM become
                                                                         r Wastewater should be recycled and
   more concentrated during treatment (King 2012).
                                                                           reused where possible.
   Dissolved NORM may settle out to form solid
   wastes, such as mineral scale on the inside of wells
                                                                         r Options for treating and disposing of
   and pipes or sludge that accumulates in storage
                                                                           wastes should be planned from the
   or treatment tanks. Scale is composed primarily of
                                                                           outset. The construction, regulation and
   insoluble barium, calcium and strontium compounds
                                                                           siting of any future onshore disposal
   that precipitate out of wastewaters due to changes
                                                                           wells need further investigation.
   in temperature and pressure. Radium is chemically
   similar to these elements, and so is incorporated
   into the scales. Sludge settles out of wastewaters                 2.6 Managing methane and other emissions
   and consists of oily solids often containing silica                8GPVKPI CPF ƃCTKPI QH OGVJCPG CPF QVJGT GOKUUKQPU
   compounds and barium.                                              are controlled through conditions of Petroleum
                                                                      Exploration and Development Licences. The health
   NORM management is not unique to shale gas                         and safety regulator places similar controls under
   GZVTCEVKQP 014/ KU RTGUGPV KP YCUVG ƃWKFU HTQO VJG                the Borehole Sites and Operations Regulations 1995
   conventional oil and gas industries, as well as and                and Offshore Installations and Wells (Design and
   mining industries, such as coal and potash. Much                   Construction) Regulations 1996. Local authorities are
   work has been carried out globally on monitoring                   responsible under the Environmental Protection Act
   levels of radioactivity and handling NORMs in the                  1990 to inspect sites for odour and noise associated
   oil and gas industries. For example, it is standard                YKVJ VJG XGPVKPI QT ƃCTKPI QH ICU .QECN CWVJQTKVKGU
   practice to sandblast pipes to remove scale or to use              also have a statutory duty under the Air Quality
   a rotating drill bit. The removed scale is then placed in          Standards Regulations 2007 to monitor emissions to
   sealed containers for later disposal. Scale can also be            ensure they do not breach local air quality standards.
   removed by dissolving NORM in an aqueous solvent                   Methane contained in wastewater can be regulated
   before re-injecting the NORM-containing solution into              by the environmental regulator placing controls
   a disposal well (ALL Consulting 2005).                             on operators’ waste management plans (see
                                                                      section 2.4.1).
   In the UK, solid NORM wastes fall into one of three
   categories: very low concentration (‘out of scope’); low           The Industrial Emissions Directive would apply if
   concentration; medium or high concentration (requires              shale gas is processed before injection into the gas
   an EPR permit). An environmental permit is required                pipeline or combusted to generate electricity and/
   for disposing of NORM wastes that exceed ‘out of                   or heat onsite. A permit would then be needed,
   UEQRGo EQPEGPVTCVKQPU KURQUCN KP NCPFƂNN KU V[RKECN HQT          requiring the operator to monitor emissions of
   solid wastes of low and medium concentrations. Some                methane (and other air pollutants). Shale gas in
   offshore oil production facilities have permits allowing           the UK is expected to be of high quality, so large
   some NORM wastes to be discharged directly to sea.                 scale processing may not be necessary. Operators




22 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 2




should still monitor potential leakages of methane
and other emissions before, during and after shale         RECOMMENDATION
gas operations. Monitoring before operations would         6Q FGVGEV RQVGPVKCN NGCMCIGU QH ICU
indicate the effects of methane due to non-shale gas
operations in the area or natural seepage (methane         r Operators should monitor potential
KU TGNGCUGF PCVWTCNN[ HTQO CNNWXKWO UQKNU NCPFƂNN UKVGU     leakages of methane or other emissions
and peat deposits). One option would be to construct         to the atmosphere before, during and
semi-permanent monitoring stations around the                after shale gas operations.
perimeter of a drilling site. Alternatively, emissions
                                                           r The data collected by operators should
could be monitored near to the well. Both options
                                                             be submitted to the appropriate
face complications. Gas emissions would be diluted
                                                             regulator. These data could inform
in the atmosphere before reaching monitoring
                                                             wider assessments, such as the carbon
stations, limiting their detection accuracy. Monitoring
                                                             footprint of shale gas extraction.
equipment near to the well could be disturbed due to
surface equipment being changed at different stages
of operations. Monitoring data should be submitted
to the appropriate regulator. Reliable data would be
available to inform assessments of health impacts
on local populations (McKenzie et al 2012). These
data could also inform assessments of the carbon
footprint of shale gas extraction (see section 8.2.2).

‘Green completion technologies’ are used in the USA
VQ ECRVWTG CPF VJGP UGNN 
TCVJGT VJCP XGPV QT ƃCTG
CP[ OGVJCPG CPF QVJGT ICUGU GOKVVGF HTQO ƃQYDCEM
water (DoE 2011b). These technologies separate
QWV ICU YCVGT CPF UCPF KP ƃQYDCEM ƃWKF DGHQTG
directing the recovered gas into pipelines. Methane
and carbon dioxide emissions are reduced compared
VQ XGPVKPI CPF ƃCTKPI OGVJCPG TGURGEVKXGN[ )TGGP
completion technologies could allow emissions
levels similar to those associated with natural gas
extraction (Broderick et al 2011). The EPA has
issued federal regulations making green completion
technologies mandatory for hydraulic fracturing of all
gas wells in the USA from 2015 onwards. No such
requirements exist in the UK for exploratory activities.
Consideration should be given the possible use of
green completion technologies, especially for any
future production activities in the UK, based on best
available technologies and operational best practices.




                                                                 Shale gas extraction in the UK: a review of hydraulic fracturing 23
CHAP TER 3




   Well integrity
   ‘Well integrity’ refers to preventing shale gas from               Well failure may arise from poor well integrity
   leaking out of the well by isolating it from other                 resulting from:
   subsurface formations (API 2009). The isolation is
   provided according to how the well is constructed.                 r Blowout. A blowout is any sudden and
   A series of holes (‘wellbores’) of decreasing diameter               uncontrolled escape of fluids from a well
   and increasing depth are drilled and lined with steel                to the surface.
   casing joined together to form continuous ‘strings’
   of casing (see Figure 4):                                          r Annular leak. Poor cementation allows
                                                                        contaminants to move vertically through the
   r Conductor casing. Set into the ground to a                         well either between casings or between casings
     depth of approximately 30 metres, the conductor                    and rock formations.
     casing serves as a foundation for the well and
     prevents caving in of surface soils.                             r Radial leak. Casing failures allow fluid to move
                                                                        horizontally out of the well and migrate into the
   r Surface casing. The next wellbore is drilled and                   surrounding rock formations.
     sealed with a casing that runs past the bottom of
     any freshwater bearing zones (including but not
                                                                         Figure 4 An example of a shale gas
     limited to drinking water aquifers) and extends all                 well design (DoE 2009)
     the way back to the surface. Cement is pumped
     down the wellbore and up between the casing
     and the rock until it reaches the surface.                                                      Conductor casing


   r Intermediate casing. Another wellbore is drilled
     and lined by an intermediate casing to isolate the                Aquifer
     well from non-freshwater zones that may cause
     instability or be abnormally pressurised. The                                                   Cement
     casing may be sealed with cement typically either                                               Surface casing
     up to the base of the surface casing or all the way
     to the surface.
                                                                       Salt water zone
   r Production casing. A final wellbore is drilled into
     the target rock formation or zone containing shale
     gas. Once fractured, the shale gas produces into
                                                                                                     Intermediate casing
     the well. This wellbore is lined with a production                                              Cement
     casing that may be sealed with cement either to
     a safe height above the target formation up to the
     base of the intermediate casing; or all the way to
     the surface, depending on well depths and local
     geological conditions.


                                                                                                     Cement
                                                                                                     Production casing



                                                                       Production Zone




24 Shale gas extraction in the UK: a review of hydraulic fracturing
CHAPTER 3




3.1 Preventing well failure                              3.1.2 Preventing casing failures
                                                         Once drilled, but before casings are installed and
3.1.1 Preventing blowout                                 cemented, instruments can be run down the wellbore
Blowouts are rare. Blowouts can occur when drilling      to detect naturally occurring (gamma) radiation and
encounters an over-pressurised, highly permeable         measure the density and porosity of the formation
formation. Some shales can be over-pressurised,          (API 2009). The diameter of the wellbore can be
but even then blowout is unlikely because shale          measured using callipers so that casings are installed
has very low permeability. A recent blowout from a       accurately. Once installed and prior to further drilling,
Chesapeake well in Wyoming, USA, resulted from           ECUKPIU CTG RTGUUWTG VGUVGF VQ GPUWTG UWHƂEKGPV
gas that had leaked up from the Niobrara Shale into a    mechanical integrity and strength so that they can
shallower, more permeable formation.                     withstand pressures exerted at different phases of the
                                                         well’s life, such as those exerted during the fracturing
Blowouts are a major safety hazard to workers. They      process (API 2009). Immediately after drilling out of
OC[ CNUQ TGUWNV KP GUECRGU QH ƃWKF KPVQ PGCTD[ UWTHCEG   each casing, a formation pressure test (‘leak off test’)
water. The environmental impacts of blowout depend       is carried out.
on (Groat and Grimshaw 2012):
                                                         3.1.3 Preventing poor cementation
r timing relative to well activities (determining        Cementation provides structural support, as well
  whether pressurised fracturing fluid or shale          as isolation of different rock formations. Cements
  gas is released);                                      may be tested in advance to ensure their properties
                                                         meet the requirements of particular well designs (API
r whether escape is through the surface casing           2009). Cement needs to completely surround casings
  or deeper in the well;                                 to provide a continuous annular seal between casings
                                                         and the rock formation, as well as between casings.
