September 2009Produced Water Volumes and Management Practices Page 3



## Table of Contents

Executive Summary ............................................................................................................. ........... 7 Chapter 1 — Introduction ...................................................................................................... ....... 11 1.1 Purpose ................................................................................................................... ....... 11 1.2 Background ................................................................................................................ ... 11 1.3 Overview .................................................................................................................. ..... 11 Chapter 2 — Produced Water .................................................................................................... ... 13

2.1 Definition of Produced Water ....................................................................................... 13 2.2 Previous Produced Water Volume Estimates ............................................................... 13 2.3 Characteristics of Produced Water ................................................................................ 14 2.4 Produced Water Management ....................................................................................... 15 2.4.1 Discharge .............................................................................................................. 15 2.4.2 Underground Injection for Disposal ..................................................................... 16 2.4.3 Underground Injection for Increasing Oil Recovery ............................................ 16 2.4.4 Evaporation ........................................................................................................... 1 6 2.4.5 Offsite Commercial Disposal ................................................................................ 17 2.4.6 Beneficial Reuse ................................................................................................... 17 Chapter 3 — Approach .......................................................................................................... ....... 19 3.1 Information Request and Questionnaire ....................................................................... 19 3.2 Additional Production Information ............................................................................... 21 Chapter 4 — Analysis and Results .............................................................................................. . 23 4.1 Response to Questionnaire ............................................................................................ 23 4.2 Incomplete Data ........................................................................................................... . 23 4.3 Inconsistent Data ......................................................................................................... .. 24 4.4 Production Summary .................................................................................................... 24 4.5 Produced Water Management Summary ...................................................................... 29 Chapter 5 — State-by-State Summary .......................................................................................... 3 3

5.1 Alabama ................................................................................................................... ..... 33 5.2 Alaska .................................................................................................................... ....... 33 5.3 Arizona ................................................................................................................... ....... 34 5.4 Arkansas .................................................................................................................. ...... 34 5.5 California ................................................................................................................ ...... 34 5.6 Colorado .................................................................................................................. ...... 35 5.7 Florida ................................................................................................................... ........ 35 5.8 Illinois .................................................................................................................. ......... 35 5.9 Indiana.................................................................................................................... ....... 36 5.10 Kansas ................................................................................................................... ........ 36 5.11 Kentucky ................................................................................................................. ...... 37 5.12 Louisiana ................................................................................................................ ....... 37 5.13 Michigan ................................................................................................................. ...... 37 5.14 Mississippi .............................................................................................................. ...... 38Produced Water Volumes and Management Practices Page 4

5.15 Missouri ................................................................................................................. ....... 38 5.16 Montana .................................................................................................................. ...... 38 5.17 Nebraska ................................................................................................................. ...... 39 5.18 Nevada ................................................................................................................... ....... 39 5.19 New Mexico ............................................................................................................... ... 39 5.20 New York ................................................................................................................. ..... 40 5.21 North Dakota ............................................................................................................. .... 40 5.22 Ohio...................................................................................................................... ......... 41 5.23 Oklahoma ................................................................................................................. ..... 41 5.24 Pennsylvania ............................................................................................................. .... 41 5.25 South Dakota ............................................................................................................. .... 42 5.26 Tennessee ................................................................................................................ ...... 42 5.27 Texas .................................................................................................................... ......... 42 5.28 Utah ..................................................................................................................... .......... 43 5.29 Virginia ................................................................................................................. ........ 43 5.30 West Virginia ............................................................................................................ .... 44 5.31 Wyoming................................................................................................................... .... 44 Chapter 6 — Federal and Tribal Summary ................................................................................... 45

6.1 Federal Onshore Production ......................................................................................... 45 6.2 Federal Offshore Production ......................................................................................... 45 6.3 Tribal Lands .............................................................................................................. .... 45 Chapter 7 — Findings and Conclusions ....................................................................................... 47 7.1 Findings................................................................................................................... ...... 47 7.1.1 Produced Water Volume ....................................................................................... 47 7.1.2 Produced Water Volume by Hydrocarbon Type .................................................. 47 7.1.3 Produced Water Management Practices ............................................................... 48 7.2 Conclusions ............................................................................................................... .... 48

References .................................................................................................................... ................. 51 Appendix A — Sample Letter .................................................................................................... .. 59



## List of Figures

Figure 1. Total U.S. produced wa ter generated in 2007 by state .................................................. 26 Figure 2. Ten largest produced water generators and thei r contributions to gas and crude oil production ................................................................................................ 27 Figure 3. Source in percent of total U. S. surface discharges for produced water management in 2007 ........................................................................................... 31Produced Water Volumes and Management Practices Page 5



## List of Tables

Table 1. Produced Water Volume Information ............................................................................. 20 Table 2. Produced Water Management Information ..................................................................... 20
Table 3. U.S. Onshore and Offshore Oil, Ga s, and Produced Water Generation for 2007 .......... 25 Table 4. Water-to-Hydrocarbon Ratio for 2007 from Available Data .......................................... 28

Table 5. U.S. Produced Water Volume by Management Practice for 2007 ................................. 30Produced Water Volumes and Management Practices Page 6

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## Executive Summary

Produced water is water from underground formations that is brought to th e surface during oil or gas production. Produced water is th e largest volume by-product or waste stream associated with oil and gas exploration and production. The cost of managing such a large volume of water is a key consideration to oil and gas producers. Previous national produced water volume estimates are in the range of 15 to 20 bill ion barrels (bbl; 1 bbl = 42 U.S. gallons) generated each year in the United States. This is equivalent to a volume of 1.7 to 2.3 billion gallons per day. In comparison, the Washington D.C. government and surrounding jurisdictions provide about 300 million gallons per day of dri nking water to local residents, businesses, and other users. This represents only about 13% of the daily produced water volume. As another example, consider a backyard swimming pool th at is 20 ft wide by 50 ft long and 5 ft deep. The volume of water needed to fill such a pool is about 37,000 gal or about 900 bbl.

Produced water volume genera tion and management in the United States are not well characterized at a national level. The U.S. Department of Energy asked Argonne National Laboratory to compile data on produced water as sociated with oil and gas production to better understand the production volumes a nd management of this water.

This report provides a current esti mate for the volume of produced water generated from oil and gas production in the United States. The volume estimate represents a compilation of data obtained from numerous state o il and gas agencies and several federal agencies for 2007, where possible. The total volume of produced water es timated for 2007 is about 21 billion bbl. This equals an average of 57.4 million bbl/day. Produced water is generated from most of the nearly 1 million actively producing oil and gas wells in the United States.

Argonne contacted state oil and gas agencies in the 31 states with active oil and gas production to obtain detailed information on produced wate r volumes and management. Not all states had readily available precise produced water volume figures. In a few states, the agencies had very complete data records easily obtainable from onl ine sources. Other stat es had summary-level volume data without much detail or had data av ailable only in in-house data repositories. The most challenging states were t hose that had no produced water data at all. In those cases, we calculated estimates through ex trapolation and correlations using hydrocarbon production and produced water volumes from neighboring states. To obtain federal data, Argonne contacted the Minerals Management Service, the Bureau of Land Management, and the U.S. Environmental Protection Agency.

State and federal onshore produc tion contribute the majority of produced water (more than 20 billion bbl) in the United States. A signi ficant amount of produced water (more than 700 million bbl or about 3% of the national total) is also generated from federal offshore production activities and from production on tr ibal lands. The five states with greatest produced water volumes in 2007 were Texas, California, Wyoming, Oklahoma, and Kansas. The produced water volumes from these states repr esent nearly 75% of total U.S. production (onshore and offshore), as shown in Figure 1. Texas, with more than 7.3 billion bbl, contributed 35 % of the total volume of produced water generated in the United States in 2007. The contributions from the other fiveProduced Water Volumes and Management Practices Page 8

states with produced water volumes exceeding 1 billion bbl were California (12%), Wyoming (11%), Oklahoma (11%), Kans as (6%), and Louisiana (5%).

The greatest produced water contributors are not necessarily the greatest producers of oil and gas. While Texas was the largest gas produ cer in the United States (nearly 6,900,000 million cubic feet [Mmcf] in 2007), fede ral offshore production activities provided the largest volume of crude of more than 467,000,000 bbl. Although federa l offshore production ge nerates nearly 27% of U.S. crude oil production, less than 3% of tota l U.S. produced water is generated from federal offshore activities.

In addition to total volumes produced, it is useful to consider the water-to- oil ratios (WORs) and water-to-gas ratios (WGRs) from production activities as this information can be used to evaluate the relative production ag e of resources within the produc tion lifetime. To that end, we asked the agencies to provide produced wate r volumes by hydrocarbon types (i.e., crude oil, conventional gas, coal bed methane, unconventional gas, or other), to the extent the data were available at that level of detail. Most states we re unable to break out produced water volumes for all categories, but some states could at leas t provide estimates of produced water from oil production vs. natural gas production. States that segregated produced water by hydrocarbon type categorized 6,666,144,270 bbl of produced wa ter. Eighty-seven percent (5,770,327,439 bbl) of produced water came from oil production activities.

We also were able to calculate separate WORs and WGRs for several states that reported produced water separately for hydrocarbon type (W ORs for 14 states and WGRs for 11 states). A national average WOR calculated using the produc tion-weighted ratios from the 14 states was 7.6 bbl/bbl. When offshore production was adde d to the onshore production, the total average U.S. WOR was 5.3 bbl/bbl. A national average WGR calculated using the production-weighted ratios from the 11 states wa s 260 bbl/Mmcf. When offshore pr oduction was added to the onshore production, the total average U. S. WGR was 182 bbl/Mmcf.

Two general water management themes were fo llowed by most U.S. operators in 2007. More than 98% of produced water from onshore wells is injected underground. Approximately 59% is injected into producing formati ons to maintain formation pres sure and increase the output of production wells. Another 40% of produced wate r from onshore wells is injected into nonproducing formations for disposal. More than 91% of offshore produced water, including the water from inshore platforms in Cook Inlet, Al aska, is discharged to the ocean. Most of the remaining volume is reinjected for enhanced re covery. The remaining 2% of national produced water volume was managed through evaporation ponds , offsite commercial disposal, beneficial reuse, and other management methods.

The produced water volumes WORs , and WGRs included in this report are based on the best data available. The best data was far from complete, however. Argonne needed to extrapolate information from states with detailed produced water data for other nearby states with limited produced water information. The national averag e WOR and WGR values were estimated using data from less than half of the oil and gas producing states. Several of the states that have large numbers of producing wells, particularly in mature fields with many stripp er wells (e.g., Texas, Oklahoma) did not have produced water data se gregated by production type. If those data hadProduced Water Volumes and Management Practices Page 9

been included with the states already in the average, it is probable that the WOR and WGR would be substantially larger.Produced Water Volumes and Management Practices Page 10

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## Chapter 1 — Introduction

1.1 Purpose Produced water volume genera tion and management in the United States are not well characterized at a national level. The U.S. De partment of Energy (DOE) asked Argonne National Laboratory to compile data on produced water as sociated with oil and gas production to better understand the production volumes and management of this water. The purpose of this report is to improve understanding of produced water by providing detailed inform ation on the volume of produced water generated in the Un ited States and the ways in whic h produced water is disposed or reused. As the demand for fresh water resour ces increases, with no concomitant increase in surface or ground water supplies, alternate water sources, like produced water, may play an important role.


### 1.2 Background Produced water is water from underground formations that is brought to th e surface during oil or gas production. Because the water has been in co ntact with hydrocarbon-bearing formations, it contains some of the chemical characteristics of the formations and the hydrocarbons. It may include water from the reservoir, water previously injected into the formation, and any chemicals added during the production processes. The physical and chemical properties of produced water vary considerably depending on the geographic lo cation of the field, the geologic formation, and the type of hydrocarbon product being produced. Produced wate r properties and volume also vary throughout the lifet ime of a reservoir.

Produced water is the largest vo lume by-product or waste stream associated with oil and gas exploration and production. Previous national produced water volum e estimates are in the range of 15 to 20 billion barrels (bbl; 1 bbl = 42 U.S. ga llons) generated each year in the United States (API 1988, 2000; Veil et al. 2004). However, th e details on generation and management of produced water are not well unde rstood on a national scale.



