Pipeline News August 2011 by Estevan Mercury

PIPELINE NEWS Saskatchewan’s Petroleum Monthly

August 2011

Canada Post Publication No. 40069240

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Volume 4 Issue 3

Gas Plants & Batteries

A3 Oilpatch pitches in to save towns

B1 Crescent Point develops Lower Shaunavon

C1 Tank maker setting up shops

Welder Matt Dunlop cuts piling pipe for the new Crescent Point Energy Corp. battery at Gardenhead, northwest of Shaunavon. Photo by Brian Zinchuk

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PIPELINE NEWS August 2011

News

STARS to fly in Manitoba, shops for BK117 helicopters

Notes

Canadian Energy spuds Ceylon well Canadian Energy Exploration Inc. has spudded a test well on lands earned in accordance with a previously announced seismic review and option agreement dated Sept. 28, 2010, in the Hardy/ Minton area of southeast Saskatchewan. Pursuant to the terms of the farm-in agreement, the well is considered an after-earned well and under the Saskatchewan government regulations it is considered a development well due to its proximity to unabandoned wells. This is the first accessible location to the company on its Hardy lands since early March due to saturated soil conditions prevalent throughout southeast Saskatchewan. The well is licensed to a total depth sufficient to drill to 2,415 metres; however, the company may reduce the drill depth to 1,840 metres, sufficient to evaluate the Mississippian formations including the Ratcliffe formation.

Brett Wilson awarded Order of Canada W. Brett Wilson, originally of North Battleford and one of the founders of First Energy Capital, will be made a member of the Order of Canada, one of the nation’s highest awards. The citation on June 29 stated it is for “his contributions as an entrepreneur, community leader and philanthropist.” A membership of the Order of Canada recognizes a lifetime of distinguished service in or to a particular community, group or ﬁeld of activity. Wilson now resides in Calgary, but still makes substantial contributions in Saskatchewan.

Briefs courtesy Nickle’s Daily Oil Bulletin

(L-r) Lloydminster Mayor Jeff Mulligan; Ed Connolly, Husky VP of Heavy Oil; Scott Young, VP aviation for STARS and Tim McMillan, Saskatchewan MLA for Lloydminster, officiated at a Husky Energy cheque donation of $250,000 to help STARS set up its air ambulance service in Saskatchewan in 2012. Husky has contributed more than $1 million to STARS in recent years. Photo submitted

By Geoff Lee Bonnyville, Alta. – Shock Trauma Air Rescue Society (STARS) is negotiating to purchase up to three used BK117 helicopters from a U.S. - based air medical provider to support its growing air ambulance program in Western Canada. STARS signed a memorandum of understanding with the Manitoba government on April 28 to facilitate a permanent air ambulance service in that province with expansion into Regina and Saskatoon starting in 2012. If the deal to buy new BK117s goes through, the new helicopters would be used by STARS to provide air ambulance coverage to multiple provinces. STARS recently purchased two new AW139 helicopters with a third planned for duty in Saskatchewan in 2013 along with two BK117s. Plans call for one of the three helicopters to be based in Saskatchewan to serve as a backup. It will rotate duty from Saskatoon to Regina according to maintenance and operational needs. The BK117 is the current backbone of the fleet with two choppers usually assigned to Calgary, two in Edmonton and one in Grande Prairie. With one chopper down for repairs in Calgary and another assigned to Manitoba flood relief, STARS resources are being stretched thin. “Basically what’s happened with our expansion into both Regina and Saskatoon is our need for back-up equipment and our commitment to oper-

ate 24/7 in these cities,” said Dan Knapp, STARS manager of business development at the Bonnyville & District Oil and Gas Show on June 22. “In order to do that, there are mechanical considerations – we’ve got one machine that is in pieces right now all over the hangar floor in Calgary. “We have another machine in Winnipeg for flood relief that’s left us with basically one machine in Grande Prairie, Edmonton and Calgary. “So we are thin, in other words. If we have a mechanical failure that means we can’t provide the service. We sent some of our people looking to see if they could find some additional BK117 ’copters.” Knapp says the pending purchase of the new helicopters would likely include a stock of spare parts. Having extra BK117s will come in handy as Manitoba has asked STARS to stay in that province year-round after their work assisting with flood relief efforts. “We did that in 2009 and it was such a tremendous success that the premier called and asked us to come back and do it again in 2011,” said Knapp. “The arrangement was that we would spend two months there from the first of April to the end of May, and what happened was the program turned out to be such a tremendous success again that he called our CEO and said ‘We really want you to stay." ► Page A6

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PIPELINE NEWS August 2011

News

Notes

Torquay drills around Lake Alma

Trini Piche, in the white, is a surveyor with Midwest Surveys as well as a Lampman town councillor. His transit, in the foreground, allowed him to instruct sandbaggers where to place their bags.

Thank goodness the oilpatch was there By Brian Zinchuk

pumped out the several-acre pool that had formed along the east side of the community. The trucks formed a continuous line along the Benson, Lampman – In late June, Benson and Lampman were both in serious danger of being west shoulder of Highway 47. Dozens of hoses ran flooded out, despite the fact there’s no obvious river to the centre line of the highway, discharging the waflowing through the area. Hard work and commu- ter just across the crown of the road to flow into the opposite ditch. Vehicles passing by splashed though nity spirit saved the two communities. Google Maps satellite pictures show an inter- the pumped water as they went. It was a reprieve, but more water was coming, so mittent watercourse that flows from the northwest. In late spring and early summer, that watercourse the dike was opened partially and pumping continformed its own wide river which both Benson and ued for days. North of Benson, Lampman found themwater was flowing over selves on. The water was Highway 47 for a month working its way from until the Ministry of the Griffin area, heading Highways shut it down east. and installed larger culBenson started floodverts just after Canada ing June 22. The hamlet Day. was becoming inundated Even though there from the north end of really isn’t a river in that town, and soon the whole area, there was now. The hamlet would be affected. - Greg Wallin, RM administrator satellite pictures show An emergency levy was that indeed this has been constructed on a roadway a water course in the past, on the north side, and although there was no obvious outlet for it beyond sandbaggers from all over came to build a sandbag Lampman. This had the Lampman officials very wall along the east side of town. A call went out for trucks with pumps, and the concerned, describing the community as being in something of a basin. The water was rising, and it response was substantial. At its peak 52 trucks, ones wasn’t really going anywhere else. It was pooling on that would normally be hauling water in the oilfield the north side of town, and threatened to inundate were present, along with several other pumps. They the community. ► Page A7

“

I’ve talked to guys 95 years old, and they’ve never seen anything like this.

”

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Torquay Oil Corp. reported a net loss but had positive cash flow in its first quarter as a producing company. Along with many other operators in southeast Saskatchewan, the company is experiencing the effects of unprecedented flooding. Roads are impassable even in July; leases are covered with water and production is shut in. As such, the company’s drilling schedule has been delayed at all of its operating areas. Torquay considers itself fortunate, having been able to begin drilling at Lake Alma, and is confident it will be able to complete its 2011 drilling program. “However, many residents in southeast Saskatchewan have not been so fortunate - they have lost homes, crops and jobs - so our thoughts go out to these people,” the company said. In the first quarter Torquay drilled four (four net) wells resulting in two (two net) oil wells, earned an additional seven and one quarter sections (7.25), and acquired about 50 boepd of production in southeast Saskatchewan establishing a new core area. Also during the quarter the company acquired a partner’s working interest in the Lake Alma area of southeast Saskatchewan, increasing land holdings to 90 (86 net) sections. Torquay increased conventional Mississippian light oil drilling locations to more than 40 and began an expansion project on the Viewfield battery in preparation for increased fluid throughput. Torquay set its 2011 budget at $50 million and produced an average of 370 boepd (97 per cent light oil and liquids) during the quarter. Current production is averaging 350 boepd (97 per cent light oil and liquids). Updating its operations in southeast Saskatchewan, Torquay said it recently finished drilling its first horizontal Ratcliffe well in the Lake Alma area. The well was drilled to 2,515-metres measured depth and is currently being completed. The company then drilled a horizontal Bakken development well at Lake Alma.

Briefs courtesy Nickle’s Daily Oil Bulletin

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EDITORIAL

PIPELINE NEWS August 2011

Pipeline News Publisher: Brant Kersey - Estevan Ph: 1.306.634.2654 Fax: 1.306.634.3934

Mission Statement: Pipeline News’ mission is to illuminate importance of Saskatchewan oil as an integral part of the province’s sense of community and to show the general public the strength and character of the industry’s people.

Editorial Contributions: SOUTHEAST Brian Zinchuk - Estevan 1.306.461.5599 SOUTHWEST Swift Current 1.306.461.5599 NORTHWEST Geoﬀ Lee - Lloydminster 1.780.875.6685

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Editorial

Bring on the sun, it’s drilling time Oh what a difference a little warm weather makes. In some ways, the southeast spring breakup that never ended was nearing its end by mid-July. In other ways, it was still going on forever. Asking RM of Estevan Reeve Kelly Lafrentz why the road ban signs were still up as of July 11th, he brings you over to a map of the RM. All over the map are small blue circles indicating places where water was still crossing a road, or had done so, and therefore was still soggy. There were over 70. It looked like someone had gone crazy with a bingo dabber. The road goes completely into the ditch if trucks travel on it, Lafrentz said. The next day, Lafrentz and RM administrator Greg Hoffort took Provincial Disaster Assistance Program officials for a tour of these locations. There were way too many to squeeze into just one day. As such, the road ban sides were staying up for the time being. Similar signs could be found in the RM of Browning, where the town of Lampman has been under siege for a month with a lake of floodwater just to the north. Since the water wasn’t going anywhere, the next step was to trench it away from the town until eventually it started flowing on its own to Moose Creek. Claudia Mullis of Cliff Nankivell Trucking said a lot of guys were off for over a month and a half as a result of the wet conditions, and then came back only part-time. “We’ve never had one like this. The whole basin is just

flooded,” she said. “We had guys who quit because it was too slow. When it picks up, it will be hard to get crews back together.” Yet after a slow spring, drilling took off like a rocket by mid-July. Riglocator.ca indicated on July 18, there were 118 drilling rigs active in Saskatchewan, the highest number in at least the past three years, including during winter drilling season. That number dropped off slightly in the following few days, but was still going strong. Indeed, the Saskatchewan drilling fleet is now running around 156, about 30 more than last year. If the fleet were the same size as 2010, we’d be running with a rig utilization rate in excess of 90 per cent! The additional rigs means that utilization is floating around 70 to 75 per cent, substantially higher than the 45 to 50 per cent both British Columbia and Alberta have been running in July. On the Riglocator.ca map, a swath of new drilling took over in the southeast. Much of it was close to major roads or highways, but it was happening. We predicted last month, “No one will be sitting on their hands for three months when there is $95 oil to be had.” It turned out to be a safe bet. So while there will be aftermath for months, possibly years, due to the damage done to the roads by the wet conditions in the southeast, the oilpatch is up and running again. The “mini-bust” we spoke of last month should be just that – mini.

PIPELINE NEWS August 2011

Opinion

Province fires on all cylinders Saskatchewan’s oil and gas sector is on an economic roll that continues to gain momentum from strong investment, growth and employment. The Fraser Institute’s Global Petroleum Survey 2011 released in late June ranks Saskatchewan as the best place for oil and gas investment in Canada, overtaking Manitoba that slipped to second place. Saskatchewan is also ranked 11th best in the world out of 136 provinces, states and countries that the Fraser Institute assessed in its 2011 worldwide survey. The survey notes industry executives stress longterm energy stability, low royalties, and clear regulatory frameworks lead their list of priorities when choosing where to invest, and Saskatchewan scores well in these areas. A survey spokesperson said Saskatchewan “understands the petroleum industry” and its importance to maintaining a prosperous economy. Energy and Resources Minister Bill Boyd credits the rankings to the government’s “stable, predictable royalty and taxation framework” and a commitment to oﬀering the best possible investment climate. Alberta, by comparison, moved up to sixth place in Canada from eighth in 2010 while British Columbia slipped from sixth to eighth place this year. The report says investors in Alberta’s energy sector have concerns about regulatory uncertainty despite special drilling incentives announced last May. The report cites B.C.’s lower ranking to regula-

Lee Side of Lloyd Geoff Lee

tory uncertainty, cost of compliance and environmental regulations. Saskatchewan’s top oil and gas investment ranking in the country is supported by a Conference Board of Canada report in May indicating Saskatoon and Regina will have the ﬁrst and third highest economic growth rates in the country in 2011. The forecast calls for Saskatoon to have a 4.1 per cent increase in economic growth followed by Regina at 3.1 per cent. The report attributes the forecasted growth rates in the two cities to increased economic activity in potash mining and energy. The report further expects Saskatoon, Edmonton and Regina to average the highest economic growth rates from 2012 to 2015. Saskatchewan’s strong economic position is also supported by the lowest unemployment rate in the country in May at 5.0 per cent, unchanged from the

previous month. The unemployment rate in Alberta fell to 5.4 per cent in May. Saskatchewan’s stable energy investment climate was reflected in a strong June sale of petroleum and natural gas rights that brought in $40.9 million in revenue. Saskatchewan is the second largest producer of oil in Canada and is on a drilling tear, beginning with a rig utilization rate of 71 in the first quarter of the year. The Canadian Association of Oilwell Drilling Contractors predicts drilling activity in Western Canada will be 24 per cent higher this year than it previously predicted despite unseasonably wet spring and early summer conditions. All of this good economic news hit home for Saskatchewan residents on July 1 when lower income taxes announced in the 2011-12 budget took effect. The 2011-12 budget announced a $1,000 increase to the basic and spousal personal income tax exemptions, along with a $500 per child increase to the exemption for dependent children. Average weekly earnings are also up approximately 5.2 per cent this year, leaving Saskatchewan residents with a tough choice of whether to invest in the oil and gas sector or put their money on the Riders getting to another Grey Cup game. In 2011 everyone in the province can afford wishful thinking. Go Riders Go.

Imagine what we could do – perhaps go bankrupt? From the top of the pile Brian Zinchuk

I was driving through Yorkton on Canada Day long weekend when not one, but two billboards caught my eye. The first featured a picture of a little girl. Oh, such a sweet little girl she was, head in her hand, peering up to the sky. The text beside her said, “If we had fair royalty rates ... imaginewhatwecoulddo.com.” In the bottom corner we find out who paid for this: CUPE, the Canadian Union of Public Employees. The second billboard almost made my blood boil. Here is a photo of an old granny, hands together as if in prayer, looking to the camera as if her sweet little grandchildren were coming to visit for the week (perhaps the girl from the previous ad?). Maybe her hard work at the bake sales just paid off the church mortgage, she looks so happy, hopeful and joyful. Her text read “If we raised resource royalties ... imaginewhatwecoulddo.com.” Again, CUPE is at the bottom. It’s painfully obvious CUPE is supporting the NDP’s strengthening position on tackling resource royalties in the upcoming election. The question is, what is a public sector union like CUPE, who, to my knowledge, does not have members in the potash or oil and gas industry, doing saying we should raise roy-

alties? What business is it of theirs, except for being on the receiving end of taxes paid to the government by way of salaries? More to the point, if Saskatchewan did jack up resource royalties, as Alberta did, how many CUPE members would lose their jobs in short order? Probably none. So it’s easy for them to oﬀer this little missive into the political landscape. This billboard was found in Yorkton. Let’s perform a thought experiment and ministration for this, so why can’t CUPE and the follow CUPE’s advice for a minute. Saskatchewan current NDP? jacks up royalties. Investment in Saskatchewan reHere are some of the blog posting headlines sources drops like a stone, like Alberta did in 2008- on imaginewhatwecoulddo.com: “If we raised the 2010. The provincial budget goes into deﬁcit, and royalty rates, we could make poverty history.” cutbacks require across the board job cuts. CUPE “Imagine if we invested in seniors and longmembers lose their jobs along with all the rig hands, term care.” frackers and pipeliners. “Where has Alberta’s resource revenue gone?” Does CUPE really want what they are asking Let’s see here, jobs could shrivel up, long-term for? care funding could be cut, and our revenues could What CUPE, and by extension, the NDP for bottom out just like Alberta’s did when they raised whom they are clearly speaking, seem to forget is resource royalties. that the current Saskatchewan Party government I have a suggestion for the next series of billdid not bring in the current royalty structure. boards. Entitled, “We raised royalties, and look They left it alone. No, it was NDP Premier Lorne at what happened,” it can feature photos of men Calvert’s government that brought in the royalty in the Nomex coveralls kicking their lunch pails regime that has seen a huge amount of investment down the road, out of work. in this province, and allowed us to weather one That’s what I imagine we could do, if we raised of the worst economic storms in recent memory resource royalties. relatively unscathed. The Sask. Party ministers, Brian Zinchuk is editor of Pipeline News. He can and premier, give credit to the previous NDP ad- be reached at brian.zinchuk@sasktel.net.

PIPELINE NEWS INVITES OPPOSING VIEW POINTS. EDITORIALS AND LETTERS TO THE EDITOR ARE WELCOME. Email to: brian.zinchuk@sasktel.net

PIPELINE NEWS August 2011

Tremendous range a advantage ◄ Page A2 That contract has been extended to Sept. 1 with discussions ongoing about a permanent helicopter air ambulance service in Manitoba. STARS currently bases one of its helicopters at Winnipeg International Airport to support ﬂood relief. “Initially, we will start out with one of our existing BK117s because they can service that southern Manitoba area quite nicely,” said Knapp. “It will be a trial and a pilot project and we will see how that aircraft is serving the area. It could very well be that we will move to the larger machine at a later date.” Meanwhile donations to STARS from oil and gas companies that do business in Saskatchewan continue in the lead-up to provincial service in 2012. Husky Energy donated $250,000 to the establishment of STARS in the province on June 27, bringing their total commitment to over $1 million. Other recent noteworthy donations include $5 million from Crescent Point and a long-term plan by PotashCorp to support the construction of a helicopter base in Saskatoon estimated at a $27 million value. Some of the money raised to date will go toward the purchase of the long range AW139 helicopter for Saskatoon following the recent purchase of the two AW139s headed for Alberta. “The oil industry has been fabulous,” said Knapp. “The industry is the reason we are able to buy these beautiful new next-generation helicopters. “They cost $12.5 million before you install a medical interior which is another $3 million. Most of that money was raised from the oil and gas industry.”

The ﬁrst completed AW139 will be on show at the Air Medical Transport Conference in St. Louis this fall before it’s deployed to Edmonton.

Dan Knapp, left, discusses the services of STARS air ambulance with visitors to his booth at the Bonnyville & District Oil and Gas Show.

The new generation AW139 has a three hour ﬂight range of approximately 500 miles at speeds up to 173 mph.

“This will give us a tremendous range,” said Knapp. “With the new helicopter in Saskatoon, we can cover border to border both east and west. Fuel is really a key consideration when you are talking about carrying critical patients. “Ideally you don’t want to have to stop for gas. That golden first hour is so important when you are dealing with time sensitive injuries. “Our CEO Dr. Greg Powell phrased it so beautifully recently when he said ‘I don’t see borders, I see patients.’ This is what this is all about.” In the meantime, STARS is working hard to convince oil and gas companies in Saskatchewan to register their worksites for faster air ambulance response. “We are responding to more and more oilfield injuries all the time,” said Knapp referring to an increasing number of worksites registered with the STARS Emergency Link Centre. “We register about 60,000 sites a year for the oil industry,” said Knapp. “On a given day, we would probably have an average of 3,500 registered. That number goes up to about 4,500 in peak drilling season.” With the increase in the price of oil, the industry has undertaken more development and production, which has translated into increasing the number of registered sites with STARS in 2011. “This has made a huge difference in being able to respond quickly,” said Knapp. “If you register in advance, we know where you are, what your co-ordinates are – details on that particular site we can respond very quickly. “We would respond to about 100 medical emergencies a year just for the oil and gas industry,” he said in conclusion.

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PIPELINE NEWS August 2011

An excavator from Carson Energy Services is not what you usually see on a golf course, but here it is fording the water to dike off the water hazard on the course, lest it become an inlet for floodwaters into the town.

Hundreds of people came to sandbag Lampman and Benson.

Benson and Lampman saved from flooding ◄ Page A3 Lampman and area sprung into action, building a clay dike on the north side. Hundreds of sandbaggers worked tirelessly, filling thousands upon thousands of sandbags for days. A never-ending series of trucks brought in sand. At the other end of the sand pile, a sandbag machine fed four chutes at a time. Workers would fill the bags, pass them off to another person to tie it, and then it would be placed on a pallet. Lampman and Benson are both oilpatch towns. Indeed, if it were not for the oilpatch, they may not have had either the hardware or the manpower to fight these floods. Several companies in the region, idled by the wet conditions, told their employees they could go and help. There was no negative talk allowed around Scott Greening, mayor of Lampman, as the town was under siege. “We’re trying to keep this so that it goes north of Lampman, to the east,” he said on June 24. Plans were fluid, and if something should fail, backups were Stoughton, Saskatchewan planned. He sounded like a general fighting a defensive action, with multiple fall-back positions. It was a battle they were definitely not going to lose. The • Oil and Salt Water Transfer consequences would have been disastrous flooding for the town. COR CertiÀed • IRP 16 “We’re fortunate that we’re in an oilfield and farming community, that we Registered with • End and Belly Dump Trucks can get big equipment,” he said, sketching out the town’s defences on a map ISNET World • Steamer/Vac Truck while sitting in the council chambers. and Comply Works By mid-July, the danger had passed at Benson, but Lampman was still under • Contaminant Hauling threat. The administrator for both the RM of Browning and Town of Lampman, Greg Wallin, told Pipeline News on July 19 the water was still continuing to rise. • Loader, Skid-Steer, Backhoe and Service Work “It’s getting deeper, a quarter of an inch to an inch, every day,” he said. “We’re • Gravel, Sand, Rock, Clay Hauling and Supply working with engineers, plotting a plan of where it could go. We’ve got to get it moving. CONTACT US AT: “I’ve talked to guys 95 years old, and they’ve never seen anything like this.” OfÀce: 306-457-2785 The plan at that point was to begin trenching to the southeast for several Cell: 306-457-7692 and installing culverts across Highway 361. Eventually, the water would reach Email: gary.goudytransport@sasktel.net the Moose Creek, and flow towards the Alameda dam. But there’s a lot of unwww.goudytransport.sasktelwebhosting.com derground lines in the area any trenching will have to cross. Wallin noted of the oilpatch companies that have helped, “When we need help, they’re there. When we phone them, as fast as they can get there, they do.” One of the key delivery points for frac sand in the area is the Sand Source facility, built a few years ago in Lampman. There’s a problem, though. The CN Railway tracks were under water just northeast of Lampman. Sand Source manager Alison Stanley said they had 56 rail cars left there before the water came. CN sent a rail car shuttle for them to move cars. The last switch they had was June 7. With sand running low, the other option is to truck it in. Marcel Boire lives in Lampman. He farmed at Browning, and was born in Benson. His greatgrandfather homesteaded there in 1900. “I’m not an old guy,” he said from the seat of his Ford pickup as he surveyed the water crossing the highway north of Lampman. “I’m only 72. Yeah, #6 - 461 King St. • Estevan, SK 637-3460 www.petrobakken.com we’ve seen water, but not like this,” he said.

Strength In Our Resources

PIPELINE NEWS August 2011

Batteries built with expansion in mind

Two piledrivers worked on installing the foundations for the new Crescent Point Gardenhead battery, northwest of Shaunavon, on July 7.

By Brian Zinchuk Shaunavon – With a very active drilling program in the Lower Shaunavon play, Crescent Point Energy Corp. is constantly building new facilities to keep up. Pipeline News got to hop in the truck with Crescent Point’s Wayne Kashuba, senior production/development foreman for the area, and Tina Osiowy, senior facilities engineer, to take a look at some of those facilities on July 7. The batteries take emulsion two ways – by truck and by pipeline. With the rate of drilling in the area, it’s expected there will be a continual

need for truck delivery while new wells wait to be tied in. “We have truck-in terminals,” said Osiowy. “We’ve got custody transfer from the trucks. It’s all automated, and gives them a ticket.” Kashuba added the system determines the proper volume and oil/ water cut. Switching valves in the batteries are used because the oil and water will separate, to an extent, in the truck. Their pipeline strategy is a little diﬀerent than the traditional spider-web style. The wells are typically in a row along one side of a road. Just oﬀ the backside of

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the leases run two pipes in a common ditch corridor, parallel to the road. One pipeline, the larger one, is the group line. The second is the test line. Every well has two risers, one for the group line, and one for the test. Individual wells can be switched to run on the test line, otherwise they typically flow to the group lines. You won’t see much in the way of steel pipe. “We run fibreglass exclusively,” Kashuba said, Osiowy said it is really easy to work with, and there are no problems with corrosion. Crescent Point typically runs three, four, six and eight-inch lines. “We have been, right from the hop, preparing for gas conservation,” Kashuba said while touring the Dollard battery, one of the company’s earlier batteries in the area. Those pipelines all enter the battery through the header building. Thirty lines in total come into it, carrying an emulsion of oil, water and gas. The company targets 45 days from spud date to production, and five days from completion to production. “Traditionally we hit that mark. Every 10 to 12 days, a rig completes a hole. We could have a jack set every day,” said Osiowy, adding that results in 12 to 13 holes drilling in a month with five rigs working. From the header building the emulsion goes through a free water knockout, which collects about 95 per cent of the water. The next stage is the treater, which scrubs the oil to spec. The free water knockout and treaters are large pressure vessels. Growing in leaps and bounds, this facility has already expanded to a larger treater, and they are looking at another free water knock-out.