r the nature of the risk receptor (whether               A cement bond log (CBL) is an acoustic device run
  freshwater aquifer or water well).                     inside casings to detect the presence of cement
                                                         CEEQTFKPI VQ VJG CDUQTRVKQPTGƃGEVKQP QH VTCPUOKVVGF
A blowout preventer (BOP) is placed at the top of a
                                                         sound signals. CBL tests the quality of cement
YGNN FWTKPI FTKNNKPI VQ CWVQOCVKECNN[ UJWV FQYP ƃWKF
                                                         bond between casings and formation and indicates
ƃQY KP VJG YGNNDQTG UJQWNF VJGTG DG CP[ UWFFGP QT
                                                         KH EGOGPV JCU TGCEJGF VJG URGEKƂGF JGKIJV +H CP[
WPEQPVTQNNGF GUECRG QH ƃWKFU WTKPI RTQFWEVKQP VJG
                                                         UGEVKQP QH VJG YGNN FQGU PQV OGGV KFGCN URGEKƂECVKQPU
BOP is replaced with a series of valves to connect the
                                                         a remedial cement job can be completed before
YGNN VQ VJG ICU GZRQTV RKRGNKPG 6JG $12 KU VJG ƂPCN
                                                         subsequent sections are drilled. Casings can be
resort when a blowout occurs. When the BOP closes,
                                                         similarly tested and repaired following each fracturing
vulnerabilities in casing and cement below could fail,
                                                         stage. Well integrity is inferred during operations by
CNNQYKPI ƃWKF VQ GUECRG KPVQ UWTTQWPFKPI UWDUWTHCEG
                                                         RTGUUWTG VGUVKPI 6JKU KU EQPƂTOGF D[ OQPKVQTKPI
formations (an underground blowout). Proper design
                                                         annular pressures, as well as testing seals and valves
to maintain subsurface well integrity remains vital.
                                                         at casing joints (API 2009).

                                                         Despite the quality of the initial cementation
                                                         (indicated by an adequate CBL test), some wells
                                                         can still leak over time. One possible explanation
                                                         is the tendency of cement to shrink (Dusseault et
                                                         al 2000). Cement shrinkage may be caused by one
                                                         (or a combination) of several distinct mechanisms
                                                         associated with drying, cooling and autogenous
                                                         (sealed system) effects. A cement formulation that
                                                         is resistant to one mechanism will not necessarily
                                                         be resistant to another (The Concrete Society 2010).
                                                         Shrinkage can reduce radial stresses, weakening
                                                         cement bonds with the surrounding rock and



                                                                    Shale gas extraction in the UK: a review of hydraulic fracturing 25
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing
Shale gas extraction in the UK: a review of hydraulic fracturing

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Shale gas extraction in the UK: a review of hydraulic fracturing

  • 1. Shale gas extraction in the UK: a review of hydraulic fracturing June 2012
  • 2. Shale gas extraction in the UK: a review of hydraulic fracturing Issued: June 2012 DES2597 © The Royal Society and The Royal Academy of Engineering 2012 The text of this work is licensed under Creative Commons Attribution-NonCommercial-ShareAlike CC BY-NC-SA. The license is available at: creativecommons.org/licenses/by-nc-sa/3.0/ Images are not covered by this license and requests to use them should be submitted to: science.policy@royalsociety.org Requests to reproduce all or part of this document should be submitted to: The Royal Society The Royal Academy of Engineering Science Policy Centre 3 Carlton House Terrace 6 – 9 Carlton House Terrace London SW1Y 5DG London SW1Y 5AG T +44 20 7766 0600 T +44 20 7451 2500 W raeng.org.uk E science.policy@royalsociety.org W royalsociety.org This document can be viewed online at: royalsociety.org/policy/projects/shale-gas-extraction and raeng.org.uk/shale 2 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 3. Contents Summary ........................................................4 Chapter 6 – Risk management ....................48 6.1 The UK’s goal based approach to Recommendations ..........................................6 regulation ......................................................48 6.2 Collecting data to improve risk Terms of reference .........................................8 assessments ................................................. 49 6.3 Environmental risk assessments ................... 51 Chapter 1 – Introduction.................................9 1.1 Hydraulic fracturing.........................................9 Chapter 7 – Regulating shale gas .................53 1.2 Stages of shale gas extraction ...................... 10 7.1 Conditions of Petroleum Exploration and 1.3 The global policy context .............................. 10 Development Licences..................................53 1.4 Environmental concerns in the USA ............. 11 7.2 Conditions of local planning permission.......54 1.5 Environmental concerns in Europe ............... 14 7.3 Notification of well construction and the 1.6 Moratoria ...................................................... 15 well examination scheme..............................54 1.7 Concerns about seismicity ............................ 15 7.4 Conditions of environmental permits............55 1.8 The UK policy context ................................... 17 7.5 Regulating production activities on a nationwide scale ...........................................55 Chapter 2 – Surface operations .................... 19 2.1 Fracturing fluid .............................................. 19 Chapter 8 – Research on shale gas ..............57 2.2 Water requirements .....................................20 8.1 Uncertainties affecting small scale 2.3 Managing wastewaters .................................20 exploratory activities .....................................57 2.4 Disposal of wastewaters ...............................21 8.2 Uncertainties affecting large scale 2.5 Disposal of solid wastes ...............................22 production activities ......................................57 2.6 Managing methane and other emissions ....22 8.3 Funding research on shale gas .....................58 Chapter 3 – Well integrity ............................24 3.1 Preventing well failure ...................................25 References ....................................................60 3.2 Improving the well examination scheme .....26 3.3 Detecting well failure ....................................27 Acronyms .....................................................66 Chapter 4 – Fracture propagation ................. 31 Glossary ........................................................68 4.1 Monitoring fractures .....................................31 4.2 Constraining fracture growth ........................32 Appendix 1 – Working Group .......................70 4.3 Hydraulic fracturing below aquifers ..............34 Appendix 2 – Evidence gathering .................72 Chapter 5 – Induced seismicity ....................40 5.1 Natural seismicity ..........................................40 Appendix 3 – Review Panel ..........................75 5.2 Seismicity induced by coal mining ...............40 5.3 Seismicity induced by hydraulic fracturing... 41 5.4 Factors affecting seismicity induced by hydraulic fracturing .......................................42 5.5 Mitigating induced seismicity .......................43 5.6 Damage to well integrity ...............................45 5.7 Seismicity induced by disposal.....................45 5.8 Regulating induced seismicity ......................46 Shale gas extraction in the UK: a review of hydraulic fracturing 3
  • 4. SUMMARY Summary The health, safety and environmental risks associated Concerns have also been raised about seismicity with hydraulic fracturing (often termed ‘fracking’) induced by hydraulic fracturing. Natural seismicity as a means to extract shale gas can be managed in the UK is low by world standards. On average, effectively in the UK as long as operational best the UK experiences seismicity of magnitude 5 ML practices are implemented and enforced through (felt by everyone nearby) every twenty years, and regulation. Hydraulic fracturing is an established of magnitude 4 ML (felt by many people) every technology that has been used in the oil and gas three to four years. The UK has lived with seismicity industries for many decades. The UK has 60 years’ induced by coal mining activities or the settlement of experience of regulating onshore and offshore oil abandoned mines for a long time. British Geological and gas industries. Survey records indicate that coal mining-related seismicity is generally of smaller magnitude than Concerns have been raised about the risk of fractures natural seismicity and no larger than 4 ML. Seismicity propagating from shale formations to reach overlying induced by hydraulic fracturing is likely to be of even aquifers. The available evidence indicates that this smaller magnitude. There is an emerging consensus risk is very low provided that shale gas extraction that the magnitude of seismicity induced by hydraulic takes place at depths of many hundreds of metres or fracturing would be no greater than 3 ML (felt by several kilometres. Geological mechanisms constrain few people and resulting in negligible, if any, surface the distances that fractures may propagate vertically. impacts). Recent seismicity induced by hydraulic Even if communication with overlying aquifers were fracturing in the UK was of magnitude 2.3 ML and possible, suitable pressure conditions would still be 1.5 ML (unlikely to be felt by anyone). The risk of PGEGUUCT[ HQT EQPVCOKPCPVU VQ ƃQY VJTQWIJ HTCEVWTGU seismicity induced by hydraulic fracturing can be More likely causes of possible environmental TGFWEGF D[ VTCHƂE NKIJV OQPKVQTKPI U[UVGOU VJCV WUG contamination include faulty wells, and leaks and real-time seismic monitoring so that operators can spills associated with surface operations. Neither respond promptly. cause is unique to shale gas. Both are common to all oil and gas wells and extractive activities. Monitoring should be carried out before, during and after shale gas operations to inform risk assessments. Ensuring well integrity must remain the highest Methane and other contaminants in groundwater priority to prevent contamination. The probability of should be monitored, as well as potential leakages of well failure is low for a single well if it is designed, methane and other gases into the atmosphere. The constructed and abandoned according to best geology of sites should be characterised and faults practice. The UK’s well examination scheme was KFGPVKƂGF /QPKVQTKPI FCVC UJQWNF DG UWDOKVVGF VQ set up so that the design of offshore wells could be the UK’s regulators to manage potential hazards, reviewed by independent, specialist experts. This inform local planning processes and address wider UEJGOG OWUV DG OCFG ƂV HQT RWTRQUG HQT QPUJQTG concerns. Monitoring of any potential leaks of activities. Effects of unforeseen leaks or spills methane would provide data to assess the carbon can be mitigated by proper site construction and footprint of shale gas extraction. impermeable lining. Disclosure of the constituents QH HTCEVWTKPI ƃWKF KU CNTGCF[ OCPFCVQT[ KP VJG 7- Ensuring, where possible, that chemical additives are non-hazardous would help to mitigate the impact of any leak or spill. 