### 1.3 Overview Argonne National Laboratory develo ped detailed national-level in formation on the volume of produced water generated in the United States and the manner in which produced water is managed. This report presents an overview of produced water, summarizes the study, and presents results from the study at both the nation al level and the state level. Chapter 2 presents background information on produced water, describi ng its chemical and physical characteristics, where it is produced, and the potential impacts of produced water to the environment and to oil and gas operations. A review of relevant literature is also included. Chapter 3 describes the methods used to collect information, including outr each efforts to state oil and gas agencies and related federal programs. Because of the inconsiste ncy in the level of detail provided by various state agencies, the approaches and assumptions used to extrapolate data values are also discussed. In Chapter 4, the data are presen ted, and national trends and observations are discussed. Chapter 5 presents detailed results fo r each state, while Chapter 6 presents results from federal sources for oil and gas production (i.e., offshore, onshore, and tribal lands). Chapter 7 summarizes the study and presents conclusions.Produced Water Volumes and Management Practices Page 12

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## Chapter 2 — Produced Water
This chapter provides a brief in troduction to produced water and produced water management. A more thorough discussion of pr oduced water can be found in A White Paper Describing Produced Water from Production of Crude O il, Natural Gas, and Coal Bed Methane (Veil et al. 2004).



### 2.1 Definition of Produced Water
Produced water is water found in the same formati ons as oil and gas. When the oil and gas are produced to the surface, the produced water is brought to the surface, too. It is also referred to as “brine,” “saltwater,” or “formation water.” Pr oduced water contains some of the chemical characteristics of the formation from which it was produced and associated hydrocarbons.

Produced water properties (both physical and chemical) and volume vary considerably depending on the geographic location of the fi eld, the geologic formation, the type of hydrocarbon product being produced, and the lifetime of a reservoir. For example, early in the life of an oil well, oil producti on is high and water production is low. As the production age of the well increases, the oil produc tion decreases and the water production increases. When the cost of managing produced water exceeds the prof it from selling oil, production is terminated and the well is closed. This is contrary to th e typical production cycle of a coal bed methane (CBM) well. Initially CBM wells produce large volumes of water, which decline over time. Methane production is initially low, increases over time to a peak, and then decreases.



### 2.2 Previous Produced Water Volume Estimates While one of the purposes of this report is to present a current estimate of produced water volumes, it is useful to know previous estimates and the assumptions used in arriving at those estimates. Khatib and Verbeek (2003) estimate d a global average of 210 million bbl of water produced each day, which resulted in an annual estimate for 1999 of 77 billion bbl of produced water. It is not clear how those authors derive d their estimate (collecting and compiling accurate produced water data within a sing le country is a challenging tas k, as described in Chapter 3). International estimates must be taken as approximations. U.S. onshore estimates of produced water from oil and gas activities were estimate d at 21 billion bbl in 1985 and 18 billion bbl in 1995 by the American Petroleum Institute (A PI 1988, 2000) and 14 billion bbl in 2002 by Veil et al. (2004). Significant additional volumes of produced water are generated at U.S. offshore wells.

The volume of water produced fr om oil and gas wells does not remain constant over time. The water-to-hydrocarbon ratio increases over the life of the well. Initially, water represents a small percentage of produced fluids. Ov er time, the percentage of wate r increases and the percentage of hydrocarbon decreases. In the study by Khatib and Verbeek (2003), a world average estimate was reported to be 3 bbl of water for each barrel of oil. U.S. wells are typically further in their production lifetime than the global average. Veil et al (2004) reported an average of more than 9.5 bbl of water for each barrel of oil in the United States.Produced Water Volumes and Management Practices Page 14

CBM wells, in contrast to oil and gas wells, produ ce a large volume of water early in their life, and the water volume declines over time. CBM wells have increased consid erably since the 1995 API study year and were not included in the stud y by Veil et al. (2004). As a result, the actual produced water volume in the United States is most likely higher than the 14 to 18 billion bbl estimates previously reported.



### 2.3 Characteristics of Produced Water The physical and chemical properties of produ ced water vary consid erably depending on the geographic location of the field, the geologic fo rmation from where the water was produced, and the type of hydrocarbon produc t being produced. For those si tes where waterflooding is conducted, the properties and volumes of the produced water may vary dramatically due to the injection of additional water into the forma tion to increase hydrocarbon production. The major constituents of concern are salt content (often expressed as salinit y, conductivity, or total dissolved solids [TDS]), oil and grease (var ious organic compounds associated with hydrocarbons in the formation), inorganic a nd organic compounds introduced as chemical additives to improve drilling and production operations, and na turally occurring radioactive material.

Understanding the constituents of specific produc ed waters aids regulatory compliance and the selection of appropriate manageme nt options for the produced water, such as secondary recovery and disposal. Oil and grease is the most important constituent in offshore produced water. It is also an important one for onshore produced water. Note that the term oil and grease refers not a single chemical, but rather to an analytical test that measures the presence of many families of organic chemicals. A study of produced water in the western United States found the oil and grease content to range from 40 mg/L to 2,000 mg/L (Benko and Drewes 2008). Another important constituent of concern in onshore opera tions is the salt content of produced water. According to Cline (1998), most produced wate rs are more saline than seawater. Benko and Drewes (2008) found the TDS con centration of produced water in the western United States to vary between 1,000 mg/L and 400,000 mg/L. While hi gh TDS can increase maintenance costs, detecting TDS assists in defining the pay zones of a formation, when coupled with resistivity measurements (Breit et al. 1998).

Produced water from oil production activities often c ontains constituents in addition to those that are naturally found within the form ation. Additional water is often needed to maintain sufficient pressure in a reservoir for oil production. Produced water may be reused for this purpose, but the water may also be supplied from additional s ources including groundwater and seawater. These additional water sources may contain additional solids and microorganisms (Chapelle 2001; Dowd et al. 2000). To combat scaling and maintain production efficiency, chemical additives such as corrosion and scale inhibitors, emulsion breakers, coagulants, and solvents may be used in drilling operations, production operations, and separations proces sing. The production of a well can be improved by utilizing the appropriate scale inhibitor and well-treatment chemicals according to the characteristics of the formation (Breit et al. 1998). However, these additives can become part of the produced water a nd can affect its overall toxicity.

Produced water from gas production has different characteristics than pro duced water from oil production. In addition to formation water, water produced from gas production will containProduced Water Volumes and Management Practices Page 15

condensed water, which is water that was in the vapor phase wh ile in the reservoir but then condenses into a liquid state in the production separation system.

Produced water from CBM production differs fr om produced water from both oil and gas production. Oil and grease are less of a concern from CBM water th an other produced waters. To recover the methane in CBM rese rvoirs, the hydrostatic pressure that caused the adsorption of methane to the coal bed is reduced through the removal of water from the reservoir via CBM wells. Characteristics of CBM water that may affect reuse are salinity, sodicity, and to a lesser extent iron, manganese, and boron (ALL 2003).


### 2.4 Produced Water Management While produced water can be reused if certain water quality co nditions are met, most produced water generated is disposed. For offshore pr oduction activities, produced water is usually disposed of through direct ocean discharge af ter treatment. For onshore production activities, produced water is managed in a variety of ways . According to API (2000), 92% of the 18 billion barrels of produced water generated in 1995 wa s managed through injection. Three percent of the 18 billion bbl of produced water was disc harged under National Pollutant Discharge Elimination System (NPDES) permits; nearly all of this water was generated from coal bed methane operations. Two percent was managed thr ough beneficial reuse. The remaining 3% was disposed through other methods including evapor ation, percolation pits , and publicly owned treatment works (API 2000). Thes e management methods are briefl y described in this section.

2.4.1 Discharge For U.S. offshore operations, the majority of pro duced water is discharged to the ocean and is subject to applicable regulatory requirements. Offshore produced water disc harges are authorized by NPDES general permits issued by U.S. En vironmental Protection Agency (U.S. EPA) regional offices. All of the permits contain a monthly average limit of 29 mg/L and a 42 mg/L daily maximum limit for oil and grease.

In the U.S., wells in “coastal” areas generally may not discha rge produced water, although there are exceptions for some wells th at are located in Alaska’s Cook Inlet (Veil et al. 2004). Offshore activities around the globe typically discharge to the ocean, although countries have different discharge standards.

Discharge activities from onshore production are pr imarily limited to water produced from CBM activities or from other oil and gas wells in the western United States th at have produced water with low salinity. Currently, the decision to allo w CBM water discharges is made by either state agencies or U.S. EPA regional offices, dependi ng on the state’s permitting authority (Veil 2002). U.S. EPA has initiated a study on CBM to determin e if national effluent limitation guidelines are needed. 1

1 Argonne National Laboratory, “Produced Water Manageme nt Technology Descriptions: Fact Sheet – Discharge,”

Produced Water Management Information System (PWMIS), created for U.S. Department of Energy (DOE) andProduced Water Volumes and Management Practices Page 16

2.4.2 Underground Injection for Disposal Twenty-one percent of produced water generated in the Unite d States in 1995 was managed through injection wells. Under U.S. EPA rules, pr oduced water injection we lls are classified as Class II wells and managed by the Underground In jection Control program. Class II wells may be classified as II-R (enhanced recovery), II-D (disposal), or I I-H (hydrocarbon storage) (U.S. EPA 2008a). Class II injec tion wells are designed and constr ucted to inject fluids to authorized zones in a manner that does not a llow migration into underg round sources of drinking water (USDWs). Injection wells for disposal are often located in fo rmations that enable water to enter at pressures below the fracture pressure and are isol ated from USDWs and hydrocarbonproducing formations.

In addition to locating a formation with appropriate characteristics to receive the water, it is also important that the produced water is chemically compatible with the receiving formations. This may require treatment prior to in jection to manage excessive so lids, dissolved oil, corrosion, chemical reactions, or microorganisms. 2

2.4.3 Underground Injectio n for Increasing Oil Recovery Most produced water generated onshore is inje cted to maintain reservoir pressure and hydraulically drive oil toward a producing well. This practice is often referre d to as enhanced oil recovery (EOR), and is also referred to as water flooding or steam flooding, depending upon the temperature of the water. In 1995, injection for EOR managed 71% of the produced water generated (API 2000). When managed via inje ction for EOR, produced water becomes a resource rather than a waste product. 3

2.4.4 Evaporation While not practiced as widely as injection, ev aporation is a simple management strategy for produced water. A typical evaporation approach directs produced water into a pond with a large surface area. Water then passively evaporates from the surface. The rate of evaporation will depend on the size, depth, and location of the pond, as well as the quality of the produced water. In semiarid regions, hot, dry air moving from a land surface will result in high evaporation rates for smaller ponds. As the concentration of solids and other constituents increase in the remaining produced water, the evaporation rate will decrease over time. This management approach can be conducted onsite in small evaporation ponds or can be conducted offsite at large commercial facilities. One drawback to eva poration ponds is that they are of ten attractive to waterfowl. To

National Energy Technology Laboratory (NETL). Availa ble at http://www.netl.doe.gov/technologies/pwmis/ techdesc/discharge/index.html. Accessed March 30, 2009.
2 Argonne National Laboratory, “Produced Water Management Technology Descriptions: Fact Sheet – Underground

Injection for Disposal,” PWMIS, created for DOE and NETL. Available at http://w ww.netl.doe.gov/technologies/ PWMIS/techdesc/injectdisp/index.html. Accessed March 30, 2009.
3 Argonne National Laboratory, “Produced Water Management Technology Descriptions: Fact Sheet – Underground

Injection for Increasing Oil Recovery,” PWMI S, created for DOE and NETL. Available at http://www.netl.doe.gov/technologies /PWMIS/techdesc/injecteor/index. html. Accessed March 30, 2009.Produced Water Volumes and Management Practices Page 17

mitigate the risk of exposure to hydrocarbons and other compounds within the produced water, netting is often applied over the ponds. 4

2.4.5 Offsite Commercial Disposal When onsite management is not practical, operat ors may send their produced water offsite to a commercial disposal facility. Typically, produ ced water is removed from well locations periodically and transported via truck to an offsite facility. 5 Offsite commercial disposal is often chosen by small producers who find this option mo re feasible than constructing, operating, and closing onsite facilities , or by operators who do not have access to suitable formations for produced water injectio n (Puder and Veil 2006).

2.4.6 Beneficial Reuse There are several management strategies in addi tion to enhanced oil recovery that use produced water for beneficial purposes . These primarily include agri cultural and industrial uses.

