SCOPE

Chevron’s San Ardo oil field in Southern California recovers more than 10,000 barrels of heavy oil each day. The oil extraction process generates large volumes of produced water that require treatment and management, typically disposed of by deep well injection. Chevron engaged Veolia’s water treatment technology, engineering and operations experts to provide a new solution for sustainably treating the produced water. This would allow Chevron to minimize its water impact, while maximizing efficiency and significantly expanding production.

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To achieve this, Veolia provided Engineer-Procure (EP) services and operates a produced water management facility at this oil field that features the first-ever installation of Veolia’s OPUS® (Optimized Pretreatment and Unique Separation) technology. In this case, Chevron San Ardo’s treated water is used in two ways – reused for steam generation, and released into aquifer recharge basins that replenish local water resources and allow Chevron to recover more oil. The reliable operations & maintenance of the plant is backed by a Veolia performance guarantee.

CHALLENGE

The process of extracting oil from the ground generates a volume of water that can range from 10 to 20 times the oil production rate. Historically, a portion of this water had been recycled and softened for reuse in steam generation, with the remainder going to local EPA class II injection wells for disposal. However the injection zone capacity is limited, which constrains full field development and daily production levels.

The raw produced water for this oil field is 200°F, and contains about 25 ppm free oil, 80 ppm TOC, 240 ppm silica, 26 ppm boron, 240 ppm hardness and 6,500 ppm Total Dissolved Solids (TDS). The project goal was to reduce the feed water TDS to less than 510 ppm and boron to less than 0.64 ppm for discharge, while achieving 75% water recovery across the treatment system and minimizing the volume of produced water requiring re-injection. For steam generation, the project goal was to reduce the feed water hardness to less than 2 ppm total hardness as CaCO3.

SOLUTION

Veolia provided Chevron with the first produced water facility in the world to use its OPUS® technology, a multiple-treatment process that removes contaminants sufficiently to meet the established requirements for discharge. The technology and services provided by Veolia enables the plant’s entire water cycle to be managed in a truly sustainable way, while simultaneously expanding oil production capacity.

Since the plant was commissioned in 2008, Veolia has operated and maintained (O&M) the facility for Chevron. Under its O&M contract, Veolia provides operations for the plant, which treats a combined 150,000 barrels of produced water daily, and oversees the facility’s maintenance according to an established performance guarantee. Additionally, Veolia provides Chevron with on-site and off-site technical and engineering support to troubleshoot issues, maintain optimal operations, prevent failures and implement processes to help maximize oil production.

RESULT

Veolia’s innovative application of its OPUS® technology – groundbreaking for produced water management – has delivered exceptional value back to Chevron San Ardo. By developing a sustainable solution that allows up to 50,000 barrels per day of produced water for surface discharge and another 75,000 barrels per day for steam generation, Chevron is minimizing its environmental impact on water-stressed California by returning water to the aquifer recharge basins. And by avoiding deep well injection, Chevron has a long-term solution for managing produced water that limits its regulatory risk and supports expanded production activities.

Thanks to Veolia’s expert operations & maintenance staff who run the facility for Chevron, the produced water is consistently treated to levels that allow for surface discharge to replenish local water resources – a critically important factor for oil field operations and their social license to operate in California. With plant operations handled by Veolia and backed by a performance guarantee, Chevron can focus on its core operation of oil production.

By partnering with Veolia, Chevron San Ardo accomplished its objective of achieving a more circular, sustainable and reliable business operation.

LUMEN provides continuous quantifiable methane detection and real-time cloud-based data for operators
Wireless ground-based and aerial drone-based solutions provide flexibility and cost-effectiveness
Among a range of innovative technologies demonstrated at BHGE’s 20th Annual Meeting

On the first day of its 20th Annual Meeting in Florence, Italy, Baker Hughes, a GE Company (NYSE: BHGE) unveiled a host of industry-leading technologies designed to “move energy forward”, including a new digital integrated platform, LUMEN, to provide continuous and unmanned aerial vehicle (UAV) methane monitoring for oil and gas operators.

The technology was among a range of innovations being demonstrated at the event which brought together more than 1,000 senior oil and gas leaders and energy ministers from around the world to discuss and debate the latest trends and challenges facing the sector, including tackling the industry’s carbon footprint.