4 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 5. SUMMARY The UK’s goal based approach to regulation is to more concentrated during waste treatment. be commended, requiring operators to identify and NORM management is not unique to shale gas assess risks in a way that fosters innovation and GZVTCEVKQP 014/ KU RTGUGPV KP YCUVG ƃWKFU HTQO continuous improvement in risk management. The the conventional oil and gas industries, as well UK’s health and safety regulators and environmental as in mining industries, such as coal and potash. regulators should work together to develop Much work has been carried out globally on IWKFGNKPGU URGEKƂE VQ UJCNG ICU GZVTCEVKQP VQ JGNR monitoring levels of radioactivity and handling operators carry out goal based risk assessments NORMs in these industries. according to the principle of reducing risks to As Low As Reasonably Practicable (ALARP). Risk Shale gas extraction in the UK is presently at a very assessments should be submitted to the regulators small scale, involving only exploratory activities. for scrutiny and then enforced through monitoring Uncertainties can be addressed through robust activities and inspections. It is mandatory for OQPKVQTKPI U[UVGOU CPF TGUGCTEJ CEVKXKVKGU KFGPVKƂGF operators to report well failures, as well as other in this report. There is greater uncertainty about accidents and incidents to the UK’s regulators. the scale of production activities should a future Mechanisms should be put in place so that reports shale gas industry develop nationwide. Attention can also be shared between operators to improve must be paid to the way in which risks scale up. risk assessments and promote best practices across Co-ordination of the numerous bodies with the industry. regulatory responsibilities for shale gas extraction must be maintained. Regulatory capacity may An Environmental Risk Assessment (ERA) should need to be increased. be mandatory for all shale gas operations. Risks should be assessed across the entire lifecycle of Decisions are soon to be made about shale gas shale gas extraction, including risks associated with extraction continuing in the UK. The next round of the disposal of wastes and abandonment of wells. issuing Petroleum Exploration and Development Seismic risks should also feature as part of the ERA. Licences is also pending. This report has not attempted to determine whether shale gas extraction Water requirements can be managed through should go ahead. This remains the responsibility integrated operational practices, such as recycling of the Government. This report has analysed the and reusing wastewaters where possible. Options technical aspects of the environmental, health and for disposing of wastes should be planned from safety risks associated with shale gas extraction to the outset. Should any onshore disposal wells be inform decision making. Neither risks associated with necessary in the UK, their construction, regulation the subsequent use of shale gas nor climate risks and siting would need further consideration. JCXG DGGP CPCN[UGF GEKUKQP OCMKPI YQWNF DGPGƂV from research into the climate risks associated with Wastewaters may contain Naturally Occurring both the extraction and use of shale gas. Further Radioactive Material (NORM) that are present in DGPGƂV YQWNF CNUQ DG FGTKXGF HTQO TGUGCTEJ KPVQ VJG UJCNGU CV NGXGNU UKIPKƂECPVN[ NQYGT VJCP UCHG NKOKVU public acceptability of all these risks in the context of exposure. These wastewaters are in need of of the UK’s energy, climate and economic policies. careful management should NORM become Shale gas extraction in the UK: a review of hydraulic fracturing 5
  • 6. SUMMARY Recommendations Recommendation 1 Recommendation 3 To detect groundwater contamination: To mitigate induced seismicity: r The UK’s environmental regulators should work r BGS or other appropriate bodies should carry with the British Geological Survey (BGS) to carry out national surveys to characterise stresses and out comprehensive national baseline surveys of identify faults in UK shales. Operators should carry methane and other contaminants in groundwater. out site-specific surveys to characterise and identify local stresses and faults. r Operators should carry out site-specific monitoring of methane and other contaminants r Seismicity should be monitored before, during in groundwater before, during and after shale gas and after hydraulic fracturing. operations. r Traffic light monitoring systems should be r Arrangements for monitoring abandoned wells implemented and data fed back to well injection need to be developed. Funding of this monitoring operations so that action can be taken to mitigate and any remediation work needs further any induced seismicity. consideration. r DECC should consider how induced seismicity is r The data collected by operators should be to be regulated. Operators should share data with submitted to the appropriate regulator. DECC and BGS to establish a national database of shale stress and fault properties so that suitable Recommendation 2 well locations can be identified. To ensure well integrity: Recommendation 4 r Guidelines should be clarified to ensure the To detect potential leakages of gas: independence of the well examiner from the operator. r Operators should monitor potential leakages of methane or other emissions to the atmosphere r Well designs should be reviewed by the before, during and after shale gas operations. well examiner from both a health and safety perspective and an environmental perspective. r The data collected by operators should be submitted to the appropriate regulator. These r The well examiner should carry out onsite data could inform wider assessments, such as inspections as appropriate to ensure that wells the carbon footprint of shale gas extraction. are constructed according to the agreed design. Recommendation 5 r Operators should ensure that well integrity tests Water should be managed in an integrated way: are carried out as appropriate, such as pressure r Techniques and operational practices should be tests and cement bond logs. implemented to minimise water use and avoid abstracting water from supplies that may be r The results of well tests and the reports of under stress. well examinations should be submitted to the Department of Energy and Climate r Wastewater should be recycled and reused Change (DECC). where possible. r Options for treating and disposing of wastes should be planned from the outset. The construction, regulation and siting of any future onshore disposal wells need further investigation. 6 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 7. SUMMARY Recommendation 6 Recommendation 9 To manage environmental risks: Co-ordination of the numerous bodies with regulatory responsibilities for shale gas extraction should be r An Environmental Risk Assessment (ERA) should maintained. A single body should take the lead. be mandatory for all shale gas operations, Consideration should be given to: involving the participation of local communities at the earliest possible opportunity. r Clarity on roles and responsibilities. r The ERA should assess risks across the entire r Mechanisms to support integrated ways of lifecycle of shale gas extraction, including the working. disposal of wastes and well abandonment. Seismic risks should also feature as part of r More formal mechanisms to share information. the ERA. r Joined-up engagement of local communities. Recommendation 7 Best practice for risk management should be r Mechanisms to learn from operational and implemented: regulatory best practice internationally. r Operators should carry out goal based risk Recommendation 10 assessments according to the principle of The Research Councils, especially the Natural reducing risks to As Low As Reasonably Environment Research Council, the Engineering Practicable (ALARP). The UK’s health and safety and Physical Sciences Research Council and the regulators and environmental regulators should Economic and Social Research Council, should work together to develop guidelines specific to consider including shale gas extraction in their shale gas extraction to help operators do so. research programmes, and possibly a cross-Research Council programme. Priorities should include r Operators should ensure mechanisms are put in research into the public acceptability of the extraction place to audit their risk management processes. and use of shale gas in the context of UK policies on climate change, energy and the wider economy. r Risk assessments should be submitted to the regulators for scrutiny and then enforced through monitoring activities and inspections. r Mechanisms should be put in place to allow the reporting of well failures, as well as other accidents and incidents, between operators. The information collected should then be shared to improve risk assessments and promote best practices across the industry. Recommendation 8 The UK’s regulators should determine their requirements to regulate a shale gas industry should it develop nationwide in the future. Skills gaps and relevant training should be identified. Additional resources may be necessary. Shale gas extraction in the UK: a review of hydraulic fracturing 7