► Page A9

PIPELINE NEWS August 2011

Lightning strikes a concern

Tina Osiowy and Wayne Kashuba check out the gantry of the Dollard battery tank farm. Newer Crescent Point batteries shy away from having any sort of gantry.

◄ Page A8 The entire battery is set up in two “trains,” or process streams. It allows new vessels to be added easily and quickly. After the treater, the now-separated water and oil go into the six 1000-bbl. storage tanks before being pipelined to a midstream pipeline for sale. “We did our own clean oil 13 kilometre, eightinch line tying into Plains Midstream,” Osiowy said. Near the header building is the gas compressor, which is not in use yet because they have nowhere to send the gas. Once the new gas plant is in place, that’s where the gas, currently flared, will head. “This is part of our looking ahead at the future,” Kashuba said. As it stands right now, the amount flared from this one battery “could probably heat Swift Current,” Kashuba said. The storage tanks have a vapour recovery system so they are not venting gas. “One of the challenges is to plan for size,” Kashuba said. Forty to 50 wells are planned five kilometre radius in one area alone. Lightning If there’s one challenge in the area, it has been lightning strikes. The company had three in southwest Saskatchewan last year. They brought in lightning experts from the U.S. to look at the issue. “We’ve spent a lot of energy and resources to make sure there’s no vapour,” Osiowy said, addressing one of the areas of concern. Interestingly enough, Kashuba said, “Our water tanks catch fire first,” saying it’s from the skim oil and vapours. “We just recently went over our single well design to handle these conditions so we don’t have a spill,” Osiowy said. A tornado just missed Shaunavon in June. It did not, however, miss a Crescent Point facility. “We had a single well battery picked up by a tornado a few weeks ago. We got our crews out of the field. We designated it as an emergency,” Osiowy said, The tornado picked up the tank and moved it 10 inches. And yes, there was oil in it. “The buildings gone a mile down the road,” Kashuba said. ► Page A10

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A10

PIPELINE NEWS August 2011

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◄ Page A9 Winter has had its own challenges. “Last year, if we got five hours of work done a day, that was lots. We had at least three hours of grading just to get in,” Osiowy said. “We resorted to ATVs and Skidoos last year more than ever,” Kashuba added. “We just purchased six sideby-sides this spring.” Wet conditions combined with road bans took its toll on production. During May, up to 30 to 40 per cent of production was shut in. The result has been a big push to get pipelines into the ground, to minimize the use of roads. Still, there’s lots of drilling to prove up lands, resulting in plenty of single well batteries. Driving to the next battery, we pass the farmyard of A&L Stevenson, one of the longtime businesses in the Shaunavon oilpatch and one of Crescent Point’s main contractors. The Stevensons are also one of the largest landowners that Crescent Point deals with in the area. We have to turn back, however, because the road is covered in water. Much of the area has been dealing with water issues. Chest waders were needed to go in and shut down wells. At the Leitchville battery we find the future home of the incoming gas plant. It has six truck unloading stations, and is three times the size of the Dollard battery. Each of the six tanks is 3,000 bbls. Crescent Point purchased the entire quarter, giving them plenty of room to expand. Further to the north, about 20 km northwest of Shaunavon, we find the Gardenhead battery under construction. Two pile drivers are hard at it, putting in the foundation for the pipe racks and buildings. Plans are in the works to possibly expand it before it’s even completed this fall.

PIPELINE NEWS August 2011

A11

New venting and flaring requirements adopted Regina – On June 22, Saskatchewan Energy and Resources announced new associated gas emission reduction standards and their implementation. The new venting and flaring requirements will come into place on July 1, 2012 for new oil wells and facilities. Existing oil wells and facilities will be grandfathered in until July 1, 2015. Saskatchewan borrowed heavily from Alberta’s requirements in implementing these new requirements, but in many cases, simplified things. All the technical criteria is the same. Whereas Alberta’s regulations are several hundred pages long and are sweeping in nature, Saskatchewan’s are much more focused on local problems and are substantially less in volume. There are two directives that have been issued. The first is Directive S-10, Saskatchewan Upstream Petroleum Industry Associated Gas Conservation Directive. It’s a directive that requires oil companies to minimize associated gas being flared and vented to the atmosphere, according to Todd Han, director of the Petroleum Development Branch for the Ministry of Energy and Resources. “Venting is what causes us the greatest grief,” Han said, explaining it was the prime focus of S-10. “The No. 1 risk being that vented methane going into the atmosphere is 21 times more potent than CO2 for greenhouse gas effect. The directives do not impact venting in cases where it is needed to relieve pressure, as such a requirement would affect safety. However, it does require installation of vapour recovery units on tanks, and for them to be tied into a collection system. If flared, it has to be burnt at a high rate of efficiency. A company’s requirement to implement these new requirements hinges on being economically feasible. The volume of gas captured has to justify the expense. Directive S-10 has a threshold of more than 900 cubic metres of gas a day before collection needs to be looked at. If it will cost more than $50,000 net present value per well or facility, then collection is not required. That number is the same as Alberta’s, and is based on an estimate of what the producer may have to pay if carbon credits were implemented. The company is expected to make money on sales of gas collected as well. “Some wells in southeast Saskatchewan don’t have a lot of gas with the well, but some do,” Han said. He pointed out that the early stages of horizontal multi-stage frac wells can have associated gas produced, but then that trails off rapidly in these wells. These types of problems will pose challenges in collecting the associated gas. Directive S-10 provides the flexibility to allow the operator to apply a common sense approach in determining when associated gas should be conserved rather than burned or vented. The second is Directive S-20, Saskatchewan Upstream Flaring and Incineration Requirements. Directive S-20 is essentially the engineering standards for combustion performance, setting a high standard when gases are burned off in a flare stack or incinerators. It is specific to flare stacks and incinerators, and does not include items like burners in treaters or tanks. “The burn efficiency is quite a bit higher, in the 90 per cent range for flares,” Han said. That’s substantially higher than what’s seen today. While in ideal conditions those numbers might be met, on a windy day, the burn efficiency could drop to 70 per cent, or the flame could go out altogether. The new regulations require wind guards, an auto-ignite system and an alarm system. There are also safety standards for height and knockouts to take out liquids. Incinerators have even higher burning efficiencies, in the 95 to 99 per cent range. These regulations have been a long time in coming, and were adopted several years after similar legislation in Alberta. The ministry put out a draft version in recent years, got two rounds of feedback, and implemented it into the requirements. ► Page A12

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A12

PIPELINE NEWS August 2011

Incineration preferred by government ◄ Page A11 “We did get substantial commentary. We were able to incorporate the spirit of all the comments, most of them word-for-word,” Han said. Even so, it will be another four years before it is fully implemented for all projects, once the three-year grandfathering clause expires. “We recognize this can’t be instantaneous,” Han said. “It will cost more to the industry and will require time to retrofit their existing facilities and develop gas gathering systems.” he said. Fallout At the Saskatchewan Oil and Gas Show in Weyburn, one company had an incinerator on display, used to burn gas cleanly. “That’s the kind of technology S-20 is aiming at,” Han said. “In a flare stack, the flame portion is open to the air. The flame will be affected by environmental conditions. In an incinerator, it is contained in the stack, or combustion chamber,” he said, noting it is much more efficient in burning. He likened a flare stack and an incinerator to a fireplace and a high-efficiency furnace in your home. In situations where the gas is wet and high in sulphur, he noted, “We are pushing companies to use incineration.” Currently, the technology is not used a lot in Saskatchewan. “It’s an expensive application, usually reserved for larger facilities,” he said, adding it is more frequently seen in heavy oil areas. In the end, Han noted, “We’ve improved air quality due to cleaner burning, in consultation with key industry players. “A lot have expanded their gas plants. We will likely see more gas plants, and the installation of more flowlines.” One company now compresses and liquefies gas on site, and then delivers it by truck, Han pointed out as one of the innovations in response to this. Power production is another offshoot. “Right now, in terms of venting and flaring and based on 2006 base levels, if all the gas flared and vented were captured, we can heat 211,000 homes in Saskatchewan,” Han said. On the revenue side, the province will eventually generate more revenues as more gas is captured and sold. On the Web: The new regulations can be found at http://bit.ly/ k05sTU

ATCO Midstream well-positioned Kisbey – In November 2007, ATCO Midstream Ltd., and Bayhurst Energy Services Corporation (a subsidiary of SaskEnergy Inc.) purchased through a joint venture, an existing gas plant at Kisbey, owned and operated by Grimes Energy Ltd. ATCO Midstream, on behalf of the joint venture, is currently the operator of the facility. By March 2010, the companies completed an expansion which tripled the capacity of the plant to ﬁve million cubic feet of gas per day. An expansion of the pipeline gathering network was also part of the $44 million project. ATCO Midstream area superintendent Terry Timoruski explained, “We feel the plant is located in a strategic location. The expansion of the Kisbey plant and gathering system provides a higher level of service to our customers, while giving us the opportunity to grow our business in the Kisbey area.” The purchase of the Kisbey facility in 2007 was the second expansion of ATCO Midstream into Saskatchewan. Through the purchase of Wolcott Gas Processing Ltd., in May 2001, ATCO Midstream acquired an interest in the Nottingham Gas Plant and Wolstitmor Gas Gathering System, and has since expanded the gathering system in southeastern Saskatchewan and Manitoba. ► Page A13

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PIPELINE NEWS August 2011

A13

Kisbey gas plant tripled in capacity last year ◄ Page A12 At its new capacity, the Kisbey Gas Plant is capable of removing as much as 115,000 tonnes of greenhouse gases from the atmosphere each year. That’s equivalent to the emissions produced by more than 17,000 homes. The Kisbey project is well positioned at a time when the provincial government is implementing more stringent regulations, known as Directives S10 and S20, designed to minimize venting and flaring. “It’s a very positive impact that allows producers who would normally vent or flare their gas to conserve and upgrade a non-renewable energy source,” Timoruski said. By conserving gas that would otherwise be vented or flared, there is a reduction of greenhouse gas emissions, and a reduction of odour in the region. Pipeline News had an opportunity to tour the facility in July to see just what makes it tick. Located just a few miles west of Kisbey, the plant’s location puts it in a hotbed of activity. Drilling rigs can be seen nearby along Highway 13. Gas comes to the plant from as far as six miles to the north and 20 miles to the south. The raw gas enters the plant at two locations, on the northeast corner and east side. There are currently three gathering pipelines coming into the plant, a six inch, an eight inch and a 10 inch and there is provision for fourth pipeline. At these inlet headers, pig receivers can be found. (“Pigs” are devices that are run through a pipeline for cleaning or inspection purposes.) Regular pigging is an important part of pipeline maintenance. From this point on, all piping is above ground, primarily on overhead pipe racks. Raw gas is routed from the inlet header into the inlet separator. The inlet separator is a pressure vessel with several weirs that separate the product into three streams – gas, water and condensate. This vessel also collects slugs of fluid from pigging operations. The next step is the compressor building, home to a very large 16 cylinder Caterpillar engine fuelled by natural gas. The engine powers four cylinders, two on each side. Each is a dual-action piston cylinder, which compresses on each direction of the stroke. Three of these cylinders are used to compress the gas entering the plant; the last is used to compress the final sales gas as it leaves the plant. ► Page A14

The de-ethanizer can be seen on the left.

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A14

PIPELINE NEWS August 2011

Gas conservation strategy ◄ Page A13 After the third compressor stage, the gas goes to the amine plant to scrub out the H2S. As the gas flows up through bubble trays, downward-flowing amine collects the H2S. An amine scrubber boils it off and any remaining H2S is burnt off on the south side of the facility in a high efficiency incinerator. In the refrigeration stage, the gas is then cooled substantially to knock out moisture, because wet gas is not saleable. A dehydration unit further boils off more moisture. There are two large refrigeration units which cool the gas. It is then sent back to the compressor building, compressed with that fourth compressor stage, and sent out to TransGas as sweet, saleable natural gas. The sales line leaving the plant is markedly smaller than the four lines that feed the plant. With the natural gas liquids (NGL’s) now stripped and the remaining gas compressed, the natural gas going to TransGas fits into a three inch,

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high pressure pipeline. The plant uses some sweet gas itself to run the compressor. “It’s a very important part of the revenue stream for our customers and ATCO Midstream,” Timoruski said of the NGL. The liquids that have been stripped off go to a de-ethanizer. This is a cold process, and the gauge shows -28 C. Indeed, throughout the plant, you will find either hot or cold pipes, some of which have ice forming on them on a regular basis. The fractionation building has a de-butanizer and stabilizer. The stabilizer further treats the liquids captured by the inlet separators and other processes. Extending vertically are the two fractionation towers. These towers in some ways are similar to an old-fashioned moonshine still in principle, and can take off different products at different stages. These towers separate condensate from propane and butane. The condensate and butane/propane mix is stored on site and is transported to market via trucks. “The continued expansion of our Kisbey and Wolstitmor Gas Gathering Systems provides a higher level of service to our customers, while at the same time conserving and upgrading a non-renewable energy source,” said Timoruski “This speaks to our ongoing commitment to the environment and provides ATCO Midstream and Bayhurst Energy Services Corporation with the opportunity to grow our business in southeast The massive 16-cylinder Caterpillar engine, at Saskatchewan where we the back of the photo, powers four compressor stages, in the foreground. Three stages com- continue to operate in a press gas coming into the plant, while the fourth safe and environmentalstage compresses gas into the TransGas Pipe- ly responsible manner,” Timoruski said. line System.

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PIPELINE NEWS August 2011

A15

Make it or break it time for SETI Building

The glass is being installed on the south side of the SETI building in Estevan.

Estevan – With a very wet spring known for having been nothing but water, mud and flooding, trying to build a 44,000 sq/ft two story building has been challenging to say the least. Yet the Saskatchewan Energy Training Institute is continuing to come together. The building trades have been kept busy working on the second storey, roofing, exterior and the main floor underground utilities. “The good news is we are still on track to meet the October 31st substantial completion date,” said Keith Madu, director of SETI. “Here is the ‘break it point’ and what makes July a critical month in the project. The main floor concrete has to completely poured by the end of July. If the rains come and the site becomes a mud hole again this means the concrete trucks will not get in. No concrete means the October 31 completion will have to be revised. “Quorex has been working very hard and doing everything possible to keep the building on track,” Madu said of the general contractor. “The construction schedule is very condensed now with multiple trades working around each other. As required the crews are working longer hours and weekends to take advantage of the warmer and dry conditions. From now to October there is a continuous hard push on all sub trades to get the job done. With the building roof now sealed and most windows in the interior can handle the minor thunderstorm that passes over. Things are staying dry inside and things are moving along well. “Confidence is high that the SETI building will meet its deadline. I am looking forward the next couple of months as finishing touches begin in the building,” said Madu.

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A16

PIPELINE NEWS August 2011

Steelman gas plant one of the first in region

Several storage bullets are needed to allow the final NGL products to be batched into an Enbridge pipeline that goes to Cromer, Man.

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By Brian Zinchuk Steelman – When oil drilling came to southeast Saskatchewan in the 1950s, so did the need for facilities to deal with the associated natural gas. The BP Steelman gas plant was built in 1958 to process solution gas. Pipeline News toured the facility, one of the oldest in the region, in midJuly. The Steelman gas plant has 19 million cubic feet per day coming in through its inlet headers, which are on the north side of the facility. The plant itself is just a little down the road from the Enbridge Steelman terminal. Over 12 million cubic feet of gas is produced daily. The facility produces enough natural gas to heat 52,700 homes in Saskatchewan. It also produces 1,800 bpd of natural gas liquids (NGLs) and 600 bpd of liquid ethane. Condensate is produced at 300 bpd and trucked out to the local market. The Glen Ewen plant to the south was built as a complement to the Steelman facility. It was built in 2002 and processes three million cubic feet of gas per day. Its end product is 2.3 million cubic feet of natural gas, and 235 bpd of an NGL mix that is trucked to Steelman. The control room is home to the digital control system, which was upgraded 10 years ago. Perhaps reﬂecting its age, the plant is a mixture of automated and local control. The main part of the plant was built in 1979-80. A small portion of the original 1958 plant is still in operation. ► Page A17

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PIPELINE NEWS August 2011

A17

Final product goes to TransGas, Alliance and Enbridge pipelines This is the oldest part of the Steelman gas plant, circa 1958, but it still works over 50 years later.

◄ Page A16 A spider-web of over 1,200 kilometres of pipeline throughout southeast Saskatchewan and 19 compressor stations feeds the plant. The network covers 15,000 square kilometres. Gas comes in at low, medium, and high pressure, reflecting its origin. Local gas is low pressure, coming from battery treaters. The medium pressure gas comes from the east, while high pressure gas comes from the west field, including Midale and Stoughton. From the inlet headers, the raw gas runs through three-phase separators. There are three separators, reflecting the three levels of pressure coming into the plant. The separators knock out most of the liquids. Next is the compressor building, which is warm to say the least. There are two compressors in parallel, which allows the plant to continue operating even if one is down for maintenance. Each compressor has four stages. The first three are used to send incoming gas into the plant, the last is to send gas out of the plant, to the sales line. A sixinch natural gas sales line goes to the TransGas system. Behind the plant is a hot oil heater which burns ethane. It is used to heat the stabilizer, which boils off propane and butane. The propane and butane mix (NGLs) go off to the series of storage bullets on the south side of the compound, from where they are shipped in batches to Enbridge’s Cromer, Manitoba, mainline terminal. Enbridge installed a new, downsized pipeline last year for the plant, allowing the older, underutilized larger line to be used for shipping oil. The liquids are batched out every four days. In the process building, gas is stripped of H2S using an amine system to sweeten the gas. The amine is regenerated in a continuous cycle. The gas is then dehydrated and refrigerated. Two refrigeration systems are in place. The de-methanizer operation cools the gas to -80 degrees C. Chilling the gas knocks the liquids out. Liquids from the de-methanizer go into a de-ethanizer tower, where ethane is stripped off the NGL mix and shipped to the Alliance Pipeline via an intermediate storage bullet.

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A18

PIPELINE NEWS August 2011

Gen-set provider flourishing

The Goetz family, who live a few miles north of Estevan, can be seen with one of Smart Power Systems Corp.’s new generators for oilpatch use. From left are Trevor, Owen, Colesey, Tami and Gage Goetz.

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Estevan – Smart Power Systems Corp. may have started as a sideline in 2008, but it has since grown to the point where it is now a full-time, growing concern. “We bought two generators in 2008,” said Trevor Goetz. He and his wife Tammi, along with Terry and Shelly Gunderman, are the partners in the business. The Gundermans own and operate Red Hawk Well Servicing in Oxbow. Tammi does the bookwork, while Trevor heads up the operation. “We saw the need to do something diﬀerent. We recognized our customers need spill containment and fuel theft deterrence and for fuel savings,” Goetz said. Some of their generators have transmissions in them. “They’ll save 20 to 30 percent on full over a standard generator,” he said. Goetz worked at

NAL as their production foreman for Estevan west. “Doing that job gave me the advantage of sitting on the customer side of the desk. I wish I had something like that walk in the door and be presented to me.” Smart Power’s principle market is supplying power to pumpjacks until grid power is available. Many wellheads are powered by skid-mounted generators. The Smart Power system is substantially diﬀerent. First of all, it’s built on a heavy-duty, pintle hitch trailer, manufactured by Norbert’s Manufacturing. Inside it is an engine package and a large 500 gallon tank. The doors have a 9-inch deep sill, meaning the inside of the trailer acts as a permanent, portable secondary containment with a capacity of 750 gallons. Those doors have mechanisms to make it diﬃcult to smash

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oﬀ a padlock. All units are equipped with the Acutec Messenger satellite communication system. “If the amps draw down on the pumpjack, i.e. the belt slips, the bottom hole pump sticks, the rods part, or if the generator stops, it sends a text message to the operator. He can react quicker to issues.” There’s a ventilation system that draws air through the steel trailer. By being fully enclosed, it suppresses the sound. The units are assembled at the Red Hawk shop. Generator skids come from Edmonton, the tanks originate from Drinkwater, Sask., and are mated with the Glenboro, Man. manufactured trailers. It’s kept the Red Hawk shop very busy. They assembled 24 units in 2001 by the end of July 2011. In December, 2010, it was decision time. “Terry and I sat down and talked about it. We either had to get in, or get out. We surveyed the market and put together a business plan. We decided to get in. “I put in my notice in January and left in April. ► Page A19

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PIPELINE NEWS August 2011

Already planning next wave of generators ◄ Page A18 “We’re working now in Manitoba, Saskatchewan and North Dakota. We have 34 generators and 4 light towers,” Goetz said. The North Dakota unit is their first across the border. “It’s not easy – a day and a half of brokering to get across the border,” he said. They are their because of the opportunity. “There’s a lot of drilling activity and a lot of need for generator rentals,” according to Goetz. Their units comply with EPA and California emissions standards. That made the difference. “Most generators are diesel-fired. We also have natural gas and propane units.” The natural gas units run on wellhead solution gas, the raw gas from the well. “If it’s relatively sweet and it’ll burn, it’ll run the motors. The natural gas engines meet Directive S10 and S20 regulations, and can be used to reduce flaring. “I could never understand why people would flare gas and burn diesel to run the jack. “SaskPower has a green options program,

A19

and we’re definitely planning to pursue cogeneration,” he said. The units generate 50, 60, 100 or 125 kilowatts of power. “We’re going to see how this first wave goes over, then we’re planning our next order.” The Weyburn Oil Show was their first, and they had good exposure. One order came through, and there were several inquiries. They are currently renting to a drilling rig right now to power the shack. The business closely follows drilling, and with a very wet spring and early summer, one would expect that could be a problem. Not so, according to Goetz. “It was a great year to start. During the slow time we were able to take the time to build our equipment completely and properly. No that things are picking up, we are ready to go to work. “It’s going to be busy, no doubt about it. Based on that optimism, we’re thinking of placing our next order soon.”

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PIPELINE NEWS August 2011

The Perfect Five Finger Food

Shifting Gears

One Woman’s Perspective on Life, Liberty and the Pursuit of Land Locations By Nadine Elson

I was driving late in the afternoon one day last fall coming back from a delivery north of Sinclair Man. I was nearly at Redvers Sask. when I realized it. I had become a member of the Sandwich Generation. Unlike other organizations that I had joined over the years, there were no forms to ﬁll out, no payment to make, nor

welcoming ceremony once accepted. I was in, no questions asked. I had just taken a call from my son, who still in Grade 12 at the time, was asking if he could hang out with friends after school. We talked about some problems he was having and then hung up. Thirty minutes earlier, I had answered a long distance call. It was my sister. We had discussed the follow up care of my father, just released from hospital. He had been very ill, and had been hospitalized for 5 weeks. I had made two trips to BC in September during his illness. The last trip was for 10 days while I assisted my mom, and acted as patient advocate for my father. Most people know of the Baby Boomer Generation and Generation X and Y. There is now Generation Z (or the Net or Internet Generation), the name given the group of young people born from 1991 to 2010. I was part of the Pepsi Generation, preferring Pepsi to Coke. I was also now a part of the Sandwich Generation, a generation of people who are caring for their own aging parents while raising and supporting their own

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children. The term was oﬃcially added to the Mirriam-Webster dictionary in 2006. In 2007, 2.7 million Canadians provided unpaid care to people 65 and over with some form of long-term health problem and the numbers are rising. That day, as I reﬂected on the two calls I had just taken, I realized that my life going forward had changed. Moreover, as I considered my new membership in the Sandwich Generation, I realized that the only two foods I had eaten that day had been sandwiches! And I don’t like sandwiches! I had eaten a breakfast sandwich that morning that I had purchased from the Stoughton Esso. Going through Alida to a lease near lunch time, I had called Maggie’s Diner. I had ordered a roast beef sandwich for pickup on my return through Alida before continuing on to Sinclair. Both sandwiches had been delicious. Even so, I don’t like sandwiches! Yet, sandwiches had become important to me since I had “shifted gears” and had become a hotshot driver. I had fought it but not for long. A hotshot driver needs one hand on the wheel, one eye on the load and one eye on the road, and has no time to stop. A sandwich held in one hand is the ideal food to eat while driving.

I hadn’t always disliked sandwiches. It had happened sometime in my youth, during the years I took sandwiches to junior high and high school. Blame tuna, Miracle Whip and Kraft Sandwich Spread. After that, I never ate them, at least not willingly. In light of my current work, I have had to re-examine my stance. The solution for me is sandwiches ordered in advance for pickup at one of the restaurants in the area I am driving through. That ensures the sandwich is fresh and is made with my choice of bread, ﬁlling and condiments. I recently called my parents. My two young adult children and grandbaby were visiting them. They were all going to see my sister’s family and would meet halfway between their two cities for a picnic. Sandwiches were being made when I called. It was apropos- sandwiches for the generations I was sandwiched between! Nadine lives in Estevan, SK with her husband and family, and works as a hot shot driver in the oil patch regularly delivering goods in and around Estevan and Shaunavon, Sask., and Sinclair and Waskada, Man. Her mission, beyond delivering the goods quickly, is to have every interaction be a positive one. She can be reached at missiondriver@hotmail.ca

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PIPELINE NEWS August 2011

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Awards co-chair Bonnie DuPont, left, Premier Brad Wall, Al Schreiner, and Murray Popp line up for Schreiner’s induction into the Saskatchewan Petroleum Industry Hall of Fame.