“Methane leak detection is one of the most pressing needs in the oil and gas industry today, and we believe LUMEN is a game-changer for highly-effective methane emission monitoring,” said Diarmaid Mulholland, CEO of BHGE’s Measurement & Sensing business. “Using advanced sensors and industrial software, LUMEN helps operators to protect the environment by detecting harmful methane leaks, and by using advanced data analysis, this technology helps identify and reduce emissions while also increase safety for operators. The applications within oil and gas are just the beginning.”

“In a carbon-constrained world, minimizing methane emissions is a critical path issue for the oil and gas industry. No operator can afford to sit still as service companies and others bring ever more innovative methane solutions to market,” said Isabel Mogstad, a methane solutions expert with the Environmental Defense Fund.

LUMEN includes a full-suite of methane monitoring and inspection solutions capable of streaming live data from sensors to a cloud-based software dashboard for real-time results. The platform consists of two seamlessly connected formats – a ground-based solar-powered wireless sensor network, and a drone-based system for over-air monitoring, – ensuring methane emissions are monitored as efficiently and accurately as possible.

Innovative monitoring strategies like LUMEN go beyond meeting safety and regulatory requirements – which remain extremely important – and can also help increase operational efficiencies, reduce costs, and minimize pollutants for customers globally.

LUMEN’s ground-based sensor system, LUMEN TERRAIN, is a solar-powered, wireless system that creates a “digital mesh” network around a facility, outdoors, and indoors. BHGE can also take LUMEN SKY airborne with an integrated, multi-faceted UAV system using a state of the art, a combination of TDLAS and OGI technologies, along with high-definition aerial video streaming for unmatched data visualization.

Using proprietary algorithms and machine learning, data, LUMEN provides methane concentration data (PPM), as well as the location and rate of the leak. The data is available in real-time at the touch of a button via a computer or smartphone, giving operators the ability to make quicker, more reliable decisions for their operations.

Visit https://annualmeeting.bhge.com to learn more about the Florence event including the conference agenda and speakers guide, and where the full proceedings from the Annual Meeting will be shared at the close of the event. Visit http://bhge.com/methane to learn more about LUMEN.

Media Relations

Global External Affairs & Financial Communications

Thomas Millas

+1 910 515 7873

thomas.millas@bakerhughes.com

FORT DAVIS, Texas — The University of Texas at Austin’s McDonald Observatory has collaborated with the Permian Basin Petroleum Association (PBPA) and the Texas Oil and Gas Association (TXOGA) to reduce light shining into the sky from drilling rigs and related activities in West Texas. The excess light has the potential to drown out the light from stars and galaxies and threatens to reduce the effectiveness of the observatory’s research telescopes to study the mysteries of the universe.

“This partnership of PBPA and TXOGA with McDonald Observatory to protect dark skies in its vicinity is vital to the research of the universe taking place at McDonald,” said Taft Armandroff, director of the observatory.

The collaboration’s Recommended Lighting Practices document details best lighting practices for drilling rigs and other oilfield structures, including what types of lighting work best and how to reduce glare and improve visibility. These practices will increase the amount of light shining down on worksites, thus increasing safety while decreasing the amount of light pollution in the sky. Reducing excess light helps the observatory and also decreases electricity costs for the oil and gas producers.

The document specifically targets oil and gas operations in the seven counties with existing outdoor lighting ordinances surrounding the McDonald Observatory: Brewster, Culberson, Hudspeth, Jeff Davis, Pecos, Presidio and Reeves. However, the recommendations can be beneficial across the industry.

A new video that helps to introduce the recommendations to oil and gas companies is now available. It features the observatory’s Bill Wren explaining the importance of dark skies, and how lighting practices can both preserve dark skies and improve safety for oilfield workers. The video was produced with the support of the Apache Corporation, following the company’s extensive collaboration with observatory staff and implementation of these practices with their assets in the area. It is available to watch and share at: https://youtu.be/UnmwnO6CIR4

“For years, the PBPA and the McDonald Observatory have worked together on educating members of the Permian Basin oil and gas community about the Dark Skies Initiative and the possible impact lighting practices can have on the observatory’s work,” said PBPA President Ben Shepperd. “About two years ago, the PBPA board of directors agreed to support the creation of lighting recommendations. We decided a great way to educate members of the industry on how they could provide a positive impact on this issue was through the utilization of such recommended practices.