  • 8. SUMMARY Terms of reference 6JG 7- )QXGTPOGPVoU %JKGH 5EKGPVKƂE #FXKUGT 5KT Methodology John Beddington FRS, asked the Royal Society and A Working Group was set up to oversee this project the Royal Academy of Engineering to carry out an (see Appendix 1). The Working Group met on six KPFGRGPFGPV TGXKGY QH VJG UEKGPVKƂE CPF GPIKPGGTKPI occasions when it was briefed by other experts. evidence relating to the technical aspects of the Consultations with other experts and stakeholders risks associated with hydraulic fracturing to inform were held between meetings. Submissions were government policymaking about shale gas extraction received from a number of individuals and learned in the UK. societies (see Appendix 2). This report has been reviewed by an expert Review Panel (see Appendix 3) The terms of reference of this review were: and approved by the Engineering Policy Committee of the Royal Academy of Engineering and the Council r What are the major risks associated with hydraulic of the Royal Society. fracturing as a means to extract shale gas in the UK, including geological risks, such as seismicity, The Royal Academy of Engineering and The Royal and environmental risks, such as groundwater 5QEKGV[ CTG ITCVGHWN VQ VJG )QXGTPOGPV 1HƂEG HQT contamination? 5EKGPEG HQT KVU ƂPCPEKCN UWRRQTV HQT VJKU TGXKGY r Can these risks be effectively managed? If so, how? This report has analysed environmental and health and safety risks. Climate risks have not been analysed. The risks addressed in this report are restricted to those associated with the onshore extraction of shale gas. The subsequent use of shale gas has not been addressed. 8 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 9. CHAPTER 1 Introduction 1.1 Hydraulic fracturing pumped into the well to maintain the pressure in the Shale is a common type of sedimentary rock formed well so that fracture development can continue and from deposits of mud, silt, clay and organic matter. proppant can be carried deeper into the formation Shale gas mainly consists of methane, although (API 2009). A well may be too long to maintain other gases may also be present, trapped in shale sufficient pressure to stimulate fractures across its with very low permeability. Shale gas does not entire length. Plugs may be inserted to divide the well readily flow into a well (‘produce’). Additional into smaller sections (‘stages’). Stages are fractured stimulation by hydraulic fracturing (often termed sequentially, beginning with the stage furthest away ‘fracking’) is required to increase permeability (see and moving towards the start of the well. After Figure 1). Once a well has been drilled and cased fracturing, the plugs are drilled through and the well (‘completed’), explosive charges fired by an electric is depressurised. This creates a pressure gradient current perforate holes along selected intervals so that gas flows out of the shale into the well. of the well within the shale formation from which Fracturing fluid flows back to the surface (‘flowback shale gas is produced (‘production zone’). Pumps water’) but it now also contains saline water are used to inject fracturing fluids, consisting of with dissolved minerals from the shale formation water, sand (‘proppant’) and chemicals, under (’formation water’). Fracturing fluid and formation high pressure into the well. The injection pressure water returns to the surface over the lifetime of the generates stresses in the shale that exceed its well as it continues to produce shale gas (‘produced strength, opening up existing fractures or creating water’). Although definitions vary, flowback new ones. The fractures extend a few hundred water and produced water collectively constitute metres into the rock and the newly created fractures ‘wastewaters’ (EPA 2011). are propped open by the sand. Additional fluids are Shale gas extraction in the UK: a review of hydraulic fracturing 9
  • 10. CHAP TER 1 Figure 1 An illustration of hydraulic fracturing (Al Granberg/ProPublica) Fracturing fluids are injected under pressure to stimulate fractures in the shale. The fractures are propped open by sand contained in the fracturing fluid so that shale gas can flow out of the shale into the well. Well Sand keeps fractures open Shale gas Fracture flows from fractures into well Mixture of Well water, sand and chemical additives Fractures Shale 1.2 Stages of shale gas extraction through them and access only a small volume of Shale gas extraction consists of three stages: the shale. Horizontal wells are likely to be drilled and fractured. Once a shale formation is reached r Exploration. A small number of vertical wells by vertical drilling, the drill bit can be deviated to (perhaps only two or three) are drilled and run horizontally or at any angle. fractured to determine if shale gas is present and can be extracted. This exploration stage may r Abandonment. Like any other well, a shale gas include an appraisal phase where more wells well is abandoned once it reaches the end of (perhaps 10 to 15) are drilled and fractured to its producing life when extraction is no longer characterise the shale; examine how fractures will economic. Sections of the well are filled with tend to propagate; and establish if the shale could cement to prevent gas flowing into water-bearing produce gas economically. Further wells may be zones or up to the surface. A cap is welded into drilled (perhaps reaching a total of 30) to ascertain place and then buried. the long-term economic viability of the shale. 1.3 The global policy context r Production. The production stage involves the commercial production of shale gas. Shales 1.3.1 Potential global shale gas resources with commercial reserves of gas will typically ‘Gas in place’ refers to the entire volume of gas be greater than a hundred metres thick and contained in a rock formation regardless of the will persist laterally over hundreds of square ability to produce it. ‘Technically recoverable kilometres. These shales will normally have resources’ refers to the volume of gas considered shallow dips, meaning they are almost horizontal. to be recoverable with available technology. ‘Proved Vertical drilling would tend to pass straight reserves’ refers to that volume of technically 10 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 11. CHAPTER 1 recoverable resources demonstrated to be estimates the total volume of technically recoverable economically and legally producible under existing shale gas worldwide to be 6,622 tcf. The USA has economic and operating conditions. approximately 862 tcf, and China 1,275 tcf (see Figure 2). In Europe, Poland and France are two of Shale gas could increase global natural gas the most promising shale gas countries with 187 resources by approximately 40%. The US Energy tcf and 180 tcf of technically recoverable resources, Information Administration (EIA) estimates the global respectively. Norway, Ukraine and Sweden may also technically recoverable resources of natural gas possess large technically recoverable resources. (largely excluding shale gas) to be approximately The EIA estimates the UK’s technically recoverable 16,000 trillion cubic feet (tcf) (EIA 2011). The EIA resources to be 20 tcf (EIA 2011) Figure 2 Estimates of technically recoverable shale gas resources (trillion cubic feet, tcf) based on 48 major shale formations in 32 countries (EIA 2011) Russia, Central Asia, Middle East, South East Asia and central Africa were not addressed in the Energy Information Administration report from which this data was taken. 83 Norway 388 Canada UK 20 187 Poland France 180 862 USA 1275 China Algeria 231 Pakistan 51 290 Libya 681 Mexico India 63 226 Brazil 62 Paraguay Australia 396 64 Chile 485 South Africa 774 Argentina 1.3.2 Global climate change and energy security molecule of methane is greater than that of carbon Shale gas is championed by some commentators as dioxide, but its lifetime in the atmosphere is shorter. a ‘transition fuel’ in the move towards a low carbon On a 20-year timescale, the global warming potential economy, helping to displace higher-emitting fuels, of methane is 72 times greater than that of carbon such as coal (Brinded 2011). Others argue that shale dioxide. On a century timescale, it is 25 times greater gas could supplement rather than displace coal use, (IPCC 2007). further locking in countries to a fossil fuel economy (Broderick et al 2011). The development of shale gas 1.4 Environmental concerns in the USA could also reduce and/or delay the incentive to invest Hydraulic fracturing was pioneered in the 1930s and in zero- and low-carbon technologies and renewable ƂTUV WUGF CHVGT VJG 5GEQPF 9QTNF 9CT KP VJG 75# VQ energy (Broderick et al 2011, Stevens 2010). exploit the relatively shallow Devonian Shale in the GCUVGTP 75 CPF #PVTKO 5JCNG KP VJG /KFYGUV 6JG ƂTUV There are concerns that even small leakages of well to be hydraulically fractured was in 1949. Only methane during shale gas extraction may offset the a modest volume of gas was recovered. Advances effects of lower carbon dioxide emissions (Howarth in technology in the late 1980s and early 1990s led et al 2011). The global warming potential of a to directional drilling and hydraulic fracturing in the Shale gas extraction in the UK: a review of hydraulic fracturing 11
  • 12. CHAP TER 1 Barnett Shale in Texas (Selley 2012). An important 1.4.1 Improper operational practices turning point came in the 1990s. Geochemical There has been widespread concern in the USA studies of the Antrim Shale of the Michigan Basin about the environmental impact of hydraulic revealed that the gas being released was not fracturing. One cause for concern has been improper thermogenic (produced by the alteration of organic operational practices. A US Environmental Protection matter under high temperatures and pressures over Agency (EPA) study reported that hydraulic fracturing long time periods) but was biogenic (produced had contaminated groundwater and drinking by bacteria) (Martini et al 1998). This discovery water supplies in Pavillion, Wyoming (DiGiulio et opened up new areas for exploration where the al 2011). The well casing was poorly constructed, shale had previously been deemed either immature and the shale formations that were fractured were or over-mature for thermogenic gas generation. as shallow as 372m. Many claims of contaminated At the same time, progress was being made in water wells due to shale gas extraction have been methods of drilling, such as directional drilling that made. None has shown evidence of chemicals could steer the drill bit to exploit regions with high HQWPF KP J[FTCWNKE HTCEVWTKPI ƃWKFU 9CVGT YGNNU KP concentrations of carbon and where the shale is areas of shale gas extraction have historically shown most amenable to being fractured. By 2002-03, the high levels of naturally occurring methane before combination of hydraulic fracturing and directional operations began. Methane detected in water wells drilling made shale gas commercially viable. with the onset of drilling may also be mobilised by vibrations and pressure pulses associated with the Shale gas production has been enhanced by US lease drilling (Groat and Grimshaw 2012). In 2011, the EPA regulations that require a leaseholder to commence was directed by Congress to undertake a study to operations within a primary term period (normally better understand the potential impacts of hydraulic ƂXG [GCTU QT NQUG VJG NGCUG TGICTFNGUU QH RTKEG 5JCNG fracturing on drinking water resources. This EPA gas production in the USA has caused gas prices to study is examining impacts from the acquisition of fall as supply has outstripped demand. Shale gas has water and its mixing with chemicals to create fracture FKXGTUKƂGF FQOGUVKE GPGTI[ UWRRNKGU CPF TGFWEGF ƃWKF VJTQWIJ VQ VJG OCPCIGOGPV QH ƃQYDCEM CPF 75 FGRGPFGPEG QP KORQTVU QH NKSWGƂGF PCVWTCN ICU RTQFWEGF YCVGT KPENWFKPI FKURQUCN # ƂTUV TGRQTV Shale gas rose from 2% of US gas production in KU GZRGEVGF CV VJG GPF QH 6JG ƂPCN TGUWNVU 2000 to 14% in 2009, and is projected to rise to are due in 2014. In 2011, the Secretary of Energy more than 30% by 2020 (EIA 2011). Advisory Board Natural Gas Subcommittee submitted its recommendations to improve the safety and environmental performance of shale gas extraction (see Textbox 1). 