Beneficial reuse of produced water for agricult ural purposes includes reuse for crop irrigation, livestock watering, wildlife watering and habi tat, aquaculture, a nd hydroponic vegetable cultivation. However, reuse of produced water represents just a small fraction of total agricultural withdrawals. In 2000, the total U.S. water w ithdrawals (both surface water and groundwater withdrawals) for irrigation was 1,190 billion barrels and for livestock water and aquaculture was 47.5 billion barrels (Hutson et al. 2004). A significant challenge to using produced water for agricultural pu rposes is the salinity of the water. Crops vary in their susceptibility to salinity, and when salinity rise s above a threshold for a species, the crop yield will decrease. Another concern for using produced water is the sodicity, which refers to the amount of sodium in the water. 6 Johnston et al. (2008) reported that produced water from coal bed natural gas activities in the Powder River Basin increased the sodium ion concentration within the soil profile when applied to mixed-ha y cropland. Excessive levels of sodium can lead to loss of soil structure, reducing the hydraulic conductivity of soils and creating conditions that may limit or prevent plant growth. When sodi c soils are wet, they become swollen and waterlogged. When these soils are dry, the surf ace becomes crusted and resistant to water infiltration or plant emergence. Additional elemen ts in produced water can cause harm to plants when present in sufficient quant ities. ALL (2003) notes that pl ant toxicity can be caused by elevated concentrations of chloride, sodium, and boron.

Reuses of produced water for industrial purposes include water for hydraulic fracturing at oil and gas sites, water for power generation, dust cont rol, and fire control. To initiate production

4 Argonne National Laboratory, “Produced Water Management Technology Descriptions: Fact Sheet –

Evaporation,” PWMIS, created for DOE and NETL. Available at http:// www.netl.doe.gov/technologies/PWMIS/ techdesc/evap/index.html. Accessed March 30, 2009.
5 Argonne National Laboratory, “Produced Water Management Technology Descriptions: Fact Sheet – Offsite

Commercial Disposal,” PWMIS, created for DOE and NE TL. Available at http://www.netl.doe.gov/technologies/ PWMIS/techdesc/offsite/index.ht ml. Accessed March 30, 2009.
6 Argonne National Laboratory, “Produced Water Management Technology Descriptions: Fact Sheet – Agricultural

Use,” PWMIS, created for DOE and NETL. Available at http://www.netl.doe.gov/tech nologies/pwmis/techdesc/ aguse/index.html. Accessed March 31, 2009.Produced Water Volumes and Management Practices Page 18

operations and enhance ongoing pr oduction, wells may be hydrauli cally fractured. Fracturing requires hundreds of thousands of barrels of wate r. In locations where local water sources are insufficient or otherwise unavailable, produced wa ter may be used for fracturing. An additional water source in these operations is the flowback water from a previous fracturing activity. The feasibility of using produced wa ter as cooling water for power generation was considered in a research project funded by the U.S. Department of Energy and the Electric Power Research Institute (DeFilippo 2004). The economics in th e evaluated case did not appear favorable, although there is at least one case of produced water being used as boiler feed water at a cogeneration plan t (Brost 2002).Produced Water Volumes and Management Practices Page 19


## Chapter 3 — Approach

To better understand the volume of produced water generated and how it is managed in the United States, Argonne contacted state oil and gas agencies in the 31 stat es with active oil and gas production to obtain detailed information on produced water volumes and management. As a first step, Argonne contacted the state oil and ga s directors to introduce the project, briefly explain the scope of the work, and ask for a cont act who could provide detailed information for that state. State agencies were selected due to their long-term direct e xperience with oil and gas activities in the specific state and the data ma nagement systems that most states employ for tracking production data. An example letter is provided in Appendix A of this report.


### 3.1 Information Request and Questionnaire Once an appropriate contact person was identified for each state oil and gas agency, two questionnaires were sent to the contact. The fi rst questionnaire targeted the produced water study outlined in this report and is described below. The second questionnaire was for a similar study on flowback water from hydraulic fr acturing activities. The results of that study are discussed in a separate report.

The produced water questionnaire was divided in to two parts, produced water volume and produced water management. The two tables from th e questionnaire, along with instructions, are shown below.

Part I – Produced Water Volume

1. Please provide information on the volum e of produced water generated in your state. Where available, please enter th e actual volume on a yearly basis for 2007 or the next most recent year into Ta ble 1 or indicate how we can access your electronic data management system. Even if you don’t have information on the volume generated, but you do have information on the volume reinjected (assuming that most produced water from your state is reinjected), that is valuable information too, and should be entered in Table 1. To the extent possible, we would like to see the produced water volume estimates broken down by the type of hydrocarbon produced by the well as shown in Table 1. If you do not have quantitative information on the volume of produced water generated, please give us your educated “best estimate” of the volume.

2. If you do not have quantitative inform ation on produced water generation or reinjection volumes, please provide information on the annual volume of each type of hydrocarbon produced in your state for 2007 or the next most recent year. This information should be entered into the last column of Table 1.

3. Please provide an estimate of the ratio of produced water to each type of hydrocarbon (for example, 7 bbl of water per 1 bbl of oil).Produced Water Volumes and Management Practices Page 20

Table 1. Produced Water Volume Information

Type of Hydrocarbon # Wells Producing That Type of Hydrocarbon Total Volume of Produced Water (bbl/year) Volume of Hydrocarbon Produced (bbl/year or Mmcf/year) Ratio of Water to Hydrocarbon (bbl/bbl or bbl/Mmcf)

Crude oil Conventional gas Coal bed methane Unconventional
gas Other Total

Part II – Produced Water Management

4. Please provide information on how produced water is disposed or otherwise managed in your state. Where available, please enter the numb er of wells that manage produced water by each of the mana gement practices on a yearly basis for 2007 or the next most recent year into Table 2. If you do not have quantitative information on produced water manageme nt practices, please give us your educated “best estimate” of the percenta ge of wells following each management practice.

Table 2. Produced Water Management Information

Management Practice # Wells Using That Practice Total Volume of Produced Water Managed by That Practice (bbl/year) Percentage of Produced Water Managed by That Practice Injection for enhanced
recovery Injection for disposal Surface discharge Evaporation Offsite commercial disposal Beneficial reuse Other

5. For any produced water entered under the beneficial reuse or other categories, please provide, to the extent possible, more details on the actual methods employed.Produced Water Volumes and Management Practices Page 21

6. If another state agency has responsibil ity for regulating or overseeing some of the produced water management practices in your state, please indicate the name of the agency and a contact person.

The information requested through the questionnai re represented Argonne’ s “wish list.” We did not realistically expect that all or even most states would be able to provide that level of detail or complete all of the boxes in the tables. The respon ses from the states (described in Chapter 5) matched those expectations. In Table 2, the intent of “the number of wells using this practice” column was to learn how many oil and gas we lls direct produced water using the various management approaches. This information was no t provided consistently. As these terms were not defined, many states interpreted the “numbe r of wells using that practice” to mean the number of injection wells, discharges, eva porating ponds, disposal si tes, and reuse sites managing the water.



### 3.2 Additional Production Information In order to account for produced water generated fr om wells outside of the scope of state oil and gas agencies, efforts to obtain production informati on at the federal level were also undertaken. For offshore production activitie s, the questionnaire describe d above was sent to the U.S. Department of the Interior’s Minerals Management Service (MMS), Gulf of Mexico Regional Office. Oil and gas production information for 2007 was also obtained from the Minerals Revenue Management Program of the MMS for federal onshore and tribal production activities. The oil and gas production estimates from these federal resources as well as the responses from state agencies were compared with available production data from the U.S. Department of Energy’s Energy Inform ation Administration (EIA) to identify any inconsistencies and to assist in the estimation of produced water volume from production activities where data were not available.

Several oil and gas platforms operate in the wate rs of Cook Inlet, Alaska. Although Cook Inlet is considered coastal rather than offshore waters , U.S. EPA’s national discharge standards allow discharge to Cook Inlet waters. At the time this report was prepared, Al aska was going through a process to gain the authority to administer th e NPDES program but had not yet obtained that authority. The current active NPDES general perm it for Cook Inlet discharges was issued by U.S. EPA Region 10. Therefore, Argonne contacted the Region 10 office to obtain information on the discharge volumes for the Cook Inlet platforms.Produced Water Volumes and Management Practices Page 22

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## Chapter 4 — Analysis and Results

4.1 Response to Questionnaire The produced water questionnaire was sent to 31 state oil and gas ag encies. We received information on produced water generation or manage ment from 28 states. For those states that did not directly provide the requested information, efforts were made to extract available data from accessible reports from oil and gas agency webs ites. Links to these site s are available at the Produced Water Management Information System website. 7 The questionnaire was also sent to and completed by the MMS to capture offshore pr oduction activities and ma nagement practices.


### 4.2 Incomplete Data A major challenge in this study wa s dealing with the incompleteness of available data, as not all states track produced water data . For those states where produ ced water generation volume was unknown, produced water management data was used. When neither produced water management information nor production informati on were available, estimates of produced water volume were determined from hydr ocarbon production information. Production information was obtained from state oil and gas agencies and federal resources as detailed in Chapter 5.

While information on produced water generation a nd management was obtained for most states, the detail of the information varied widely. Addi tionally, produced water data were unavailable for two states: Kentucky and Tennessee. The wate r-to-oil ratio (WOR) and water-to-gas ratio (WGR) for states without available produced wate r generation volumes were assumed to equal the corresponding ratios of adjacent states. For those states where the surrounding states had limited produced water information, the ratios we re taken from several adjacent or neighboring states. This procedure is described in the state summaries in Chapter 5.

Produced water volumes from oil and gas producti on activities on tr ibal lands were not readily obtainable. Because obtained production inform ation only provided total hydrocarbon production data from tribal lands, the U.S. average produced water-to-hydrocar bon ratio was used to estimate produced water volumes from these tribal lands.

The summary tables in this chapter address the incompleteness of the data by indicating where the data were obtained and the assumptions used in extrapolating data from other sources. The following categories appear under “Data Source” in the tables:

1. Provided directly to Argonne by state agency;

2. Obtained via published report;

3. Obtained via electronic database;

7 Argonne National Laboratory, “Produced Water Manageme nt Information System,” created for DOE and NETL. Available at http://www.netl.doe.gov/techno logies/PWMIS/. Accessed March 31, 2009.Produced Water Volumes and Management Practices Page 24

4. Obtained from website in form othe r than a published report or electronic database;

5. Obtained from the EIA; and

6. Estimated produced water generation volumes from hydrocarbon production volumes.

While the primary method for obtaining inform ation was through questionnaires and direct communication with state agenci es, multiple sources were often used to compile production information for each state.



### 4.3 Inconsistent Data Hydrocarbon production information can be assumed to be accurate, due to the value of the oil and gas and the various reporting requiremen ts for production. State production volumes provided to Argonne were compared with pr oduction estimates reported by the DOE’s EIA. While there is some variation in reported production volumes, this is generally explained in two ways. Production volumes reported in state database s may not be the final reported volumes for a specific year. An official stat e report on production has fina l production volumes, and, when available, this source was used for production information. In most instances, final reported volumes agreed with production volumes reported by the EIA. When differences did exist, they were often due to the type of information re ported. Most states repor ted produced hydrocarbon volumes, although some states provided sale able hydrocarbon volumes. Produced hydrocarbon volumes were preferentially used to determine the WORs and WGRs.

While produced water volumes are not required fo r reporting, many states do keep track of this information. The accuracy of the reported volumes depends upon the methods used by the producer. For instance, producers in Florida do not measure volumes produced, but estimate produced water volumes according to hydrocarbon production. Many states could provide only produced water generation estimates from water injection volumes (e.g., Louisiana). The water injected into Class II wells, especially inje ction wells for enhanced recovery, may include sources of water other than produced water (e.g., surface water, sea water), which could overestimate the total volume of produced water generated. Additionally, those states where produced water can be managed in ways othe r than injection would not capture those management strategies, resulting in underreporting total produced wate r generation. While the authors recognize the un certainty, a method of accounting was difficult to achieve for the variability in the data collection methods, as the details of the coll ection methods are unknown. The summary statistics in this chapter have b een rounded to the nearest 1,000 unit (e.g., bbl for oil and water, million cubic feet [Mmcf] for ga s). Chapter 5 provides detailed information on the type of information obtained as well as the reported numbers (not r ounded) for each state.


