May 2014 Submitted to Water Management for Shale Plays

– West 2014• Hydraulic Fracturing

– 1 - 12 Million Gallons of water required to complete hydraulic fracture

• Equivalent to 2 - 20 Olympic Size Pools

• Equivalent to 11 - 130 average households annual water use (indoor and outdoor)

• Distance of 83,181 miles

– 998,283 miles at average stream of 6mm diameter (moon is 252,000 miles away)

– Flowback

• 30% within first 30 - 180 days

• Includes frac fluids, hydrocarbon residuals, minerals, etc.

– Produced Water

• Long term development with hydrocarbon production

• Variable over time• Short/Medium/Long term storage options required for storage of water

• Engineered for reliability, safety, purpose, and ecology.

• Allow restoration of tank site to previous conditions after use is discontinued

• Storage that is acceptable to the public and regulators• Duration of operation

• Speed of operation

• Type of water

• Characteristics of water

• Destination for water

• Site characteristics

• Regulatory environment

– Air Quality

– Capture of potential emissions

– Impoundment and dam regulations

– Transportation restrictionsFresh Water Reclaimed

Water Produced

Water Frac

Flowback Treatment

Brines Sludges

Less Restrictive/More Clean More Restrictive/Less Clean• Emissions from uncovered tankage and impoundments may result in pollution charges

• Construction in non - attainment areas may result in the need to apply BACT/MACT for capture/treatment of VOC emissions

• Fresh water not subject to air quality regulations• Tried and true

• Easily transportable

• Rapid depolyment

• Common

• Many configurations

• Easy to fit to any site

• Completely enclosed

• Cheap for short term deployment• Small capacity requires many tanks

• Plumbing becomes cumbersome

• Likely not be the smallest footprint for a site

• Carefully consider material compatibilityAdvantages

• Bolt up construction for long term storage solution

• Can be completely enclosed to prevent fugitive emissions

• High capacity tankage

• Many suppliers

• Many materials

• Simplified plumbingDisadvantages

• Material compatibility

• Corrosion/maintenance

• Fixed in place, difficult to relocate

• Site concerns

– compaction, clearance, containment, etc.

• Diameter does not allow adaptability to unique site shapes• Rapid field erection (2 - 5 days)

• Structurally very strong

• Use of liners eliminates most corrosion concerns

• More efficient than Frac Tanks

• Reusable/ redeployable at different sites

• Simplified plumbing• Still limited to circular configurations, fixed sizes

• Need level site with adequate compaction

• Limited ability to capture emissionsAdvantages

• Can be configured to a variety of sites with variable shapes and topography

• Easily erected

• Use of liners eliminates most corrosion concerns

• Most efficient use of site spaceDisadvantages

• Difficult to cover if necessary

• Not as structurally sound as circular configurations

• Limited height for the system• Greatest site flexibility

• Greatest potential water storage

• Long - term permanent solution for sites, resulting in lowest cost when long - term storage is required

• Lowest risk of failure

• Ability to capture emissions

• High process flexiblity

• May be desirable facility for repurposing in subsequent operations• Greatest likelihood of regulation as a dam/impoundment.

• Highest initial cost

• No flexibility to move to different sites

• Longest installation time

• Most difficult site restoration• Likely all alternatives!

– Frac Tanks for short term storage where limited water will be used or returned

– Portable enclosures for total storage of frac water supply

– Combination of above ground tankage and ponds/impoundments at treatment sites

• Careful study required to make the appropriate choice...

• Pipelines may allow major reduction in storage requirements.Thank you,