12 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 13. CHAPTER 1 Textbox 1 Recommendations of the US Secretary of Energy Advisory Board Natural Gas Subcommittee (DoE 2011a, DoE 2011b) Recommendations ready for implementation Recommendations ready for implementation primarily by federal agencies primarily by state agencies r Communication among federal and state r Measurements of groundwater should be regulators should be improved. Federal funds made prior to any shale gas operations to should be provided to support the non- provide a baseline to assess any claims of profit State Review of Oil and Natural Gas water contamination. Environmental Regulations (STRONGER) and Ground Water Protection Council (GWPC). r Microseismic monitoring should be carried STRONGER began as a voluntary programme out to assure that fracture growth is developed to improve state regulations and constrained to producing formations. has since emerged as a partnership between industry, non-profit groups and regulators that r Best practice for well construction should develops best practice, including through new be developed and implemented, including guidelines. pressure testing and cement bond logs, to verify rock formations have been properly r Incentives should be provided for states to isolated. offer their regulation framework to peer review under STRONGER. Extra funding would r Inspections should be carried out to confirm allow GWPC to expand its Risk Based Data that operators have remediated any defective Management System that helps states collect well cementation effectively. Inspections and publicly share data, such as environmental should also be carried out at safety-critical monitoring of shale gas operations. stages of well construction and hydraulic fracturing. r Operators should disclose all chemicals used in fracturing fluid and not just those r The composition of water should be that appear on Material Safety Data Sheets. monitored and publicly reported at each Disclosure should be reported on a well-by- stage of shale gas extraction, including the well basis and made publicly available. Extra transport of water and waste fluids to, and funding would support GWPC’s fracturing fluid from, well sites. chemical disclosure registry, Frac Focus, so that information can be accessed, according to chemical, well, company and geography. Recommendations whose implementation require new partnerships r Operators and regulators should be r A systems approach to water management encouraged to reduce air emissions using should be adopted, requiring more effective proven technologies and practices. Systems sharing of federal and state responsibilities. should be implemented to monitor air emissions from shale gas operations, the r Mechanisms should be established to engage results of which should be made publicly regulators, operators and local communities available. The data collected should be used to discuss measures to minimise operational to assess the carbon footprint of shale gas impacts, including scientific studies to assess extraction compared to other fuels. impacts on local water resources, land use, wildlife and ecology. Shale gas extraction in the UK: a review of hydraulic fracturing 13
  • 14. CHAP TER 1 1.4.2 Exemptions from regulation and Awareness of Chemicals Act (FRAC ACT) bills Another cause for concern was a number of were introduced in the House of Representatives exemptions granted to shale gas extraction from and Senate. The FRAC ACT would have required federal regulations. The 2005 Energy Act exempted companies to disclose such details, although not the hydraulic fracturing from being considered an proprietary formula. These bills had been proposed ‘underground injection’ under the Safe Drinking in the previous session of Congress but never Water Act. Compliance with various federal became law. requirements to prevent water contamination was not necessary. Fracturing wastes are exempt Environmental protection remains mainly a state from disposal restrictions under the Resource responsibility. In some states, requirements Conservation and Recovery Act. Operators are exempted from federal regulation are still imposed exempt from certain liabilities and reporting through state regulation. Some states are revising requirements relating to waste disposal under their regulations with a particular focus on three the Comprehensive Environmental Responsibility, areas of concern: water abstraction and disclosure Compensation, and Liability Act. Exemption from QH HTCEVWTKPI ƃWKF EQORQUKVKQP YGNN EQPUVTWEVKQP the Emergency Planning and Community Right to and wastewater management (Groat and Grimshaw Know Act means the type and quantity of chemicals 2012). Some states may have more capacity and to be used in fracturing do not need to be disclosed experience to regulate shale gas operations than to the EPA. In 2010, the Fracturing Responsibility other states (see Textbox 2). Textbox 2 Complications of US state and federal regulation A study by the University of Texas at Austin r Well construction. Some states are updating reviewed state regulations and enforcement provisions for well construction, according capabilities in 16 US states where shale gas to site-specific operational and geological extraction is currently underway, or is anticipated conditions. (Groat and Grimshaw 2012). This study concluded that variation exists among states in r Wastewater management. Some states are the regulation of: requiring operators to formulate disposal plans. In some states, disposal is primarily by r Water abstraction and disclosure of underground injection. In others with less fracturing fluid composition. In some states, suitable subsurface conditions disposal is via groundwater is privately owned and subject discharge into publicly owned treatment works. to different requirements than in other states The latter method has been prohibited by some where groundwater is owned by the state and states. Other states require pre-treatment before subject to state abstraction permits. More discharge. In some shale gas areas, wastes from uniform disclosure of the composition multiple well sites are managed at a centralised of fracturing fluids may be needed among disposal site. state regulators. 1.5 Environmental concerns in Europe potential to extract and use unconventional fossil Shale gas extraction in Europe is at the exploration fuel resources, including shale gas, should be stage. It is many years away from US levels of assessed (European Council 2011). In 2012, the commercial production, especially in the light European Commission (EC) judged that its existing of differences in geology, public acceptability, legal framework was adequate to address shale gas population density, tax breaks and environmental extraction (Vopel 2012). Shale gas could reduce some regulation (Stevens 2010). In 2011, European European countries’ dependence on natural gas Union (EU) Heads of State concluded that Europe’s imports (European Parliament 2012b). 14 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 15. CHAPTER 1 The EC Directorate-General for the Environment 1.7 Concerns about seismicity is conducting a desk study on environmental and Concerns in the UK have focused on seismicity health risks associated with hydraulic fracturing induced by hydraulic fracturing. ‘Seismicity’ or to identify knowledge gaps. The EC Directorate- ‘seismic events’ refer to sudden phenomena that General for Climate Action is carrying out a similar release energy in the form of vibrations that travel study focused on gas emissions associated with through the Earth as sound (seismic) waves. Energy shale gas extraction, including potential leakages of may be released when rocks break and slide past methane. The EC Directorate-General for Energy has each other on surfaces or cracks (‘faults’). Energy carried out a project on licensing, authorising and may also be released when rocks break in tension, the issuing of operational permits for shale gas. The opening up cracks or fractures. The passage and Joint Research Centre (JRC) is examining whether TGƃGEVKQP QH UGKUOKE YCXGU ECP DG OQPKVQTGF D[ the exposure scenarios of Chemical Safety Reports seismometers at seismic stations. Geophones are under Registration, Evaluation, Authorisation and used along regular lines (‘seismic lines’) or grids Restriction of Chemicals regulation are adequate VQ QDVCKP VYQ QT VJTGG FKOGPUKQPCN RTQƂNGU QH VJG for shale gas extraction. The JRC is also assessing 'CTVJoU UWDUWTHCEG UVTWEVWTG nUGKUOKE TGƃGEVKQP the potential impacts on water and land use under surveys’). Seismicity is measured according to various national and EU-wide scenarios. Results of the amount of energy released (magnitude) or the these studies should be available by the end of 2012. effect that energy release has at the Earth’s surface (intensity) (see Textbox 3). All EU member states are members of an Ad Hoc Technical Working Group on Environmental On 1st April 2011, the Blackpool area in north Aspects of Unconventional Fossil Fuels, In Particular England experienced seismicity of magnitude Shale Gas. The Working Group seeks to exchange 2.3 ML shortly after Cuadrilla Resources (‘Cuadrilla’, information; identify best practice; assess the hereafter) hydraulically fractured a well at its Preese adequacy of regulation and legislation; and provide Hall site. Seismicity of magnitude 1.5 ML occurred ENCTKV[ VQ QRGTCVQTU +V OGV HQT VJG ƂTUV VKOG KP on 27th May 2011 following renewed fracturing of January 2012 and was attended by representatives the same well. Hydraulic fracturing was suspended. of approximately two thirds of member states. The Cuadrilla commissioned a set of reports to investigate Working Group may meet again in summer 2012 the cause of seismicity (de Pater and Baisch 2011). when the results of some of the aforementioned The Department of Energy and Climate Change EC research are published. It is unclear whether the (DECC) also commissioned an independent Working Group will continue to meet thereafter. report that was published for public comment (Green et al 2012). 1.6 Moratoria Environmental concerns have led to moratoria on hydraulic fracturing for shale gas extraction in parts of the USA and in other countries. In May 2010, the Marcellus Shale Bill was passed in Pennsylvania, enforcing a three-year moratorium while a comprehensive environmental impact assessment is carried out. In August 2010, New York State imposed a temporary moratorium, pending further research into environmental impacts. Moratoria have also been imposed elsewhere, including in the province of Quebec, Canada (March 2011), France (July 2011), South Africa (August 2011) and Bulgaria (January 2012). Shale gas extraction in the UK: a review of hydraulic fracturing 15