### 4.4 Production Summary In 2007, U.S. onshore and offshore oil and gas produc tion activities genera ted nearly 21 billion barrels of produced water. Table 3 provides production information for each state. State production totals include production from federal lands within each state.Produced Water Volumes and Management Practices Page 25

Table 3. U.S. Onshore and Offshore Oil, Gas, and Produced Water Generation for 2007

State Crude Oil (bbl/year) Total Gas (Mmcf) Produced Water (bbl/year) Data Source a Alabama 5,028,000 285,000 119,004,000 1 Alaska 263,595,000 3,498,000 801,336,000 1 Arizona 43,000 1,000 68,000 1, 2 Arkansas 6,103,000 272,000 166,011,000 2, 3 California 244,000,000 312,000 2,552,194,000 2, 3 Colorado 2,375,000 1,288,000 383,846,000 1,3 Florida 2,078,000 2,000 50,296,000 1 Illinois 3,202,000 No data 136,872,000 1, 5 Indiana 1,727,000 4,000 40,200,000 1, 2 Kansas 36,612,000 371,000 1,244,329,000 1, 2 Kentucky 3,572,000 95,000 24,607,000 1, 3, 6 Louisiana 52,495,000 1,382,000 1,149,643,000 1 Michigan 5,180,000 168,000 114,580,000 1, 3 Mississippi 20,027,000 97,000 330,730,000 1 Missouri 80,000 No data 1,613,000 1 Montana 34,749,000 95,000 182,266,000 1 Nebraska 2,335,000 1,000 49,312,000 1 Nevada 408,000 0 6,785,000 1, 2 New Mexico 59,138,000 1,526,000 665,685,000 1 New York 378,000 55,000 649,000 2 North Dakota 44,543,000 71,000 134,991,000 2, 4 Ohio 5,422,000 86,000 6,940,000 1, 2 Oklahoma 60,760,000 1,643,000 2,195,180,000 2, 6 Pennsylvania 1,537,000 172,000 3,912,000 3 South Dakota 1,665,000 12,000 4,186,000 1, 2 Tennessee 350,000 1,000 2,263,000 4, 6 Texas 342,087,000 6,878,000 7,376,913,000 3, 4 Utah 19,520,000 385,000 148,579,000 1 Virginia 19,000 112,000 1,562,000 1, 4 West Virginia 679,000 225,000 8,337,000 1 Wyoming 54,052,000 2,253,000 2,355,671,000 1, 4 State Total 1,273,759,000 21,290,000 20,258,560,000 Federal Offshore 467,180,000 2,787,000 587,353,000 1 Tribal Lands 9,513,000 297,000 149,261,000 2, 6 Federal Total 476,693,000 3,084,000 736,614,000 U.S. Total 1,750,452,000 24,374,000 20,995,174,000

a 1 = provided directly to Argonne by state agency; 2 = obtained via published report or

electronically; 3 = obtained vi a electronic database; 4 = obtained from website in form other than a published report or electronic database; 5 = obtained from EIA; 6 = produced water volumes are estimated from production volumes.Produced Water Volumes and Management Practices Page 26

State and federal onshore produc tion contribute the majority of produced water (more than 20 billion barrels) in the United States. A signi ficant amount of produced water (more than 700 million bbl) is also generated from fede ral offshore production activities and from production on tribal lands. The five states w ith greatest produced water volumes in 2007 were Texas, California, Wyoming, Oklahoma, and Ka nsas. The produced water volumes from these states represent nearly 75% of total U.S. produc tion (onshore and offshore) as shown in Figure 1. Texas alone contributed 35% of the total volume of produced water generated in the United States in 2007.

The greatest produced water contributors are not necessarily the greatest producers of oil and gas. While Texas was the largest gas producer in the United States (nearly 6,900,000 Mmcf in 2007), federal offshore production activities provide d the largest volume of crude oil of more than 467,000,000 bbl (see Figure 2 ). Although federal offshore pr oduction generate s nearly 27% of U.S. crude oil production, less than 3% of tota l U.S. produced water is generated from federal offshore activities. While Alaska and the federal o ffshore were two of the top three producers of oil and gas in 2007, they are ranked 7th and 9th in produced water volume generation.

California 2,552,194,000 12%
Kansas 1,244,329,000 6%

Oklahoma 2,195,180,000 11%

Texas 7,376,913,000 35% Wyoming 2,355,671,000 11% Other

5,270,887,000 25%

Figure 1. Total U.S. produced water generated (barrels) in 2007 by state (five states with the greatest produced water generation are shown)Produced Water Volumes and Management Practices Page 27

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Produced Water (bbl/year) Total Gas (Mmcf/year) Crude Oil (bbl/year) Other

Colorado

Federal Offshore

New Mexico

Alaska

Louisiana

Kansas

Oklahoma

Wyoming

California

Texas

Figure 2. Ten largest produced water generators and their contributions to gas and crude oil production

In addition to total volumes produced, it is useful to consider the WOR and WGR from production activities. This information can be used to evaluate the relative production age of resources within the production lifetime. Table 4 lists water-to- hydrocarbon ratios from states where produced water data could be provide d according to the predominant hydrocarbon produced at a specific location.

For WORs, the states values ranged from 2. 5 bbl/bbl for South Dakota to 42.7 bbl/bbl for Illinois. The offshore ratio was even smaller at 1.04 bbl/bbl. For WGRs, the state values ranged from 0.04 bbl/Mmcf in South Dakota to more than 1,200 bbl/Mmcf for Kansas. The offshore ratio was 86 bbl/Mmcf.

A national average WOR and WGR can be es timated by developing a production-weighted average of the individual state values. Each state’s WOR is multiplied by the oil production, and each WGR is multiplied by the gas production from gas-only wells to give water production from oil and gas production. These water volumes are summed, then they are divided by the sum of the oil and gas production values to estimate the WOR and WGR.Produced Water Volumes and Management Practices Page 28

Table 4. Water-to-H y drocarbon Ratio for 2007 from Available Data a

State Water to Crude Oil (bbl/bbl) Water to Gas (bbl/Mmcf) Alabama 7.7 282 Alaska 2.9 4.4 California 10.5 7.6 Florida 24.2 Not available Illinois 42.7 Not available Kansas 21.8 1208 Mississippi 13.5 35.9 Missouri 20.3 Not available Montana 4.0 453 Nebraska 20.9 358 Nevada 16.6 Not available New Mexico 9.0 91.5 North Dakota 3.0 18.0 South Dakota 2.5 0.0 Virginia Not available 17.7 Onshore Ratio b 7.6 260 Federal Offshore 1.04 86.0 Total Ratio b 5.3 182

a States not shown in Table 4 did not distinguish produced water

volumes by hydrocarbon type; therefore, the WORs and WGRs could not be calculated.
b Onshore and total ratios were determined using the total volumes in

each category (water, oil, and gas).

The national average onshore WO R was 7.6 bbl/bbl. When offshor e production was added to the onshore production, the total av erage U.S. WOR was 5.3 bbl/bbl . A national average onshore WGR was 260 bbl/Mmcf. When offshore production was added to the onshore production, the total average U.S. WGR was 182 bbl/Mmcf.

The WOR from onshore activities determined in this study of 7.57 is within the range of previous reports of 7 bbl (Lee et al. 2002) and 9.5 bbl (Veil et al . 2004) of water per bbl of oil. The U.S. ratio for 2007 reveals that 88% of the material brought to the surface for oil production is water. According to Weideman (1996), water can comprise as much as 98% of the material brought to the surface for crude oil wells near ing the end of their productive lives. While cessation of operations depends on the point wh en managing the produced water is no longer profitable, the WOR determined in this study su ggests that production of available resources is mature for most onshore operations in the United St ates. In the fluids brought to the surface from federal offshore oil wells, wate r comprises 51% on average.

The authors caution that the national average WO R and WGR values estimated in this study are likely to underestimate the true values. The av erages are based on only 14 states (WOR) and 11 states (WGR). Many of the states that have large numbers of producing wells, particularly in mature fields with many stripper wells (e.g., Texas, Oklahoma), did not have produced water data segregated by production type . If those data had been include d with the data from statesProduced Water Volumes and Management Practices Page 29

already in the average, it is probable that th e national average WOR and WGR values would be substantially larger.



### 4.5 Produced Water Management Summary Management information was obtained for nearly 17.1 billion bbl (81%) of the 20.9 billion bbl of produced water generated in 2007. The vast majo rity of produced water in the United States, 95.2% of the reported volume, was managed through injection. More than half of the produced water (55.4%, or 8.6 billion bbl) was injected fo r enhanced recovery in 2007. More than onethird (38.9%, or 6.0 billion bbl) of produced water was injected fo r disposal. Surface discharges managed 4.4% (700,000,000 bbl) of the total report ed volume of produced water managed in 2007. Table 5 provides summary management information a bout injection and surface discharges for each state and the federal offshore area where such information was available. Those states that did not provi de produced water management information have only reported total generation volumes. The remaining pr oduced water volume was managed through evaporation ponds, offsite commercial disposal , beneficial reuse, and other management methods. Detailed management information is available for each state in Chapter 5.

Table 5 indicates that most of the produced wa ter managed through injection (both for enhanced recovery and disposal) is generated through onshore production activit ies. While injection activities take place in the federal offshore area, th e total injection volume is small compared to the total volume of produced wa ter generated in the federal offs hore area. Table 5 also reveals that some states reported greater volumes of produced water managed than generated for 2007 (e.g., Mississippi, Utah). Injec tion for enhanced recovery of ten includes makeup water from various sources, which could e xplain the discrepancies.

While surface discharge is used to manage some onshore produced water, the vast majority of surface discharges occur in the ocean. In 2007, more than 676,000,000 bbl of produced water were discharged to water bodies. Figure 3 s hows the sources by percent of produced water surface discharges in the United States. The fe deral offshore managed the greatest volume of produced water through surface discharge. Includi ng discharges to the Cook Inlet in Alaska, nearly 85% of the volume of produced water managed through surface discharge (573,000,000 bbl) is directed to oceans. The remain ing 15% of produced wa ter that is managed through surface discharge is from onshore production activities.

Alabama also manages a significant amount of pr oduced water from coal bed methane activities through surface discharge. As produced water from coal bed methane production is often of a higher quality than other than produced water from more conventional production sources, some states including Alabama allow surface discharge after treatment.

Beneficial reuse is currently not a significant nationwide practice for produced water management. In 2007, 1,338,000 bbl were reported as managed through beneficial use. Reported volumes were limited to Oklahoma, South Da kota, and Utah, although other states including New York and Montana reported practices with out providing detailed data on the volumes managed through beneficial reuse. It is likely that some other st ates have modest amounts of beneficial reuse of produced water, particularly for CBM production when the water is relatively fresh prior to treatment.Produced Water Volumes and Management Practices Page 30

Table 5. U.S. Produced Water Volume by Management Practice for 2007

State Volume of Produced Water (bbl/year) Injection for

Enhanced Recovery Injection or Disposal Surface Discharge Total Managed Total Generated Alabama 7,500,000 33,000,000 78,000,000 119,000,000 119,004,000 Alaska 1,037,909,000 39,914,000 35,480,000 1,113,302,000 801,336,000 Arizona No data 35,000 No data 35,000 68,000 Arkansas 45,489,000 120,169,000 No data 166,011,000 166,011,000 California 1,764,609,000 558,188,000 No data 2,322,797,000 2,552,194,000 Colorado No data No data No data No data 383,846,000 Florida 34,762,000 15,534,000 No data 50,296,000 50,296,000 Illinois 135,264,000 No data No data 135,264,000 136,872,000 Indiana 34,500,000 5,700,000 No data 40,200,000 40,200,000 Kansas 444,319,000 800,009,000 No data 1,244,329,000 1,244,329,000 Kentucky No data No data No data No data 24,607,000 Louisiana 66,261,000 1,034,092,000 No data 1,149,643,000 1,149,643,000 Michigan 25,000,000 90,000,000 No data 115,000,000 114,580,000 Mississippi 389,614,000 281,563,000 No data 671,177,000 330,730,000 Missouri No data 1,611,000 No data 1,613,000 1,613,000 Montana 109,217,000 46,807,000 No data 182,266,000 182,266,000 Nebraska 31,588,000 14,337,000 500,000 49,312,000 49,312,000 Nevada No data No data No data No data 6,785,000 New Mexico 449,489,000 348,142,000 No data 797,630,000 665,685,000 New York No data No data No data No data 649,000 North Dakota 64,873,000 65,321,000 No data 134,991,000 134,991,000 Ohio 487,000 6,137,000 No data 6,940,000 6,940,000 Oklahoma 940,272,000 1,254,132,000 No data 2,195,180,000 2,195,180,000 Pennsylvania No data No data No data No data 3,912,000 South Dakota 2,122,000 1,853,000 85,000 4,146,000 4,186,000 Tennessee No data No data No data No data 2,263,000 Texas 5,011,062,000 2,365,476,000 No data 7,376,913,000 7,376,913,000 Utah 78,251,000 62,051,000 21 ,080,000 173,145,000 148,579,000 Virginia No data No data No data No data 1,562,000 West Virginia 3,942,000 No data 3,857,000 8,337,000 8,337,000 Wyoming No data No data No data No data 2,355,671,000 State Total 10,676,530,000 7,144,071,000 139,002,000 18,057,527,000 20,258,560,000 Federal Offshore 48,673,000 1,298,000 537,381,000 587,353,000 587,353,000 Tribal Lands No data No data No data No data 149,261,000 Total 10,725,203,000 7,145,369,000 67 6,383,000 18,644,880,000 20,995,174,000Produced Water Volumes and Management Practices Page 31