Kevin Anderson/Darwin Krall

Former president of Dofasco and Stream-Flo honoured Al Schreiner was inducted into the Saskatchewan Petroleum Industry Hall of Fame on June 1 during the Saskatchewan Oil and Gas Show in Weyburn. Here is his biography, as presented during the induction ceremony: Al Schreiner in many ways has the classic Saskatchewan lifestory. He grew up in a small mixed farm in the Humboldt area where he attended a one room country school. On the recommendation of his teachers, he enrolled in engineering at the University of Saskatchewan, graduating with a bachelor of science in mechanical engineering in 1963. Straight out of school he went to work for British American Oil in the Estevan area which, then as now, was a hub of activity. It was while working in Estevan that he met his wife, Gisele Lemieux, a school teacher whom he married in 1966. That same year Schreiner joined Dominion Oilﬁelds Supply (later known as Dofasco) in Calgary. He remained with the company until 1995, eventually rising to the position of president and overseeing a period of rapid growth and success for the company. In 1995, Schreiner joined Stream-Flo Industries as president and chief operating oﬃcer. Stream-Flo is a manufacturer of wellhead, pro-

duction gate valve and check valve equipment. The company has worldwide sales, a workforce of approximately 850 employees and sales of approximately $250 million a year. Since 2009, Schreiner claims that he’s been retired but has stayed very busy with directorships in on now fewer than seven companies. Schreiner has been active in industry related and other groups, chairing and serving on committees such as the Calgary Parks Foundation, the SEEDS Foundation, the Petroleum Services Association of Canada and the Calgary Petroleum Club. He has been

part of the Oilmen’s Executive Association for many years - as governor, director, and as chairman of the 46th Oilmen’s in 1996 and has dedicated many hours as an alumni volunteer for the University of Saskatchewan. Schreiner has spent many volunteer hours with non-proﬁt organizations such as Street Kids, Fort Calgary, Kids Cancer Camps, and the Parkinson’s Society to name but a few. Mr. Schreiner was the 2005 C.J. Mackenzie Distinguished Graduate Lecturer. Al and Gisele Schreiner have two sons who also live in Calgary. They enjoy spending

their alleged retirement time travelling, and recently returned from a winter trip that included Bali, Australia and New Zealand.

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A22

PIPELINE NEWS August 2011

Oilsands Quest to prove SAGD for investors Calgary – Oilsands Quest Inc. may soon have enough financial wiggle room to get back on track exploring and developing its oil sands permits and licences in Saskatchewan and Alberta after finding itself between a rock and a hard place last summer. The company has assessed the results of its formal strategic alternative process initiated last August and

determined it needs to raise money now to proceed on three operational fronts to satisfy a potential buyer or partner. The substantial capital cost to proceed both at Axe Lake SK and at Wallace Creek in Alberta led the company to seek investment alternatives. Money will be raised through a rights offering to shareholders to allow the compa-

ny to advance its steam assisted gravity drainage (SAGD) project at Axe Lake and further define the bitumen resources at Wallace Creek. On July 19 it launched a $60 million rights offering. “We have always planned to partner with a larger entity at some point, because building a commercial oil sands project is beyond the financial or operational capability of a company

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our size,” said Oilsands Quest chief executive officer Garth Wong in a news release. “We have heard from potential partners and purchasers that they would like to see us advance and confirm our understanding of our reservoirs in three principal areas prior to entering into a transaction. “Specifically, at Axe Lake we need to operate our planned pilot project and further delineate the glacial till cap. The pilot project is touted as the first step toward plans to develop a 30,000 barrelper-day commercial oil sands project at the site. “At Wallace Creek, we believe we would enhance value by further delineating the bitumen resource,” said Wong. “While we will continue to pursue opportunities to partner or sell assets, we have concluded that we must drive ahead to raise the funds to complete these activities.”

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The proceeds from a successful rights offering will lead to the startup of the pilot project at Axe Lake to demonstrate the Axe Lake reservoir can be produced using proven (SAGD) technology. The company will also conduct additional overburden testing at Axe Lake to further refine the aerial extent of the glacial till that overlies the reservoir and demonstrate its extent and integrity as a cap for SAGD production. Operational funds will also be use to advance the Wallace Creek project through additional delineation programs. The decision by Oilsands Quest to invest more money into its exploration and development program was based on feedback from parties in the review process calling for a reduction of the remaining areas of uncertainty for a buyer or investment partner. “In proceeding to the rights offering, we want to remind inves-

tors of the opportunity we have available with this company,” said Wong. “Our three 100 per cent-owned oil sands project opportunities together have ultimate production potential of 100,000 barrels of bitumen per day. “We were pioneers at Oilsands Quest in exploring the eastern edge of the oil sands basin, and today the activity in the basin is moving toward us as exploration activity increases on lands close or adjacent to ours by companies such as Imperial Oil Limited, Cenovus Energy Inc., SilverBirch Energy Corporation and Grizzly Oil Sands Inc. “With interest and development growing in our area of the basin, we remain confident that once we prove the viability of the Axe Lake reservoir through pilot and overburden testing, and further delineate Wallace Creek, we will achieve the value recognition that our long-term investors have been seeking.”

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PIPELINE NEWS August 2011

A23

Senlac black gold for Southern Pacific Calgary – Southern Pacific Resource Corp. will continue to produce black gold from its Senlac thermal project east of Macklin, Sask., in the coming months following a record quarter production and gross revenue. The company’s total production averaged 4,915 barrels of oil equivalent per day for their corporate fiscal year end June 30, 2011, compared to 3,663 boepd in its third quarter. Production generated petroleum and natural gas revenue before royalties of $30.7 million for the quarter compared to $18.8 million in the previous quarter. Revenue from Senlac will be used to help fund Phase 1 of Southern Pacific’s Mackay thermal project 45 kilometers northwest of Fort McMurray. Two steam assisted gravity drainage (SAGD) well pairs brought on-stream at Senlac in April have performed as expected. Southern Pacific is preparing to drill the next three SAGD well pairs this fall. These wells will be set up and placed on standby, ready to be activated as required once capacity in the plant becomes available. The company’s development plan is to maintain Senlac production at between 4,000 and 5,000 bpd day for the next 10 to 14 years. Field construction

is well underway at the Mckay thermal project with $355 million of $450 million budgeted to construct the first phase of the SAGD project. The project is designed to process 12,000 bpd of bitumen. Incurred costs to June 30 totaled approximately $212 million. The company has completed a 29 km allseason access road and four permanent bridges at Mckay and completed the central plant site and well pad civil work. Southern Pacific has also constructed of a 14 km natural gas pipeline that will deliver natural gas for fuel from the TransCanada Corporation pipeline system to the plant. Other construction milestones completed at Mckay include: Completed water source wells and pipelines Drilled the first pad of six SAGD well pairs with the second pad about 50 per cent completed. The results from drilling the horizontal wells have been extremely positive to date, both from a reservoir quality and a drilling efficiency perspective Procured all major equipment. Modules are now in various stages of fabrication in shops mainly in Alberta. Site construction is currently focused on pile driving (30 per cent complete) and building nine site-fabricated 10,000-bbl storage tanks used to store fluids such as boiler feed-

water, produced water, diluent, and the diluted bitumen (dilbit) sales product. There are also 12 shop-fabricated tanks for which bases are being constructed Site construction is currently focused on pile driving (30 per cent complete) and building nine site-fabricated 10,000 bbl storage tanks used to store fluids such as boiler feedwater, produced water, diluent, and the dilbit sales product. There are also 12 shop-fabricated tanks for which bases are being constructed. Southern Pacific has also elected to increase the dilbit product storage capacity of the project by adding an additional 40,000 bbl tank to the site. The additional storage will provide a buffer to ensure production operations are maintained in the event of a downstream upset. This $6.5 million capital cost addition is expected to be offset with cost savings realized from the initial stages of the project and will allow the forecast capital cost to remain within the original $450 million

budget. The company expects to be steaming the first SAGD well pairs within the second quarter of calendar 2012. This will place first oil production approximately one year from now, from which a ramp up of six to 12 months will be required to bring the plant to capacity. Planning and application preparation for the second phase of McKay continues to advance, with an application for a 24,000 barrel-per-day expan-

sion expected to be filed later this fall. In June, Southern Pacific also started steaming wellbores at its Red Earth thermal project in the Peace River oil sands.

This pilot project will be tested throughout the remaining summer and fall, after which the test information will be interpreted and future plans will be prepared.

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A24

PIPELINE NEWS August 2011

Sideloading sea cans in the southeast Extreeeme Tranpsort’s new sidelifter can pick up a fully-loaded sea can on its own, move it, and unload it. Ken Sebastian operates it from a belt-pack remote control.

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Lampman – Shipping containers, often called sea cans, can be found everywhere in the oilpatch. Inexpensive, rugged, verminproof and transportable, they make great storage units. However, much of the equipment to move them around resides in ports and rail facilities. While they can and are moved by large picker trucks, it’s not always the easiest solution, and can be limited by weight. That’s had Ken Sebastian thinking for a while, ever since he saw a man from Calgary on TV’s Prairie Farm Report. He had semi-trail-

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pack to run the hydraulics. Pipeline News was able to see it in action as Extreeeme was called out to reposition a 40foot sea can on a farm north of Estevan. First, the truck is positioned with the sea can to the right of the trailer. The operator wears a wireless belt-mounted control pack, allowing him to move around the machine. Using this pack, he deploys the large outriggers, which put down large pads at both ends of the sea can. Next the hoisting cranes are stretched out. They are very similar in concept to a knuckleboom picker, but without the ability to rotate. Heavy duty chains are attached to each of the bottom corners, using plugs that ﬁt into the hoisting slots of the sea can. ► Page A25

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ers which had two integrated hydraulic lifting units that could reach over to the side of the trailer, pick up a fullyloaded sea can, and hoist it onto the truck. The trailer can then transport it and unload it, all without a crane. Sebastian’s been working on getting a similar unit for over a year, and acquired one in June. Sebastian and his partner Connie Byers own and operate Extreeeme Limousine and Extreeeme Transport, based in Lampman. The limousine service is self-explanatory, while the transport operation does crew transport and deliveries. Now they are upsizing, adding sea can transport. Called a sidelifter, the trailer is made by Steelbro. It’s a tridemaxel trailer with its own Kubota Engine power

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PIPELINE NEWS August 2011

A25

This sidelifter can pic up a sea can and have it secured in just a few minutes

Moving cans without a picker ◄ Page A24 The arms then hoist the sea can up and over, onto the studs of the trailer, where the load is secured with simple, standardized twistlock latches. Unloading happens in reverse. Each movement took about 10 to 15 minutes once the truck was in position. Since the trailer has its own power pack, no PTO power is required and any semi can pull it. Extreeeme acquired their own truck in July. Both cranes can move forward and back on the truck. It is also capable of lifting two 20-foot containers together, using linking mechanisms to join the containers together. The sideloader is capable of loading and unloading rail cars, and can

double stack sea cans. Sebastian hopes to find some rail use with it. “I’m capable of lifting 80,000 pounds,” he said, but added that while the machine can lift a fully loaded sea can, the weight is overweight for highways regulations. “We can lift that much, but we can’t haul that much on the road.” Standard eight-foot tall sea cans fit within legal highways height requirements, but taller sea cans require a permit. The trailer is equipped with numerous sensors, and will beep if there is an issue. Those sensors will measure the weight of the lift. “That one was eight tonnes,” Sebastian explained of the move done on the farm. “We’re in the process of getting a flatbed

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skid,” Sebastian said. It can be used for lifting things like cars or small pieces of equipment. “I knew there were no machines around here like that, and sea cans are in every yard. No one could unload them besides the railroads,” Sebastian said. He used to work on the railroads with similar machines. “Some companies rent sea cans in the oil patch for storage of materials and tools,” he added. He’s already hauled around a 3Twenty Solutions demonstration model of its sea can based living accommodations several times, including to and from the

Weyburn Oil Show and to the client who ended up purchasing it. “We’ve been talking to other companies that make things in sea cans – oﬃce, washrooms,” Byers said.

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A26

PIPELINE NEWS August 2011

PTRC and INCAS³ sign memorandum of understanding Regina - The Petroleum Technology Research Centre (PTRC) announced July 12 that it has reached a memorandum of understanding (MOU) with INCAS3 – a not-for-proﬁt independent research institute based in the Netherlands that specializes in advancing sensor technologies, leading to improvements in monitoring and modeling across a wide spectrum of industries. INCAS3’s work and expertise could have signiﬁcant implications for the characterizing of

oil reservoirs and other geological formations of critical importance to Saskatchewan’s, and Canada’s, oil and gas industry, according to the PTRC in a release. Both the PTRC and INCAS3 – as not for proﬁt organizations focused on research, development and deployment of new technologies – are pleased to have found common ground for advancing science and innovation. With over 13 years managing and conducting research into better enhanced oil recovery (EOR) methods,

the PTRC has a track record of identifying and fostering the development of technologies that could help improve recovery rates. Networking with 3 INCAS oﬀers unique synergies for the PTRC – through the application of sensor systems to help model and measure the structures of Canada’s oil reservoirs – that may help identify where problems exist within those reservoirs and how best to optimize existing recovery methods such as cold heavy oil production with sand

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(CHOPS). CHOPS is widely used in the Lloydminster region. “Recovery from existing heavy oil fields in Saskatchewan averages only about 5-8 per cent,” noted Malcolm Wilson, PhD, the CEO of the PTRC. “If we can better characterize these reservoirs, and pinpoint where problems are occurring within them, then we can tailor existing recovery methods to push that rate up to 15 or 20 per cent, ideally. That means a lot more money into the economy, and possibly more energy efficient processes for getting hydrocarbons out of the ground.” One of the biggest obstacles in heavy oil production, particularly in the fields that exist along the Alberta-Saskatchewan border, is the production of sand that comes up with the oil, leading to the creation of what are referred to in the industry as “wormholes.” These spaces within the reservoir affect production rates, often interfering with the flow of oil

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Malcolm Wilson, PhD, CEO of the Petroleum Technology Research Centre in Regina, was one of the speakers at the Williston Basin Petroleum Conference in Regina in May. The PTRC has recently signed an MOU with a Dutch research institute and will be working together on heavy oil production research.

out of the reservoir, and are particularly problematic because it is almost impossible to identify their location and shape. Technologies to help identify and overcome wormholes could significantly increase the rate of return from heavy oil reservoirs – from a current average of 8 per cent to as high as 20 per cent – resulting in billions of dollars in additional revenues for governments. “We believe that INCAS3 has the cognitive sensor systems, and is developing sensor nodes and advanced controls that could be extremely useful in helping to identify wormholes. Being a world leader in the development of these sorts of sensors may

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make INCAS3’s extensive network of scientists an important resource for our own researchers.” John Van Pol, managing director of INCAS3, noted that bringing together the PTRC’s EOR and INCAS3 researchers at a workshop to determine a roadmap for solving “wormhole” challenges will be an important ﬁrst step. “We plan to help organize a workshop on the measurement and structure of western Canada’s oil reservoirs. The goal will be to outline a possible roadmap for solving the appearance and monitoring of wormholes during cold heavy oil production with sand, and then initiate the execution of that roadmap.” Both the PTRC and INCAS3 hope the networking opportunities developed through this MOU – and the workshop being planned this November 3 & 4 in the Netherlands – will contribute towards a wormhole research component within the PTRC’s Sustainable Technologies for Energy Production Systems (or STEPS) enhanced oil recovery research program. STEPS is a Business Led Network of Centres of Excellence established in 2009 with funding from the Governments of Canada and Saskatchewan, with additional sponsorship from the private sector, to help advance oil recovery in Canada.

PIPELINE NEWS August 2011

A27

Bag lunches for the oilpatch

Baba’s Bistro brings hearty Ukrainian food to Estevan, and has bag lunches for the oilpatch. Deedee Chomyk is “Baba.”

Estevan – With hard work comes a desire for hearty food, something a new restaurant in Estevan hopes to provide. Baba’s Bistro opened June 15. It’s owned by Deedee Chomyk, or “Baba.” “I am the Baba,” she said, referring to the Ukrainian word for grandmother. She carries with her the traditions of Ukrainian grandmothers, particularly when it comes to cooking. Chomyk has spent three decades in Prince Albert before coming to Estevan. She used to run a day spa for 27 years, and also did sales for the Yellow Pages. That’s how she met Ray Juneau, owner of Energy City Overhead Door, her “other half.” Juneau’s company needed a larger building, so when it was built last year along the tracks in downtown Estevan, the east end of the building was constructed to accommodate a restaurant for Chomyk.

“She decided to quit her high-paying job to do this,” Juneau said with a smile. Just a few weeks in, Chomyk noted there are long hours. “But I love it. Cooking is my passion. After 33 years in the day spa industry, I’m in the food industry.” She has no formal training as a cook, “just a passion,” she said, and a Ukrainian background. “We slow cook everything. We cook everything from scratch. For ribs, we make our own barbecue sauce. “We have no deep fryer. When we say we serve cream, it’s cream. All our meat is bought locally and brought in daily, with the exception of sausage, which comes from the Ukrainian Coop (in Regina).” She had considered setting up a restaurant in Prince Albert, but Chomyk felt there were more opportunities with the oilﬁeld and seniors in Estevan. She did bring some-

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thing of P.A. with her, though, as the west wall is adorned with slices of logs. “Designing the interior was just a blast,” she said. The restaurant seats 50. “I wish my mom, Marian, could see this, that we carried on the tradition,” Chomyk said. Her daughter Dara came from Prince Albert to manage the restaurant over the summer. Just a few weeks in, the restaurant was already having lineups out the door at lunch time. “There’s a lot of Ukrainians and Russians here. They’re coming in like crazy. We’ve been so well received, and people are killing us with kindness.”

The oilpatch primarily works in the ﬁeld, however, which is why an integral part of her business is the bag lunches. They have two full-sized sandwiches, a piece of fruit and a dessert like

puﬀed wheat cake. “We make them as they’re ordered,” she said. Orders come in the night before or in the morning. They are typically picked up as the men go out in the morning. Chomyk recognized it was critical to be open early in the morning if she were to service the oilpatch, something Juneau stressed. They open at 6 a.m., and have robust breakfasts available. “Ray told us they’ll be gone by 7 a.m.,” she said. They also have a “Rigger’s feast” which is a hearty take-out meal. Those are ready for 11 a.m. each day. Oil-sector companies are already asking for large orders, she said. While labour has been tight for most busi-

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nesses in the region, they’ve actually had a waiting list of people interested. They have a lot of fun in the kitchen, she noted. “We have the greatest staﬀ, we really do.” “We make hundreds of cabbage rolls every day,” she said. Perogies are also made daily. “This is labour-intensive work. If you’re going to make perogies and cabbage rolls, you have to love it,” she said. A deck is planned, and Baba’s Bistro is in the process of acquiring a liquor permit. The intention is to serve Ukrainian beer and European wine. “Being a baba, my goal is for them to leave here full and pleased,” Chomyk said of her customers.

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PIPELINE NEWS August 2011

SaskPower awards $30 million contract to Stantec Engineering firm to play key role in development of Boundary Dam project Regina - SaskPower has chosen Stantec to provide engineering consulting services during the design and construction of the Boundary Dam Integrated Carbon Capture and Storage Demonstration Project. Stantec will serve as SaskPower’s primary consulting engineer

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on the $1.24 billion project, which will be among the first commercial-scale carbon capture and storage facilities in the world when it begins operations in 2014. Working closely with SaskPower engineers, the company will complete a significant amount of design work as well as ensuring work done by others is completed in accordance with engineering, construction and procurement contracts. Stantec’s contract with SaskPower is worth approximately $30 million. “We are proud to have one of the world’s leading engineering firms involved in a project that will help build a greener future for Saskatchewan, Canada and the world,” said Rob Norris, minister responsible for SaskPower. “This is an important example of the public and private sectors working together to move Saskatchewan’s innovation agenda forward.” “Stantec has the skill, experience and expertise to help ensure the Boundary Dam

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3 at Boundary Dam Power Station rebuilt and equipped with a fully-integrated carbon capture system that will reduce greenhouse gas emissions by one million tonnes per year – the equivalent of taking more than 250,000 vehicles oﬀ Saskatchewan roads each year. SaskPower approved the Boundary Dam project earlier this year and construction began in April. The new generating unit at Boundary Dam will have the capacity to produce 110 megawatts (MW ) of electricity. Carbon dioxide (CO2) captured at Boundary Dam will be sold for enhanced oil recovery operations. Sulfur dioxide (SO2) will also be captured and sold to manufacturers of sulfuric acid. Boundary Dam Power Station is SaskPower’s largest generating facility, with six units and a combined generating capacity of 824 MW. The company’s three coal-ﬁred power plants account for approximately 50 per cent of its generating capacity of 3,513 MW. SaskPower has a total available generating capacity of 3,982 MW when the production of independent power producers is taken into account.

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A29

Wellhead supplier grows substantially Estevan – Just four years ago, Metra Equipment Inc. had two people, its partners Lyle Grube and Burt Blondeau. Now it’s in a new shop and has 20 employees. Metra specializes in wellheads, the key part of an oil well that connects the pipes running into the ground to both the pumpjack and all the surface connections. “We started out in the spring of 2007 in a 4,000 square-foot shop on 6th Street,” Grube said. “We ran out of room and then leased a 6,000 square-foot shop on Imperial, and had both for a year while this was being built.” The new facility, at 11,200 square-feet, is located in the RM of Estevan east of the city, just off Shand Road on Supreme Street. It has two wellhead test stations and a valve test station as well as a fiveton overhead crane that services most of the shop area. Metra moved in at the end of 2010. “We do wellhead and valve sales and service,” Grube said. “Rentals are also a big part of our business. We do a lot of frac trees, valves and adapter (changeover) spools.” A frac tree is the system of valves that attaches to the top of the wellhead which allows the various units in a frac crew to tie into the well. It will also include parts that allow for ball launching or for coils tubing to pass through, depending on the style of frac being undertaken. The main business, however, is wellheads. Not only do they sell them, but Metra also installs and services them. Roughly half of their staff are field technicians who operate two- and three-tonne trucks with knuckle-boom pickers. Each is equipped with hydraulic impact wrenches and grinders. The company has some specialty tools as well i.e. a wellhead lubricator and a hydraulic torque tool. Metra supplies everything from the surface casing bowl (which is attached to the pipe, or casing, that goes underground) up to the stuffing box, where the

Nick Neurater, left, and Kelan Grube load a conventional pump wellhead onto a brand new threeton Peterbilt at Metra Equipment Ltd.

polished rod allows the pumpjack to move the rods up and down. On wells that do not require pumping, but rather ﬂow control, a “Christmas tree” of valves is used. The conﬁgurations vary from customer to customer, said Blondeau. “Once we’ve installed the tubing head, our physical work is done. The service rig’s BOPS (blowout preventer system) ties onto the top of

the tubing head.” On horizontal wells, a bridge plug is used to ensure the well doesn’t blowout when the wellhead is being installed, after it is drilled, but before the well is completed by a service rig. On vertical wells, the bottom of the well is cemented oﬀ, allowing the wellhead to be installed before the perforating is done. ► Page A30

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A30

PIPELINE NEWS August 2011 Lyle Grube, left, and Burt Blondeau, are the partners behind Metra Equipment Inc.

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◄ Page A29 “I’ve been doing this for 22 years. Burt’s been doing this for 18,” Grube said. Seeking more independence, they decided to strike out on their own after a discussion over a slice of pizza and a hockey game. The pair wanted the ability to make their own decisions. Now the company includes Blondeau’s wife, Melissa, who works as oﬃce manager, as well as two of Grube’s children. Like most service companies in southeast Saskatchewan, the breakup that never seems to end has taken its toll, although things deﬁnitely started to pick up in July. Grube noted, “We had 12 weeks of basically

nothing.” “We have the mindset knowing that, although it may not dry up, when it freezes, the work is there and everybody is in the same boat,” Blondeau said. “We’ve had enough work in the yard, and in the shop, to keep our guys busy.” The swollen Souris River has made servicing the Waskada area, a key market for them, difﬁcult. With all the road closures and the occasional washed out bridge, what should be a two hour jaunt to Waskada now took half the day, one way, in early July. Asked if they’ve had layoﬀs, he responded, “No, we beefed up. We’ve been lucky to have people become available.” Blondeau said

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they’ve also been fortunate to not yet have to deal with the shortage of housing in the area, as their staﬀ is made up of people who are already set up in that regard. They had, however, considered getting a wellsite shack, if needed. As for what has driven their growth, Grube said, “The Bakken play is a big part of it. It’s been good to us, a lot of wellheads, a lot of frac tree rentals.” Blondeau added, “Customer service has been key. When the customer calls, you bend over backwards. If a customer comes up with an emergency, we’ll drop what we’re doing and help them out.” “We have the most experienced service techs in this area right now for wellheads,” he said, adding that several have over ten years experience. Metra’s senior tech, Kenneth Schreyer, has nearly 40 years experience in the industry, having started in 1972. He’s worked on service rigs and has over 16 years on wellheads. Blondeau spoke of the staﬀ ’s dedication, noting, “It’s a lot of their blood, sweat and tears that helped build this company.”

