Michigan Oil & Gas Monthly – May 2015

In the May edition of the Michigan Oil & Gas Monthly (MOGM) we see something relatively new in the Michigan Basin: hydraulic fracturing with carbon dioxide (CO2).   The nomenclature itself sounds funny because CO2 is not water and therefore the word hydraulic seems out of place.   RMP has recently acquired the Record of Well Completion for the State Sherman & Forshee & Cooper 1-33A well in Sherman Township Michigan in Osceola county.   The well was fracture stimulated with 51 tons of liquid CO2 and 10,500# of ceramic proppant in December of 2014.   The initial flowback production from the Prarie Du Chien formation was 120 BOPD and 1.5 MMCFD of natural gas.   In our February MOGM edition we were watching a company called GasFrac who is fracing using hydrocarbons.  Fracing using CO2 is similar in that both methods are waterless. Click here to open a new tab in your browser to see the State Sherman & Forshee & Cooper 1-33A well on our interactive map.

The State Sherman & Forshee & Cooper 1-33A well is south of Cadillac and just north of Rose Lake. Follow this URL to see the well on our interactive map: http://www.respectmyplanet.org/public_html/site/pru_number/?pru=17795
The State Sherman & Forshee & Cooper 1-33A well is south of Cadillac and just north of Rose Lake. Copy & paste this URL into your browser to see the well on our interactive map: http://www.respectmyplanet.org/public_html/site/pru_number/?pru=17795

If you’ve been paying attention to the clues over the past couple years, it is not surprising to hear of a Michigan well being fracture stimulated using CO2.   In 2012 we heard our first clue about CO2 when Governor Rick Snyder said “I am asking the Legislature to enact a law that will grant carbon dioxide pipelines the same legal standing as other Continue reading “Michigan Oil & Gas Monthly – May 2015”

2014 Top Oil, Gas, & NGL Producing Units in the Michigan Basin

Understanding Michigan hydrocarbon production data is important for anyone interested in understanding the economics of energy production.  Join us as we continue our journey to compile oil & gas production information that helps everyone understand more about energy, economics, and the protection of our public natural resources.   There’s a ton of information out there.   But how should we break it down in a way that tells us what’s really going on?  With everything happening across our communities, at the state level, at the federal level, and even internationally, where do you focus your effort?   What really matters?

Well, one thing that matters to everybody is money.  When you get all the fluff out of the way, you realize it’s been about money the whole time.   Dolla dolla bills y’all.   Money is a common denominator regardless currency, boundary, nationality, company, or even  country.  Furthermore, it doesn’t matter if you’re talking oil, natgas, coal, wind, or solar either;  energy’s common denominator is cost per unit.   Money is the great leveler.  But understanding money can get complicated.  It gets especially complicated to understand money when you consider the long term environmental impact costs of energy production.  For example, you could have high initial investment costs that have much better long term returns with respect to environmental impacts vs low initial costs that have large long term negative consequences on the environment.

Merit Energy's website can be found here: https://www.meritenergy.com/
Merit Energy’s website can be found here: https://www.meritenergy.com/

Just looking at the oil produced or gas produced won’t tell you the whole story about energy economics either.   It will, however, teach us just a little bit more about the big picture; it’s like another brick in the wall. To understand the money as it relates to oil & gas, we need to understand fundamentals like Continue reading “2014 Top Oil, Gas, & NGL Producing Units in the Michigan Basin”

Michigan Oil & Gas Monthly – April 2015

2014 Hydrocarbon production results for Michigan have all been updated into the Michigan database.   Merit Energy’s Norwich Unit located just west of Higgins Lake was the #1 oil producer in 2014 at 119,187 barrels.   This unit, made up of 288 wells, is referred to as a water flooding unit which means it is in secondary recovery.  The per well production for this unit is actually very low at just over 1.1 BOPD.   Take a minute to click here to view our interactive map of the 288 wells that make up this PRU (a static image of our interactive map is shown below).  Zoom in on our Google map a little and you’ll see black oil markers mixed in with blue water injection markers.   Water, which is heavier than oil, is injected in the oil reservoir through wells at the blue colored markers which pushes oil up to the surface at wells located at the black colored markers where there are pumpjacks.

Merit Energy's Norwich Unit, made up of 288 wells, was the #1 oil producing unit in Michigan in 2014.  Check out the interactive map @ http://www.respectmyplanet.org/public_html/site/pru_number/?pru=20020
Merit Energy’s Norwich Unit, made up of the 288 wells in the picture above, was the #1 oil producing unit in Michigan in 2014. Check out the interactive map @ http://www.respectmyplanet.org/public_html/site/pru_number/?pru=20020

Even though this PRU is the #1 oil producing unit in Michigan for 2014, on a per well basis, it wouldn’t even Continue reading “Michigan Oil & Gas Monthly – April 2015”

Michigan Oil & Gas Monthly – March 2015

Michigan Oil & Gas Monthly March 2015

Welcome to Volume 3 of the Michigan Oil & Gas Monthly for March 2015.   In the featured image above is a March 2015 photo of the Dettore Et al 1-9 well in Lyon Township, Michigan.  This Oakland County well is at the crossroads of Grand River, Milford Road, and Pontiac Trail in downtown New Hudson.  The well is just south of the only runway at the Oakland Southwest Airport which was formerly called the New Hudson Airport.   Surveillance cameras and No Trespassing signs surround this well pad that runs right along side the Huron Valley Trail.  The flare stack burns 24/7 and most likely attracts kids like a porch light attracts moths as it looks to be heavily damaged by mischievous behavior over the last 20 years.