Alabama

11.53% Alaska (Coo k Inlet) 5.25%

N E, OK, SD 0.09%

Utah 3.12%

West Virginia 0.57% Federal Offshore 79.45%

Figure 3. Sources by percent of total U.S. su rface discharges for produced water in 2007 (total discharges amounted to more than 676,000,000 bbl in 2007)Produced Water Volumes and Management Practices Page 32

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## Chapter 5 — State-by-State Summary

5.1 Alabama The State Oil and Gas Board of Alabama provi ded produced water generation and management data (Bolin 2008). As of December 2007, Al abama had 6,544 wells producing hydrocarbons, with the majority of these wells producing CBM (5,209 wells). The remaining wells produce crude oil (848 wells), conventional gas (475 well s), and unconventional gas (12 wells). Alabama specified shale gas for unconventional gas. From the 6,544 wells, 119,003,506 bbl of produced water were generated in 2007. CBM and crude oil production were responsi ble for the majority of the produced water generation, with each producing 78,087,301 and 38,495,257 bbl, respectively. Produced water generation from conventional gas was 2,420,635 bbl, and unconventional gas production generate d 313 barrels of produced water.

Hydrocarbon production for 2007 included cr ude oil (5,028,4285 bbl), CBM (114,981 Mmcf), conventional gas (170,049 Mmcf), and unconventional gas (52 Mmcf). Conventional gas wells also produced 2,091,226 bbl of condensate. From these production volumes, the following ratios were determined: WOR of 7.66 bbl/bbl, WGR of 679 bbl/Mmcf for CBM, WGR of 14.23 bbl/Mmcf for conventional gas, and WGR of 6.0 bbl/Mmcf for unconventional gas.

The majority of generated produced water in Al abama is managed through surface discharges for CBM, which require NPDES permits. The Alabama Department of Environmental Management (ADEM) administers the NPDES permit program. Permitted surface discharge accounts for 78,000,000 bbl of produced water from CBM production (5,204 wells). Injection for disposal manages 33,000,000 bbl of produced water per year for 1,174 wells. A smaller amount of produced water is injected fo r enhanced recovery with 7,500,000 bbl managed for that purpose. The remaining produced water (approximate ly 500,000 bbl) is managed through offsite commercial disposal. There is no beneficial reuse of produced water in Alabama.



### 5.2 Alaska
The Alaska Oil and Gas Co mmission (OGC) supplied both produced water generation information and management information (M cMains et al. 2008). In 2007, Alaska had 1,875 wells with the majority of these wells pr oducing crude oil (1,715 wells). The remaining wells produced conventional gas (160 wells ). Crude oil produc tion volumes were 263,595,162 bbl in 2007 and generated 765,121,124 bbl of produced water. Conventional gas production generated 735,412 bbl of produced water in the same period to produce 166,261 Mmcf of gas. These volumes result in a WO R of 2.9 bbl/bbl of crude oil and WGR of 4.4 bbl/Mmcf of conventional gas. Total gas production (including ga s coproduced from oil wells) was 3,498,322 Mmcf as reported in th e Alaska OGC production data archives (Alaska OGC 2009).

Injection for enhanced recovery manages 94.8 percen t of produced water in Alaska. Injection for enhanced recovery occurs at 842 wells, and these wells manage 1,037,908,618 bbl of water. This volume exceeds the total volume of available produ ced water, due to the addition of seawater injected for enhanced recovery. The remain ing produced water (39,913,859 bbl) is managed byProduced Water Volumes and Management Practices Page 34

30 injection wells for disposal. Management information for discharges from production activities in the Cook Inlet was obtained from U.S. EPA Region 10. In 2007, 35,479,866 bbl of produced water were directly discharged into the Cook Inlet (Shaw 2009). Discharges in the Cook Inlet operate under the U.S. EPA NPDES permit program until October 31, 2011, when discharge activities associated w ith the oil and gas industry will be transferred to the Alaska NPDES program (Hartig 2009).



### 5.3 Arizona Annual oil, water, and gas production volumes are available in the December monthly production reports on the Arizona Oil and Ga s Conservation Commission’s website at http://www.azogcc.az.gov/. In 2007, 42,692 bbl of oil, 67,682 bbl of water, and 654.530 Mmcf of gas were produced. Most produced water gene rated in Arizona is managed through injection for disposal. Some produced water is trucked to an approved disposal facility in New Mexico. There is no injection for enhanced recovery at this time. The Arizona Geological Survey, which provides administrative and sta ff support to the Arizona Oil and Gas Conservation Commission, provided a spreadsheet of Class II injection we lls, which reported that 35,116 bbl of produced water were injected for disposal in 2007 (Rau zi 2008). Historic hydroc arbon production volumes are available in the report, Annual Oil, Gas, and Helium Production in Arizona 1954-2008 (Rauzi 2009).



### 5.4 Arkansas Production information was obtained through the Arkansas Oil a nd Gas Commission’s (Arkansas OGC’s) annual produc tion report (Arkansas OGC 2007) . For 2007, total production volumes in the state were 6,102,538 bbl of crude o il and 271,846 Mmcf of ga s. While the report provides production information for South Arkansas and North Arkansas, specific information on the type of produced gas (i.e., conventional, unconventional, or CBM) was not provided.

The Arkansas OGC also provided produced wa ter management information (Pearson 2009). While there is signifi cant water produced from bromine pr oduction activities, and the Arkansas OGC tracks the volumes produced and managed th at are associated with bromine production, such water is managed through Class V wells and is not included in the management information here. There are 106 active Class II injection we lls for enhanced oil r ecovery and 448 Class II injection wells that dispose of produced wa ter. Most produced water was managed through injection for disposal, with 120,169,316 bbl injecte d. Injection for enhanced recovery managed 45,488,886 bbl of produced water. An additional 352,997 bbl of produced water was injected, but the type of injection well wa s not specified. The total inject ed volume of produced water for 2007 was 166,011,199 bbl.



### 5.5 California Produced water and hydrocarbon production inform ation were obtained from the California Department of Conservation’s 2007 Preliminary Report of California Oil and Gas Production Statistics (CDOC 2008a). Oil production in 2007 wa s reported to be 244,000,000 bbl. The report separates natural gas production according to producti on associated with o il zones (associated production) and production not associ ated with oil zones (nonasso ciated production). Associated production was estimated to total 219,000 Mmcf, a nd nonassociated production was estimated atProduced Water Volumes and Management Practices Page 35

93,200 Mmcf. Rounding to significant figures, th e total gas production was 312,000 Mmcf. The water produced from all activities was 2,552,194,253 bbl, which accounts for both onshore and state and federal offshore producti on. The total produced water volume oil and associated gas production was 2,549,823,222 bbl in 2007 (WOR: 10.45 bbl /bbl). The produced water from nonassociated gas production was 2,162,592 bbl in 2007 (WGR: 6.93 bbl/Mmcf).

Produced water management information was no t provided, although some information could be determined from an online database (CDOC 2008b). The online database captures underground injection volumes and reported 2,322,797,059 bbl of water were injected. In 2007, 558,187,847 bbl were injected for disposal, and 1,764,609,212 bbl were injected for enhanced recovery. These volumes may include ocean water or other brine. This does not account for all of the produced water produced in California, but it doe s suggest that much of the water is injected for the purposes of enhancing oil and gas production activities. Produced water that is not injected for enhanced recovery or as water disposal is treated for be neficial use or is disposed of through settling ponds and ocean outfall.



### 5.6 Colorado

The Colorado Oil and Gas Conservation Commi ssion (COGCC) publishes production data in an online database, which was used to obtain produced water information for 2007 (COGCC 2009). For that year, crude oil production was 2,374,921 bbl. Total gas production was 1,288,109.976 Mmcf, with CBM contributing 478,434.041 Mmcf to the gas total. Produced water volumes totaled 383,845,756 bbl. Detailed information on produced water management was not available, although it is generally ma naged through evaporation ponds or injection (Kerr 2009).



### 5.7 Florida The Bureau of Mining and Mi nerals Regulation provided pr oduced water generation and management information for the State of Florida (Taylor 2008). All wells in Florida produce oil, with most producing both oil and gas. There are 56 oil producing wells in the state, and 52 of those wells produce both oil and gas. Cr ude oil production was 2,077,773 bbl in 2007, and 2,010.932 Mmcf of natural gas was produced during the same period. Total produced water volume from the 56 wells was 50,295,726 bbl. Four we lls that only produce oil generate small volumes of water that were not included in th e total. Produced water vol umes are not directly measured, but rather are es timated by oil producers.

Produced water is managed through underground inje ction in Florida. Tw enty wells injected 15,533,899 bbl of produced water for disposal. Forty-three wells in jected 34,761,872 bbl of water for enhanced recovery.



### 5.8 Illinois The Illinois State Geological Survey (ISGS) provided information on average production between 2000 and 2006 (Dastgheib 2008). Reporte d data comes from the ISGS waterflood database. Annual oil production from enhan ced oil recovery (EOR) averaged 3,201,958 bbl during that period. Produced water averaged 136,872,199 bbl annually resulting in a WOR of 42 7 bbl/bbl. As the database contains only in formation related to waterflooding, productionProduced Water Volumes and Management Practices Page 36

activities in Illinois that do not use waterflooding would not be included. The actual produced water volume in the state is likel y to be higher than what is re ported here, as EIA reported oil production for Illinois was 9,609,000 bbl for 2007 (EIA 2008a).

Nearly all of the generated pr oduced water from EOR is injected for waterflooding activities to improve recovery of crude oil. 135,263,569 bbl of the produced water was managed in this way. It is unclear from the available information whet her produced water is also managed via injection for disposal. Additional produced water may be disposed of by methods other than waterflooding, although da ta on that is unknown.



### 5.9 Indiana Produced water data were provide d by the Division of Oil and Gas of the Indiana Department of Natural Resources (IDNR) and estimated from reported injections for 2007 (Nemecek 2008). Additional production information was obtaine d through the December 2007 monthly report published by the IDNR (IDNR 2007). Total re ported production for 2007 was 1,726,553 bbl of crude oil and 3,605.982 Mmcf of gas. While gene ration information on produced water was not available, management information states that 40,200,000 bbl of produced water was managed through injection in 2007. The pr imary management practice for produced water was injection for enhanced recovery, which injected 34,500,000 bbl of produced water annually into 1,101 injection wells. Produced water is also manage d through 183 disposal wells, which managed the remaining 5,700,000 bbl of produced water.



### 5.10 Kansas Production data were provided by the Kansas Corporation Commission (KCC) and obtained from the Kansas Geological Survey’s 2007 re port (Durrant 2008). The 2007 drilled wells and CBM wells are from the 2007 KCC ACO-1 well co mpletion forms. The produced water volumes are subjective and were determined using a we ighted average approach from injection well permits in Kansas. The injection well permit information was collected from the U3-C annual reports of pressure monitoring, fluid injection, and enhanced recovery filed by operators.

In 2007, 67,631 wells produced hydrocarbons in Ka nsas. There were 43,384 wells producing 36,611,778 bbl of crude oil. Conventional gas pr oduction occurred at 24, 247 wells and totaled 370,918.167 Mmcf. Additionally, 1,306 wells were dr illed in 2007 to begin CBM production. Crude oil production generated 796,370,268 bbl of produced water, resulting in a WOR of 22 bbl/bbl. Conventional gas production genera ted 447,958,276 bbl of produced water, resulting in a WGR of 1,207 bbl/Mmcf. The total volume of produced water generated in Kansas was 1,244,328,544 bbl.