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PIPELINE NEWS

B-Section August 2011

Saskatchewan’s Petroleum Monthly

Crescent Point is drilling so many wells around Shaunavon, they are setting as many as a pumpjack a day.

Double them up, ’cause we’re gonna need them By Brian Zinchuk Shaunavon – If there’s any indication about the pace Crescent Point Energy Corp. is developing its Lower Shaunavon ﬁeld, it’s this: a new battery, whose pilings were being pounded in early July, may need to be expanded before it even goes into operation. Pipeline News toured numerous Crescent Point facilities in the Shaunavon area on July 7, guided by Tina Osiowy, senior facilities engineer, and Wayne Kashuba, senior production/development foreman for the area. Osiowy designed Crescent Point’s southeast Saskatchewan facilities before shifting to southwest Saskatchewan and southern Alberta. “Most of the Bakken development in the southeast, I did. I just recently moved to the southwest,” explained the Calgary-based engineer. Kashuba has been in the industry for 33 years in drilling and plants. The tour was motivated by a point made in a

speech by Scott Saxberg, Crescent Point CEO, at the Saskatchewan Oil and Gas Show in Weyburn in early June. He had noted the company had acquired approximately 90 per cent of the Lower Shaunavon play. The company accomplished that in large part through the acquisition of Wave Energy Ltd. and substantial holdings of Penn West Exploration in the area. That makes it by far the dominant player in the ﬁeld, although Cenovus Energy Inc. and Wild Stream Exploration Inc. both have very active drilling programs as well. According to RigLocator.ca, in the area around Shaunavon as of July 15 there were ﬁve rigs drilling for Crescent Point, four for Cenovus, three for Wild Stream, one for Husky Energy Inc. and one for Talisman Energy Inc. Several of these rigs are from contractors that usually stick close to home in the southeast, such as CanElson Drilling Inc. and Partner Drilling Ltd.

There’s a reason why you’re now seeing them in Shaunavon. Until mid-July, it was far too wet to work in much of southeast Saskatchewan, where Crescent Point’s biggest play is. While still wet in some areas, the southwest was substantially drier. The company has thus been deploying substantially to the southwest. “We should be kicking off about four bigger crews and four or five smaller crews,” Kashuba said of their pipelining efforts. “All summer to the rest of the year, it’s heads down.” No rest this year Crescent Point is building two new facilities – a gas plant adjacent to an existing battery at Leitchville, and a new battery at Gardenhead. (See related story page A8) Indeed, they had joked this year would be a year of rest, one to catch up on infrastructure. That has not turned out to be the case. Already there are plans in place to double the capacity of the gas plant, and it hasn’t even started construction yet.

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Peter Desjarlais, labourer with Benoit Oilfield Construction, checks the ditch with a shovel, looking for rocks. While fibreglass pipeline is corrosion resistant, it is not so resistant to rocks. The pipeline is for Crescent Point, northwest of Shaunavon.

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â&#x2014;&#x201E; Page B1 â&#x20AC;&#x153;Our biggest issue is getting enough crews,â&#x20AC;? Kashuba said. â&#x20AC;&#x153;This year, weâ&#x20AC;&#x2122;re building our gas plant. Weâ&#x20AC;&#x2122;ll start August 15 and should be commissioning in October. At the Gardenhead battery, pile driving was taking place in early July. They will be decommissioning a battery the company recently acquired and deploying its equipment to the new site. (It was adjacent to another large battery, leading to an overconcentration in one area.) The new gas plant will be a â&#x20AC;&#x153;full-blown,â&#x20AC;? gas plant, according to Kashuba, the ďŹ rst one in the area. It comes at a time when the province is moving to substantially curtail venting and ďŹ&#x201A;aring. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re building the ďŹ rst producer-built gas pipeline for TransGas in several years â&#x20AC;&#x201C; 22 kilometres of four-inch people, tying in northeast of Shaunavon,â&#x20AC;? Osiowy said. Crescent Pointâ&#x20AC;&#x2122;s core area position in the play runs about 100 kilometres north and south, and 65 kilometres miles east and west. Shaunavon is just a few kilometres to the east of the centre of the play. â&#x20AC;&#x153;We have lands here from Swift Current Creek to the U.S. border,â&#x20AC;? Kashuba said. Near the Dollard battery just a few minutes southwest of Shaunavon, Kashuba swept his hand to the horizon. â&#x20AC;&#x153;Basically, all this area is ours,â&#x20AC;? he said. One of the beneďŹ ts of working in the southwest is the high concentration of Crown land, about 90 per cent, according to Kashuba. That makes things â&#x20AC;&#x153;way easier,â&#x20AC;? Osiowy said. When it comes time to unitize the ďŹ eld and look at waterďŹ&#x201A;oods, as Crescent Point is actively pursuing in the southeast, things will be much less complicated. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve already started pilots in the southwest. Wave had already done waterďŹ&#x201A;ood pilots and shown response,â&#x20AC;? Osiowy said. Kashuba added, â&#x20AC;&#x153;Waveâ&#x20AC;&#x2122;s information showed it would be positive. We put theory to practice.â&#x20AC;? â&#x2013;ş Page B3

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PIPELINE NEWS August 2011

Swift Current office doubling in size ◄ Page B2 Typical well It takes about 10 to 12 days to drill a typically Lower Shaunavon well, which runs about 1,400 metres deep vertically and has a 1,400 m lateral section. Some areas are developed with double and triple pads. “We will get more into that (pad drilling) where it makes sense,” said Kashuba. Osiowy said, “We do use local contractors and vendors as much as we can, but the southwest is not as set-up yet. Here, getting contractors has been difficult.” SaskPower, for instance, is trying to keep up with the growth. Yet you will see wells running on generators that are literally a stone’s throw from an overhead power line. While Swift Current is the nearest centre, he added it would be nice to have closer services, especially accommodations. “We run out of space here quickly.” He personally looked for a “good year and a half,” before finding a house he liked. Another person has been looking for six months, he said. Swift Current office Crescent Point opened its regional office in Swift Current on Jan. 1, 2011, with an initial 5,000 sq.-ft. It was full by May. “We’re doubling up that office by November.” The company has looked at a camp, but doesn’t want to run it itself. Crescent Point has over 60 people directly employed in southwest Saskatchewan, and hundreds more through various contractors, drilling rigs, services rigs and suppliers. Grimes Sales and Service of Lampman is the major supplier for pumpjacks, with their distinctive angled walking arm HG units permeating the countryside. “The price is very competitive, and the

quality has come a long way. They use 15 to 20 per cent less horsepower. They’re good quality jacks,” Kashuba said, adding, “The service is phenomenal.” When it comes to frac crews, “We get them from anywhere,” Kashuba said. “If there’s a holdup, that’s our holdup. There’s a shortage of qualiﬁed people. You book them; you hope the weather holds out.” Osiowy agreed. While the fracking concept it the same as

what’s used in the southeast, it’s not cookie-cutter. Crescent Point has found they’ve had to adjust and modify how it is done in the southwest. While visiting observing a crew setting a jack, Kashuba said, “We push the safety thing hard here. You have to have that culture. Accidents aren’t timed.” “Crescent Point has a focus, a long term plan,” Kashuba said. He noted there are 10 to 15 years of drilling ahead of them.

Crescent Point Energy Corp. had five drilling rigs working near Shaunavon as of July 15. This one was working near their Dollard battery on July 7.

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PIPELINE NEWS August 2011

Crescent Point aims to waterflood Bakken and Lower Shaunavon By Brian Zinchuk Weyburn - Crescent Point Energy Corp. has grown to become the second largest producer in the province, with nearly all of its 75,000 boepd production in Saskatchewan. Crescent Point CEO Scott Saxberg spoke to reporters after his keynote speech to the Saskatchewan Oil and Gas show in Weyburn on June 2, providing further detail on the company’s plans. “This is a great show,” Saxberg said. “It brings everyone together in industry and highlights what people are doing out there. I think it’s great networking and it brings the community together as well. We look forward to it every year. Regarding Alberta’s resurgence, Saxberg said, “Saskatchewan has had a bit of a luxury over the last three or four years.

Scott Saxberg, CEO of Crescent Point Energy Corp.

Lower gas prices meant more capital pushed to oil projects. Saskatchewan is an oil province, so ... companies that have operations both in Saskatchewan and Alberta moved more of their capital into Saskatchewan because of that. “Now with the resurgence of oil exploration in Alberta and the change in royalties, some capital will be drawn out of the province and into other provinces and areas. There will be a little eﬀect of that, across the board, from a lot of companies. That doesn’t mean it isn’t hugely attractive to be here, it’s just the nature of the way business has evolved. “I think the pace of growth is still going to be pretty strong here, it’s just there’s going to be more capital drawn away to Alberta and other provinces.”

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As for Crescent Point, he said, “I wouldn’t say re-allocating. I would just say our pot is getting bigger. We’ll be spending more dollars here than we ever have. “We’ll also be spending capital in other jurisdictions,” he said, noting the Alberta Bakken is similar to Saskatchewan, and it will attract capital. Regarding Saskatchewan’s attractiveness, Saxberg said, “It’s a combination of the resource that’s here. It’s very economic. It’s light oil. It’s a needed commodity, and the business environment here is the best in the country and maybe North America. It’s going to attract investment capital, and it’s going to attract significant, large projects.” Asked about Crescent Point’s waterflood intentions, he said it will cover, “basically all the Bakken area here, and all of the lower Shaunavon. It’s a massive area. I think the Viewfield-Bakken is 20 townships. “Waterflooding has been done for 100 years. It’s the next step of development for any oilfield. It’s cheap, low-risk, and can provide a tremendous value and benefit. In Saskatchewan, the way the royalty system is here, once you get past the royalty holiday, waterflooding is where the province will get the most significant revenue. The royalty rates go up, and it’s sort of free money back into the province. It does have a huge impact on revenue, if we can expand that waterflood unit,” Saxberg said. ► Page B5

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PIPELINE NEWS August 2011

Potential for early waterflood due to Crown ownershop ◄ Page B4 As for whether Crescent Point is one of the company’s vying for the CO2 projected to come from SaskPower’s Boundary Dam Unit 3 project for the purposes of enhanced oil recovery, Saxberg said, “No, it’s going to take a tremendous amount of time to get our waterflood going, and the drilling. CO2 is sort of long, way way out there for timeline. Now we have some Midale stuff in Tatagawa and other areas that are longer down the path of waterflooding that will be useful for CO2. But in the Bakken, at this stage, it’s pretty early. “On primary, we think we’re going to get upwards of 19 per cent recovery in the Bakken. With waterflood, we’re looking at over 30 per cent. It’s pretty significant, and the value lift, we think on that, is 75 per cent.” In the Lower Shau-

navon, he said, “We own about 90 per cent of that field from our calculations. It’s expanding and growing, and it’s earlier stages than the Viewield Bakken. Based on our math, we have a pretty significant ownership. “Most of it is Crown lands and we own the fee title outright. We potentially could get waterflood in sooner, because of our ownership position. We’re moving as fast as we can towards waterflooding and the Bakken here,” Saxberg said. Crescent Point was the lead donor for Saskatchewan’s portion of the STARS (Shock Trauma Air Rescue Society) air ambulance program, fronting $5 million over the next four years. Saxberg said it was important for the company to take the lead on that. “STARS air ambulance, that was huge. We’ve been working on

it for at least four years. We saw four years ago the amount of activity out here is going to grow and be significant. We looked around and said, ‘How can we help out and support the community in the best way we can?’ “What was the best way for our dollars to be spent? We looked around and there was no similar program that was as effective as the STARS air ambulance. With the amount of vehicle traffic, and the lack of hospitals in the area, we felt it was a nobrainer to do that. “We are full-force pushing that to bring other people in to sponsor that,” said Saxberg. He suggested some fee title holders might want to donate to the program. “We’d love to see them participate and put some of their dollars to work with the STARS air ambulance. It will help everyone in the community.”

Trevor Zubrecki, a locator with Big Bore Directional Drilling Ltd., works on changing a drive chuck on a boring machine. Zubrecki was working near Shaunavon, for Crescent Point.

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Crescent Point Energy Corp. and its predecessor companies donated generously to the Crescent Point Wickenheiser Centre in Shaunavon.

Crescent Point backs rink with $500,000 Shaunavon – The oilpatch has been around Shaunavon for a long, long time, but the vertical drilling of the Upper Shaunavon formation is long past its prime, and the local industry had begun to dwindle over time. That’s changed substantially in recent years, with the emergence of multi-stage frac horizontal wells in the Lower Shaunavon formation, and now the town for which the formation takes its name is taking oﬀ. The town is growing economically and popu-

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lation-wise. It’s also got a boost from the oilpatch for its new rink, which opened July 15. It’s appropriately named the Crescent Point Wickenheiser Centre. Charmaine Bernath is the town administrator, while Jay Meyer is training to take over the position upon Bernath’s pending retirement. “Things are picking up right now,” said Meyer. “Five years ago, we met with Wave Energy. They were looking at a diﬀerent style of drilling and testing a dozen or so wells. They did their drilling and were fairly successful.” That’s when the town realized that something was up. Penn West Exploration joined in, purchased some land, and bought Wave out. Then Crescent Point bought out most of Penn West’s assets. Now Cenovus Energy Inc. is involved in the play as well, as is Wild Stream. The pair notes there was a bit of a hiccup in 2009, but the town was still busy.

“We saw a lot of service companies come to town,” Meyer said of recent years. TS&M, Apex and CE Franklin have all set up shop within the last two years. EOS Pipeline established itself in a yard north of town. Bernath said, “By the end of 2009, we sold all the land in our industrial park.” Carson Energy Services bought land, but has not set anything up yet. Beacon Oilﬁeld Services has established a presence, along with ABC Logistics. “Of the companies that have moved in over the last two years, I’d say 20 were because of oil,” Meyer said. That’s been largely reﬂected in the population. The Ministry of Health numbers said there were 1,989 people in 2009 in Shaunavon, and by 2010, that number had gone to over 2,200 an increase of more than 10 per cent in one year. That doesn’t count the activity since then, which has been heating up. ► Page B7

PIPELINE NEWS August 2011

The ribbon cutting on July 15 officially opened the Crescent Point Wickenheiser Centre in Shaunavon.

Photo courtesy the Shaunavon Standard

Town growing by leaps and bounds ◄ Page B6 Housing is tight On the residential side, Bernath said, “There were some vacancies, now there’s none.” Indeed, they had to track down a place for a new nurse to stay, part of a chain reaction. No place, no nurse, meaning the hospital would be short-staﬀed. There was nothing available for her until a lady opened up a basement. Otherwise, the remaining option was to get a trailer for her. There have been a few new houses built, about 12 in the past two years. Finding an appropriate house to buy can take many months, according to several people who had moved to Shaunavon recently. Right now, only inﬁll residential lots are available. “Our plan is to start a new subdivision, 13 lots, with potential for 49,” Meyer said. It was excavated last fall. That’s a big change from previous years. “I bought a house in 2007 for $23,000,” Meyer said. “Two years ago, you could rent a house for $350 a month. You can’t get a

house for less than a thousand now,” he added. “Housing prices doubled in 2006, and are still going up,” Bernath said. “Most hotels are now rented on a monthly basis,” Meyer said. Indeed, good luck ﬁnding a hotel room. Pipeline News was informed it was quite fortunate to ﬁnd a room for two days in early July. A crew working on the new Co-op had to stay in East End because nothing else was available. Canalta Hotels, which has built hotels in Weyburn, Moosomin, Humboldt and Tisdale in recent years, has purchased land in Shaunavon, although they have not yet developed it. “We’re working on a servicing agreement with Canalta. They purchased the property nearly two years ago,” Meyer said. Discussions have mentioned a fall start date, but next spring is more realistic, according to Meyer. Another 30-unit motel, being built with modular construction, is being assembled. Servicing for it went in last fall, and two units are currently sitting on blocks. Additionally, a vintage hotel is being renovated into a 70 room hotel. It’s a long term-project, but the restaurant and bar are open. ► Page B8

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PIPELINE NEWS August 2011

Town celebrates new rink opening ◄ Page B7 “We have a campground expansion and an older campground, and both are full,” Meyer said. “Another gentleman is looking at a strip mall and Subway,” Meyer said.

There’s an A&W being spoken of as well. A new Co-op convenience store and gas bar is rising along the highway. “Our industrial park is engineered and ready to go,” Meyer said. There are 34 lots on the west

Kyle Bennett, a construction consultant with Crescent Point and chair of the Wickenheiser Launch and Sponsorship Committee, left, discusses strategies for placing advertising in the new rink in Shaunavon.

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side of the city, totalling approximately 40 acres. The town is speaking with possible developers about developing the industrial area. Money is the limiting factor. “It is something of a money issue,” said Bernath. “We’ve talked about doing a phase.” The industrial park would have all services except sewer, unless a developer comes along and decides to add that. The industrial park will also be the site of the wind turbine that SaskPower will be providing as part of a green energy program for community rinks. New Rink Shaunavon opened the Crescent Point Wickenheiser Centre, on July 15. The rink derives its name from the town’s favourite daughter, Canadian women’s hockey star, Hayley Wickenheiser, who just received the Order of Canada. She has been described as the “best women’s hockey player to ever play the game.” There was a large check for $350,000 in town hall from Crescent Point Energy Corp., which had made a donation of its own along with previous donations from Wave Energy and Penn West Exploration, whose assets were purchased by Crescent

Point. The total between all three is half a million dollars, according to Meyer. It incorporates an NHL-sized ice surface along with four sheets of curling ice. It will seat 800, with standing room bringing that number up to 1,200. The lobby is right up to the glass on the boards on the south side, and overlooks both the hockey and curling rinks. The second ﬂoor lounge area does the same, and has room for the planned Hayley Wickenheiser Museum. Shaunavon hosted Hockey Day in Canada in 2004. “It still gives me goosebumps, seeing all those CBC trucks.” A seat from Maple Leaf Gardens, donated by Ken Dryden, sits in town hall, destined for the new rink. The Zamboni will have Cenovus written on it. Everything in the rink has been itemized and had its naming rights sold. The oilpatch has stepped up in a major way. Shaunavon Mayor Sharon Dickie went to board tables in Calgary and came back with substantial contributions. After 12 years of efforts, the town has been able to pay for most of the facility outright, with just $3.5 million in debt on a $12 million complex.

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PIPELINE NEWS August 2011

Local getting in on Shaunavon action Shaunavon – Paul Illerbrun has truck, will be there. Forgive the bad allusion to the 1950s western Have Gun – Will Travel, but it seems fitting, given the approach Illerbrun takes to his Shaunavon-based water hauling business. After 30 years on the rigs, Illerbrun is trying his hand at his own service business, P & T Waterhauling. “I was a rig manager for 20 years for Champion Drilling,” Illerbrun said. “I was in Alberta 99 per cent of the time, from Fort Mac to Milk River. “In 2008, when everything slowed down, the last area I worked in was Yorkton-Melville, spending one year drilling for potash. “That’s all coring work, looking for the perimeter for where they can put a mine. It’s good work – lots of tripping.” When the oilpatch was grinding to a nearhalt in early 2009, Illerbrun bought a water truck. His son had been working on a drilling rig in the Estevan area. He built a bathroom on a trailer. Illerbrun asked if he put a light tower on it, would the frac crew rent it? They said yes. Illerbrun has since added three more conventional light towers. A catwalk for service rigs is also in the works. “It’s not out yet, but hopefully one of these days,” he said. “This winter was really good. It was a slow spring, but it’s picking up.” The day before sitting down with Pipeline News, Illerbrun got a call at 2 a.m. for water. Out the door he went. He’s a one-man show in the field, but his

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wife and business partner Teresa handles the admin. “Bookwork is more work than driving the truck,” he said. Illerbrun supplies water for boring machines and pipeliners. “That’s been pretty good,” he said. In the winter, it’s hauling water to service rig boilers. “Now I’m doing dust control and cement jobs.” Born and raised on a farm southwest of Shaunavon, he now gets to work at home. “I’ve finally been at home for the first time in my life. It’s good to be home for a while, to have a normal life,” Illerbrun said, adding it’s good to sleep in his own bed. “You don’t know how much you miss when you’re gone all the time. It’s awesome. Most of the work is within 30 miles, 20 miles even.” He’s considering buying more equipment. “Shaunavon needs stuff. We’ve got everything from out of town, and there’s no reason why locals can’t get in on this,” he said. “If you don’t have the equipment, you can’t rent it.”

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PIPELINE NEWS August 2011

Insulating the southwest

Matyka Oilfield Service had done the insulation work on the facility behind them. From left are Audrey Matyka, Darci Wirtz, Mike Tait, Shelby Dufva and Justin Matyka. Missing are Martin Envik, Dielle Thienes, Frank Poch and Elsa Poch.

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Box 831, Estevan, SK S4A 2A7 • Ph: (306) 634-9512, (306) 421-2928, (306) 487-7815 Licensed, Bonded & Insured P.L. 311962

pads for buildings and fixing holes on leases. The wet spring has affected the company, since they can’t work in the rain, lest the insulation become wet. “If it rains too much, you can’t get on the lease,” Audrey said. “One hundred mile per hour winds can cause things to start flying.” Most of their work is for Crescent Point Energy Corp., which has the majority of the Lower Shaunavon play. They also work for Wild Stream Exploration and Cenovus Energy Inc. ► Page B11

Cordell Janssen District Manager Downhole

93 Panteluk Street, Kensington Avenue N Estevan, Saskatchewan PHONE: 306-634-8828 • FAX: 306-634-7747 cordell.janssen@nov.com • www.nov.com

G.W. Trenching & Hauling Ltd. Serving the OilÀeld in S.E. Sask. for 36 years!

• OilÀeld Fiberglass Pipeline • Sand and Gravel • Backhoe Service • Bobcat Service • Environmental Services • Electrical Trenching • Grader Work • Flow Line Construction • Cat Work (6-way Dozer) • Sewer and Water

Lampman, Saskatchewan Contact: Gordon Waugh Bus.: (306) 487-3178 Cell: (306) 421-0566 Fax: (306) 487-3253

PIPELINE NEWS August 2011

B11

Seeing an opportunity to be a local service provider In addition to the sandwich board, pipe insulation of varying diameters and thicknesses is the other key ingredient to the business. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s very tedious,â&#x20AC;? said Justin. â&#x20AC;&#x153;Each valve takes about an hour. Piping is fast. Valves are not.â&#x20AC;? Audrey anticipates a busy summer. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve got lots of work right now,â&#x20AC;? she said. Thereâ&#x20AC;&#x2122;s a big push to get facilities insulated before it freezes. â&#x20AC;&#x153;They pipeline all winter, so we will be busy through summer and winter now,â&#x20AC;? Audrey said. While there is a competitor based in Swift Current, there is no one else providing the service locally, she said. This is a final insulation project done but Matyka The Matyka Oilfield Service crew can be seen at They usually work with two people per crew, Oilfield Services. work, insulating above-ground pipes. sometimes doubling up to four for larger jobs. Photo submitted Photo submitted â&#x20AC;&#x153;I could use more people, too,â&#x20AC;? she added. A lot of the Matykasâ&#x20AC;&#x2122; neighbours are slowly Housing is a big issue in the area, she noted, with several people who work in the patch staying at her getting involved in the growing local oilpatch, be it â&#x2014;&#x201E; Page B10 pushing snow or pumping water. Indeed, the comranch. â&#x20AC;&#x153;I have a couple campers in my yard now.â&#x20AC;? The company has been doing this work for alThat ranch, 15 miles south on Highway 37, is pany also handles cattle guard fencing which is made most ďŹ ve years now. It was started under Audreyâ&#x20AC;&#x2122;s being downsized. They used to have 245 head of cat- locally, and pumps a little water. The fencing is a nathusband, John. He was a journeyman carpenter. tle, but sold oďŹ&#x20AC; 200 in December. The growth in the ural extension of their business. Justin, 21, said, â&#x20AC;&#x153;I started as a pipeline labourer.â&#x20AC;? Other suppliers are Bigfoot Metals out of insulating business meant something had to give. â&#x20AC;&#x153;It He ended up hiring his mother and father to was too hard, by myself. Too much,â&#x20AC;? she said. â&#x20AC;&#x153;I have Brooks, Alta., and Nu-West Construction Products work with him for a small oilďŹ eld company. Inc. from Regina. the farming custom-done now.â&#x20AC;? John passed away two years ago. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;d like to expand,â&#x20AC;? Justin said, pointing to A week after a tornado gave Shaunavon a close â&#x20AC;&#x153;When I was pipelining, I paid attention to what call, another twister hit the Matyka ranch, taking out small skid construction and header buildings. â&#x20AC;&#x153;Those the guy who was doing the insulating was doing,â&#x20AC;? are currently coming in from Alberta.â&#x20AC;? a shed. Audrey said. â&#x20AC;&#x153;I thought, â&#x20AC;&#x2DC;I could do that. No one local was doing it.â&#x20AC;&#x2122; â&#x20AC;&#x153;I started looking on the Internet for suppliers. I was told I would never get any work.â&#x20AC;? â&#x20AC;&#x153;And look at you now,â&#x20AC;? said Darci Wirtz, who, along with Shelby Dufva, hired on as summer help. â&#x20AC;˘ Earth moving and Oilfield Construction â&#x20AC;&#x153;I had to make a lot of phone calls and go to â&#x20AC;˘ Lease Preparations and Restorations batteries and look at the labels on the boxes,â&#x20AC;? Auâ&#x20AC;˘ Pipeline Construction and Maintenance drey continued. â&#x20AC;&#x153;I wasnâ&#x20AC;&#x2122;t sure what the material was called.â&#x20AC;? â&#x20AC;˘ Road Building, Dugouts The material in question is an aluminum-foamaluminum sandwich board, usually 1.5 inches thick, â&#x20AC;˘ Dozer Ripper and Winch Cats â&#x20AC;˘ Trackhoe and Backhoe but it can be thicker, depending on the requireâ&#x20AC;˘ Motor Scrapers, Graders ments. â&#x20AC;˘ Lowbeds and More

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B12

PIPELINE NEWS August 2011

Engineer from Craven designs Crescent Point facilities

Tina Osiowy was one of the first two facilities engineers hired by Crescent Point Energy Corp. After designing the company’s southeast Saskatchewan facilities for years, she is now looking after southwest Saskatchewan and southern Alberta, both very active plays.