  • 16. CHAP TER 1 Textbox 3 Measuring seismic magnitude and intensity Magnitude scales are calibrated to Richter’s The frequency of the radiated seismic waves is magnitude scale. The scale is logarithmic so the proportional to the size of the fracture. Since smallest events can have negative magnitudes. engineered hydraulic fractures are typically small, Each unit step in the scale indicates a 32-fold seismic events induced by hydraulic fracturing increase in the energy released. Seismic intensity only produce high frequency radiated seismic is an indication of how much a seismic event waves, and so do not produce ground shaking affects structures, people and landscapes at the that will damage buildings. The number of people Earth’s surface. Surface effects are compared who feel small seismic events is dependent on the to a scale originally developed by Mercalli background noise. that considers who can feel an event along with visual and structural effects. The Mercalli The British Geological Survey (BGS) runs a network scale has been superseded by the European of approximately 100 stations to monitor seismicity Macroseismic Scale that incorporates new in the UK. The Atomic Weapons Establishment knowledge about how buildings behave during also has a limited number of stations to monitor seismic events. international compliance with the Comprehensive Nuclear Test Ban Treaty. Other seismic stations The effect a given seismic event will have at include those maintained for research by the earth’s surface depends on several factors. universities. The detection limit of this national The deeper a seismic event occurs the more its network is a function of background noise that radiated energy is attenuated. A deeper seismic OC[ KPENWFG VTCHƂE VTCKPU CPF QVJGT KPFWUVTKCN event will have a lower intensity than a shallower noise, as well as natural noise, such as wind. Given event of the same magnitude. Different average background noise conditions in mainland materials attenuate seismic waves to different UK, a realistic detection limit of BGS’ network is degrees. Soft rocks, such as shale, attenuate magnitude 1.5 ML. For regions with seismic waves more than hard rocks, such more background noise, the detection limit may as granite. Different buildings and structures be closer to magnitude 2-2.5 ML. Vibrations from respond differently depending on how they are a seismic event of magnitude 2.5 ML are broadly constructed. The response of a building to a GSWKXCNGPV VQ VJG IGPGTCN VTCHƂE KPFWUVTKCN CPF seismic event also depends on the frequency other noise experienced daily (see Table 1). of the ground shaking. High frequencies (above 20-30 Hz) will do relatively little damage. 16 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 17. CHAPTER 1 Table 1 The average annual frequency of seismic events in the UK Magnitude (ML) Frequency in the UK Felt effects at the surface -3.0 Not detected by BGS’ network Not felt -2.0 Not detected by BGS’ network Not felt -1.0 Not detected by BGS’ network Not felt 0.0 Not detected by BGS’ network Not felt 1.0 100s each year Not felt, except by a very few under especially favourable conditions. 2.0 25 each year Not felt, except by a very few under especially favourable conditions. 3.0 3 each year (GNV D[ HGY RGQRNG CV TGUV QT KP VJG WRRGT ƃQQTU QH buildings; similar to the passing of a truck. 4.0 1 every 3-4 years Felt by many people, often up to tens of kilometres away; some dishes broken; pendulum clocks may stop. 5. 0 1 every 20 years Felt by all people nearby; damage negligible in buildings of good design and construction; few instances of fallen plaster; some chimneys broken. 1.8 The UK policy context 6JG ƂTUV 7- YGNN VQ GPEQWPVGT UJCNG ICU YCU FTKNNGF The UK has experience of hydraulic fracturing and KP +VU UKIPKƂECPEG CV VJG VKOG YGPV WPPQVKEGF directional drilling for non-shale gas applications. as abundant conventional reservoirs made shale Over the last 30 years, more than 2,000 wells have gas extraction uneconomic. It was not until the been drilled onshore in the UK, approximately 200 mid-1980s that research began into the potential (10%) of which have been hydraulically fractured for gas production from UK shales. In 2003, the to enhance recovery. The combination of hydraulic Petroleum Revenue Act was repealed, exempting fracturing and directional drilling allowed the shale gas production from the Petroleum Revenue FGXGNQROGPV QH 9[VEJ (CTO ƂGNF KP QTUGV KP Tax (Selley 2012). In 2008, 97 Petroleum Exploration 1979. Discovered by British Gas in the 1970s and and Development Licences were awarded for shale QRGTCVGF D[ $TKVKUJ 2GVTQNGWO UKPEG VJG ƂGNF gas exploration in the UK during the 13th Round of is responsible for the majority of UK onshore oil Onshore Licensing (see chapter 7). A 14th licensing RTQFWEVKQP CPF KU 'WTQRGoU NCTIGUV QPUJQTG QKN ƂGNF round is pending. Over 200 wells have been drilled. Drilling vertically onshore then horizontally out to sea has proved Industry interest in shale gas extraction in the more cost-effective than building offshore platforms, UK includes: allowing oil to be produced beneath the Sandbanks estate, Bournemouth, from oil reservoirs 10km away. r England. Five potential shale gas exploration In 1996, British Gas hydraulically fractured a well well sites have been identified by Cuadrilla in KP VJG 'NUYKEM )CU ƂGNF KP .CPECUJKTG MO HTQO Lancashire. The first test well was drilled in August Cuadrilla’s Preese Hall well). Gas has been produced 2010 at Preese Hall; a second at Grange Hill Farm from it ever since. In the 1990s, several wells were later that year; and a third near the village of also fractured in the UK to extract coal bed methane. Banks in August 2011. Hydraulic fracturing has Shale gas extraction in the UK: a review of hydraulic fracturing 17
  • 18. CHAP TER 1 been undertaken at only one site. DECC has also 1.8.1 UK climate change and energy security granted a license for a site in Balcombe, West The UK government has agreed to meet a number of Sussex identified by Cuadrilla. Three possible sites domestic and European targets to decarbonise the have been identified in the Mendip Hills by UK UK economy (Moore 2012). The Climate Change Act Methane and Eden Energy. Planning permission 2008 calls for an 80% reduction in greenhouse gas has been sought for boreholes for geological emissions by 2050. This includes an interim target samples. UK Methane has stated it has no interest of a 34% reduction in emissions by 2020 and a 50% in hydraulic fracturing at this stage. One site has reduction in emissions by the 2023–2027 budget been identified in Woodnesborough, Kent, by (all from a baseline of 1990). The EU has a target to Coastal Oil and Gas Ltd. Planning permission reduce EU-wide greenhouse gas emissions by 20% has been granted. Neither Cuadrilla’s West between 1990 and 2020. It has also agreed that 20% Sussex nor Coastal Oil and Gas Ltd’s Kent sites of total energy production across the EU should be have yet been granted permission for drilling or generated by renewable sources, and so the UK hydraulic fracturing. has committed to sourcing 15% of its energy from renewables. r Wales. Three sites have been identified by Coastal Oil and Gas Ltd. DECC has given permission for The House of Commons Energy and Climate Change drilling at two of these sites, but not hydraulic Committee carried out an inquiry into shale gas fracturing. Planning permission has been granted in 2011. The inquiry considered the prospects for for the sites at Neath and Maesteg where wells shale gas in the UK; risks and hazards involved; will be deepened to obtain geological samples. potential carbon footprint of large-scale shale gas Planning permission was refused at Llandow, Vale extraction; and implications for the UK of large- of Glamorgan. The decision is being appealed with scale shale gas production around the world (HoC a public inquiry. 6JG %QOOKVVGG EQPENWFGF VJCV KH C UKIPKƂECPV amount of shale gas enters the UK market (whether r Scotland. Although potential shale formations from domestic or foreign sources), it will probably do exist in Scotland, to date there has been discourage investment in more expensive, lower no interest in shale gas extraction. Consent for carbon emission renewables (HoC 2011). hydraulic fracturing has been provided to one operator with an interest in extracting coal bed Over the last decade, the UK has experienced methane. reduced domestic production from the North Sea and an increased reliance on natural gas imports. r Northern Ireland. Tamboran Resources has New pipelines from Norway and the Netherlands an interest to extract shale gas in an area that CPF NKSWGƂGF PCVWTCN ICU OCMG WR VJG FKHHGTGPEG extends across the border between Northern The House of Commons Energy and Climate Change Ireland and the Republic of Ireland. Committee also concluded that domestic resources could reduce the UK’s dependence on imports, but The Environment Agency (EA), serving England and the effect on energy security may be ‘unlikely to be Wales, has been reviewing the adequacy of existing enormous’ (HoC 2011). The UK has an open gas regulation. In 2011, the Scottish Environmental market with large new import infrastructure and a Protection Agency (SEPA) published a position diversity of potential gas suppliers (Moore 2012). statement based on its preliminary views of shale gas extraction (SEPA 2011). The Northern Ireland 1.8.2 Joint academies review Environment Agency is working with the Irish 6JG 7- )QXGTPOGPVoU %JKGH 5EKGPVKƂE #FXKUGT 5KT environmental regulator to develop a regulatory John Beddington FRS, asked the Royal Society and framework suitable for transboundary activities. the Royal Academy of Engineering to carry out an KPFGRGPFGPV TGXKGY QH VJG UEKGPVKƂE CPF GPIKPGGTKPI evidence to inform government policymaking about shale gas extraction in the UK. The following chapters analyse environmental and health and safety risks associated with the onshore extraction of shale gas. 18 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 19. CHAPTER 2 Surface operations (TCEVWTKPI ƃWKF allowing each stage to address local conditions, 6JG ƃWKFU OQUV EQOOQPN[ WUGF HQT J[FTCWNKE such as shale thickness; presence of natural faults; fracturing are water-based. The water can be and proximity to other well systems (API 2009). abstracted from surfacewater bodies, such as rivers Operations require specialised equipment, including and lakes, or from groundwater bodies, such as ƃWKF UVQTCIG VCPMU RTQRRCPV VTCPURQTV GSWKROGPV aquifers or public and private water sources. Sand and blending and pumping equipment. These is added as a proppant to keep fractures open. components are assembled and linked to monitoring Various chemicals are also added (see Figure 3). U[UVGOU UQ VJCV CFLWUVOGPVU ECP DG OCFG VQ ƃWKF During multistage fracturing, a series of different XQNWOG CPF EQORQUKVKQP ƃWKF KPLGEVKQP TCVG CPF XQNWOGU QH HTCEVWTKPI ƃWKFU KU KPLGEVGF YKVJ URGEKƂE pressure. concentrations of proppant and other additives, (KIWTG 6[RKECN EQORQUKVKQP QH HTCEVWTKPI ƃWKF D[ XQNWOG UQWTEG $TKVKUJ )GQNQIKECN 5WTXG[ The 0.17% of chemical additives may include scale inhibitor to prevent the build up of scale on the walls of the well; acid to help initiate fractures; biocide to kill bacteria that can produce hydrogen sulphide CPF NGCF VQ EQTTQUKQP HTKEVKQP TGFWEGT VQ TGFWEG HTKEVKQP DGVYGGP VJG YGNN CPF ƃWKF KPLGEVGF KPVQ KV CPF UWTHCEVCPV VQ TGFWEG VJG XKUEQUKV[ QH VJG HTCEVWTKPI ƃWKF Additives 0.17% e Sand Water 5.23% d 94.60% a c b a. Scale inhibitor b. Acid c. Biocide d. Friction reducer e. Surfacant 2.1.1 Disclosing the composition of QH HTCEVWTKPI ƃWKF QT YCUVGYCVGTU QPUKVG ECP DG fracturing fluid mitigated using established best practices. In the In the USA, there are calls for operators to disclose UK, installing impermeable site lining (‘bunding’) is HWNN[ VJG EQORQUKVKQP QH HTCEVWTKPI ƃWKF CFFKVKXGU UGG typically a condition of local planning permission. section 1.4.2). This is already required in the UK. In 6JG KORCEV QH HTCEVWTKPI ƃWKF URKNNU ECP DG HWTVJGT the UK, the environmental regulator has the power mitigated by using non-hazardous chemicals under the Water Resources Act 1991 to demand the where possible. In the UK, there is no generic list FKUENQUWTG QH VJG EQORQUKVKQP QH HTCEVWTKPI ƃWKFU QH CRRTQXGF EJGOKECNU HQT WUG KP HTCEVWTKPI ƃWKF The environmental regulators use a methodology 2.1.2 Spills of fracturing fluid developed by the Joint Agencies Groundwater 5WTHCEG URKNNU QH HTCEVWTKPI ƃWKF OC[ RQUG C ITGCVGT Directive Advisory Group to assess the hazard contamination risk than hydraulic fracturing itself potential of any chemical to be used, according to (Groat and Grimshaw 2012). The impact of any spills VJG URGEKƂE UKVG CPF NQECN J[FTQIGQNQIKECN EQPFKVKQPU Shale gas extraction in the UK: a review of hydraulic fracturing 19