Produced water is managed via injection wells in Kansas. Offsite commercial disposal of produced water is not a recognized management practice in Kansas. Ther e were 11,016 injection wells for enhanced recovery a nd 4,406 injection wells for dispos al in 2007. Disposal is the primary purpose for injection, with 800,009,421 bbl of produced water managed in this way. Injection for enhanced recovery managed 444,319,123 bbl of produced water.Produced Water Volumes and Management Practices Page 37



### 5.11 Kentucky The Kentucky Division of Oil and Gas Re sources supplied only hydrocarbon production information, as it does not have regulatory au thority to monitor produced water. There were 49,344 wells in Kentucky in 2007. Crude oil wa s produced from 26,481 wells, which generated 3,572,400 bbl of crude oil (Combs 2008). Gas production occurred at 19,385 wells, which produced 95,246.846 Mmcf for gas, according to the Kentucky Geological Survey (undated). There were an additional 3,478 wells that include storage, stratifica tion tests, and combination oil and gas wells. No information was provided on produced water generation or management.

Produced water volumes were estimated by extrapolation using available production information and water-to-hydrocarbon ratios from neighboring states. The WGR (17.7 bbl/Mmcf) from CBM activities in Virginia was multiplied by the ga s production in West Virginia (225,000 Mmcf) to estimate the volume of water attributable to West Virginia’s gas production (3,982,500). This gas-specific water volume was subtracted fr om the total West Virginia water volume (8,337,000 bbl) to estimate the volume of water attr ibuted to West Virgin ia crude oil production (4,354,500 bbl). This oil-specific water volume was divided by the West Virginia crude oil production to estimate the WOR in West Virginia (6.4 bbl/bbl). The WGR from Virginia and the estimated WOR in West Virginia were used to determine the total estimated produced water volume for Kentucky. Based upon the previous assu mptions, produced water generated from oil production would be 22,920,000 bbl. Produ ced water generated from ga s production in Kentucky is estimated to be 1,688,000 bbl. Total produced water generation for 2007 is estimated at 24,608,000 bbl.



### 5.12 Louisiana Hydrocarbon production and produced water ma nagement information was provided by the Louisiana Department of Natural Resources (P arker 2008). Louisiana does not track the amount of water produced from each of Louisiana’ s 80,892 actively producing wells. Of these wells, 40,957 produce crude oil and 39,935 produce ga s. Total oil production in 2007 was 52,495,100 bbl. Gas production volume was 1,381,585 Mmcf.

While production volume of produced water is unavailable, Louisiana does track injection volumes for 2,914 wells (1,149,643,443 bbl of produced water in 2007). Ninety percent of produced water (1,034,092,270 bbl) was injected for disposal. The remaining water was either managed by injection for enhanced recovery (66,261,179 bbl of water into 354 wells) or by offsite commercial disposal (49,289,994 bbl of water into 31 wells).


### 5.13 Michigan The Michigan Department of Environmental Qu ality’s Office of Geol ogical Survey provided information on produced water management (Organek 2008). Production volume data was obtained from a database on the Gas, Oil, and Mi nerals website of the Mi chigan Department of Environmental Quality. Total crude oil produ ction was 5,180,043 bbl. Michigan also produced 441,844 bbl of condensate and 453,749 bbl of natura l gas liquids in 2007. Gas production during that period was 166,794.419 Mmcf. Produced water generation for all hydrocarbon production activities was 114,580,484 bbl.Produced Water Volumes and Management Practices Page 38

Michigan manages produced water through underg round injection. Twenty percent of produced water was injected for enhanced recovery, wh ile the majority of produced water (80%) was managed through injection for disposal.


### 5.14 Mississippi The Mississippi Oil and Gas Board provided pr oduced water generation and management information (Sims and Tarbutton 2008). Missis sippi has three categories of production wells: wells that produce only oil, wells that produce only gas, and wells that produce both oil and gas. For oil-only wells, 1,379 wells produced 12,111,145 bbl per year of crude oil and 164,027,705 bbl of produced water. The WOR for these wells was 13.54 bbl/bbl. There are 1,403 gas-only wells in Mississippi, which produced 40,656 Mmcf of gas and 1,459,563 bbl of produced water, with a WGR of 35.9 bbl/Mmcf. The remaining 1,903 wells produce both oil and gas, producing 7,915,632 bbl of crude oil, 56,056 Mm cf of gas, and 165,242,314 bbl of water in 2007. Total oil production was 20,026,777 bbl, and total gas production was 96,712 Mmcf. Total produced water generation in Mi ssissippi was 330,739,582 bbl for 2007.

Total produced water managed in Mississippi ex ceeds the total produced water generated, which suggests that most of the water injected for enha nced recovery consists of makeup water. There were 381 wells that injected 389,613,955 bbl of water for enhanced recovery. In addition, 466 wells injected 281,563,270 bbl of water for disposal.



### 5.15 Missouri The Division of Geology and Land Survey of th e Missouri Department of Natural Resources provided produced water generation and mana gement information (Kaden 2008). In 2007, Missouri had 308 crude oil product ion wells. There was no commer cial gas production activity in Missouri for that year. The 308 wells produc ed 79,516 bbl of oil and 1,612,592 bbl of water, for a WOR of 20.28 bbl/bbl. Injec tion for disposal is the pr imary management method for produced water. One hundred forty-six injection wells managed 1,611,246 bbl of produced water. The remaining 1,346 bbl of wate r were managed th rough evaporation.



### 5.16 Montana The Montana Board of Oil and Gas provided produced water generation and management information (Halvorson 2009; Hudak 2008). In 2007, crude oil production volumes were 34,749,250 bbl from 4,325 wells. Gas production took place at 5,694 wells and yielded 82,119 Mmcf. Much of the current and historic gas production in Montana occurred in formations that would be considered unconventiona l, as tight sand or si ltstone reservoirs, lowvolume gas wells, or “shale gas,” in some cases . As a result, Montana does not break out gas sources as conventional or unconve ntional. CBM production informa tion is collected separately, and 902 wells produced 13,062 Mmcf of CBM. Produced water volumes from these hydrocarbons were the following: 139,189,532 bbl of water from crude oil production, 4,196,725 bbl of water from gas production, an d 38,880,091 bbl from CBM production. These volumes resulted in a WOR of 4.0 bbl/bbl, a WGR of 51.1 bbl/Mmcf of gas, and a WGR of 2,976 bbl/Mmcf of CBM. When conventional natura l gas and CBM are combined, the resulting WGR is 453 bbl/Mmcf.Produced Water Volumes and Management Practices Page 39

The majority of produced water generated is managed through injection wells. There were 624 active wells for enhanced recovery and 173 we lls for disposal. Enhanced recovery managed 60% (109,217,415 bbl) of the produced water gene rated in Montana. Twenty-six percent (46,807,463 bbl) of produced water generated was managed through injection for disposal. The remaining 14% of produced water was manage d in other ways including the following: evaporation pits, beneficial use including stock water and dust s uppression, and direct discharge to surface waters. According to Keith et al. (2003), produced water from CBM activities was primarily managed through other practices including direct di scharge, holding ponds, and land application.



### 5.17 Nebraska
The Nebraska Oil and Gas Conservation Comm ission provided both produc tion and management information (Sydow 2008). In 2007, there were 1 ,384 wells, with 1,187 of those wells producing oil. The remaining 197 wells produced gas. Oil production was 2,335,355 bbl and generated 48,835,874 bbl of produced water (WOR: 20.91bbl/bbl ). Conventional gas production volume was 1,331.125 Mmcf and generated 476,481 bbl of produced water (WGR: 357.95 bbl/Mmcf). Total produced water generati on in Nebraska was 49,312,355 bbl.

For produced water management, data were provid ed both according to the number of wells that produce water and the number of injection wells th at receive the produced water. The majority of produced water (31,588,486 bbl) was sent from 673 oil wells to be managed by 407 injection wells for enhanced recovery. In jection for disposal was conduc ted at 91 injection wells to manage 14,337,458 bbl from 478 oil wells and 197 gas wells. Sixteen oil wells sent 499,960 bbl of produced water to surface discharge. Evaporation management took 2,886,451 bbl of produced water from 233 oil wells.



### 5.18 Nevada The Nevada Division of Minerals supplied produ ction data (Price 2009). According to the 2007 bimonthly reports of the Nevada Oil Patch , total oil production in 2007 was 408,174 bbl. Gas production for the same year was 4.474 Mmcf. Pr oduced water volumes were collected for oil production, and 6,784,661 bbl were ge nerated in 2007. No information on management of produced water was provided, although a well i nventory in 2004 revealed that there were 13 Class II injection wells in Nevada (NDEP 2004).



### 5.19 New Mexico
The Oil Conservation Division of the New Mexi co Energy, Minerals, and Natural Resources Department provided produced water volume in formation according to hydrocarbon production (Fesmire 2009). Crude oil production ge nerated 53,265,771 bbl of oil and 534,273,532 bbl of water in 2007 (WOR: 10.0 bbl/bbl). An a dditional 5,872,258 bbl of oil condensate were produced; total oil pr oduction for 2007 was 59,138,029 bbl. Conve ntional gas production totaled 797,747 Mmcf and generated 80,377,476 bbl of produced water (WGR: 100 bbl/Mmcf). Coal bed methane production was 496,825 Mmcf a nd produced 38,084,472 bbl of water (WGR: 76.7 bbl/Mmcf). When conventional natural gas and CBM are comb ined, the resulting WGR is 92 bbl/Mmcf.Produced Water Volumes and Management Practices Page 40

While unconventional gas and condensate were produced (231,901 Mmcf and 5,872,258 bbl, respectively), the volume of produced water from these activities was unknown. Total gas production in 2007 was 1,526,473 Mmcf. Additional pr oduced water was generated from carbon dioxide production activities. For 98,856,249 Mm cf of carbon dioxide, 65,585 bbl of produced water were generated. The total produced water from the above activities was 652,801,065 bbl, although the total water actua lly produced in the state in 2007 was 665,684,732 bbl. The remaining amounts could not be iden tified by these hydrocarbon categories.

New Mexico does not specifically track the produced water that gets rein jected. While the option is included in the monthly production reports, we ll operators use different categories for the same action. In 2007, 3,167 wells had 449,488,784 bbl of water injected specifically into injection wells. An additional 603 wells had 348, 141,541 bbl of water injected as salt water disposal.



### 5.20 New York The New York State Department of Envir onmental Conservation’s Division of Mineral Resources provides production information in an annual report and through an online database (NYSDEC 2006; NYSDEC undated). The most recent available report is for 2007. According to the 2007 data, 13,113 wells were reported to the di vision. Of the total, 7,387 were natural gas wells, 4,874 were oil wells, and the remaining wells were gas storage, dry holes, and solution salt wells. The database provided production vol umes of 55,001 Mmcf for natural gas and 377,514 bbl for oil. The state-produced water volume was 649,333 bbl from active wells for 2007, which included 215,050 bbl that were asso ciated with water injection wells.

Specific details were not available on the ma nagement practices for produced water in New York, although injection wells for disposal and enhanced recovery were listed under well type codes within the database. A ll produced water that is haul ed from well sites requires a department-issued waste transporter permit. The department allows produced water disposal at publicly owned treatment works, with approved industrial pretreatment or mini-pretreatment programs. The department also allows road sp reading of production brine for deicing and dust control purposes under its benefici al use determination program.



### 5.21 North Dakota The Department of Mineral Resources provides oil and gas production information online. In 2007, there were 3,872 oil producing wells in Nort h Dakota. Of these wells, 2,525 also reported gas production. In addition to the 3,872 oil wells, th ere were 216 gas wells. Fifty-nine of the gas wells were permitted as gas condensate wells and produced some oil. Total annual crude oil production from those wells was 44,701,934 bbl. The oil producing wells, which generated 44,543,187 bbl of the total crude oil, ge nerated 134,704,290 bbl of produced water (WOR: 3.02 bbl/bbl). Gas production for 2007 was 70,767.153 Mmcf. Much of this production volume was coproduced from oil wells. The gas wells produced 15,909 Mmcf in 2007 and generated 286,889 bbl of produced water (WGR: 18.03 bbl/Mmcf). The total produced water generated in North Dakota from these production activities was 134,991,179 bbl.

More than 96% of the produced water generate d in North Dakota is managed through injection. In 2007, there was slightly more produced water managed through injection for disposal thanProduced Water Volumes and Management Practices Page 41

enhanced recovery. Water produced from 2,531 wells totaling 65,321,067 bbl was directed to disposal wells, which managed 48.39% of the total volume of produced water for 2007. Enhanced recovery managed 64,872,788 bbl (48.06% of the total volume) of produced water from 1,096 wells. The remaining 3.55% of the produced water (4,797,324 bbl) in North Dakota came from 519 wells and was directed to offsite commercial disposal wells.