Shaunavon – “Most of our engineering staff is from Saskatchewan,” said Tina Osiowy, senior facilities engineer for Crescent Point Energy Corp while visiting the company’s facilities around Shaunavon. “I grew up in Craven and went to the University of Regina for industrial systems (mechanical engineering). Osiowy graduated from university in 1995. She did high tech work for Nortel for a few years before getting into the oilpatch. Osiowy has been working almost 10 years in the patch, having started with engineering companies. First there was CH2M HILL, then IMV Projects, which is now owned by the Wood Group. She is now has professional engineer certification for Alberta and Saskatchewan. Osiowy said she and her boss were the first two initial facility engineers for Crescent Point. She was the engineer for seven batteries in southeast Saskatchewan, has done four in southwest Saskatchewan, and will soon have completed a fifth. She gave up looking after southeast Saskatchewan facilities to take care of the southwest, as well as southern Alberta. Now, with the company recently having picked up about a million acres in southern Alberta, things are heating up there, too. “My husband is an engineer as well. He worked with SED in Saskatoon, and Nortel, and is now with General Dynamics in Calgary, doing communications for the military.” “This is the most dynamic company I’ve worked for,” Osiowy said. “We are actively involved as engineering teams. We meet with the CEO monthly. When oil is $30, we work. We’re one of the few that will.”

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Independent Pump Co. Phone: 634-7892 • www.ipc-sk.ca

PIPELINE NEWS August 2011

B13

More than one big play Wayne Kashuba, Crescent Point’s production/development foreman for the Shuanavon area, hopes this company is the last one he works for.

Gibson Welding Ltd. Oilfield Trucking & Rentals John

861-1280

Fax 842-1707 gibsonwelding10@hotmail.com P.O. BOX 926, WEYBURN, SK S4H 2L2 P th roud e W ly ey pr bu es rn ent Oi ed lS a ho t w

Shaunavon – Wayne Kashuba, Crescent Point’s senior production/development foreman for the Shaunavon area, said he hopes this is the company he ﬁnishes his career with. Kashuba is originally from northern Alberta, where he says he was “born around a lot of trees.” He worked for a year in Manitoba, and another year in North Dakota, drilling early Bakken vertical wells. “For the most part, working with Crescent Point is quite unique. For most people, you’re lucky to be in one big play in your career,” Kashuba said, adding the company is involved with three – southeast Saskatchewan, southwest Saskatchewan, and southern Alberta. “It’s not boring. There’s not one dull day,” he said. Both of his sons work as contract operators in the oilpatch. “I’ve been in the oil industry for 33 years, in drilling and plants. What I see is horizontal drilling and technology has refreshed old areas,” Kashuba said. “Now is the time for Saskatchewan to open up and let other industries settle, such as maintenance crews, leas builders, tech people and surveyors,” he said, noting there are 10 to 15 years of growth ahead. “There are all kinds of opportunities for growth.”

• 35, 30 & 23 Ton Pickers • Bed Truck • Pipe Custodian • Pipe Racks • Rig Matts • Flarestack Sales & Rentals • Tubing Trailers • 400 BBL Test Tank Sales & Rental • Wellhead Sales & Installation • Backhoe & Skid Steer • Steamer • Crew Truck • Test Separators • Work Strings • Light Towers CertiÀed • SECOR COR Certified

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Call 306.487.2833 to upgrade to the 3500 Level Controller. Quote code 3500-UJ11 before August 31, 2011 for a discount on your upgrade.

B14

PIPELINE NEWS August 2011

Ernie Maser has been an excavator operator for 37 years.

Lifetime pipeliner enjoys working close to home Â&#x201E; Brian Zinchuk Shaunavon â&#x20AC;&#x201C; If you see an excavator swinging in the Shaunavon area, thereâ&#x20AC;&#x2122;s a good chance you might ďŹ nd Ernie Maser on it. Hailing from Irvine, Alberta, just across the border near Medicine Hat, Maser has worked in Saskatchewan for the last ďŹ ve years. One and a half years were in Stoughton area, the rest have been at Shaunavon, with a series of contractors. Most recently, heâ&#x20AC;&#x2122;s found himself working with one of three Benoit OilďŹ eld Construction crews, working on a Crescent Point pipeline project. At 57-years-old, Maser has been running excavators, also known as hoes, for 37 years. Thatâ&#x20AC;&#x2122;s long enough that when he ďŹ rst started, it was on cablehoes, the precursor to fully hydraulic hoes. A pipeliner all his life, he did a little water and sewer work in his early days. At one point he had his own machine, a 220 Hitachi excavator, but it was gone as soon as a job dried up. He prefers working for someone else. â&#x20AC;&#x153;No headaches now,â&#x20AC;? he said. â&#x20AC;&#x153;When it shuts down, it shuts down. Itâ&#x20AC;&#x2122;s done, and it can happen overnight,â&#x20AC;? he said. Working in Shaunavon, Maser said, â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s good. A nice place, minus the rain. People are nice.â&#x20AC;? â&#x20AC;&#x153;A lot of my inlaws live in this country, and they donâ&#x20AC;&#x2122;t remember this much water. Thereâ&#x20AC;&#x2122;s places I dug three years ago that were dry now then now have three feet of water.â&#x20AC;? â&#x20AC;&#x153;The biggest thing around here is ďŹ ning accommodations. Everythingâ&#x20AC;&#x2122;s full.â&#x20AC;? Maser, like most pipeline lifers, stays in his own 33-foot travel trailer. Asked if heâ&#x20AC;&#x2122;s looking to retire, Maser said, â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;d love to, but thatâ&#x20AC;&#x2122;s all dictated by what happens in the next few years. I wonâ&#x20AC;&#x2122;t be sitting on a hoe, but I still enjoy running equipment. I can still get up and oďŹ&#x20AC; and thereâ&#x20AC;&#x2122;s no headache in running a hoe â&#x20AC;&#x201C; youâ&#x20AC;&#x2122;ve simply got to dig ditch.â&#x20AC;? And a nice ditch he digs indeed, with nicely sloped side, regular ramps and an even bottom. The ramps are because labourers check the entire ditch with shovels for rocks, lest they damage the ďŹ breglass pipe.

Two fibreglass pipelines will go in the ditch once it is completed.

1120 East Avenue Weyburn, Sask. S4H 3E4 Ph. 842-7290 Fax 842-7277

Welcome to Industrial Electric Industrial Electric (Weyburn) Ltd is a major maintenance and installations contractor for manufacturing and processing industries in the oil and gas sector. For over 35 years, IEW has provided high quality maintenance and installation services for some of Canada's largest companies. From general electrical contracting to complex installations, IEW's committed group of electrical professionals is prepared for any project. Our growing team of electricians and instrument mechanics maintains exceptional standards of quality and customer service. Check us out on the web www.industrialelectric.ca

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PIPELINE NEWS August 2011

B15

Work and family able to come together Shaunavon – At 28, Conrad Pearce is already the lead pipeline consultant and facility construction supervisor for Crescent Point Energy Corp. in the Shaunavon area. Pearce grew up in Porcupine Plain, and now lives in Shaunavon. “This is all I’ve done,” he said, standing near a Benoit Oilﬁeld

Construction crew as the work with Big Bore on a road crossing. “I walked out of school and went to Alberta. “I started with this company right here, Benoit Oilﬁeld.” The Riders’ season ticket holder came back to Saskatchewan three years ago. He’s also worked for several years in the Estevan area.

Coming back to Saskatchewan he said he had been able to get work and family to worth together. He was married last year. Pearce’s wife is a schoolteacher. “Moving here, doing what we do, has been the best bet,” he said. Pearce plays hockey, and gets to know people outside of work. That makes a diﬀerence, he said.

* Bed Trucks * Winch Tractors * Pickers Conrad Pearce is Crescent Point’s lead pipeline consultant and facility construction supervisor. Back in Saskatchewan, he now has Rider season tickets.

RIG MOVING Phone: 482-3244

WEYBURN, SK 306-842-8901 ESTEVAN, SK 306-634-8912

Rest easier

(The oil patch is looking better, but at the end of a long day this bed looks fantastic) Essential Coil & Stimulation Services currently has a fleet of 25 coil units. These units are tandem tandem and tandem tridems. We have coil capabilities of up to 2500 meters of 2.00”, 3400 meters of 1.75”, 4500 meters of 1.5”, and 6700 meters of 1.25”. 7 sets of Class II blowout preventers, including two remote accumulators and Class III capabilities. We are actively working in Southern Saskatchewan. We have a shop in Weyburn at #3 20th Ave. SE. Please call us for a list of all the services we provide. If you are looking for a dynamic new career and live in the area, fax your resume with a driver’s abstract to 403-580-8906

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B16

PIPELINE NEWS August 2011

Since it was established in late 2008, CanElson Drilling Inc. has grown quickly to become one of Canada`s premier drilling contractors. In addition to building its own drilling rigs, the company is expanding its Àeet of drilling and service rigs through acquisition. CanElson now operates a Àeet of 32 rigs (29 net) With operations in Western Canada, West Texas, North Dakota, and Mexico, Can Elson Drilling Inc. is setting new standards for rig utilization. With right-sized, purpose-built rigs built for horizontal and resource play drilling and experienced well-trained crews, the company is achieving new records for cost-effective, ef¿cient drilling operations.

Box 312 Carlyle, SK S0C 0R0 Of¿ce: 306.453.2506 Fax: 306.453.2508

Our latest purchase: Redhawk Drilling in North Dakota!

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PIPELINE NEWS August 2011

B17

Supplementing menting both the Drilling and Production sectors of the Oilfield Industry. Tanker Units, Pressure Batch Trucks, and a Fully Equipped Service Truck are available. We specialize in transporting Salt Water, Crude Oil, Completions, Contaminated Mud & Fresh Water!

Our Full Commercial Truck Wash & Service Centre is NOW OPEN

Office 1-306-453-4470 Fax 1-306-453-4404 Toll Free 1-888-453-4470 dlesage@equaltransport.ca

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Manager Dispatcher

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Specializing in Non Damaging Biodegradable Drilling Fluids Designed for Horizontal Drilling Division President 306-577-9900 (Carlyle) Field Supervisor 306-421-0344 (Estevan) Field Supervisor 306-452-8182 (Redvers) Warehouse Manager 306-577-9934 (Carlyle)

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B18

PIPELINE NEWS August 2011

Target is taking aim at Bonnyville safety market

Custom site designs available ENGINEERED CONTAINMENT ADVANTAGES â&#x20AC;˘ Professionally Installed â&#x20AC;˘ Cost Effective â&#x20AC;˘ Minimal Maintenance â&#x20AC;˘ Completely Reusable â&#x20AC;˘ Expandable WALL HEIGHTS INCLUDE â&#x20AC;˘ 12â&#x20AC;? â&#x20AC;˘ 25â&#x20AC;? â&#x20AC;˘ 33â&#x20AC;? â&#x20AC;˘ 45â&#x20AC;? â&#x20AC;˘ 57â&#x20AC;? â&#x20AC;˘ Coming Soon 66â&#x20AC;? â&#x20AC;˘ Crossover Steps Available for all Wall Heights For a dealer in your area

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52-2

5IF $PNNJUNFOU $POUJOVFT Caltech Surveys is fully equipped to take on your well site and pipeline projects, large or small, anywhere in Alberta or Saskatchewan. You can count on us to respond quickly and get your projects completed on time and on budget. From project planning and digital mapping to Ă&#x201E;eld scouting, surveying and plan preparation, Caltechâ&#x20AC;&#x2122;s commitment to quality, service and value continues...

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40247734â&#x20AC;˘06/25/10

TCA provides engineered steel containment solutions for the Western Canadian Oil and Gas Industry

The purchase of a new building follows Targetâ&#x20AC;&#x2122;s successful safety services turnarounds at Cenovusâ&#x20AC;&#x2122; Foster Creek and Christina Lake heavy oil operations in the Bonnyville area this past spring. â&#x20AC;&#x153;There is a lot of potential. The market is strong,â&#x20AC;? said Clint McKinlay, general manager. â&#x20AC;&#x153;We have several clients that we have established a very good relationship with. Itâ&#x20AC;&#x2122;s a deďŹ nitely a good area to be in.â&#x20AC;? Target also had a booth at the recent Bonnyville & District Oil and Gas Show that McKinlay said was well attended. â&#x20AC;&#x153;We were happy with the amount of potential clients and existing clients we got to interact with,â&#x20AC;? he said. McKinlay says the companyâ&#x20AC;&#x2122;s move is prompted by a â&#x20AC;&#x153;need for more room to house more equipment and more staďŹ&#x20AC;, and now is the right time to do it.â&#x20AC;? Target has been sharing space with Astec Safety Inc. in Bonnyville since 2008 in a close working relationship, but both companies are getting busier by the month and need their own room to grow. Target has purchased a two storey oďŹ&#x192;ce with 6,000 sq.-ft. of space with three bays in a new building on 55th Avenue in the northeast industrial section of Bonnyville. An operations coordinator has been hired and interviews are underway for new oďŹ&#x192;ce staďŹ&#x20AC; as the oďŹ&#x192;cial move in date of August 15 moves closer. Target will provide safety training classes in Bonnyville along with its corporate practice of maintaining a complete inventory of safety equipment for onsite safety service or rentals and providing safety management expertise in high angle rescues, conďŹ ned space entry rescues and medical teams. â&#x20AC;&#x153;We have clients who come to us and rent just safety equipment and we are glad to help them out,â&#x20AC;? said McKinlay. â&#x20AC;&#x153;We also have some clients who want only personnel, and some who say they want the whole full meal deal with our people and equipment. â&#x20AC;&#x153;We are happy to do either. Obviously, we prefer the jobs where we have our manpower and equipment. â&#x20AC;&#x153;Some other clients will ask to come in and do safety audits for them and some safety management skill training.â&#x20AC;? Last fall, Target successfully completed a large onsite safety turnaround at the Lloydminster Husky Upgrader in a contract that involved approximately 200 safety personnel and equipment. Target will perform the same services for Husky this fall during a smaller routine maintenance turnaround at the upgrader. â&#x20AC;&#x153;We extended our contract this spring, so we are setting pretty good there right now,â&#x20AC;? said McKinlay. â&#x20AC;&#x153;It was a very challenging job. â&#x20AC;&#x153;To my knowledge that was probably the biggest safety requirements of any job in Western Canada to this point in terms of shutdowns. â&#x20AC;&#x153;To get the contract and be able to extend it after a project of that magnitude is deďŹ nitely a goal that we wanted and goal that we achieved. We are pretty happy with that.â&#x20AC;? McKinlay says Lloydminster and Bonnyville are two of their strongest markets with a lot of potential for growth as heavy oil companies continue to invest in new projects and developments requiring safety support. â&#x2013;ş Page B19

40249211â&#x20AC;˘06/25/10

Lloydminster â&#x20AC;&#x201C;Target Safety Services is moving into a new and larger oďŹ&#x192;ce in Bonnyville in August as the demand for the companyâ&#x20AC;&#x2122;s services continues to grow there and at its Lloydminster and Red Deer locations.

PIPELINE NEWS August 2011

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Indications of busy years ahead ◄ Page B18 oil and gas sector. “They are both strong markets, and we have good client bases established,” “We are very happy to be working for companies like Husky and Cenovus said McKinlay. “The sky is the limit as far as the industry goes, and all indica- on their turnarounds so we take them very seriously, and want to make sure they tions are it is going to be busy for the next number of years for the entire heavy get 100 per cent service from us. “A lot of companies in Bonnyville have very aggressive capital budgets that they will need support for. Even in Red Deer, there are some projects going on there.” Target added an additional 2,000 square feet of building space to their Red Deer complex last year to support their comprehensive quality assurance and control program on their safety equipment and to stock more rental safety equipment. The company maintains a specialize inventory of breathing apparatus, auxiliary equipment, gas detection equipment and wireless air quality monitoring equipment in Red Deer along with other equipment for onsite safety or rental purposes. The Red Deer location now offers oilfield training courses and will open a new 40-ft. tall emergency response training tower in August that is Enformcertified for rig worker fall protection and rescue training. Meanwhile, plans are in the works for a grand opening of the Bonnyville office in September.

August is a big month for Target Safety Services when it officially opens its new and larger office in Bonnyville and opens its 40-ft. high emergency response training tower in Red Deer. Target is also gearing up for another safety services turnaround this September at the Lloydminster Husky Upgrader. Photo submitted

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PIPELINE NEWS August 2011

ROI helps sell GFI to fleets

Jadon Rempel general manager of GFI Systems Inc. demonstrated the capabilities of the company’s fleet management software and hardware on a digital map of the Stoughton, Saskatchewan, area during the Bonnyville and District Oil and Show June 22-23.

Bonnyville, Alta. – GFI Systems Inc. started off as a paper mapping company in Regina in 1992 and has morphed into a major web-based provider of real-time fleet management systems for the oil and gas sector in Western Canada. The system also has applications for municipal governments, transport companies and construction firms seeking to maximize the efficiency of their fleets and reduce costs. GFI Systems, now based in Red Deer, uses GPS, cellular and satellite equipment with software to provide companies with real-time location and status monitoring of their vehicles on digital maps. The company hooked up a digital map of the Stoughton area at the Bonnyville and District Oil and Gas Show for general manger Jadon Rempel to demonstrate the system features and benefits. “Our system is one of the industry’s only realtime fleet management system that integrates an active dispatch model so companies can more efficiently operate their fleets in the field,” said Rempel, who was manning the company’s exhibit booth. “The real time activity that you see onscreen allows dispatchers to literally guide drivers to locations when theoretically they can’t find places or have the ability to see in front of them.” GFI receives data from most mobile assets on average every five to nine seconds or second by second where required, and displays it on a dispatch map with constant and rapid visual updating. This allows a dispatcher to literally guide drivers to locations mile by mile, turn by turn. ► Page B21

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Going beyond simple LSD locating ◄ Page B20 The GFI system goes beyond simple invehicle LSD locating by generating real time data to integrate with speed policy enforcement, maintenance management, employee management, work alone monitoring, electronic logs, reports, and asset tracking. “We provide a software solution that is more integrated into a back office environment so that there is full transparency as opposed to simple in-vehicle solutions,” said Rempel. “The product is aimed at fleet operators or any companies that want to adequately manage their field operations. “We have clients that are small as two trucks up to 1,000 trucks. We provide an incredible return on investment for companies of any size,” he said. Return on investment is realized by fuel savings from speed control measures, maintenance alerts and better fleet utilization knowing where and when equipment is working and to what degree. “Also with the degree of data that we are capable of acquiring from the in-vehicle hardware that is installed, it gives a very high degree of accuracy for things like fuel tax reporting,” said Rempel. “It also links in with billing and payroll and pretty much everything

that a company needs to operate their ﬂeets more eﬃciently. “We do a lot of business in pickup trucks and everything to heavy equipment utilizations to ensure your graders and dozers are operating when they are supposed to be. “Some specialized things we do with the transport industry help them not only manage what the vehicle is doing but provides them with services from real time tank level gauging to various vehicle telemetry solutions,” Rempel said. GFI developed the first LSD digital maps of Saskatchewan during its early years in Saskatchewan when its system was geared to

topography and ground water mapping along with property tax assessment and pipeline planning applications. “In the ’90s we did a lot of business with a municipal government in Saskatchewan,” said Rempel. “When we went into fleet management, the oil and gas industry really gravitated toward our product. At the time most of that business resided in Alberta, so it caused us to have to gravitate west. “We will never lose sight of our roots and many of our primary clients reside in Saskatchewan so we spend equal amounts of time in both provinces to adequately service both provinces. “What we are ca-

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PIPELINE NEWS August 2011

Cabay’s Dirtworks unearths showy T-shirts Bonnyville, Alta – Cabay’s Dirtworks Ltd. relied on bright orange T-shirts to make an impression at the Bonnyville & District Oil and Gas Show on June 22-23 with no available heavy oilfield construction equipment to exhibit. Their entire fleet of graders, track hoes, dozers, compaction equipment, heavy equipment movers, bobcats, rock trucks, motor scrapers, loaders and gravel trucks was out working on a variety of projects in the Bonnyville area. Brad Cabay, who owns and operates the Bonnyville business with his wife Denise, made do by outfitting available staff in the orange corporate shirts that had many visitors asking who they were and what they did. Cabay’s Dirtworks also sponsored a drink ticket at the banquet where Cabay was eager to talk about his company and the orange shirts sporting their “We can DIG it!” slogan. The slogan draws attention to the lease and road construction, lease reclamation and remediation and oilfield construction and civil construction services provided from their 60 by 80 ft. shop in Bonnyville. “Mostly we do anything to do with dirt,” said Cabay. “We do lease reclamation, lease construction, pipeline right-of-way cleanups – anything to do with

dirt – road construction. “We specialize in reclamation and pipeline right-of-way clean-ups and preparations and stuff like that. We do some road construction.” Cabay started the company in Bonnyville in 1999 with just one trackhoe operated by himself Cabay’s Dirtworks’ excavators remove gravand has grown into one el from a CNRL lease road in preparation for of the largest oilfield con- lease and road reclamation on pad southeast of Photo submitted struction companies in Bonnyville. the area with more than 35 employees and no shortage of work. “There is lots of growth potential. It’s a busy market,” said Cabay. “It’s very demanding but you try to do the best you can with what you’ve got. “Right now, our main activity is reclamation of leases and construction.” Reclamation work ranges from excavating, piling and hauling contaminated soils to landfill sites and hauling in clean fill to replace soils, including packing and bringing the site back to grade. “We have heavy equipment – anywhere from dozers, graders, rock trucks, graders, trackhoes, hydraulic excavators and smaller stuff, too like Bobcats and a couple of small gravel trucks to support the rest of it,” said Cabay. Cabay’s Dirtworks’ equipment is put to use building many types of roads in the area ranging from oilfield roads and well sites access to access to cold production sites. They also build private and commercial approaches and driveways – all meeting municipal regulations. In the winter months, Cabay’s Dirtworks focuses on building leases, including engineered, cold production and gas well leases. The company also does a lot of oilfield construction from plant site work to active pad sites – including grader work, drainage issues, pad repair, maintenance work, compaction, road repairs and cleanups. “You can’t just do one thing,” said Cabay in defense of his diversified strategy. “You can’t just specialize in one thing. “The reclamation for example – it’s all seasonal – it’s summer work. Then when you get into winter, it’s lease construction and some cleanup.” Turning to the subject of the oil show, Cabay says he couldn’t pass up the opportunity to participate in the event as a locally-owned company despite having no available equipment to show. “It’s just mostly for exposure and it’s in our hometown so we want to make sure we have a presence out here and let everyone know who we are and what we do,” said Cabay, who dressed for the occasion in his orange shirt. “The orange shirts are pretty popular. I know a lot of people. I have lived here my whole life. I used to be an operator for 17 years. I worked for BP, Amoco and a little bit for CNRL.” Cabay says he has established a good base in Bonnyville with little need to venture outside the area for work. “We are very busy right now. The market is getting busier and busier,” he said. “A lot of the oil companies are starting to open up. There are new oil companies in the area so it’s good to keep busy with those guys. “This is a very happening area. If you look at some of the maps that are out here, there are several companies that are coming to town now. “Osum (Oil Sands) is coming to town. Devon is picking up a new plant. Koch Exploration is coming to town. Imperial is expanding, CNRL is expanding, and Cenovus is expanding. “There is actually a lot of work in this area more than people realize. When you look at the map people can’t believe how much work is going on here,” Cabay said.