“So we began work with the observatory to publish recommended lighting practices and have since worked to educate our members and those outside the oil and gas industry on the recommendations through presentations, seminars, articles in magazines and newspapers, and even one-on-one conversations,” Shepperd said.

Recently, the Texas Oil and Gas Association joined the collaboration.

“The Texas Oil and Gas Association recognizes that production practices and protecting the environment are in no way mutually exclusive,” TXOGA President Todd Staples said. “The Recommended Lighting Practices collaborative effort allows for the oil and natural gas industry to continue the work vital to our economy and our future, and for the simultaneous reduction to our ecological footprint.”

In April, the observatory’s Dark Skies Initiative was named one of six Texan by Nature Conservation Wrangler projects for 2018. Texan by Nature, a Texas-led conservation nonprofit founded by former first lady Laura Bush, brings business and conservation together through select programs that engage Texans in the stewardship of land and communities.

The award will provide the observatory connections to technical expertise, industry support, publicity, and more for its Dark Skies Initiative.

“Our Conservation Wrangler program recognizes innovative and transformative conservation projects across the state of Texas,” said Joni Carswell, the organization’s executive director. “Each Conservation Wrangler project positively impacts people, prosperity and natural resources.”

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Southern California Refinery Case Study

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CHALLENGE

SOLUTION

RESULT

By partnering with Veolia, Chevron San Ardo accomplished its objective of achieving a more circular, sustainable and reliable business operation.

The DeepArmor endpoint protection platform uses the power of big data and our patented machine learning algorithms to prevent the most advanced, modern-day attacks. Find out how DeepArmor can add a cognitive layer to your security

LUMEN provides continuous quantifiable methane detection and real-time cloud-based data for operators

Wireless ground-based and aerial drone-based solutions provide flexibility and cost-effectiveness

Among a range of innovative technologies demonstrated at BHGE’s 20th Annual Meeting

Innovative monitoring strategies like LUMEN go beyond meeting safety and regulatory requirements – which remain extremely important – and can also help increase operational efficiencies, reduce costs, and minimize pollutants for customers globally.

Visit https://annualmeeting.bhge.com to learn more about the Florence event including the conference agenda and speakers guide, and where the full proceedings from the Annual Meeting will be shared at the close of the event. Visit http://bhge.com/methane to learn more about LUMEN.

Media Relations

Global External Affairs & Financial Communications

Thomas Millas

“This partnership of PBPA and TXOGA with McDonald Observatory to protect dark skies in its vicinity is vital to the research of the universe taking place at McDonald,” said Taft Armandroff, director of the observatory.

The document specifically targets oil and gas operations in the seven counties with existing outdoor lighting ordinances surrounding the McDonald Observatory: Brewster, Culberson, Hudspeth, Jeff Davis, Pecos, Presidio and Reeves. However, the recommendations can be beneficial across the industry.

Recently, the Texas Oil and Gas Association joined the collaboration.

The award will provide the observatory connections to technical expertise, industry support, publicity, and more for its Dark Skies Initiative.

“Our Conservation Wrangler program recognizes innovative and transformative conservation projects across the state of Texas,” said Joni Carswell, the organization’s executive director. “Each Conservation Wrangler project positively impacts people, prosperity and natural resources.”

— END —

Media Contacts: Rebecca Johnson, Communications Manager McDonald Observatory The University of Texas at Austin 512-475-6763

Stephen Robertson, Executive VP Permian Basin Petroleum Association 432-684-6345

Kate Zaykowski, Communications Director Texas Oil and Gas Association 325-660-2274

Taylor Keys, Program Manager Texan by Nature 512-284-7482

Castlen Kennedy, VP of Public Affairs Apache Corporation 713-296-7189

Media Contacts:
Rebecca Johnson, Communications Manager
McDonald Observatory
The University of Texas at Austin
512-475-6763

Stephen Robertson, Executive VP
Permian Basin Petroleum Association
432-684-6345

Kate Zaykowski, Communications Director
Texas Oil and Gas Association
325-660-2274

Taylor Keys, Program Manager
Texan by Nature
512-284-7482

Castlen Kennedy, VP of Public Affairs
Apache Corporation
713-296-7189