### 5.22 Ohio The Ohio Division of Mineral Resources Manage ment provided produced water information for 2006, and production data was obtained for the same year through the 2006 report Summary of Ohio Oil and Gas Activities (ODNR 2006). The majority of Ohio wells are combination wells, producing both oil and gas. In 2006, there were 63,654 active wells in Ohio, which produced 5,422,194 bbl of crude oil and 86,315.100 Mmcf of natural gas. These wells produced 6,940,000 bbl of produced water in 2006. Ohio does not subcategorize reported produced water volumes by hydrocarbon.

Most produced water generated in Ohio is mana ged via injection for disposal. Eighty-eight percent, 6,137,005 bbl, of reported produced water in 2007 was injected for disposal. Injection for enhanced recovery managed 7% of th e produced water gene rated (487,478 bbl). The remaining 315,517 bbl were managed either at annul ar disposal wells or were reused through spreading for dust and ice control wi th local government authorization.



### 5.23 Oklahoma The Oklahoma Corporation Comm ission (OCC) publishes an annua l report on oil and gas. Production information for 2007 was obtained from the 2008 report, and produced water management information was provided directly by the OCC. For the reported year, there were 82,832 crude oil production wells producing 60, 760,000 bbl of crude oil. Gas production occurred at 38,364 wells and totaled 1,643,292 Mmcf.

The majority of produced water in Oklahoma was managed via injection in 2007 (Baker 2009). Injection occurred at 2,584 ac tive disposal wells, which managed 1,201,680,455 bbl of produced water. Injection also occurred at 202 commerc ial disposal wells that managed 52,451,784 bbl of produced water. In total, injection for disposal wells managed 1,254,132,239 bbl. Oklahoma had 6,264 enhanced recovery wells in 2007, which managed 940,271,840 bbl of produced water. Currently, one ongoing surface discharge operation in the Arkoma Basin discharged 165 bbl in 2008 (note: 2007 data not available). Oklahoma also has one recycling permit issued for produced water. The permit is for a surface recl amation project in which produced water is mixed with fresh water. The mixed water is combined with fly ash to be used as fill for closure at abandoned strip mines. The amount of water repo rted as used in this operation for 2007 was 776,200 bbl. The total produced water managed in Oklahoma for 2007 (including the 2008 surface discharge volume as an estimate) was 2,195,180,444 bbl.


### 5.24 Pennsylvania
Production information is available via the Wells Information System (WIS) created by the Pennsylvania Geological Survey and provi ded by the Pennsylvania Department of Environmental Protection’s Bureau of Oil a nd Gas Management (PDEP 2008a). In 2007, totalProduced Water Volumes and Management Practices Page 42

gas production was 172,367.077 Mmcf, while reported oil production was 1,537,347 bbl. Production occurred at 65,129 wells. Estimates of production wells were slightly higher but broken into categories by hydrocarbon (P DEP 2008b). Gas producti on wells totaled 52,700 wells, and there were 18,200 oil wells in 2007. Th e total produced wate r volume from these production wells was 3,912,456 bbl. Information on produced water management was not provided.



### 5.25 South Dakota The Department of Natural Resources Minera ls and Mining Program (Oil and Gas Section) provided information on production and management of produced water related to oil and gas activities (McGillivray 2 008). In 2007, a total of 224 wells we re active in South Dakota, with 153 producing crude oil and 71 producing conven tional gas. Oil produc tion totaled 1,664,889 bbl and generated most of the produced water generated in South Dakota, with 4,185,565 bbl attributable to oil production (WOR: 2.5 bbl/ bbl). Gas production generated only 486 bbl of produced water in generating 11,880 Mmcf of conventional gas (WGR: 0.04 bbl/Mmcf).

Most produced water is managed through inject ion. Ninety-six percent of produced water generated in South Dakota was injected, with 2,121,947 bbl inject ed for enhanced recovery (51%) and 1,853,200 bbl injected for disposal (45 %). The remaining four percent of produced water was managed either through surface discharg e (85,243 bbl) or beneficial reuse as water for livestock (85,243 bbl).



### 5.26 Tennessee Tennessee does not presently keep track of produced water information from oil and gas activities. According to Tennessee’s Division of Geology’s website, approximately 350,000 bbl per year of oil and 1,000 Mmcf per year of gas are produced in the state (TDEC undated). Produced water management information was un available. However, according to U.S. EPA Region 4, as of August of 2007, there were 13 Class II injection wells in Tennessee (U.S. EPA 2008b).

Produced water volumes were estimated by extrapolation using available production information and water-to-hydrocarbon ratios from neighboring states. The water-to-gas ratio (17.7 bbl/Mmcf) from CBM activities in Virginia was used to de termine the WOR in West Virginia (6.4 bbl/bbl) (see discussion for Kentucky, above). These ratios were assumed to be the same for Tennessee, with the exception of CBM, as no CBM activities were explicitly stated in the production information obtained from the state. Based upon the previous assumptions, produced water generated from oil production would be 2,246,000 bbl. Produced water generated from gas production in Tennessee is estimated to be 18,00 0 bbl. Total produced water generation for 2007 is estimated at 2,263,000 bbl.



### 5.27 Texas Produced water injection data fo r 2007 were provided by the Railroad Commission of Texas, and hydrocarbon production data was obtained from th e commission’s website. In 2007, Texas wells produced 342,086,945 bbl of crude oil and 6,878,016 Mmcf of natural gas (RRC 2009). There were more than 216,000 active oil and gas wells statewide, which managed produced water viaProduced Water Volumes and Management Practices Page 43

injection into more than 50,000 permitted oil and gas inject ion and disposal wells (RRC undated). While CBM production activities occur in Texas, such activities are not distinguished from conventional gas production (Deleon 2009).

Currently, injection reports for 2007 are still being added to the commission’s database. As of April 2, 2009, the total repor ted liquid injection volume for 2007 was 4,254,037,585 bbl. From the current total, 1,364,096,989 bbl (32% of reporte d total) were disposed into nonproducing formations, 757,606,954 bbl were (18% of reported to tal) disposed into producing formations, and 2,132,117,391 bbl (50% of reported to tal) were injected for enha nced recovery. For the sake of comparison to other state totals, we comb ined the percentage di sposed into producing formations with the percentage injected for en hanced recovery (68%). The projected volume for the state for 2007 is 7,376,912,883 bbl (Deleon 2009). The total volu me injected includes salt water, brackish water, and fresh water injection into Class II disposal wells. While a small amount of produced water was managed through tidal discharge, the vast majority of produced water generated in Texas was managed through in jection. We assume the projected injected volume for 2007 (7,376,912,883 bbl) is comparable to the actual volume of produced water generated in Texas. Following the percentage allocation assumption described above, we considered 32% of the projected total (2,360,612,122 bbl) as the volume injected for disposal. We considered 68% of the projected tota l (5,016,300,761 bbl) as the vo lume for enhanced
recovery.



### 5.28 Utah The Utah Division of Oil, Gas, and Mining provid ed estimates according to data available as of December 2007 (Kierst 2008). 8,788 wells were opera ting in the state in 2007, with 3,022 wells producing crude oil. It was esti mated that 4,401 wells were produci ng conventional gas, with the remaining 1,035 wells producing CBM. Cr ude oil production in 2007 was 19,519,964 bbl. Conventional gas production during the same period was 311,741 Mmcf, and 73,638 Mmcf of CBM was produced. While produced water volumes are not available according to hydrocarbon type, annual produced water generation for 2007 was 148,579,384 bbl.

The majority of produced water is managed through injectio n (Kierst 2009). There were 1,085 wells used for injection for enhanced reco very; the produced water (estimated to be 78,251,086 bbl) was comingled with makeup water. Ni nety-three wells injected produced water for disposal; in 2007, these wells injected 60,157,307 bbl. Commercial disposal wells managed an additional 1,893,393 bbl of produced water, assu ming no overlap in reporting. Utah also has 15 surface discharges in the Ashley Valley Field. The produced water generated in this field (21,079,950 bbl in 2007) serves local ag riculture and eventually reac hes the Green River. It is likely that much of the volume reported fo r evaporation ponds (7,773,128 bbl) overlapped the reporting by commercial evaporation ponds, wh ich were estimated to manage 11,067,743 bbl. Drilling and workover operations managed 476,945 bbl of produced water. Onsite evaporative pits on federal lands were estimated to manage 218,239 bbl of produced water.


### 5.29 Virginia Virginia requires produced water data to be reported for CBM operations only, and the Virginia Department of Mines, Minerals, and Ener gy (VA DMME) provided production information concerning CBM activities (Kent 2008). In 2007, 4,290 wells were producing 88,146.284 MmcfProduced Water Volumes and Management Practices Page 44

of CBM and 1,561,842 bbl of produced water (W GR: 17.7 bbl/Mmcf). Production information for oil, conventional gas, a nd coproduced gas for 2007 was obt ained from available county production statistics (VA DMME undated). Total gas production in 2007 was 112,000 Mmcf, with 79% of that volume attributed to CBM activities. Conventional gas activities produced approximately 23,505.106 Mmcf of gas (VA DMME undated). Oil production volume in 2007 was 19,155 bbl (VA DMME undated). Virginia is be ginning to collect da ta on produced water management strategies including injection for disposal and surface discharge of produced pit fluids, which should be available electronically in the future.


### 5.30 West Virginia The West Virginia Office of Oil and Gas pr ovided information on production activities and produced water management (Martin 2008). In 2007, there were 49,618 producing wells in West Virginia, with the majority of those wells ( 45,398) producing unconventional gas. The remaining wells produced crude oil (3,631) and CBM (589). Unconventional gas production for 2007 was 201,599 Mmcf, and CBM production was 22,974 Mmcf . During the same period, 679,239 bbl of crude oil were produced. Total produced water gene ration from these activiti es is not available.

While generation information is not available, produced water management information can provide an estimate for generation within the stat e. There were 709 injec tion wells that managed 3,942,370 bbl of produced water for enhanced rec overy. An additional 69 injection wells disposed of produced water, although the total vo lume managed is not available. West Virginia managed 3,857,000 bbl of produced water from CBM activities through 100 permitted land applications, which allowed produced water of a certain quality to be dispersed on the ground. An additional 537,659 bbl of produced water was managed through offsite commercial disposal. While the total volume for disposal wells is unknown, the known volume of produced water in West Virginia in 2007 was at least 8,337,029 bbl.


### 5.31 Wyoming The Wyoming Oil and Gas Conservation Commissi on provided historic information on produced water management from the Powder River Ba sin and qualitative information on reuse of produced water in the Big Horn Basin (Likwa rtz 2008). Specific information on production was obtained from statistics available on the commission’s website (WOGCC undated). In 2007, 54,051,671 bbl of crude oil were produced. Total gas production reached 2,253,487.217 Mmcf, with 436,306.044 Mmcf of CBM. Production of oil a nd gas resulted in the generation of 2,355,671,186 bbl of produced water in 2007.

Information on historic trends that was provide d for produced water management in the Powder River Basin indicate that si nce 1987, 4.784 billion bbl have been produced from coal beds. Approximately 54% has been discharged to ep hemeral and perennial streams, 35% has been managed using off-channel pits, 5% has been reused for irrigation projects, 3% has been managed through injection, and 3% has been treated and then discharged in to streams. Much of the produced water from conventional gas activiti es in the Big Horn Basin was also managed through agricultural reuse, alt hough the actual volume is unknown.Produced Water Volumes and Management Practices Page 45


## Chapter 6 — Federal and Tribal Summary
This section provides detailed information on produced water associated with production activities on federal lands (onshore) , federal offshore, and tribal lands. Federal onshore mineral leasing activities are managed by the U.S. Depa rtment of the Interior’s Bureau of Land Management and the U.S. Department of Agriculture’s Forest Service. The MMS manages the mineral resources (e.g., oil and gas) on the outer continental shelf. The Minerals Revenue Management Program (MRM), which is within MMS, is responsible for management of all revenues associated with minera l leases on federal onshore, fede ral offshore, and tribal lands. The information in this chapter was obtained from MMS.



### 6.1 Federal Onshore Production Onshore production activities on federal lands are assumed to be included in the total production volumes provided by the state agencies. In 2007, oil and gas production on federal lands were 104,378,709 bbl and 2,889,060 Mmcf, respectively. These production volumes are included in the state summaries in the previous chapter. The volumes represented 8.2% of state oil production and 13.5% of state gas production. Pr oduced water volumes from federal onshore production activities are part of the more than 20 billion barr els of produced water from state production totals and were not separately reported.