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Cold Lake oil fuels jobs for First Nations Bonnyville, Alta. – A new strategy by Cenovus Energy Inc. to step up development of its Foster Creek oilsands project in the Cold Lake Air Weapons Range is good news for Seven Lakes Oilfield Services. Seven Lakes is owned by Saddle Lake, Goodfish Lake, Kehewin, Frog Lake, Beaver Lake, Heart Lake and Cold Lake First Nations with approximately 37 employees working at the Foster Creek steam assisted gravity drainage (SAGD) project. Seven Lakes also rents its scaffolding equipment valued at approximately $1 million to Imperial Oil’s Cold Lake operations where Seven Lakes also provides the company with gas testing services and labour. Meanwhile, Cenovus expects to boost total production at Foster Creek to between 270,000 and 290,000 barrels of oil per day through increased capacity at phases F, G, generating new employment opportunities for Seven Lakes. “There are doing a SAGD operation and we providing support with the infrastructure division,” said Alfred Janvier, onsite manager for Seven Lakes at Foster Creek.” “We help with the stuff that’s left undone between construction and operations. We do the middle stuff, and we help provide support in that capacity. “We’ve got trades people, plumbers and carpenters, there. We have high-speed sanding trucks

and heavy equipment like trackhoes, dump trucks, gravel trucks, loaders, skid steer – we have a variety of equipment there as well as a street sweeper and water for roads – and the whole nine yards.” The next three phases of Foster Creek will have a production capacity of 35,000 bpd which is 5,000 bpd more than Cenovus originally anticipated in each phase. Cenovus recently announced they are moving up their timelines for ﬁrst heavy oil production from phases G and H and future expansion. The fast tracking could lead to mean more employment and trades development opportunities for Seven Lakes and some third party companies under their wing. “Cenovus is now in a phase of building a whole

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new plant so that means more opportunities in terms of getting more employees on board – providing more support in that capacity, and also construction,” said Janvier at the Seven Lakes booth at the Bonnyville & District Oil and Gas Show held June 22-23. “Theses projects provide employment not only for First Nations, but they create non-aboriginal opportunities as well, by having qualiﬁed non-aboriginal tradespeople on hand along with aboriginal journeymen to show us the trades. “We also tap non aboriginals for cross-training purposes and cross-cultural purposes. It’s a two way street. It’s a win-win situation. It’s two-way crosstraining. ► Page B25

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PIPELINE NEWS August 2011

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Desire to provide skilled workers

Alfred Janvier, onsite manager for Seven Lakes Oilfield Services at the Cenovus Energy Foster Creek SAGD project in the Cold Lake area, is eager to forge new employment and skills training partnerships for First Nation workers with oil and gas companies in the area. Seven Lakes set up a booth at the Bonnyville oil and gas show to showcase their construction scaffolding business section. Seven Lakes is owned by seven First Nations in northeastern Alberta.

◄ Page B23 “We couldn’t ask for anything better for employment purposes and for training – training in terms of being skilled instead of being unskilled. “That’s what we want to provide to the oil and gas industry – to provide skilled opportunity workers.” Seven Lakes is a subsidiary of the Primco Dene Ltd. and Pimee Well Servicing Ltd. with more than 100 employees working in waste management, general labour, scaﬀolding, wellhead cleanup, spill

cleanup, and site security for the oil patch. The diversiﬁed oilﬁeld company also provides lease sanding and snow removal, gas testing and laser sampling, dirt works, road maintenance and minor pipeline construction services.

“We are also looking at expanding our opportunities with scaffolding in Foster Creek as well so we can develop more skilled workers,” said Janvier. Seven Lakes provides personnel from first year apprentices to journeymen to erect the scaffolding. Seven Lakes is a member company of the Primco Dene Group of Companies, whollyowned by Cold Lake First Nations with a strategy to build employee training partnerships and networks. Rick Janvier, human resources manager for Seven Lakes, described the strategy as “replacing a livelihood with a livelihood” that used to be hunting, fishing and trapping. “Now it’s creating partnerships and creating careers and longterm meaningful employment.”

The economic outlook for Cold Lake First Nation began to brighten in 2002 when the federal government reached a $25 million settlement with the Dene people for loss of their traditional lands when Canada built the Primrose Lake Air Weapons Range in 1952. “From 2002 to 2007 based on those strategies creating partnerships with major oil companies and drawing up opportunities with our First Nations – with the gaming (Casino Dene) and that – we have decreased unemployment from a high of 85 per cent down to 12 to 15 per cent in those ﬁve years,” said Janvier. The Primco Dene group operates companies dealing with everything from security services, and EMS response to remote work sites in northeast Alberta to camp catering, courier

services and commercial property management. Primco group employees also work for Canadian Natural Resources and other smaller oil companies in the region. “Our total divisions have about 440 employees,” said Eliza Raine, Primco’s oﬃce and administrative manager who hopes the oil and

gas show will raise the proﬁle of their group of companies. “We are just trying to get more recognized,” she said. “A lot of companies even though they see our businesses and our trucks up in the air weapons range still don’t know what we do. It gives us good publicity to showcase our company.”

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PIPELINE NEWS August 2011

Techmation is eyeing up growth in the Cold Lake area Victor Witzke was the face of Techmation Electric & Controls Ltd. at the Bonnyville & District Oil and Gas June 22-23. Witzke who works at the head office in Airdrie Alberta was eager to talk about his company’s growth potential in the Cold Lake area to anyone who visited his booth

Bonnyville, Alta. – Victor Witzke, vicepresident of business development for Techmation Electric & Controls Ltd. based in Airdrie, Alberta, shook a lot of hands at the Bonnyville & District Oil and Gas show, just as he intended to do. It’s Witzke’s job to secure work for Techmation’s large workforce of approximately 600 tradesmen and he made headway for the company’s Bonnyville oﬃce during the show June 22-23. “I made several very good contacts,” he said. “I think in order for us to grow, we have to be part of the community and make ourselves visible so we are excited to be here and participate. “I think it’s a very good show. It’s well put on. I think it’s fairly lightly attended but that will change over time. It’s probably one of the

best managed trade shows I’ve been at in the industry.” The show gave Witzke the opportunity to explain to passersby that Techmation provides a complete range of electrical and instrumentation contracting services to the oil and gas industry in Western Canada. “Techmation is an electrical and instrumentation contractor,” he said. “We do industrial construction and maintenance for the oil and gas industry. “We are a service provider so whenever an oil company builds oil and gas facility, we are involved in putting in the power and the meters and a lot of the support equipment for the electrical controls.” Techmation is a privately-owned Canadian company with 23 locations in British Columbia, Saskatchewan and

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Alberta. That includes the Bonnyville outlet that was established three years ago and is getting busier by the day. “We are trying to expand into the Cold Lake area and participate in some of the area,” said Witzke, who works in Airdrie. “I think there is significant potential in Cold Lake. There is just nothing but upside for us up here. I think the only limitation would be access to tradesmen. “Our company has been in a significant growth mode. Since 1995, we’ve grown from a small group to well over 600 employees.” The demand for Techmation’s construction services ranges from major facility construction to plant expansions and upgrades. The company provides a full scope of electrical and instrumentation services to manage major projects from initial plant construction to commissioning and start-up. They also offer ongoing maintenance and support programs specifically tailored to the needs of their commercial and heavy industrial customers. Techmation is able to develop and/or adapt to existing preventative maintenance programs that help reduce costs and improve operating efficiencies. All of Techmation’s branch locations offer complete shop services to support their customers’ operations. Their instrument rebuild services include certified PSV repairs, water meter calibrations, and valve and pump repairs along with overthe-counter sales of instrumentation materials.

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Uniform rules for interprovincial trucking

Saskatchewan Premier Brad Wall, centre, signed the New West Partnership Agreement in April, 2010. To the left is British Columbia Premier Gordon Campbell while Alberta Premier Ed Stelmach, is on the right. Synchronizing trucking regulations was one of the key areas of the agreement mentioned at the time. File photo

Regina – Trucking without borders moves a step closer to reality with new uniform regulations for commercial vehicles travelling across the boundaries of Saskatchewan, Alberta and British Columbia in eﬀect since July 1. The regulations under the New West Partnership Trade Agreement create uniform rules about the sizes and weights of vehicles and other aspects of trucking operations for more eﬃcient movement between the three provinces.

The provinces will continue to work together on future changes so that one set of common rules to apply from the eastern border of Saskatchewan and across Alberta to the coast of British Columbia. During consultations with the trucking industry over the last year, other opportunities for streamlining the regulations were put forward, and the provinces will now work towards achieving these changes by July 2012. “Export goods produced in Western Canada are

being trucked on the highways between our provinces every day,” said Saskatchewan Minister of Highways and Infrastructure Jim Reiter. “Through the New West Partnership, our three provinces will now have consistent trucking regulations to allow for a more seamless flow of goods, with less red tape and lower costs for shippers, which ultimately leads to a more attractive investment climate.” The New West Partnership Trade Agreement is a commitment among the provinces of British Columbia, Alberta and Saskatchewan to eliminate barriers to trade, labour mobility and investment. “Different standards, rules and regulations in each of our respective provinces create costly inefficiencies for shippers and, ultimately, their customers,” said Luke Ouellette, Alberta’s minister of Transportation. “Harmonizing trucking regulations helps move people and goods more efficiently and contributes to continued economic growth and prosperity for our three provinces.” The move toward harmonized policies and regulations is in recognition that economic activity in one province doesn’t stop at the border with the daily export of goods by commercial vehicles moving between provinces. “These changes will result in more flexibility, higher productivity and lower costs for the trucking industry while still keeping our roads safe for all travellers,” said British Columbia Transportation and Infrastructure Minister Blair Lekstrom. “Together, Alberta, Saskatchewan and British Columbia are making it easier to do business in the West.”

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PIPELINE NEWS August 2011

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M.A. Stewart flies flag for valves and fittings Bonnyville, Alta. – M.A. Stewart & Sons Ltd. stood out at the Bonnyville & District Oil and Gas Show for being a Canadian-owned business since 1955 that continues to expand nationally and into the United States. The company is also well known in industry

circles as a distributor of products that range from dependable utility valves to high performance, precision process controls and actuators for every commercial and industrial application. The Bonnyville show June 22-23 was an opportunity for the company to promote their

products to a growing oil and gas market in Western Canada. “We have a whole array of diﬀerent types of valves and ﬁttings for the oil patch – anything from gate valves, globe valves and check valves to ball valves as well as trunnions,” said Rick Palamaruk, western re-

gional manager for Alberta, Saskatchewan and Manitoba. “We also provide automation whether it’s going to be pneumatic or electric. “Our valves are for oil and gas applications as well as for commercial applications for new construction including commercial and institutional.” M.A. Stewart’s strength in the market is based on its partnerships to distribute the top brands from major valve manufacturers such as

Kitz Corporation, Toyo Valve Company Ltd. (Red-White), Bonney Forge, Demco, Mueller Steam Specialties, and WKM. M. A. Stewart was founded in Surrey, B.C., to meet the growing needs of the Canadian pipe, valve and ﬁttings industry and now has four locations across Canada and three locations in the U.S. Palamaruk works at the Edmonton distribution centre and says the company jumped at the chance to rent a booth

in Bonnyville to showcase their products to the oil and gas market in the region. “I think there are some great opportunities in the market and we are deﬁnitely focused on promoting our products out here,” he said. As for the show itself, he said, “I think it’s fantastic.There’s a whole depth and breadth of diﬀerent types of folks that are out here as far as displaying what the needs of this market. It’s a great show.”

Rick Palamaruk displays a steel ball valve with a pneumatic operated actuator distributed by M.A. Stewart & Sons Ltd. The Canadian owned company set up a booth at the Bonnyville oil show to tap into the growing demand for valves and fittings and actuators in the oil and gas market.

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PIPELINE NEWS August 2011

Hazloc exhibits explosion proof heaters Bonnyville, Alta. – Hazloc Heaters warmed up to the challenge of pitching their industrial unit heaters for hazardous and severe duty locations to all comers at the Bonnyville & District Oil and Gas Show. The Calgary-based heater manufacturer turned heads with exhibits of an explosion proof electric heater and a hydronic high performance (HHP) heater for safe oilfield, commercial and industrial applications. “They are for environments where there are hazardous gases or fumes or dust where you need heat for freeze protection or for comfort,” explained Bob Taylor, account manager. “If you have people working in an environment where there could be explosive gases but you have to have heat, these heaters are designed so they won’t spark or cause an explosion.” Hazloc’s explosion-proof electric unit heaters are typically used in the oil and gas industry for safe heating at gas plants, drilling rigs and refineries and designed to meet U.S. and Canadian certification standards. The units are also used for safe heat applications in grain elevators, chemical storage sites and food processing facilities where potentially explo-

sive gases, fumes or dust can be found. All of Hazloc’s heaters including their steam rig heaters are electric driven with built-in safety features that help sell the products. “We have actually gone overboard on ours and have incorporated more than our competitor,” said Taylor. “Once they are installed, they will run for ever. “The electric explosion-proof unit is a standalone unit. You just bring your wires into it, and everything else is done in the control box by us.” The second unit on display was a HHP steam glycol heater for rugged industrial applications suited to the oilﬁeld. “This is used in conjunction with a boiler where you are running steam or glycol as your medium and you would run it through these heaters to provide freeze protection or comfort heating in a building,” said Taylor. Hazloc’s steam rig heaters are designed for steam applications on drilling rigs where boiler neglect can lead to freeze-up conditions. The company also supplies industrial heating products for non-hazardous and severe-duty applications from its busy manufacturing base in Calgary.

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Bob Taylor, account manager for Hazloc Heaters, pitched the safety benefits of his company’s heaters designed for hazardous and severe-duty locations at the Bonnyville & District Oil and Gas Show June 22-23. Taylor said he made valuable contacts at the “reverse trade show” where exhibitors got to pitch their products to a panel of procurement employees from major oil companies in a short “elevator-type” speech.

“We are growing. We are only seven and a half years young, but we are growing all the time,” said Taylor. “We have gone from half a bay to five bays, and are increasing the staff all the time as well.” Taylor says he jumped at the chance to participate in the Bonnyville show June 22-23 to tap into the growing oilfield and industrial market in the Bonnyville area. “The show has been good,” he said on the opening day. “It’s been well worth coming up.” Taylor was one of many exhibitors who took part in a “reverse trade show opportunity” to pitch his company’s wares to a panel of procurement leaders from Devon Energy, Cenovus, Imperial Oil, Osum Oil Sands Corp. and Husky Energy. “The ability to talk to the people one on one was a big plus, but also having people coming by who are now seeing our heaters installed their facilities and coming up and saying ‘I’ve seen them’ and asking what’s different about them. “The regular person on the shop floor doesn’t understand the differences, so being here has given me the opportunity to explain what we have done differently from our competitor.” Hazloc heaters are sold mainly by direct sales with distribution in Saskatchewan by Choice Electrical Supply Ltd. The company is in the process of expanding distribution in Alberta. That’s where Capital Oilfield currently distributes Hazloc heaters for the drilling rig industry from Red Deer to Edmonton only.

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PIPELINE NEWS August 2011

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PIPELINE NEWS August 2011

PIPELINE NEWS Saskatchewan’s Petroleum Monthly

C-Section August 2011

Tank maker opens in Vermilion: Battleford next

All smiles at the ribbon cutting are (l-r) Bruce Marriott, mayor of Vermilion; Debbie Hudson, administration manager, Lee Gottschlich, president of LMG and Lloyd Snelgrove, MLA Vermilion-Lloydminster and minister of Finance and Enterprise, Alberta.

Vermilion, – Balloons, catered food, speeches, handshakes and tours were part of the mix at the grand opening of a new tank fabrication plant by Leading Manufacturing Group Inc. in Vermilion on June 24. It’s a scene that LMG president Lee Gottschlich expects will be repeated as early as next summer in Battleford where his company has purchased land near G.L.M. Industries that he co-founded with his brother Irv. “Yes we are going to build another one in Saskatchewan,” said Gottschlich before a crowd of about 150 well wishers and employees. “The industry is going to move that way. The Vermilion plant will be our main plant. We will build satellite plants from Vermilion.” Tank building is in his blood. He and his older brother, Irv, incorporated G.L.M. Equipment Services Ltd. in Nisku in 1977 and in Battleford in 1980 before that tank fabricating business was renamed G.L.M. Industries by new owners. “I love the industry. I love the people and I love working with young people and it helps keeps you young,” said Gottschlich who says he is a hands-on individual.

Gottschlich also owns a sister company in Nisku called Kevtech Fabrication Inc. that makes equipment such as pre-fabricated ladders, platforms and fire tubes for the Vermilion plant. “We are also looking at – in six months we are going to have another shop in Nisku that is going to be building tanks as well,” he said. Irv currently works at Sandborn Roofs Inc., another LMG Group company in Niksu that manufactures patented full contact internal floating roof systems used in the tanks made at the Vermilion plant. Asked what he thinks of the new plant, Irv said, “It’s great. It should be good for production and it will really be a benefit to the industry. “I hope it draws some new people into the community and it adds to the infrastructure.” The LMG plant in Vermilion is set up to build 100 to 3,000 barrel capacity steel tanks with an established market demand before the first 1,000 barrel tank was produced on April 15. “In the 1,000 barrel market, if we built this six months sooner, we still would have had a full shop right through the year,” said Mike Phillips, LMG’s Calgary sales and contracts manager.

“The demand as we see it right now – we can be at max capacity for the next two years, and that could be all booked by the end of this year. “There is a huge demand for us to commit to certain clients so that they’ve got guarantees for the next oncoming year so they will have the equipment they need. “We can build anything up to 3,000 barrels, but our primary focus is 1,000 barrels. There is still a demand for the larger tanks and they are a little tougher to ship.” LMG uses the services of trucking companies such as B&R Eckels Transport Ltd. in Vermilion to ship FOB (freight on board) to all parts of Western Canada. “Our target base is everywhere, all the way to Fort McMurray, south all the way to the Crowsnest Pass,” said Phillips. “As far as east-west goes, we are shipping into northeastern B.C. and we are also shipping to Winnipeg.” Gottschlich says he chose to build in Vermilion because of its ideal location at the crossroads of Highways 41 and 16 and strong support from Lakeland College and the town. ► Page C2

PIPELINE NEWS August 2011

Very strong demand for 1,000 bbl. tanks ◄ Page C1 “The steel comes from Regina or from Vancouver down Highway 16 so that’s perfect,” he said. “We have the college here. The college has a great welding school pre-employment program and the town is just a friendly town to be in.” In his grand opening speech, Gottschlich commented, “Last September this was a hay field. The town has been so great to work with. “If we were doing this back in a city like Edmonton or Lloydminster or Nisku, we would still be at the approval stage. We wouldn’t even be in the ground yet.” LMG purchased a seven acre site from the town last fall and began construction of the 53,000 sq.-ft. building in November in the industrial park at the east end of town. More than 75 tanks have been produced in the first two months of operations with a workforce of 63 employees that could ramp up to the 100 mark as the plant gears up. “It’s all a function of manpower,”said Gottschlich. “So many hours goes into a tank and you can’t put 10 guys in a tank at a time – you can only have two or three on a tank. That’s why we run a day shift, a night shift and a weekend shift. “Now we are getting consistency. We are getting people trained. A lot of people haven’t built tanks the way we build them. “A lot of people build them vertically. We build ours horizontally all laying down until they get final fitting then we stand them up, so really nobody works off the ground. “We have a lot of welders and a lot of labourers. With our process we use a lot of labour and apprentices at a certain stage. “We are not robotic. It’s hard to do robotics. You

can do it, but we do very little stick welding – it’s all submerged metal arc – sub arc welding. “All the shelves and the floors and the roofs are all put together by a machine and an operator.” Tom Lloyd, the owner of Arrow Welding and Industrial Supplies Ltd. in Edmonton who supplies LMG with welding equipment by Lincoln Electric and Miller, was Irv Gottschlich, left, and his younger brother, Lee, shared the head table spotlight at the grand opening of the Leading Manufacturing Group Inc. on hand to explain sub (LMG) tank fabrication shop in Vermilion on June 24. arc welding is a process where the arc of the wire tial lots for sale in the Brennan subdivision to acis submerged in a flux to dissipate the atmospheric commodate newcomers but what they badly need is gases. more industrial land. He also took time to say, “I think the plant is fan“We are moving in that direction immediately tastic. I think it’s a wonderful thing for this area.” with highway commercial land which is our priorMayor Bruce Marriott was one of the happiest ity right now,” he said. people at the ribbon cutting ceremony, expressing “If things go like this, new business will just his thoughts on the economic spinoffs to come from come themselves, and I think that will be a huge the LMG plant. step.” “It’s a step forward in the direction the Town of Gottschlich says his business philosophy is to Vermilion wants to have,” said Marriott. purchase everything they can locally, including the “With Lee Gottschlich here, Leading Manufac- use of local contractors hired to build the plant. turing is one of the predominant factors that is going “It think you’ve already seen a real positive efto kick it in for us. fect from the community in regards to not only the “It’s a huge step for the community. They have employment opportunities but also from a purchashired 63 employees, and we can see it by the enrol- ing standpoint,” he said. ments in the schools, and the pleasantness of busi“I think it’s huge and that’s something that ness owners saying that it’s a great deal.” we’ll see continually because we are always going to Marriott says the town has 35 serviced residen- need.”

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PIPELINE NEWS August 2011

Hydrocyclone fits BAR’s facility profile By Geoff Lee Bonnyville – The Bonnyville & District Oil and Gas Show was the perfect opportunity to talk with Neal Noble about the facility engineering projects he oversees at BAR Engineering in Lloydminster as a principal owner/engineer. Noble was also at the show as president of Center Force Technologies. Ltd., a subsidiary of BAR formed to market the liquid/liquid separation technology of the CANMET hydrocyclone technology to heavy oil clients. The hydrocyclone developed by Natural Resources Canada fits in well with BAR’s facility work with its ability to remove residual oil from produced water and convert slop oil into a marketable product. BAR designs hydrocyclone skids for installation at commercial heavy oil treatment operations and acquired a licence to market the technology. “It’s not booming but we just delivered our first unit up to a client north of Bonnyville and we are looking at another unit right away here in Lloydminster,”

said Noble. “We just put together a test skid to do some testing in the field. This technology – you have to take it to the field and prove to them that it works. “We have kind of a single tube mini test skid that we take and hook up and prove the technology works. We have a client in town, and they are just picking a site to let us install it.” Noble says the technology has a lot of potential, but BAR’s business specialty is facility engineering and design for small to medium size projects. “In the Lloyd area where we have a lot of focus, the thermal projects – the pads – the SAGD pads and the cyclic steam pads are in big demand as well as water transfer projects – ways of reducing operating costs,” said Noble. “There are a number of projects like that are in demand as well – water transfer and fuel gas and flowlining projects. “SAGD is obviously a popular technology for the heavy oil sector. We’ve done a number of SAGD pads and a number of upgrades within

SAGD facilities. “SAGD is certainly a popular recovery method these days.” BAR has completed facilities projects ranging from light and heavy oil batteries, thermal well sites, pipelines and gathering systems to produced water disposal systems and natural gas compression systems. “When a client gives us a work request to start a project, we sit down and put an engineering cost estimate together and a project cost estimate together,” explained Noble. “Once we get that approved, then we proceed with the actual engineering design. “We create an engineering design, issue it for construction, and we support the construction on these facilities helping the guys in the ﬁeld.” Noble says the demand for facilities engineering is increasing with the strong price for oil. “Everybody’s looking to increase their production volumes, and with increased production volumes comes more facilities,” he said. ► Page C4

Neal Noble one of the principal owners and engineers of BAR Engineering in Lloydminster answered questions about facilities engineering at the company’s booth at the Bonnyille & District Oil and Gas Show June 22-23. Noble was also there as president of Center Force Technologies Ltd. a subsidiary to market the CANMET hydrocyclone technology to heavy oil companies to treat produced water.

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PIPELINE NEWS August 2011

Focus on small to medium projects ◄ Page C3 BAR’s facility work is focused in the Lloydminster area, but the company also does facility engineering for a client in the Seal Lake area near Peace River where heavy oil has a similar viscosity. “Basically, we are working for a client up there. We built the original battery and we are adding satellites and flowline systems into that battery,” said Noble. “It’s a very similar style project to what we are doing here in Lloyd.” BAR is full service engineering company with buildings, municipal, utilities, rigs and cranes, and oil and gas divisions all backed by the latest design and drafting hardware and software. About 20-22 engineers and draftsmen work in the busy oil and gas division with a total staff of about 65 employees at BAR’s office in the Glenn E. Neilson Industrial Park. “Our oil and gas side is the busiest,” said Noble. “Our municipal side is extremely busy as well, but our oil and gas has been our bread and butter over the years and continues to be that way. “We are always looking for opportunities to grow. We will continue to grow and diversify and look for new clients and new areas. We are heavily focused on growth and want to continue growing.” BAR will celebrate its 30th anniversary this September with a party that is in the planning stages. “The first 10 years, we did a lot of consulting and field supervision and a bit of design, “said Noble. “The last 20 years, we’ve been focusing on the facility design business.” BAR’s oil and gas division also offers a wide range of mechanical and process services, plus a menu of electrical and instrumentation design services and civil engineering and structural engineering expertise for projects such as pipe racks and building skids and tank bases made from structural steel. “Mainly our focus has been on the small to medium projects,” said Noble. “We can’t compete with the large EPC (engineering procurement, construction) firms on these large projects. We just don’t have the manpower to do that. “We feel we are very competitive and we have a niche in the small to medium projects. “We do a lot of pad work – header and piping design for the SAGD pads. That’s a very typical one. “We also do small MOC management of change – such as changing a valve–

BAR Engineering does a lot of facility engineering for thermal operations like this one in northern Alberta. Photo submitted

very small work as well. We have quite a range of projects. “We do small upgrades like making changes to existing headers and everything from adding a valve to a full blown battery. We get quite involved with a wide range of size of projects.” Noble says no matter what project he is working on he always finds it challenging. “If you are doing a good engineering design each facility is a little different. The challenge is trying to do it for as cheaply as possible but still be operationally effective,” he said.