  • 20. CHAP TER 2 2.2 Water requirements 2.2.2 Alternatives to water There are concerns that hydraulic fracturing could Another option would be to use waterless fracturing TGSWKTG XQNWOGU QH YCVGT VJCV YQWNF UKIPKƂECPVN[ ƃWKFU 6JGUG KPENWFG IGNU CPF ECTDQP FKQZKFG CPF deplete local water resources (Entrekin et al 2011). nitrogen gas foams (King 2010). These techniques are Reported estimates for the volumes of water required important where shales are susceptible to damage for shale gas extraction vary according to local from water-based fracturing (King 2010). Gelled liquid geology, well depth and length and the number of RGVTQNGWO ICU .2) HTCEVWTKPI ƃWKFU EQWNF DQQUV hydraulic fracturing stages. In the UK, under the initial production rates and allow near full recovery Water Resources Act 1991, an operator is required QH VJG HTCEVWTKPI ƃWKFU YKVJKP FC[U QH UVKOWNCVKQP to seek an abstraction permit from the environmental 6JG WUG QH VJGUG ƃWKFU RCTVKEWNCTN[ RTQRCPGDCUGF regulator if more than 20m3 of water is to be LPG, could reduce the toxicity of wastewaters since abstracted per day from surface or groundwater they do not dissolve salts, heavy metals or Naturally bodies. If water is instead sourced from a mains Occurring Radioactive Material (NORM) in shales to supply, the water company will need to ensure it can the extent that water does. still meet the conditions of the abstraction permit that it will already be operating under. 2.3 Managing wastewaters Approximately 25% to 75% of the injected fracturing Overall water use is important. Estimates indicate ƃWKF ƃQYU DCEM VQ VJG UWTHCEG YJGP VJG YGNN KU that the amount needed to operate a hydraulically FGRTGUUWTKUGF 6JKU ƃWKF KU OKZGF YKVJ OGVJCPG fractured shale gas well for a decade may be and saline water containing minerals from the shale equivalent to the amount needed to water a golf HQTOCVKQP 6JG XQNWOG QH ƃQYDCEM YCVGT FGRGPFU course for a month; the amount needed to run a on the properties of the shale, the fracturing design /9 EQCNƂTGF RQYGT RNCPV HQT JQWTU CPF CPF VJG V[RG QH HTCEVWTKPI ƃWKF WUGF -KPI the amount lost to leaks in United Utilities’ region Produced water will continue to return to the in north west England every hour (Moore 2012). surface over the well’s lifetime. These wastewaters The rate of abstraction is also important. Hydraulic typically contain salt, natural organic and inorganic fracturing is not a continuous process. Water is compounds, chemical additives used in fracturing required periodically during drilling and then at each ƃWKF CPF 014/ 02% 8GT[ NKVVNG KU EWTTGPVN[ fracturing stage. Operators could consult water known about the properties of UK shales to explain utilities companies to schedule operations to avoid YJCV HTCEVKQP QH HTCEVWTG ƃWKF YKNN TGVWTP CU ƃQYDCEM periods when water supplies are more likely to be water, as well as the composition of formation under stress (Moore 2012). waters and produced water.1 2.2.1 Alternative sources of water 2.3.1 Storing wastewaters Water stress can be avoided by using alternative In the USA, wastewaters have historically been sources of water. Freshwater was necessary early stored onsite in open pits, such as excavated and in the development of certain US shales when lined containment ponds (API 2009). The possible friction reducers, scale inhibitors, and particularly leakage of liners has led to calls to avoid the use of UWTHCEVCPVU UJQYGF RGTHQTOCPEG FKHƂEWNVKGU YJGP pits in favour of closed loop steel tanks and piping mixed in saline water (King 2010). Technologies systems (Groat and Grimshaw 2012). Open storage developed to overcome these problems in offshore ponds are not permitted in the UK. Wastewaters hydraulic fracturing (where the use of seawater is are instead stored in closed metal tanks before more prevalent) are now being applied to onshore being treated. Leaks or spills of wastewaters can operations (Harris and van Batenburg 1999). The be managed in the same way as spills of fracturing use of saline water from deep aquifers is being ƃWKF UGG UGEVKQP 6JKU JCCTF KU PQV WPKSWG considered in some US shales (Yost 2011). to shale gas extraction but common to many industrial processes. 1 Contribution from Professor Richard Davies, Director of Energy Institute, University of Durham (private correspondence) 20 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 21. CHAPTER 2 2.3.2 Reuse of wastewaters 2.3.4 Transporting wastewaters Integrated operational practices should be adopted The transport of wastewaters offsite is carried out by to minimise water use and avoid abstracting water road haulage companies licensed by the UK’s health from supplies that may be under stress. Recycling and safety regulators with experience of transporting wastewater where possible would reduce the hazardous substances. The UK’s environmental volumes of wastewater in need of disposal, although TGIWNCVQTU KUUWG ECTTKGT TGIKUVTCVKQP EGTVKƂECVGU it could concentrate contaminants and thereby and the Department of Transport and Vehicle and complicate disposal. Operator Services Agency are responsible for vehicle licensing and testing. Wastewaters can be diluted with freshwater and then reused in subsequent fracturing operations. 2.4 Disposal of wastewaters Pre-treatment may be necessary. The composition Disposal wells may be necessary if wastewater of wastewaters changes over the lifetime of a volumes exceed the capabilities of onsite, closed- well. The most appropriate treatment will depend NQQR UVQTCIG VCPM U[UVGOU +PLGEVKQP QH YCUVG ƃWKFU on the waters’ degree of salinity (King 2010). The into porous and permeable rock formations has been environment in which some shales were initially VJG RTKOCT[ FKURQUCN QRVKQP HQT YCUVG ƃWKFU HTQO VJG deposited was marine (King 2012). Produced US oil and gas industry (DoE 2009). Disposal wells water in the latter stages of shale gas extraction are often depleted oil and gas wells, but wells can be is more saline owing to the increased amount of FTKNNGF URGEKƂECNN[ HQT FKURQUCN KH KV KU GEQPQOKE VQ FQ saline formation water that it contains. Desalination so. The site of disposal wells depends on geological technologies are being developed to control conditions and regulation. In the USA, some wastes salinity and support reuse of wastewaters. These are transported to disposal sites by truck or pipeline technologies concentrate salt and recover water (DoE 2009). through evaporation, distillation, electric separation or chemical treatment. The most common treatment 2.4.1 Disposing of fluids WUGU UGNGEVKXG OGODTCPGU VJCV ƂNVGT QWV UCNV KQPU Wastewaters are considered to be an ‘extractive when high pressure is applied across them. As waste’, and so are regulated under the Mining Waste well as producing pure water, these desalination Directive. Operators are required to formulate waste technologies typically produce a small amount of management plans that identify how wastes are to brine slurry that may be converted to solid waste in minimised, treated, recovered and disposed of. This a crystalliser before disposal (ALL Consulting 2005). includes identifying environmental and health impacts Microorganisms, such as bacteria, can exist even and measures to address them, including control and in deep shale formations, and so may be present monitoring activities. Disposal would be regulated in the formation water within wastewaters. These in the UK under the Mining Waste Directive and microorganisms need to be removed for health Water Framework Directive. An environmental permit and safety and commercial reasons. Bacterial can would be necessary, as well as pre-treatment, before produce hydrogen sulphide and acids that corrode discharge into a disposal well. If wastewaters contain well casings, and so potentially contribute to well 014/ CDQXG URGEKƂGF NKOKVU C HWTVJGT RGTOKV YQWNF HCKNWTG KUKPHGEVKQP VGEJPKSWGU KPENWFG ƂNVTCVKQP be required. The Radioactive Substances Regulation techniques, as well as ultraviolet light, chlorine, would also apply. Currently, a disposal well would be iodine, ozone and acid treatments (ALL Consulting constructed in the UK according to the Borehole Sites 2005). and Operations Regulations 1995 if the disposal well was in a mining area and to a depth of 30m or greater. Pre-treatment could take place onsite, although this Offshore disposal would involve extra environmental is currently expensive. Technologies could build on regulations, such as those under the Convention VJQUG CNTGCF[ WUGF VQ VTGCV YCUVG ƃWKF HTQO QHHUJQTG for the Protection of the Marine Environment of the oil and gas extraction. Alternatively, wastewaters North-East Atlantic (the OSPAR Convention). could be transported to a treatment facility offsite. Numerous facilities exist in the UK with extensive experience of treating similar wastes from a range of industrial sectors. Shale gas extraction in the UK: a review of hydraulic fracturing 21