### 6.2 Federal Offshore Production In the produced water generation and management information for federal offshore activities the MMS provided (Kazanis et al. 2009), the number of wells provided was actually the number of completion counts, as some wells had both oil (3,268) and gas completions (3,580). Oil produced from oil completions totaled 385,066,136 bbl and generated 399,820,418 bbl of produced water (WOR: 1.04 bbl/bbl). The volume of gas produced from gas completions was 2,179,348.290 Mmcf, which generated 187,532,428 bbl of produced water (WGR: 86.0 bbl/Mmcf). Total oil production from both oil and gas completions was 467,179,615 bbl. Total gas production in 2007 was 2,786,592.780 Mmcf. Produced water generated from all production activities was 587,352,846 bbl.

While some produced water generated from offshore activities was injected, the vast majority of produced water was managed through discharge. In 2007, injection for enhanced recovery managed 48,673,102 bbl and injection for disposal managed 1,298,417 bbl of produced water. The remaining produced water (537,381,327 bbl ) was treated and then discharged.



### 6.3 Tribal Lands Forty-two tribes are served by MRM, and MR M provides total annual production and revenue data for the tribes online. The production data and national average water-to-hydrocarbon ratios were used to estimate produced water generation on tribal lands. The following tribes are those that are included in the annual production summary:Produced Water Volumes and Management Practices Page 46

• Alabama-Coushatta

• Arapahoe

• Assiniboine Sioux

• Blackfeet

• Caddo

• Cherokee

• Cheyenne-Arapaho

• Chickasaw

• Chilocco Indian School

• Chippewa-Cree

• Choctaw

• Colorado River

• Cook Inlet Region, Inc.

• Creek

• Crow

• Delaware

• Ft. Mohave

• Gila River Indian Community

• Hopi

• Jicarilla Apache

• Morongo Band Mission Indians • Navajo

• Pala Band Mission Indians

• Pawnee

• Ponca

• Pueblo of San Ildefonso

• Pueblo of Sandia

• Pueblo of Zia

• Pyramid Lake Paiute

• Quechan

• Sac and Fox

• Salt River-Pima Maricopa

• Santa Ana Pueblo

• Seminole

• Shoshone

• Shoshone Bannock

• Soboba Band Mission Indians

• Southern Ute

• Tohono O’Odham

• Ute

• Ute Mountain Ute

• Wichita

MRM reports that in 2007 oil product ion was 9,512,652 bbl and gas production was 297,329 Mmcf. Location-specific production informati on was not obtained; therefore, the U.S. averages for WOR (7.57) and WG R (259.8) were used to estimate the produced water volume for tribal lands. Total produced water was estimated to be 145,109,593 bbl.Produced Water Volumes and Management Practices Page 47


## Chapter 7 — Findings and Conclusions

7.1 Findings

7.1.1 Produced Water Volume This report provides a current esti mate for the volume of produced water generated from oil and gas production in the United States. The volume estimate represents a compilation of data obtained from numerous state o il and gas agencies and several federal agencies for 2007, where possible. The total volume of produced water es timated for 2007 is about 21 billion bbl. This equals an average of 57.4 million bbl/day. Produced water is generated from most of the nearly 1 million actively producing oil and gas wells in the United States.

Not all states had readily available precise produc ed water volume figures. In a few states, the agencies had very complete data records easily obtainable from online sources. Other states had summary-level volume data without much detail or had data available only in in-house data repositories. The most challenging states were th ose that had no produced water data at all. In those cases, we calculated estimates through ex trapolation and correlations using hydrocarbon production and produced water volum es from neighboring states.

Several states dominate the total produced wate r volume estimates. Texas, with more than 7.3 billion bbl, represented 35% of the national to tal. Other states with produced water volumes exceeding 1 billion bbl include California (12 %), Wyoming (11%), Oklahoma (11%), Kansas (6%), and Louisiana (5%).

The greatest produced water contributors are not necessarily the greatest producers of oil and gas. While Texas was the largest gas producer in the United States (nearly 6,900,000 Mmcf in 2007), federal offshore production activities provide d the largest volume of crude, more than 467,000,000 bbl. Although federal offshore production ge nerated nearly 27% of U.S. crude oil production, less than 3% of total U.S. produced water was generated from federal offshore activities.

7.1.2 Produced Water Volume by Hydrocarbon Type We asked the agencies to provide produced wate r volumes by hydrocarbon types (i.e., crude oil, conventional gas, coal bed methane, unconventional gas, or other), to the extent the data were available at that level of detail. Most states we re unable to break out produced water volumes for all categories, but some states could at leas t provide estimates of produced water from oil production vs. natural gas production. States that segregated produced water by hydrocarbon categorized 6,666,144,270 bbl of produced water. Eighty-seven percent (5,770,327,439 bbl) of the produced water came from oil production activities.

It is useful to consider th e WOR and WGR from production activ ities to evaluate the relative production age of resources within the production lifetime. We were able to calculate separate WORs and WGRs for several stat es that reported produced wate r separately by hydrocarbon type (WORs for 14 states and WGRs for 11 states).Produced Water Volumes and Management Practices Page 48

For WORs, state values ranged fr om 2.5 bbl/bbl for South Dakota to 43 bbl/bbl for Illinois. The offshore ratio was even smaller at 1.04 bbl/bbl. A national average ratio, calculated using the production-weighted ratios from the 14 states , was 7.6 bbl/bbl. When offshore production was added to the onshore production, the to tal average U.S. WOR was 5.3 bbl/bbl.

For WGR ratios, the state values ranged from 0.04 bbl/Mmcf in South Dakota to more than 1,200 bbl/Mmcf for Kansas. The offshore ratio was 86 bbl/Mmcf. A national average ratio calculated using the production-weighted ratios from the 11 states was 260 bbl/Mmcf. When offshore production was added to the onshore pr oduction, the total av erage U.S. WGR was 182 bbl/Mmcf.

7.1.3 Produced Water Management Practices This report describes the curren t (i.e., 2007) practices used by many oil and gas producers to manage produced water. Two general themes are followed by most U.S. operators. More than 98% of produced water from onshore wells is injected underground. Approximately 59% is injected into producing formati ons to maintain formation pres sure and increase the output of production wells. Another 40% of produced wate r from onshore wells is injected into nonproducing formations for disposal.

Four percent of the total repor ted volume of produced water ( onshore and offshore) managed in 2007 was managed through surface discharges. Al abama is noteworthy among states with onshore production because it managed about 65% of its produced water through surface discharge. Nearly all of the discharges came from CBM operati ons in the Black Warrior Basin. The remaining produced water volume was ma naged through evaporation ponds, offsite commercial disposal, beneficial reus e, and other management methods.

More than 91% of offshore produced water, including the water from inshore platforms in Cook Inlet, Alaska, was discharged to the ocean. Most of the rema ining volume was reinjected for enhanced recovery.

One of the potentially valuable management practic es for produced water is beneficial reuse. We attempted to obtain information on the volume of produced water reused and how the water was reused, but were unsuccessful at finding much information.

We had hoped to obtain produced water management information separately for each type of hydrocarbon production. Most states we re either not able to provide that information or reported that the same practices were used regardless of the hydrocarbon type.



### 7.2 Conclusions This report provides the most detailed and curr ent information on the volume of produced water generated in the United States . Its 2007 estimate was derived in a more detailed and comprehensive manner than earlier national estimates developed for 1985, 1995, and 2002. The 2007 volume is the highest of thos e estimates, and should be a more representative estimate than the earlier ones because of the approach us ed to collect and extrapolate the data.Produced Water Volumes and Management Practices Page 49

Information on management practices has not ch anged significantly from previous studies. However, confirmation of that fact is valuable , too. The majority of pr oduced water is managed through injection with 59% of th e onshore produced water volume being injected to increase production output.

A final important conclusion of this study is that there is no easy way to obtain national estimates of produced water generation. The estimates presented in this report took months of investigation, numerous contacts with oil a nd gas agency staff members, and extensive follow-up. Some states had useful produced wate r information either published in reports or readily available through state databases. However, many other states had only minimal information about produced water volumes or how the produced water was managed. No federal regulatory program requires agencies to track produced water volume. Consequently, when regulatory and data management resources are limited, some states do not maintain produced water information.Produced Water Volumes and Management Practices Page 50

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Halvorson, J., 2009, personal communication between J. Halvorson, Montana Board of Oil and Gas, Billings, MT, and C. Clark, Argonne National Laboratory, Washington, DC, Jan. 14.

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Likwartz, D., 2008, personal communication be tween D. Likwartz, Wyoming Oil and Gas Conservation Commission, Casper , WY, and J. Veil, Argonne Na tional Laboratory, Washington, DC, Nov. 14.

Martin, J., 2008, personal communication among J. Martin, G. Smith, and J. Peterson, West Virginia Department of Environmental Protec tion, Office of Oil and Ga s, Charleston, WV, and C. Clark, Argonne National Laboratory, Washington, DC, Dec. 23.

McGillivray, M., 2008, personal communication among M. McGillivray and F. Steece, South Dakota Department of Environment and Natural Resources, Division of E nvironmental Services, Minerals and Mining Program, Oil and Gas S ection, Rapid City, SD, and C. Clark, Argonne National Laboratory, Washington, DC, Dec. 8.

McMains, S.E., 2008, personal communication among S.E. McMains, D.S. Roby, and C.P. Foerster, Alaska Oil and Gas Conservation Co mmission, Anchorage, AK, and C. Clark, Argonne National Laboratory, Washington, DC, Dec. 2.

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Rauzi, S., 2008, personal communication between S. Rauzi, Arizona Geological Survey, Tucson, AZ, and J. Veil, Argonne National Laboratory, Washingt on, DC, Nov. 7.

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## Appendix A — Sample Letter

November 7, 2008

[Title]. [First Name] [Last Name] State Oil and Gas Agency 123 State Street City, State 12345

Dear [Title]. [Last Name]:

The U.S. Department of Energy (DOE) asked Ar gonne to compile data on two important water streams associated with oil and gas production – produced water and hydra ulic fracturing (frac flowback) water. No recent national volume estimat es of these water streams are available, nor do we have satisfactory information on how the wa ter is managed after it is generated. Argonne plans to develop detailed national-level inform ation on the volume of produced water generated in the United States and the ways in which it is disposed or reuse d. In a second study, Argonne will evaluate frac flowback water use and re-use to determine the sources of water used for fracturing and the methods used to manage the flowb ack water after it is re turned to the surface.

We plan to collect data from various sources, but believe that the State oil and gas programs are the best place to begin. Your agency has long-term direct experience with oil and gas activities in your state. Further, most states already empl oy data management systems for tracking production data.

I know that you are very busy w ith your regular responsibilit ies, but I hope that you can designate a member of your staff to work with us to identify the types of relevant information that we can find from your existing files and da tabases. If necessary, we can send one of our project team members to your offices to review and compile data. We would like to begin these two projects during November. Please let me know whom we can contact in your agency to obtain the necessary data.

Although I am overseeing the projects, much of the work will be done by my colleague, Dr. Corrie Clark. You may contact either me (xxx-xxx-xxxx; xxx@anl.gov) or Dr. Clark (xxx-xxxxxxx; xxx@anl.gov). Thank you in advance. We look forward to working with you.

Sincerely,

John A. VeilProduced Water Volumes and Management Practices Page 60

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Printer-Friendly This report provides a current estimate for the volume of produced water generated from oil and gas production in the United States. The volume estimate represents a compilation of data obtained from numerous state oil and gas agencies and several federal agencies for 2007, where possible. The total volume of produced water estimated for 2007 is about 21 billion bbl. This equals an average of 57.4 million bbl/day. Produced water is generated from most of the nearly 1 million actively producing oil and gas wells in the United States. Argonne contacted state oil and gas agencies in the 31 states with active oil and gas production to obtain detailed information on produced water volumes and management.

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### Citation

Clark, C.E., and J.A. Veil, 2009, Produced Water Volumes and Management Practices in the United States, ANL/EVS/R-09/1, prepared by the Environmental Science Division, Argonne National Laboratory for the U.S. Department of Energy, Office of Fossil Energy, National Energy Technology Laboratory, September ANL/EVS/R-09/1



### Authors

Clark, Corrie; Veil, John A.



### Contact

John Veil (202)488-2450 jveil@anl.gov 

### Document Type

Report



### Publication Year

2009

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