PIPELINE NEWS August 2011

Ridgeline to recycle contaminated soil By Geoff Lee Lloydminster – Ridgeline Energy Services Inc. expects to complete its soil remediation facility in Lloydminster in August. The facility will use a process to transform contaminated oilfield soil into safe land fill cover for the city’s municipal landfill site. The new facility being built by the company’s soil remediation subsidiary Ridgeline Greenfill Inc., is the first of its kind for Saskatchewan following the construction and operation of a similar plant at Drumheller, Alberta. A second Greenfill soil treatment facility is slated for construction this fall in southwest Saskatchewan. The new Greenfill soil treatment facility will be used to transform contaminated soil into safe landfill cover using Ridgeline’s proprietary technology that utilizes bacteria and microorganisms to break down hydrocarbons into CO2 and water. Once treated, these soils meet unconditional land usage criteria. Ridgeline partners with municipalities and pays them a tipping fee for each load of non-hazardous oilfield waste in a revenue sharing arrangement. “The residents of Lloydminster fully support initiatives that observe environmental best practices,” said Jeff Mulligan, mayor of Lloydminster, following the issuing of an amended permit for the facility from the Saskatchewan Ministry of Environment. “The recycle and reuse principles employed by Ridgeline will dovetail nicely with the city’s environmental philosophy while providing a revenue stream and cover material for our operations.”

Ridgeline’s technology is touted as being good for the environment since it treats the soil for reuse as opposed to storing the contamination indefinitely in oilfield landfill sites. “The municipalities we serve will realize a new source of revenue and the treated soil will meet an ongoing demand for landfill cover and capping or decommissioning material, said Tony Ker, chief executive officer of Ridgeline. “Producers benefit from lower transportation costs and reduced liability. “Conversely, conventional methods involve storing contaminated soils at approved Class 2 landfills which involve expensive trucking and disposal costs, and retention of liability by the producer of the wastes.” The approval for the Lloydminster plant from the Ministry of Environment opens the door for additional soil treatment facilities in the province. Ridgeline has agreements with four other municipalities in Alberta to build and construct GreenFill facilities within the footprint of a municipal landfill. Ridgeline Energy Services Inc. is a Calgarybased environmental technology and consulting company focused on waste management in the oil and gas industry. Its other subsidiaries are Ridgeline Water Inc. and Ridgeline Environment Inc. At Ridgeline Water, the company is developing proprietary technology capable of efficiently treating large volumes of contaminated water generated by oil and gas producers. Ridgeline is currently working with energy companies on the application of proprietary technology for effective treatment of water for hydraulic

fracturing, oil sands process water (SAGD and tailings ponds) and to recycle the water used in these oil and gas industry applications.

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PIPELINE NEWS August 2011

Thumbs up from Liepert for Bonnyville show By Geoff Lee Bonnyville, Alta.– An endorsement for the inaugural Bonnyville & District Oil and Gas Show from Alberta’s Minister of Energy, Ron Liepert, is motivating organizers from the local Chamber of Commerce to make the next show in 2013 an even bigger success. Liepert generated a loud round of applause at the show banquet for complimenting organizers for running one of the best organized oil and gas shows that he’s been to in Alberta. “It was really gratifying to hear that the energy minister thought that we ran a first class show,” said Robyn Ducharme, show chair and vice-president of the Bonnyville & District Chamber of Commerce. “We are competing with Calgary and Fort McMurray. I think we really proved that we have a high-calibre show. We’ve got high-calibre people and high-calibre facilities to host an event like this.” The organizing committee is now charged with the task of analyzing feedback surveys from exhibitors and attendees and making improvements to gear up for the next show to be held June 19-20 in 2013. “To make it better we will expand and tweak,” said Tanya Oliver, executive director of the Chamber on the final day of the show held June 22-23 at the Centennial Centre. “We are very happy and pleased to see it all come together. We’ve been getting great feedback and some good ideas for 2013 – but a really great first impression from everyone. “We will continue to focus on getting the right people to the show. We had to prove ourselves to a lot of people and we’ve done that this year. We were completely sold out. “We will be giving our supporting companies the first chance to come back.” Organizers estimated total attendance at 1,980 including booth exhibitors as expected with $12,200 raised for Stars Air Rescue (STARS) from paid gate attendance and proceeds from the non-profit event. ► Page C7

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Successful revers tradeshow ◄ Page C6 tatives from 4 Wing Cold Lake, ImOne of the highlights was a perial Oil, Alberta Treasury Board, wildly successful reverse tradeshow Petrobank, STARS and Centre Force in the Oilmen’s Room. Technologies Ltd. Representatives from oil proThe show helped to put ducing companies that included Bonnyville on the map as a major oil Husky Energy, Devon Energy, Imand gas service centre and supplier perial Oil, Osum Oil Sands Corp. to oilsand developments taking place and Cenovus were on hand to welthroughout the region. come and listen to exhibitors pitch “There is so much opportunity their products and services in short for growth and expansion here,” said face to face meetings. Oliver. “This is such a good forum “We have had nothing but praise for businesses. for the Oilmen’s Room reverse trade“It’s going to spur much more show,” said Ducharme. “ economic growth in the coming “We are absolutely planning on months and the years to come. This expanding the Oilmen’s Room. We will be a trickle-down effect. will be talking with the oil compa- Osum Oil Sands Corp. sponsored an opening night barbecue at Moose Lake “It just proves the support that in Bonnyville. Osum employees were on hand to welcome visitors who were nies that took part and seeing what our community has for one another. bused to the site. they have to say about the room. It puts Bonnyville on the map. Those surveys are being completed “We are not just a small town. right now. We are in the middle of the oilsands and we have such a huge concentration of “Our exhibitors absolutely hands down said that was a great idea. We have not only producing companies, but service companies. five companies in there this year. We are hoping we can double that number in “The majority of companies in our show are in the area, but there is a large 2013 and add another five producers on board. chunk of companies that are looking to see what we have to offer. “The major focus is the exhibitor. We are treating them well. We are giving “Not only is it a great place for your business to thrive, it’s a wonderful place them breakfast, we are giving them lunch. They are getting treated well, but their to raise a family. There is so much opportunity here.” primary focus for coming here is to make some business networking contacts.” Copy that enthusiasm from Councillor Jim Cheverie, a member of the The opening night barbecue at Moose Lake sponsored by Osum, and the Chamber’s board of directors and a pro-growth advocate for the region. show banquet also worked well to generate opportunities for exhibitors to intro“This is one of the best things the town has ever done,” he said. duce themselves to representatives from other oil and gas companies in relaxed “This oil show has been going on in Lloydminster and Grande Prairie and a situations. few other places for the last couple of decades. “What we heard about the barbecue and the banquet was that it was just “We see here that Bonnyville and this region is a major service centre for the another great opportunity to network and have fun at the same time,” said Duc- southern oilpatch and we are extremely pleased to have this event this year. harme. “Bonnyville is on the oil map. This is going to put a star next to Bonnyville The show also featured two days of educational presentations from represen- on the oil map.”

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Osum preps for pending Taiga approval Bonnyville, Alta. – Osum Oil Sands Corp. would like to start producing oil from its thermal Taiga project near Cold Lake in 2014, but the timeframe depends on when Alberta’s Energy Conservation Resources Board grants regulatory approval. Osum’s application submitted in 2009 calls for a commercial 35,000 bpd steam assisted gravity drainage (SAGD) bitumen project developed in phases with a small environmental footprint. Osum is also considering a future amendment to increase daily production volumes to 45,000 barrels of bitumen. “If our approval comes through as we expect, it will deﬁnitely be 2014,” said Stan Bergen, thermal operations superintendent, at the Bonnyville & District Oil and Gas Show on June 22. “We are still hopeful that we will have approval this year. It’s in front of the board right now. If it does go to a hearing, the way the hearing schedule looks it might not be until March or April of next year. We will have to see what

happens.” ECRB hearings are held when there is an objection from a person who may be directly and adversely affected by a proposed project. Bergen says a delay in approval could result from the ECRB being flooded with project applications as the economy and strong oil prices continue to improve. “There are about 200 projects on the books for the next five years in Alberta,” said Bergen. “I think it’s very difficult for the board to deal with all those applications. “There are also the usual concerns that local people have that have to be addressed.” Any delay in regulatory approval will not shorten the priority list of work that Bergen has on his plate in the lead-up to thermal production at Taiga. “Right now, we are working on the detailed engineering with Jacobs Engineering,” he said. “We also have PSN/Tartan (Production Services Network) working on our gathering lines and our pads to design that part of the project. “We are also contacting different drilling companies and looking at signing some agreements with different drilling companies to make sure we have rigs lined up and ready to go as soon as soon as we do get approval. “It’s a lot of work to do, and we need to add a lot of people, and do a lot of work to make sure we have all the engineering and everything ready so as soon as we get approval we can hit the ground running.” Osum has also filed a commercial application to expand its ongoing joint venture Saleski pilot in the Grosmont carbonates to a 12,000 bpd commercial project. Osum is planning an extensive delineation program on its 100 per cent owned and operated Saleski holdings for this coming winter. This program will include core well drilling and 3D seismic with a goal of expanding the resource base and positioning Osum for additional near-term commercial development. At Taiga, Bergen says the initial production phase will be SAGD with the potential to end up with cyclic steam stimulation in 30 years time or use another technology yet to be invented. “With technology changes, if there is something better that comes out and we get SAGD to work in these thinner pay zones at the outer lying area of our holdings, then we will be using whatever new technology is available at that time,” Bergen said. As for his role at Taiga, Bergen says he will be in charge of the entire field operation and coordinate all of the things that are going on in the field. ► Page C9 Osum Oil Sands Corp. caught the attention of visitors to the Bonnyville & District Oil and Gas Show June 22-23 with a catchy dome like booth at the foyer of the Centennial Centre.

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Lining up the services

Osum’s thermal operations superintendent, Stan Bergen, right, fields questions at the company’s visitor booth at the Bonnyville & District Oil and Gas show.

◄ Page C8 “I will be in charge of the plant operation with the drilling team to make sure the drilling schedule meets our operations schedule and planning schedule and coordinate all those things. “Right now, what we are working on is our staffing planning, hiring plans and writing operating procedures and looking at training procedures and manuals, and what kind of companies can supply those services for us.” Bergen says Osum currently has a staff of about 65 employees, 10 to 15 consultants at a time and a few contractors hired with more hiring to come based on a number of inquiries the company received at the oil show. Osum sponsored food, beverages and a barbecue at the show and greeted visitors under a unique dome booth in the foyer of the Centennial Centre. “We are trying to get our name out in the community,” said Bergen about his company’s exposure at the show. “We want people to recognize us and understand that we are going to work with the community to help develop local entrepreneurs and local businesses and help them be successful so they can help us be successful. “It’s nice to see that there is a really strong robust group of entrepreneurs here that can support us.” Osum also took advantage of its oil show opportunity to promote its green development plans for Taiga and a decision to use evaporator technology to reduce water usage. “It will allow us to reuse water,” said Bergen. “We will not be using any fresh water on the project. We are going to be using brackish water and using that for feed water for our boilers.” Other environmental features will include a waste disposal well to reduce truck traffic and a cogeneration plant to increase energy efficiency and reduce the carbon footprint. “Our whole plan in general has been designed to limit the exposure to the environment and people as much as possible. We are doing things that are new technologies,” said Bergen. “It costs more money to invest in some of these newer technologies, but I think it’s the right way to go for the industry. It allows us to have that smaller footprint.”

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PIPELINE NEWS August 2011

Osum’s “Blue” PR campaign a hit Bonnyville, Alta. – Osum Oil Sands Corp. scored a public relations coup at the Bonnyville & District Oil and Gas Show by having employees wear catchy blue lettered statements on white T-shirts that got people talking. The corporate colour shirts were a hit at the opening night barbecue sponsored by Osum and throughout the show June 2223 at the company’s unique Blue Lounge in the foyer of the Centennial Centre. The PR campaign was the brainchild of Justin Robinson, Osum’s manager of communication who was asked about the goal of the capital Blue lettering wearing a shirt that asked, “Do you ever wonder why the sky is Blue?” “We just wanted to create an easy way to spark conversations with people – something that described a bit of the personality of the company in a mysterious, fun way and just make it fun for people to approach us, and have something to talk about,” he said. “It’s a way to grab attention and be a conversation starter. “It’s really positive. People have saying that’s really diﬀerent and interesting. We’ve had lots of compliments on the Blue Lounge. “We wanted it to feel cozy on the inside and a place to come and sit down and relax.” Some other notably T-shirt slogans sported by employees at the Blue Lounge were “I’m Blue like a crayon,” “My Blue

suede shoes come CSA approved,” and “Just call me Mr. Bluesky.” The Do you ever wonder why the sky is Blue? T-shirt was also worn by Stan Bergen, thermal operations superintendent, who had an answer ready just in case someone asked and someone did. “I believe it’s the water vapour that reflects blue light. That’s why the sky is blue,” he said, eager to talk about the intent of the PR program at the Blue Lounge. “Our communication guy, Justin, is definitely very creative. He comes up with a lot of things to get people to notice us and pay attention to us,” said Bergen. “We do want to be different. We do want to be more community orientated.” Osum is a Calgary-based junior insitu oilsands explorer that is poised to get regulatory approval this year for its planned 35,000 barrel a day commercial Taiga thermal project near Cold Lake with a small environmental footprint., The company has an ongoing joint venture thermal pilot in the Grosmont carbonate formation at Saleski in northern Alberta. “We want to be more environmentally friendly – more conscious of what our footprint is going to be to make sure we limit our impact on the local community and on the environment,” added Bergen. “We want it to be more of a team type Justin Robinson, manager of communications at Osum Oil Sands Corp. is the brainchild of a creative public relations program that of atmosphere. We want to attract workers had people talking about the company’s thermal oilsands proj- as well and show people that we are out here ects at the Bonnyville oil and gas show June 22-23. and that we are going to need more staff.”

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Plainsman raises the downhole torque bar Lloydminster – Plainsman Manufacturing Inc. based in Edmonton has developed a new generation of downhole accessories that can withstand the high torque loads of PC pump applications in horizontal, slant and deviated heavy oil wells. The new downhole products, designed and manufactured by Plainsman, are the PowerTorq tubing drain and the ToughTorq shear coupling, both engineered to be more durable and prevent downtime for producers. The new generation of PowerTorq tubing drain has a safety feature that is literally gripping the market according to Dean Segberg, sales representative for Lloydminster and southern Saskatchewan. “Rig crews can now use power tongs on surface to run the tubing drain into the string,” he said. “That way they are not having to use pipe wrenches and snipes, which obviously can be very dangerous if not done correctly.” The new, more compact design allows for rapid installation with power tongs and has an improved thread design that allows multiple rebuilds. Having a recessed bite area for the power tongs to grip also prevents a sleeve failing due to any burring or scarring from tong pressure. “We have talked to a lot of service rig leaders in heavy oil, and they all agree that they don’t see an issue with that at all,” said Segberg. “In all their years, they have never seen a sleeve fail. Especially now with having a recessed bite area, we have zero doubts that sleeve won’t blow past a burr.” ► Page C12 Dean Segberg with Plainsman Manufacturing in Lloydminster, holds the company’s newest generation ToughTorq shear coupling engineered specifically for PC pump applications.

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PIPELINE NEWS August 2011

Redesigned shear coupling ◄ Page C11 The PowerTorq tubing drain allows service rig crews to reliably drain production tubing prior to pulling out of the hole which prevents pulling wet tubing and oil spills that can result. “It’s mainly for heavy oil, but we are seeing some applications in southern Saskatchewan,” said Segberg about the product. “When you get into the Moosomin area, they do have a little bit more sand, so we do have companies that are interested in this. “Because that southeast Saskatchewan area is really booming now, guys are taking things more seriously like environmental and safety issues. “Rather than have a farmer knocking on the door of an oﬃce complaining about an oil spill –something as simple as running a tubing drain so crews aren’t pulling wet tubing strings can help. “If you keep the farmers happy, you will be oﬀ to the races.”

One of the new selling features of Plainsman’s ToughTorq shear coupling is its redesign speciﬁcally to withstand heavy torque loads in PC pump applications. Shear couplings are used to reliably separate the rod string from the bottom hole assembly when the pump seizes or the rod gets stuck. This prevents the diﬃcult and environmentally messy process of pulling tubing and rods out simultaneously. “If your pump is stuck or your rod string is stuck, this is the piece you would shear to ensure you are not pulling everything out at one time – you are pulling out only what you need to pull out,” said Segberg. “Our old shear coupling worked well, but it wasn’t an optimal shear coupling for PC applications. “We designed this to get a longer run life, so guys aren’t having to go back to a well in three months time and workover a well just to change a shear coupling.

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“It gives them more time producing the well and less downtime which is the optimization we want for all of our customers.” The new ToughTorq shear coupling has a number of features that increase resistance to fatigue failures in horizontal and deviated wells to keep oil production going. “The old style coupling was designed primarily for up and down action,” said Segberg. “This new one, because it is rotating, we have staggered the pins, so that means the torque is also going to be distributed properly.” The ToughTorq shear coupling is ideal for reciprocating and rotating rod applications and for continuous and conventional sucker rods. “Some of the features are improved internal torque transmission,” said Segberg. “We redesigned the key as a hex design instead of a square design, so now there are six shoulders to handle that torque load and transfer the torque more efficiently than the old four shoulder design. “It has a shorter overall length. That means it is going to be lighter down in the rod string. It’s more flexible to handle the rotational torque issues.” Plainsman has sold hundreds of thousands of shear couplings and drain tubes over the years, and Segberg says sales of the new generation products are also strong, especially for the shear coupling. “We have had a really good reaction to it,” he said. “Plainsman has been an industry leader for over 45 years in shear coupling design and manufacturing and tubing drain manufacturing design. “The fact that we have a new product and we have our name behind it – people take us seriously. We are not introducing a new technology. We are introducing an improvement on an older, proven design. “People are willing to try it based on our name alone because they know they can trust us.” Plainsman is a Canadian-owned company that has been manufacturing and distributing a variety of products for oilfield production, pipeline maintenance, and construction gas and water distribution and other industrial applications since 1966. One of the keys to Plainsman’s successful new product launch is their sales model to distribute products like the PowerTorq tubing drain to PC pump shops in Western Canada who sell it along with a PC pump. “We support the local pump shops. We don’t sell to end users direct,” said Segberg. “We go through the pump shops, so that way if a company calls on Saturday night wanting a pump, our drain will go out with it because they stock the drains. “When the drain comes back, that local pump shop gets the revenue from rebuilding the tubing drain. We support the people who support the oil companies.”

PIPELINE NEWS August 2011

C13

Sask floods swamp oilfield mat supplier Bonnyville, Alta. – Heavy June rainfall in southeast Saskatchewan has generated a flood of orders for oilfield access mats made with Aboriginal labour in Lac la Biche Alberta by the Canadian Access Mat Corporation. “The demand has kind of changed in the last two weeks from zero to 180,” said CAMCO business development representative Naomi Migas, who staffed a product booth at Bonnyville and District Oil and Gas Show June 22-23. Migas said the phone is also ringing off the hook at her Calgary head office from oil companies in Estevan and Weyburn looking for available rentals of rig matting. “They have been requesting access matting and rig matting because everything is just so wet. They can’t get into their sites,” she said. “They can’t have anything set up – the drill pads – they can’t

even do that. What is happening down there right now is just wet, wet, wet.” The City of Weyburn declared a state of emergency when the city was deluged by 100 millimeters of rain in a two day period June 16-17. “For the safety of the men and the equipment they just can’t move the rigs right now so they need the matting to go in,” said Migas. “We are possibly looking at expanding into Weyburn but we will wait and see what happens ﬁrst.” Matting is also in demand by oil companies to protect native grasslands in the Lethbridge area and in northern Alberta to provide a safe road bed for heavy trucks over wet or unstable ground. CAMCO access mats are made from Douglas ﬁr in 8 by 14 ft sizes that can be built on location with their portable rotating jig

Naomi Migas, a corporate business development representative from Canadian Access Mat Corporation based in Calgary, said heavy rains in southeast Saskatchewan and parts of Alberta have spiked demands for rig matting rentals and sales of access matting that is made by Aboriginal labour in Lac La Biche. Migas staffed a booth at the Bonnyville Oil Show June 22-23.

technology. “If a company needs to have any local labour content within their project, we can move it to them,” said Migas. CAMCO’s business model is to focus on maximizing employment and business opportunities for First Nations and Mëtis

workers and local communities to build access mats with quality materials that area competitively priced. To build a one kilometre, 16-ft. wide roadway requires an order for 470 mats placed side by side. A one km two-lane road requires a purchase order of 940

early summer. “We have even got calls f rom the competition looking for mats because there is just nothing out there,” said Migas. “Anybody needing them for the winter drilling season – they better start ordering it now because there is just no inventory out there right now.” Delivery arrangements are up the customer but Migas suggests customers contact MAC Trucking Ltd. in Lac La Biche.

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PIPELINE NEWS August 2011

Kelro thrives in new manufacturing base

Millwright Dennis Greening does a laser alignment on a motor and pump assembly. Kelro specializes in custom pump packages for facilities.

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Lloydminster â&#x20AC;&#x201C; It takes an experienced hand at Kelro Pump & Mechanical Ltd. to orient visitors to the full scope of valued added surface pump products and services oďŹ&#x20AC;ered inside their new 15,000 sq. ft. shop. The job of a guided tour fell initially to president Gordon Rohs, then to his son, Brent Rohs, who handles technical inside sales at the new oďŹ&#x192;ce/shop complex located at Kamâ&#x20AC;&#x2122;s Industrial Park just west of Lloydminster on Highway 16. The move to a larger location last November allows the company to meet the growing demand for sales and service of surface pumps, air and gas compressor systems and process equipment for oilďŹ eld facilities and batteries. â&#x20AC;&#x153;It has changed our operation substantially,â&#x20AC;? Gordon said. â&#x20AC;&#x153;We are more efďŹ cient. At our other shop, we had to move a lot of equipment to get at what we needed to work on. â&#x20AC;&#x153;We increased our size by about two and half times which has really increased our eďŹ&#x192;ciency and our ability to work.â&#x20AC;? The new shop includes a parts department, product assembly space, a machine shop, a fabrication shop and an industrial engine reconditioning facility with a four-and-a-half acre yard for storage of used pumps and equipment. Kelro also has a smaller shop in Provost. There is strong sales and service growth at both locations being driven by an uptick in oilďŹ eld activity and a strong demand for the companyâ&#x20AC;&#x2122;s value- added service and pump equipment packages. â&#x20AC;&#x153;We are busy. We are hiring people. We are ďŹ&#x201A;at-out busy here and at our Provost branch,â&#x20AC;? said Gordon. â&#x20AC;&#x153;Surface pumps are in demand and getting more in demand every day. As â&#x20AC;&#x2DC;patch productionâ&#x20AC;&#x2122; increases, everything ramps up at the same speed. â&#x20AC;&#x153;I donâ&#x20AC;&#x2122;t think anyone is into the packaging end as intensely as we are.â&#x20AC;? â&#x20AC;&#x153;We are surface pumps specialists. We do all kinds of ďŹ&#x201A;uid transfer pumps and pumps for water injection. â&#x20AC;&#x153;We package new pumps. We will put a pump and a motor onto a skid and package it for an application at a new or an existing facility. â&#x20AC;&#x153;One of our specialties is value-added packages. We can custom design and build packages to suit any need for almost any application.â&#x20AC;? Kelro can supply surface pumps in all power ranges, ďŹ&#x201A;ow ranges and pressure ranges for all types of applications. â&#x2013;ş Page C15

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Brandon Sergeant, a journeyman mechanic, conducts a laser alignment on a centrifugal pump package mounted on a skid.

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Crews tie up loose ends on a Moyno pump package ready for shipping. Photo submitted

C15

Machinist George Gravet mills a boring bar for oilfield engine blocks at Kelro’s manual machine shop.

