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1 New API Industry Standards for Shale Development 2016 GWPC UIC Annual Conference February 24, 2016 Roland Goodman Manager, Upstream Standards American Petroleum Institute [email protected]
19

New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

Mar 27, 2020

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Page 1: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

1

New API Industry Standards for

Shale Development

2016 GWPC UIC Annual Conference

February 24, 2016

Roland Goodman

Manager, Upstream Standards

American Petroleum Institute

[email protected]

Page 2: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

2

Topics

API background

API standards development process

Use of API standards

API HF-related standards

Page 3: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

3

API Background

1919: API founded as non-profit national trade association,

New York City

Three initial priorities – taxes, statistics, and equipment and

operational standards

1923: Standards Department formed; first standard

published in 1925

1969: API relocates to Washington, DC

Heightened interest in public policy issues

2007 – 2014: Opened four international offices in Beijing,

Dubai, Singapore, and Rio de Janeiro

Page 4: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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API Background

API is the only national trade association

representing all segments of the oil and natural

gas industry

Over 660 member companies involved in all

aspects of the oil and natural gas industry

Over 700 committees and task forces covering

various advocacy and technical issues

Staff of ~250 located in Washington, DC and in 34

states

Page 5: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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Standards Development Process

API is accredited by the American National Standards

Institute (ANSI)

Openness, balance, consensus, due process

Standards undergo regular review (5 years minimum)

Regular program audits (conducted by ANSI)

Transparent process (anyone can comment on any document

– www.api.org/standards)

All comments must be considered

API corporate membership is not required (contact API at

[email protected] for consensus group participation

information)

Page 6: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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Value of API Standards

Improves operational safety and equipment reliability

Improves equipment interchangeability

Reduces compliance costs

Reduces procurement costs

Foundation for company standards

Page 7: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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API Standards

API standards are the most widely cited industry

standards by Federal and State regulators

130 standards cited 460 times in Federal

Regulations

216 standards cited 4035 times in State

Regulations

23 API standards in COGCC Drilling, Safety, and

Waste Management Regulations

Page 8: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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New API HF-related Standards

ANSI/API RP 100-1, Hydraulic Fracturing – Well

Integrity and Fracture Containment, 1st Edition,

October 2015

ANSI/API RP 100-2, Managing Environmental

Aspects Associated with Exploration and Production

Operations Including Hydraulic Fracturing, 1st

Edition, August 2015

ANSI/API Bulletin 100-3, Community Engagement

Guidelines, 1st Edition, July 2014

Page 9: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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Hydraulic Fracturing – Well Integrity and Fracture

Containment, 1st Edition, October 2015

Scope – contains recommended practices for onshore

well construction and fracture stimulation design and

execution as it relates to well integrity and fracture

containment

Well integrity: the design and installation of well

equipment to a standard that

protects and isolates useable quality groundwater,

delivers and executes a hydraulic fracture treatment,

and

contains and isolates the produced fluids

ANSI/API RP 100-1

Page 10: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-1

Hydraulic Fracturing – Well Integrity and Fracture

Containment, 1st Edition, October 2015

Fracture containment: the design and execution

of hydraulic fracturing treatments to contain the

resulting fracture within a prescribed geologic

interval

This document is not a detailed well construction

or fracture design manual

Page 11: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-2

Managing Environmental Aspects Associated with

Exploration and Production Operations Including

Hydraulic Fracturing, 1st Edition, August 2015

Scope – provides proven practices applicable to the

planning and operation of wells, and hydraulically

fractured wells

Topics covered include managing environmental

aspects during planning; site selection; logistics;

mobilization, rig-up, and demobilization; well

construction; and stimulation operations

Page 12: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-2

Managing Environmental Aspects Associated with Exploration

and Production Operations Including Hydraulic Fracturing, 1st

Edition, August 2015

Provides recommendations on the following topics:

baseline groundwater sampling

source water management

material selection

transportation of materials and

equipment

storage and management of

fluids and chemicals

management of solid and

liquid wastes

air emissions

site planning

training

noise and visual resources

Page 13: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-2

Produced water provisions:

Produced water should be evaluated for possible

treatment and reuse

Produced water impoundments should be lined with

a natural or synthetic liner compatible with the

material being stored

Personnel involved with produced water

management and handling shall be properly trained

Operators should be aware of the general produced

water characterization to identify and mitigate the

potential worker hazards

Page 14: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-2

Produced water provisions:

Surface impoundments should be designed and

constructed to provide structural integrity for the life

of their operation

Operators should document and maintain information

about hydraulic fracturing fluid, produced water and

additive management and storage at the well site

Appropriate protective equipment and fluid

management practices shall be used to protect

personnel from contact with the produced water

Page 15: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-3

ANSI/API Bulletin 100-3, Community Engagement Guidelines,

1st Edition, July 2014

Scope – outlines what local communities and other key stakeholders can expect from operators

It is designed to acknowledge challenges and impacts

that occur during the industry’s presence in a given region

Provides flexible and adaptable strategies, recognizing

that application will vary from operator to operator and

community to community

These guidelines are intended primarily to support onshore

oil and gas projects for shale developments; however,

they can be adapted to any oil and gas project in the U.S.

Page 16: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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ANSI/API RP 100-3

ANSI/API Bulletin 100-3, Community Engagement Guidelines,

1st Edition, July 2014

Share as a guide for “good neighbor” policies to help

maintain a license to operate

Manage expectations for all stakeholders

To be used by stakeholders and industry—operators,

contractors, service companies, and local communities

and officials

Assist the operator in developing an adaptable and

evergreen engagement plan

Build long-lasting, successful relationships within the

communities where the industry operates

Page 17: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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RP 51R, Environmental Protection for Onshore Oil and

Gas Production Operations and Leases, 1st Edition, July

2009

Provides environmentally sound practices for

domestic onshore oil and gas production operations

intended to be applicable to contractors as well as

operators

Std 65-2, Isolating Potential Flow Zones During Well

Construction, 2nd Edition, December 2010

Provides guidance on controlling flows just prior to,

during, and after primary cementing operations to

install or set casing and liner pipe strings in wells

Other HF-related Standards

Page 18: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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Spec 10A, Cements and Materials for Well Cementing

RP 10B-2, Testing Well Cements

Spec 13A, Drilling Fluid Materials

RP 49, Drilling and Well Service Operations Involving Hydrogen Sulfide

Std 53, Blowout Prevention Equipment Systems for Drilling Wells

RP 54, Occupational Safety for Oil and Gas Well Drilling and Servicing Operations

RP 59, Well Control Operations

RP 74, Occupational Safety for Onshore Oil and Gas Production Operation

Bull 75L, Development of a Safety and Environmental Management System for Onshore Oil and Natural Gas Production Operation and Associated Activities

RP 90-2, Annular Casing Pressure Management for Onshore Wells

Other HF-related Standards

Page 19: New API Industry Standards for Shale Development · 3 API Background 1919: API founded as non-profit national trade association, New York City Three initial priorities –taxes, statistics,

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Questions?

Roland Goodman

Manager, Upstream Standards

American Petroleum Institute

1220 L Street, NW

Washington, DC 20005

202-682-8000

[email protected]

www.api.org/Standards

www.api.org/policy/exploration/hydraulicfracturing