The Dettore Et al 1-9 well was completed May 29, 1985 into the Niagaran Gray formation.  It has reported production of 423k barrels of oil over 17 years and 1 month.  Although it looks active, as evidenced by the flare stack burning 24/7, the well does not have reported production since December of 2011.  Although there is a oil & water separator and a waste water tank on the well site that can be seen from the Huron Valley trail, the well has not reported any waste water production in its 17 year exisistence.   This well was listed on the 1993 SAP list for contaminated soil.

Continue reading “Michigan Oil & Gas Monthly – March 2015”

Analysis of Michigan Department of Environmental Quality High Volume Hydraulically Fractured Well Completions and Applications

High Volume Hydraulic Fracturing in Michigan

Please read this paper to learn more about High Volume Hydraulic Fracturing in Michigan.  This document is hosted by Friends of the Au Gres-Rifle Watershed.

ANALYSIS OF MICHIGAN DEPARTMENT OF ENVIRONMENTAL QUALITY HIGH VOLUME HYDRAULICALLY FRACTURED WELL COMPLETIONS AND APPLICATIONS

Responsibly Migrating Away from Crude Oil

Toyota Mirai Fuel Cell Electric Vehicle

Crude oil and internal combustion engines are a part of our lives.   Crude oil refines into the primary energy that gets our vehicles around today.   It’s what powers our cars and trucks on freeways across America every day.   Crude oil is responsible for many jobs and products across our country and around the world.   RMP takes those jobs, especially the jobs in America, very seriously. We feel a great responsibility to make sure it is well understood that we care  about jobs provided by the oil & gas industry to Americans and people around the world.  RMP advocates, however, for an immediate and responsible migration away from crude oil as a fuel source.  By ramping up the displacement of internal combustion engines with fuel cell electric vehicles (FCEVs), like the Toyota Mirai pictured above, America’s economy and national security will improve.  Mirai is the Japanese word for future.

Continue reading “Responsibly Migrating Away from Crude Oil”

Michigan Oil & Gas Monthly – February 2015

Welcome to Volume 2 of the Michigan Oil & Gas Monthly.   In the featured image above, a GasFrac Energy Services truck rolls westbound down I-96 in Novi Michigan on February 6, 2015.  GasFrac uses a proprietary waterless fracing process to fracture rock with a mixture of liquid petroleum gases.   The main ingredient in their frac fluid is gelled propane (C3H8).

We have seen a poor success rate recently in the A1 Carbonate in Michigan for operators targeting the A1.  Many recent A1 attempts in Michigan have made the HVHF list calling for millions of gallons of water for completion in the application.   Operators have changed their completion techniques on the fly and have moved away from such high volumes of water and hydraulic fracturing altogether; but still have had no success.   One theory is that the water is damaging the formation and it therefore will not produce.  Since gelled propane is a hydrocarbon (C3H8), it is soluble in the A1 formation fluids unlike water an perhaps may not Continue reading “Michigan Oil & Gas Monthly – February 2015”

Michigan Oil & Gas Monthly – January 2015

Welcome to the first ever edition of the Michigan Oil & Gas Monthly by RMP.   We will be publishing this monthly magazine / newsletter to keep you up to date on activity in the Michigan oil patch.  We will be taking a  look at Michigan hydrocarbon production and fresh water management.  This magazine, like everything else published at RMP, is free and will always be free.  The format will be an article like this one you’re reading with an accompanying video (like the one above) that showcases the same information.

Each month in this report we will be recapping basic activity & statistics from the prior month.  We have already published this post and this post to bring you up to speed on the basics of Michigan petroleum geology and Michigan hydrocarbon production.  As stated in the aforementioned posts, activity in Michigan is at its lowest level in recorded history since records started being kept in 1927.  So, there is not a ton of new activity to report in Michigan as most of the reservoirs we are aware of in the state are conventionally depleted and most new reservoirs found are modest producers as compared to other oil & gas plays in America.  The activity that is going on in Kalkaska, however, is different than anything that’s ever been done in Michigan.  So, even though permit numbers and activity Continue reading “Michigan Oil & Gas Monthly – January 2015”

Michigan Petroleum Production 101

Understanding petroleum production in Michigan can be difficult if you’re new to it. It can also be confusing even after you’ve studied it.   My 9 year old son just started the 2014-15 basketball season.   The kids just had their first two practices last week and the coach warned the first few practices would be pretty boring. Coach said the first few practices would be dedicated to the fundamentals of dribbling, passing, and shooting exercises.   Sometimes kids just want to play games. But, they’re never going to achieve success unless time is set aside at the beginning for learning the fundamentals. My point with that anecdote is the first steps toward understanding petroleum production in Michigan are much the same. The key elements of petroleum production to know first are: history, units of measure, production resource units, and pricing.  Respectmyplanet has access to the same production data that everyone else does. What’s different is that we use exclusive software written for communicating this data in a way that’s interactive with our map.   We intend in this article to give you a primer course on production basics so in future articles we can Continue reading “Michigan Petroleum Production 101”

The Keystone XL Pipeline

keystone xl

The recent mid-term election in America has brought the Keystone XL pipeline to the forefront of American politics again. Washington DC has enthusiasm and momentum to push through legislation that will approve the final phase of the Keystone Pipeline System: the Keystone XL. But how did America get involved between the National Energy Board’s ambition to get bitumen to China and other foreign markets? The answer is simple: Alberta is landlocked and a pipeline across America is one route to economically get the bitumen to China or other foreign markets.

Chinese flag

China needs energy. China faces many challenges to get enough energy to keep their economy moving and producing for over 1.3 billion people.   China has made some remarkable moves toward making clean energy recently when they endeavored to start building more IGCC plants for electricity production from syngas.  IGCC technology with Continue reading “The Keystone XL Pipeline”