  • 22. CHAP TER 2 2.5 Disposal of solid wastes Shale tends to contain more uranium than other RECOMMENDATION types of rocks. The radioactive decay of uranium-238 Water should be managed in an produces radium-226 that decays to radon-222 KPVGITCVGF YC[ gas. Other NORM found in shales includes thorium and lead-210, concentrations of which vary from r Techniques and operational practices formation to formation. NORM in shales is usually at should be implemented to minimise NGXGNU UKIPKƂECPVN[ NQYGT VJCP UCHG NKOKVU QH GZRQUWTG water use and avoid abstracting water NORM dissolves in formation water, so wastewaters from supplies that may be under stress. need careful management should NORM become r Wastewater should be recycled and more concentrated during treatment (King 2012). reused where possible. Dissolved NORM may settle out to form solid wastes, such as mineral scale on the inside of wells r Options for treating and disposing of and pipes or sludge that accumulates in storage wastes should be planned from the or treatment tanks. Scale is composed primarily of outset. The construction, regulation and insoluble barium, calcium and strontium compounds siting of any future onshore disposal that precipitate out of wastewaters due to changes wells need further investigation. in temperature and pressure. Radium is chemically similar to these elements, and so is incorporated into the scales. Sludge settles out of wastewaters 2.6 Managing methane and other emissions and consists of oily solids often containing silica 8GPVKPI CPF ƃCTKPI QH OGVJCPG CPF QVJGT GOKUUKQPU compounds and barium. are controlled through conditions of Petroleum Exploration and Development Licences. The health NORM management is not unique to shale gas and safety regulator places similar controls under GZVTCEVKQP 014/ KU RTGUGPV KP YCUVG ƃWKFU HTQO VJG the Borehole Sites and Operations Regulations 1995 conventional oil and gas industries, as well as and and Offshore Installations and Wells (Design and mining industries, such as coal and potash. Much Construction) Regulations 1996. Local authorities are work has been carried out globally on monitoring responsible under the Environmental Protection Act levels of radioactivity and handling NORMs in the 1990 to inspect sites for odour and noise associated oil and gas industries. For example, it is standard YKVJ VJG XGPVKPI QT ƃCTKPI QH ICU .QECN CWVJQTKVKGU practice to sandblast pipes to remove scale or to use also have a statutory duty under the Air Quality a rotating drill bit. The removed scale is then placed in Standards Regulations 2007 to monitor emissions to sealed containers for later disposal. Scale can also be ensure they do not breach local air quality standards. removed by dissolving NORM in an aqueous solvent Methane contained in wastewater can be regulated before re-injecting the NORM-containing solution into by the environmental regulator placing controls a disposal well (ALL Consulting 2005). on operators’ waste management plans (see section 2.4.1). In the UK, solid NORM wastes fall into one of three categories: very low concentration (‘out of scope’); low The Industrial Emissions Directive would apply if concentration; medium or high concentration (requires shale gas is processed before injection into the gas an EPR permit). An environmental permit is required pipeline or combusted to generate electricity and/ for disposing of NORM wastes that exceed ‘out of or heat onsite. A permit would then be needed, UEQRGo EQPEGPVTCVKQPU KURQUCN KP NCPFƂNN KU V[RKECN HQT requiring the operator to monitor emissions of solid wastes of low and medium concentrations. Some methane (and other air pollutants). Shale gas in offshore oil production facilities have permits allowing the UK is expected to be of high quality, so large some NORM wastes to be discharged directly to sea. scale processing may not be necessary. Operators 22 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 23. CHAPTER 2 should still monitor potential leakages of methane and other emissions before, during and after shale RECOMMENDATION gas operations. Monitoring before operations would 6Q FGVGEV RQVGPVKCN NGCMCIGU QH ICU indicate the effects of methane due to non-shale gas operations in the area or natural seepage (methane r Operators should monitor potential KU TGNGCUGF PCVWTCNN[ HTQO CNNWXKWO UQKNU NCPFƂNN UKVGU leakages of methane or other emissions and peat deposits). One option would be to construct to the atmosphere before, during and semi-permanent monitoring stations around the after shale gas operations. perimeter of a drilling site. Alternatively, emissions r The data collected by operators should could be monitored near to the well. Both options be submitted to the appropriate face complications. Gas emissions would be diluted regulator. These data could inform in the atmosphere before reaching monitoring wider assessments, such as the carbon stations, limiting their detection accuracy. Monitoring footprint of shale gas extraction. equipment near to the well could be disturbed due to surface equipment being changed at different stages of operations. Monitoring data should be submitted to the appropriate regulator. Reliable data would be available to inform assessments of health impacts on local populations (McKenzie et al 2012). These data could also inform assessments of the carbon footprint of shale gas extraction (see section 8.2.2). ‘Green completion technologies’ are used in the USA VQ ECRVWTG CPF VJGP UGNN TCVJGT VJCP XGPV QT ƃCTG CP[ OGVJCPG CPF QVJGT ICUGU GOKVVGF HTQO ƃQYDCEM water (DoE 2011b). These technologies separate QWV ICU YCVGT CPF UCPF KP ƃQYDCEM ƃWKF DGHQTG directing the recovered gas into pipelines. Methane and carbon dioxide emissions are reduced compared VQ XGPVKPI CPF ƃCTKPI OGVJCPG TGURGEVKXGN[ )TGGP completion technologies could allow emissions levels similar to those associated with natural gas extraction (Broderick et al 2011). The EPA has issued federal regulations making green completion technologies mandatory for hydraulic fracturing of all gas wells in the USA from 2015 onwards. No such requirements exist in the UK for exploratory activities. Consideration should be given the possible use of green completion technologies, especially for any future production activities in the UK, based on best available technologies and operational best practices. Shale gas extraction in the UK: a review of hydraulic fracturing 23
  • 24. CHAP TER 3 Well integrity ‘Well integrity’ refers to preventing shale gas from Well failure may arise from poor well integrity leaking out of the well by isolating it from other resulting from: subsurface formations (API 2009). The isolation is provided according to how the well is constructed. r Blowout. A blowout is any sudden and A series of holes (‘wellbores’) of decreasing diameter uncontrolled escape of fluids from a well and increasing depth are drilled and lined with steel to the surface. casing joined together to form continuous ‘strings’ of casing (see Figure 4): r Annular leak. Poor cementation allows contaminants to move vertically through the r Conductor casing. Set into the ground to a well either between casings or between casings depth of approximately 30 metres, the conductor and rock formations. casing serves as a foundation for the well and prevents caving in of surface soils. r Radial leak. Casing failures allow fluid to move horizontally out of the well and migrate into the r Surface casing. The next wellbore is drilled and surrounding rock formations. sealed with a casing that runs past the bottom of any freshwater bearing zones (including but not Figure 4 An example of a shale gas limited to drinking water aquifers) and extends all well design (DoE 2009) the way back to the surface. Cement is pumped down the wellbore and up between the casing and the rock until it reaches the surface. Conductor casing r Intermediate casing. Another wellbore is drilled and lined by an intermediate casing to isolate the Aquifer well from non-freshwater zones that may cause instability or be abnormally pressurised. The Cement casing may be sealed with cement typically either Surface casing up to the base of the surface casing or all the way to the surface. Salt water zone r Production casing. A final wellbore is drilled into the target rock formation or zone containing shale gas. Once fractured, the shale gas produces into Intermediate casing the well. This wellbore is lined with a production Cement casing that may be sealed with cement either to a safe height above the target formation up to the base of the intermediate casing; or all the way to the surface, depending on well depths and local geological conditions. Cement Production casing Production Zone 24 Shale gas extraction in the UK: a review of hydraulic fracturing
  • 25. CHAPTER 3 3.1 Preventing well failure 3.1.2 Preventing casing failures Once drilled, but before casings are installed and 3.1.1 Preventing blowout cemented, instruments can be run down the wellbore Blowouts are rare. Blowouts can occur when drilling to detect naturally occurring (gamma) radiation and encounters an over-pressurised, highly permeable measure the density and porosity of the formation formation. Some shales can be over-pressurised, (API 2009). The diameter of the wellbore can be but even then blowout is unlikely because shale measured using callipers so that casings are installed has very low permeability. A recent blowout from a accurately. Once installed and prior to further drilling, Chesapeake well in Wyoming, USA, resulted from ECUKPIU CTG RTGUUWTG VGUVGF VQ GPUWTG UWHƂEKGPV gas that had leaked up from the Niobrara Shale into a mechanical integrity and strength so that they can shallower, more permeable formation. withstand pressures exerted at different phases of the well’s life, such as those exerted during the fracturing Blowouts are a major safety hazard to workers. They process (API 2009). Immediately after drilling out of OC[ CNUQ TGUWNV KP GUECRGU QH ƃWKF KPVQ PGCTD[ UWTHCEG each casing, a formation pressure test (‘leak off test’) water. The environmental impacts of blowout depend is carried out. on (Groat and Grimshaw 2012): 3.1.3 Preventing poor cementation r timing relative to well activities (determining Cementation provides structural support, as well whether pressurised fracturing fluid or shale as isolation of different rock formations. Cements gas is released); may be tested in advance to ensure their properties meet the requirements of particular well designs (API r whether escape is through the surface casing 2009). Cement needs to completely surround casings or deeper in the well; to provide a continuous annular seal between casings and the rock formation, as well as between casings. r the nature of the risk receptor (whether A cement bond log (CBL) is an acoustic device run freshwater aquifer or water well). inside casings to detect the presence of cement CEEQTFKPI VQ VJG CDUQTRVKQPTGƃGEVKQP QH VTCPUOKVVGF A blowout preventer (BOP) is placed at the top of a sound signals. CBL tests the quality of cement YGNN FWTKPI FTKNNKPI VQ CWVQOCVKECNN[ UJWV FQYP ƃWKF bond between casings and formation and indicates ƃQY KP VJG YGNNDQTG UJQWNF VJGTG DG CP[ UWFFGP QT KH EGOGPV JCU TGCEJGF VJG URGEKƂGF JGKIJV +H CP[ WPEQPVTQNNGF GUECRG QH ƃWKFU WTKPI RTQFWEVKQP VJG UGEVKQP QH VJG YGNN FQGU PQV OGGV KFGCN URGEKƂECVKQPU BOP is replaced with a series of valves to connect the a remedial cement job can be completed before YGNN VQ VJG ICU GZRQTV RKRGNKPG 6JG $12 KU VJG ƂPCN subsequent sections are drilled. Casings can be resort when a blowout occurs. When the BOP closes, similarly tested and repaired following each fracturing vulnerabilities in casing and cement below could fail, stage. Well integrity is inferred during operations by CNNQYKPI ƃWKF VQ GUECRG KPVQ UWTTQWPFKPI UWDUWTHCEG RTGUUWTG VGUVKPI 6JKU KU EQPƂTOGF D[ OQPKVQTKPI formations (an underground blowout). Proper design annular pressures, as well as testing seals and valves to maintain subsurface well integrity remains vital. at casing joints (API 2009). Despite the quality of the initial cementation (indicated by an adequate CBL test), some wells can still leak over time. One possible explanation is the tendency of cement to shrink (Dusseault et al 2000). Cement shrinkage may be caused by one (or a combination) of several distinct mechanisms associated with drying, cooling and autogenous (sealed system) effects. A cement formulation that is resistant to one mechanism will not necessarily be resistant to another (The Concrete Society 2010). Shrinkage can reduce radial stresses, weakening cement bonds with the surrounding rock and Shale gas extraction in the UK: a review of hydraulic fracturing 25