Pumps from a wide range of manufacturers ◄ Page C14 Kelro supplies pumps from a wide range of manufacturers and assembles custom packages inhouse. A typical pump package would include either an electric motor, hydraulic driver or a gas-driven engine coupled to a pump possibly with some piping and controls. The pump assembly process includes a laser alignment of the pump and motor to lengthen the life of the mechanical seals, bearings and coupler and prevents vibrations. “Every pump that goes out of here on a skid

has a coupler system on it and gets a laser alignment,” said Gordon, who stressed doing everything in-house is the key to quality control and meeting the needs of customers. Gordon just happened to have a ﬁnished turnkey shack housing a pump and skid package that was custom-made in-house and ready for shipment to prove his point. “That’s what the customer had requested. It’s a complete package with all the instrumentation and all the piping and everything needed to drop it on location and make it work,” he said. “One of the pumps is a recycle pump for recy-

cling oil and the other is a skim pump to skim oil oﬀ the water tank. “It will hook up to his oil tanks and his water tanks and connect back to a treater or something like that.” Kelro has a fully tooled manual machine shop where it makes its own parts and refurbishes pump parts that are worn out. “We will re-sleeve, re-polish and rebuild shafts or whatever is necessary. We can redo bushings for all of our pump rebuilds that require that service,” said Gordon. ► Page C16

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PIPELINE NEWS August 2011

Fully tooled machine shop ◄ Page C15 “We also have a fully tooled engine machine shop where we do all of our boring, honing and rebuilding engines – redoing heads, valves, guides – everything you need to do to rebuild an oilfield engine.” Brent Rohs says business is picking up on all fronts in the new building with more growth to come. “I think we had three ads in the paper last month that were all new positions that we’ve never had here before,” he said. “That just goes to show how much this company’s growing and how busy we are here. We have grown from 20 employees to 29 in a couple of years. “We are way more organized here than we were in our old facility. It just makes everything run more efficiently. We can put a better product out. “We are doing the same thing we did out of our old shop, but we are way more efficient and have way more room. “We package a lot of equipment here, whether it is just a pump and motor on a base or a complete turnkey package. There’s lot of stuff going out of here every week,” said Brent. “Things are getting busy and there’s no end in sight. As long as the

patch stays busy we will be busy.” Kelro has a total of five service trucks in Lloydminster and another five in Provost to service what they sell to oilfield customers throughout Western Canada. “We service what we sell. That’s kind of our motto,” said Bent. “Anything that goes out of here – we keep parts in stock. We’ve got service trucks on the road every day. All of our guys are trained to service everything. “We pride ourselves on the service we provide and that goes a long way, I guess.” Kelro is an OEM (original equipment manufacturer) packager of centrifugal pumps, gear pumps, plunger pumps and progressive cavity pumps. The company is continually expanding its OEM distribution agreements, product lines and service and warranty capabilities. Kelro is authorized to sell and service CompAir air compressor products and assembles all kinds of packages “with dryer systems and filters – the whole nine yards” as Brent put it. “We do all the service work and dewpoint testing on all the dryer and compressor systems.” Brent also has a solid

background rebuilding pumps and equipment in the shop that enables him to establish a sales and service rapport with customers. “I understand how pumps work and I can relate to what the client is trying to do with it in the ﬁeld,” he said. “That’s a bonus I guess knowing how the equipment works in the ﬁeld,” Brent concluded.

Kelro can put together a variety of pump packages including solids handling centrifugal pump packages. Photo submitted

www.kelro.com

SEW EURODRIVE

Welder Wayne Kohlman cuts material on a band saw for a custom pump skid at Kelro’s fabrication shop.

PIPELINE NEWS August 2011

C17

Resources Guide Canada's leading distributor of industrial, Ă eet and safety products.

Proud to provide selection, quality and excellence to our customers.

2P[VPah # " !%# '! % 516 Nesbitt Drive, Estevan â&#x20AC;˘ 634-2631 (Behind Power Dodge)

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lancew@aspentrailer.com www.aspentrailer.com

RICK CORMIER Manager

Box 609 Carlyle, SK S0C 0R0 www.truetorq.ca

Bus: (306) 634-8084 Cell: (306) 577-8833 Fax: (306) 453-6075 ttorq@hotmail.com

Lance Wotherspoon Regional Sales Manager

We Look Forward to Seeing Our Customers at the Oil Show

Aspen Custom Trailers 6017-84th Street S.E. Calgary, AB T2C 4S1

[T] 403 236 2244 [F] 403 236 8829 [C] 403 813 6319

4â&#x20AC;? HWDP - W/4â&#x20AC;? Full Hole Connections Specialized Reamers for 6 1/8 thru 8 3/4 Horizontal Wells 149 mm to 218 mm Reamers Brad Lamontagne Tel: (306) 739-2263 â&#x20AC;˘ Cell: (306) 577-9818 Email: smrltd@sasktel.net â&#x20AC;˘ www.stoneymountainrentals.com

LECLAIR TRANSPORT General OilďŹ eld Hauling

Lyle Leclair Cell: 306-421-7060

[Toll Free] 877 236 2244

TERRY DODDS (24 hrs.) (306) 634-7599 Cell. (306) 421-0316

M.E.T. OILFIELD CONST. LTD. Box 208

Estevan, SK

S4A 2A3

461-8471 â&#x20AC;˘ 461-8472 â&#x20AC;˘ 461-8473 Call: Clinton Gibbons

â&#x20AC;&#x153;All Your Construction and Maintenance Needsâ&#x20AC;? SPECIALIZING IN: ENGINES, PUMP UNITS, UNIT INSPECTIONS, PIPE FITTING, TREATERS AND PRESSURE TICKET WELDING Box 1605, Estevan, Sk. S4A 2L7 Cell. (306) 421-3174, (306) 421-6410, (306) 421-2059 Fax: (306) 634-1273

Quality

Lloyd Lavigne â&#x20AC;˘ Kirk Clarkson Owners/Managers 6506 - 50th Avenue Lloydminster, AB

Phone: (780) 875-6880

5315 - 37th Street Provost, AB T0B 3S0

Phone: (780) 753-6449

Fax: (780) 875-7076

24 Hour Service Specializing in Industrial & Oilfield Motors a l t u s g e o m a t i c s . c o m

JUSTIN WAPPEL - Division Manager Specializing in well site and pipeline surveys Yorkton 306.783.4100

Swift Current 306.773.7733

Edmonton 800.465.6233

Weyburn 306.842.6060

Lloydminster 780.875.6130

Calgary 866.234.7599

Regina 800.667.3546

Medicine Hat 403.528.4215

Grande Prairie 780.532.6793

401 Hwy. #4 S. Biggar, Saskatchewan PO Box 879 S0K 0M0 Ph (306) 948-5262 Fax (306) 948-5263 Cell (306) 441-4402 Toll Free 1-800-746-6646 Email: jwappel@envirotank.com www.envirotank.com

LAMICOIDS & metal cable tags EfĂ&#x20AC;cient Service

Call Linda for more information

Estevan Trophy & Engraving Phone: 634-6005 â&#x20AC;˘ Fax: 634-6405 Email: estevantrophy@sasktel.net

Specific Targeting Contact your local pipeline sale rep. to get

28,000 Circulation on your career ad!

C18

PIPELINE NEWS August 2011

Prince Philip reigns in energy art Regina – The school year ended for Prince Philip School in Saskatoon the same way it did last year on a winning note. A work of art by Grade 8 student Ariana Faul was chosen as the ﬁrst place Saskatchewan winner in the 2011 Energy and the Environment Art Contest on June 27. In 2010, both ﬁrst-and second-place winners from Saskatchewan attended Grade 8 at Prince Philip. The national contest is the brainchild of Natural Resources Canada and is co-ordinated in Saskatchewan by the Ministry of Energy and Resources. This year, 534 entries were received from Saskatchewan schools. Ariana Faul’s award-winning artwork titled

“Drowning in Pollution” will be featured in an upcoming Energy and the Environment Poster being published by Natural Resources Canada and distributed to teachers across Canada. Ariana’s work will also be featured in the Youth Art Gallery on the Climate Change Saskatchewan website located at www.climatechangesask.ca and in the Kid’s Club Art Gallery on the Natural Resources Canada website at www.oee.nrcan.gc.ca/ calendarclub. Zachary Rohel, a Grade 8 student from Annaheim School in Annaheim, Sask., was selected as second-place winner. His artwork, titled “Green Light” is also available for viewing on the Climate Change Saskatchewan website.

Ariana Faul, a Grade 8 student from Prince Phillip School in School in Saskatoon is this year’s winner of the Energy and the Environment Art Contest. Her winning design is titled “Drowning in Pollution” that will be featured in an Energy and the Environment Poster published by Natural Resources Canada for distribution to teachers across Canada.

“Students have such passion and insight into how they want to see the world they will inherit,” said Energy and Resources Minister Bill Boyd. “The contributions of the students of today will have an impact on our country’s environmental and conservation policies of the future.” Both students will receive their awards and prize packages, which include laminated copies of their winning artwork, at presentations in their respective schools. A $300 donation was also made to the ﬁrst-place winner’s school resource centre. The Energy and the Environment Art Contest has been running since 1991, encouraging elementary school students to depict wise energy use and conservation through artwork.

Zachary Rohel, a Grade 8 student from Annaheim School in Annaheim, Sask., was selected the second-place provincial winner. His artwork titled “Green Light” is available for viewing on the Climate Change Saskatchewan website along with Faul’s winning entry.

Career Opportunities Employment and Investment Opportunity

OILFIELD PROFESSIONAL A local business is seeking an entrepreneurial-minded, self-motivated individual to manage all aspects of the business operations. Company and contacts are well established and has been in business for 20 years. The company offers a dynamic work environment including a competitive salary with investment opportunities. BeneÀts included.

Responsibilities include but are not limited to: - Business growth in the oil patch - Promotion and distribution of oil Àeld products - Management of a small team of employees

QualiÀcations of the right individual: - Extensive knowledge and connections in the local area oil patch - Proven business development strategies - Skilled leadership and motivation abilities - Exceptional customer service - Ability to work independently - Has a vision of growth and strategies for implementation - Valid safety tickets including CPR, First Aid, WHIMIS and H2S Alive - Valid driver’s license with a clean driver’s abstract - Reasonable investment under $100,000 Thank you for your interest but only those selected for an interview will be contacted. Please mail or fax your resume to:

MANAGER OF OPERATIONS Box 950, Estevan, SK, S4A 2A7 Fax: 306-634-7828

Pipeline & Crew Foremen, Operators & Labourers Required Must have all safety tickets & drivers license. We will also require a 3 year drivers abstract as well. We offer competitive wages and an excellent benefit package.

Please drop off resume at: 403 Kensington Avenue or contact: Mike Brasseur at 634-4554 or 461-8111 or Brad Alberts at 634-4554 or 461-8153

Essential Coil & Stimulation Services is a company recognized for safety and excellence within the oil and gas industry. We strive to provide a good working relationship with our customers. Currently we provide services throughout Alberta, Southern Saskatchewan and Manitoba. Essential Coil offers competitive wages, scheduled days off, group beneÀt plan and employee savings plan. If you are an energetic team player with superb attention to detail and strong communication skills, we invite you to apply for the following positions.

Operations Manager/Sales Coil Tubing Operators Coil Tubing Helpers Class 1 driver’s license is preferred, but all class of drivers are welcome to apply. Previous oil Àeld experience & valid tickets are an asset. Email or fax your resume & a current driver’s abstract to: jtimko@essentialcoil.com Fax: 403-580-8906

PIPELINE NEWS August 2011

Career Opportunities

C19

is accepting applications for

Lease Operators for oilÀeld hauling in the Lloydminster area

Get in the driver’s seat! BILL McCOLMAN OILFIELD HAULING is currently looking for full time

TRUCK DRIVERS

Please drop off, fax or send your resume and with Clean Class 1 license to haul abstract to: Áuid in the Brooks, AB. area. ComHuman Resources petitive wages, scheduled days off, Dept. home every night. Candidates must tps0@telus.net be able to pass a pre-employment Brooks, AB. drug and alcohol test. Current oilÀeld T1R 1C5 or fax: safety tickets are an asset. 403-362-7822

Cathodic Protection Technician / Labourer Immediate permanent full time position. Experience an asset but not required. Must have a valid drivers license. Competitive wages and benefits. Mail or drop off resume to:

#6, Hwy 39 E PO Box 1338 Estevan, SK S4A 2K9 Fax: 306-634-4476 Email: mtarnes.acs@sasktel.net

Allied Cathodic Services L.P.

Only those chosen for interview will be contacted.

Fax resume with driver’s abstract to: 780-745-2852 or e-mail b.thompson@hmsinet.ca

Class 1A, Heavy Duty Tow Truck Drivers for the Lloydminster area. Full time, Permanent Position. Will Train. Abstract Required. Call John or Ginette 1-888-875-8111 or Send Resume to Fax: 780-846-0005 Email: actiontowinglloyd@hotmail.com

Employment Opportunity

Experienced PipeÀtters Required at Call Us OilÀeld Maintenance

in Alsask, Sask.

Offering Competitive wages Plus BeneÀts Call Scott at 306-460-7771

is an industry leader in Safety Services and is currently seeking

Safety Personnel to keep up with increasing customer demands.

If you are interested in becoming part of the Target Team and enjoying our growth with us, let us know!

Please forward resume with copies of tickets to: resumes@targetsafety.ca or fax to 780-870-5359

is accepting applications for

Experienced Fluid Haulers to work in the Lloydminster area •7-3/7-4 schedule (some nights) • Competitive wages with premium for nights worked • OilÀeld experience & valid H2S and First Aid tickets required

Fax resume with driver’s abstract to: 780-745-2852 or e-mail b.thompson@hmsinet.ca

Central Alberta trucking company seeking Class 1 drivers Experienced in transporting dangerous goods. Super B experience an asset. BeneÀts available. Scheduled days off. Fax resumes to: 403-742-4181 Do you want to work for a progressive company that takes safety seriously and uses today’s newest technologically advanced equipment? If your answer is “yes”, we are interested in talking to you! We are currently seeking to ﬁll the following positions in the Provost, Consort and Lloydminster areas.

Well Servicing Division

Slant Rig Crew for Contract Work Vertical Rig: Derrickhands & Floorhands

Experienced PipeÀtters Required at Call Us OilÀeld Maintenance

in Alsask, Sask.

Offering Competitive wages Plus BeneÀts Call Scott at 306-460-7771

All applicants must have a valid driver’s license, as well as all of the required industry training for the position they are applying for. We offer higher than industry standard wages, an exceptional employee beneﬁts package, several employee incentive programs and unlimited opportunity for advancement. If you want to grow with a company where you are known by your name and not your employee number, please forward your resume to:

CWC WELL SERVICES Box 1360 3803 52nd Ave Provost, AB T0B 3S0 E-mail: charstang@cwcwellservices.com

Quality people delivering quality service.

C20

PIPELINE NEWS August 2011

Career Opportunities

www.howtogotoagsi.com

LOCATION LEADER ROLES

For Both Our Wainwright & Provost Locations Andrukow Group Solutions Inc., a progressive Ag solutions company seeks two individuals to maximize the overall profitability and efficiency of existing Ag facilities in both Provost and Wainwright. Individual will provide leading edge, high quality agronomic service and support to grain farmers in their respective location. Skills: x Recommend sound agronomic recommendations of crop inputs to clients. x Provide leadership and coaching to the sales, administrative and shop & warehouse staff at their location. x Provide leadership in building relationships and negotiating with seed and pesticide manufacturers and distributors. x Manage the operational and fiscal activities of the whole location to meet or exceed established profitability targets. x Ensure sufficient levels of seed, fertilizer and chemical inventory are maintained on site and purchased just in time to meet client needs. Experience Proven leadership skills with a strong entrepreneurial spirit. Demonstrated understanding of agricultural industry and agronomic practices. Ability to work independently and contribute to building a strong team. Proven organizational and logistic skills. Exceptional communication skills and proven business acumen.

x x x x x

Visit envirotec.ca for more career opportunities!

We’re Hiring!

Submit your Resume to humanresources@howtogotoagsi.com Only individuals selected for an interview will be contacted.

Vac Truck Driver Positions Available in Saskatoon, Saskatchewan Class 3A or 1A Required www.howtogotoagsi.com

COME JOIN OUR VIKING TEAM! 2 Client Care Positions Required Immediately

Andrukow Group Solutions Inc., a progressive Ag solutions company is seeking two individuals to complete yard work and support sales and customer service activities. Responsibilities will include maintenance and support for a wide range of agricultural, blending and delivery equipment at our Viking, Alberta location. Skills: x Responsible for equipment repair and maintenance. x Follow established procedures for loading and receiving product. x Assist with the coordination and record keeping of seed, fertilizer and chemical inventory. x Experience in working with and setting up a preventive maintenance program.. x Provide outstanding customer service by referring customers to the appropriate Andrukow Group Sales team member, or when possible, solving problems first hand. x Differentiates Andrukow Group Solutions from its competitors by continuously developing and implementing higher quality, safety and efficiency actions that results in saving of time or money.

Why Apply? Envirotec offers very competitive wages, comprehensive benefits package, group RRSP plan, world-class training, and an opportunity for promotion to other positions within the company. Envirotec offers a safe, fun, and family-orientated work environment.

Experience: x Completion of TDG, WHMIS and First Aid. x Proven computer skills. x Experience in mechanics and agriculture a definite asset. x Valid Class # preferred but not required.

Saskatoon is Canada’s fastest growing city. Take advantage of it’s booming economy, affordable housing, welcoming environment and family friendly atmosphere. Apply today!

Submit your Resume to humanresources@howtogotoagsi.com Only individuals selected for an interview will be contacted.

To apply please call Human Resources at 1-877-244-9500 Resumes may also be submitted via email to humanresources@envirotec.ca or by fax to 306-244-9501

Labourers Required •

Class 5 drivers licensed and safety tickets preferred.

- WE are HIRING in ESTEVAN Bring your Resume and Current Abstract to our District Office located at 901 Edward Street, Estevan SK

Tubular Repair Operator •

• Class 1A drivers a must Competitive wages and excellence beneÀt package available.

Interested individuals can fax resume to (306) 634-8025

Talk to us about joining Team Sanjel TODAY! - Pumping Services Supervisors - Pumping Services Operators

- Bulk Plant Operators - Class 1, 3 & 5 Drivers

SANJEL IS A 29 YEAR PRIVATELY OWNED COMPANY THAT IS PROUD TO OFFER:

Contact your local pipeline sale rep. to get

28,000 Circulation on your career ad!

A Work Environment where Safety is our FIRST Priority A Committed Team Culture & Work Ethic Industry Leading Wages PLUS Outstanding Bonus Packages and Benefits Commitment to Employee and Family Care Dedication to Employee Development with Company Paid Training Relocation, Rotation & Seasonal Options Available Referral Bonus Program and Other Rewards

Acidizing Cementing Coiled Tubing Fracturing Nitrogen

Canada USA International

Career Opportunities

PIPELINE NEWS August 2011

C21

Fax: (780) 872-5239

HUNTING ENERGY SERVICES (PIPE DIVISION) LTD. Hunting Energy is currently looking for a dynamic individual to fill the position of

WANTED

THREAD/CONNECTION SUPERVISOR

- Part or full time truck drivers needed must have 3A or 1A licenses. - Part of full time heavy equipment operators. Experience and tickets an asset but not necessary should the applicant apply.

Candidate must work well with people, have good communication skills, can multi-task in a fast pace environment, 24 hr.â&#x20AC;&#x201C;7 day/week. Previous experience with tongs, thread inspection, and thread supervision. Hunting offers competitive salary, plus day rate, and benefits package. Fax: 780-955-8764 Email: HESCL.job.applications@hunting-intl.com

Please send resumes by fax 306-685-2267 or email: rhonda.shaws@sasktel.net

Specific Targeting

Contact your local Pipeline News Sales rep. to get you 28,000 Circulation on your career ad!

OVER 50 YEARS STRONG IN OILFIELD CONSTRUCTION ARNETT & B BURGESS RNETT & U R G E S S Oilfield O i l f i e l d CConstruction o n s t r u c t i o n LLimited imited

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PIPELINE NEWS August 2011

Employment Opportunity

Safety Instructors

Career Opportunities

If you have a great deal of experience and training in the oil and gas industry and are looking for a change, the Saskatchewan Energy Training Institute is looking for instructors!

12: +,5,1*

Instructors require good presentation skills, industry experience and willingness to travel in the southeast region to deliver programs both at College campuses and off-site locations. The Saskatchewan Energy Training Institute is currently recruiting instructors in the following areas:

Enform Certified Programs Fall Protection for Rig Workers and Rig Rescue - 2 years field experience Fatigue Management - 1 year instructing experience General Oilfield Driver Improvement - Class 1A + ice road/muskeg experience Hours of Service for Owners and Carriers - Class 1A + trucking experience Detection & Control of Flammable Substances - Experience with gas detection equipment

Other Certified Programs Global Ground Disturbance - 2 years field experience of exposing lines Overhead Crane and Rigging - Related field experience with crane units Powered Mobile Equipment - 2 years operating experience St. John Ambulance CPR/First Aid/AED - St. Johnâ&#x20AC;&#x2122;s certification an asset Supervisory Skills - 3 years in a supervisory role

Please send resumes to: Keith Madu, Director Saskatchewan Energy Training Institute Email: kmadu@southeastcolleg.org Fax: (306) 634-8060

)URQWLHU 3HWHUELOW 6DOHV /WG Lloydminster - Estevan

9LHZ $OO &DUHHUV DW ZZZ IURQWLHUSHWHUELOW FRP Frontier Peterbilt Sales Ltd. is an enterprising truck dealership with operations in Saskatoon, Regina Lloydminster and Estevan. Our ongoing development and phenomenal growth in the Truck Sales industry are evidence of the company's commitment to offering customers a comprehensive range of products which perform at optimum efficiency and provide valuable benefits.

Lloydminster

We have built a high level of customer trust and satisfaction through our new and used truck inventory and parts availability and reliability, strong geographic presence, premium service, and unparalleled value. We have a strong mandate to continue to grow in the marketplace and to provide quality service for sales, repairs, and maintenance. Frontier Peterbilt Sales Ltd. continually offer opportunities for our employees' career development, we have created an organization and a working environment aimed to attract, empower, reward, and retain the most dedicated, talented, and passionate individuals.

â&#x20AC;˘Branch Manager

â&#x20AC;˘Heavy Duty Technician â&#x20AC;˘New Truck Sales Representative â&#x20AC;˘Parts Person Estevan

â&#x20AC;˘Heavy Duty/Truck & Transport Technician

â&#x20AC;˘Used Truck Representative â&#x20AC;˘Service Manager

â&#x20AC;˘New Truck Sales Representative These positions offer a competitive and comprehensive compensation package.

Apply online today at: www.frontierpeterbilt.com While Frontier Peterbilt appreciates all applications received, we advise that only candidates under consideration will be contacted. Thank you for your interest for employment with Frontier Peterbilt Sales.

Calfrac has grown from a small oilfield services company to an international leader in fracturing and coiled tubing well services.

Rotational Opportunities Weâ&#x20AC;&#x2122;re hiring rotational employees for our Western Canada operations. 3-weeks-in, 2-weeks-out field positions:

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Call us: )5$&

Fax us: Apply online: ZZZ FDOIUDF FRP FDUHHUV

PIPELINE NEWS August 2011

C23

BAKKEN DISPOSAL ALTERNATIVE FOR DRILLING AND PRODUCTION WASTE CCS Corporation’s Arcola Disposal Facility is open for business

The right way to dispose of it; right where you need it. Open 18 hours daily, and right off the highway, the Arcola Disposal facility is convenient and ready for your delivery. Deliver your produced water and frac water to the Arcola Disposal Facility, and know it is being handled and disposed safely and responsibly. Work with a leader in oilﬁeld waste management. CCS sets the standard in safe practices, and environmental stewardship.

New waste oil credit program has provisions that allow for reduced disposal costs, or even a possibility of a return. Expanded service options are being developed for treatment, recovery and disposal of additional waste streams.

CCS Midstream operates these waste facilities in Saskatchewan: Location

Telephone number

Location

Vision Global leader in the environmental and energy service sectors.

Mission First choice provider of safe, environmentally responsible services.

Telephone number

Arcola Disposal Facility

306.455.2431

Lomond Landfill

306.456.2212

Purpose

Gull Lake Landfill

306.672.3300

Marshall Water Disposal

306.387.6507

Gull Lake TRD

306.672.3300

Marshall Landfill

306.387.6507

To safely protect the air we breathe, the water we drink and the ground we walk on.

Kindersley Landfill & TRD

306.463.6220

Unity Cavern

306.228.3001

Arcola Disposal Facility

Now recruiting operators

Arcola Disposal Facility

605 13

Hours of Operation: 6 a.m. – 12 midnight

Area Marketer: Brian Potter 306.741.2744

Location: 1.7 km east of Arcola, on the north side of Highway 13

Licensed by Saskatchewan Ministry of Energy and Resources

Facility Manager: Blaine Potter 306.672.7720

Waste streams accepted: produced water, frac water

Kisbey

Arcola

605

info@ccsmidstreamservices.com

www.ccsmidstreamservices.com

www.ccscorporation.ca

604

C24

PIPELINE NEWS August 2011

The Metaltek Team Will Take Your Ideas To The Next Level

Metaltek shares your passion for New Technology, from adapting existing equipment to designing new products. We are committed to Quality Control at the highest levels in the industry. Our State-of-the-Art Facility provides innovative manufacturing capabilities. We continue providing Cost Effective solutions at all levels from stocked parts to prototyping.

ABSA Registered â&#x20AC;˘ Conforming to ISO and API Standards â&#x20AC;˘ 24hr Service

780 - 875 - 6535

www.metaltekmachining.com

Design - Engineering - Manufacturing