Pipeline News November 2014

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November 2014

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Volume 7 Issue 6

A3 Crescent Point donates $4.5 million to Weyburn Hospital Foundation A5 *DV FDYHUQ Âż UH SXW RXW B1 Boundary Dam ICCS opens ,ÄžÄ‚ĆšĹšÄžĆŒ ^Ä?ŽƊ Í• Ĺ?Ĺś ƚŚĞ Ä?ůƾĞ ĹšÄ‚ĆŒÄšĹšÄ‚ĆšÍ• Ĺ?Ć? ƚŚĞ Ć?Ç Ä‚ĹľĆ‰ÄžĆŒ Ä¨Ĺ˝ĆŒ dĆŒÄžÇ€Ĺ˝ĆŒ ,ÄžĹ?ĹśĆŒĹ?Ä?ĹšĆ?͘ dŚĞLJ Ĺ˝Ć‰ÄžĆŒÄ‚ĆšÄž ŽžƉĞĆ&#x; Ć&#x; ŽŜ ŜǀĹ?ĆŒĹ˝ĹśĹľÄžĹśĆšÄ‚ĹŻ >ĂŜĚ ^Ć‰ĆŒÄžÄ‚ÄšĹ?ĹśĹ? >ĆšÄšÍ˜Í›Ć? ůŽŜĞ ĹšÇ‡ÄšĆŒĹ˝Ç€Ä‚Ä?͘ dŚĞ ĆŒÄžĆ?Ćš ŽĨ ƚŚĞ Ň ĞĞƚ Ä¨Ĺ˝ĆŒ ƚŚĞ Ä‚ĆŒĹśÄšĆľÄŤ ͲÄ?Ä‚Ć?ĞĚ Ä?ŽžƉĂŜLJ Ĺ?Ć? Ć‰ĆŒĹ?ĹľÄ‚ĆŒĹ?ůLJ žĂĚĞ ƾƉ ŽĨ ǀĂÄ? ĆšĆŒĆľÄ?ĹŹĆ? ĂŜĚ ǀĂÄ? Ç Ä‚Ĺ?ŽŜĆ?͘ ^ĞĞ Ć?ĆšĹ˝ĆŒÇ‡ ŽŜ WÄ‚Ĺ?Äž Ď­Ď­Í˜ dĹšĹ?Ć? ĞĚĹ?Ć&#x; ŽŜ ĨŽÄ?ĆľĆ?ÄžĆ? ŽŜ ǀĂÄ?Ć?Í• ĹšÇ‡ÄšĆŒĹ˝Ç€Ä‚Ä?Ć? ĂŜĚ Ć?ĆšÄžÄ‚ĹľÄžĆŒĆ?͘ Photo by Brian Zinchuk

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A2

PIPELINE NEWS November 2014

INSIDE SECTION A 4

Crescent Point CEO Q & A

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PIPELINE NEWS :HZRH[JOL^HU»Z 7L[YVSL\T 4VU[OS`

Dec. 2014 Focus

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PIPELINE NEWS November 2014

A3

TOP NEWS

Crescent Point puts Weyburn Hospital Foundation over the top with $4.5 million donation

Crescent Point Energy Ĺ˝Ć&#x152;Ć&#x2030;Í&#x2DC; K ^Ä?ŽƊ ^Ä&#x201A;Ç&#x2020;Ä?Ä&#x17E;Ć&#x152;Ĺ? Ä&#x201A;ŜŜŽƾŜÄ?Ä&#x17E;Ä&#x161; Ä&#x201A; ΨϰÍ&#x2DC;Ďą ĹľĹ?ĹŻĹŻĹ?ŽŜ Ä&#x161;ŽŜÄ&#x201A;Ć&#x;ŽŜ Ć&#x161;Ĺ˝ Ć&#x161;Ĺ&#x161;Ä&#x17E; tÄ&#x17E;Ç&#x2021;Ä?ĆľĆ&#x152;Ĺś Ä&#x201A;ĹśÄ&#x161; Ĺ?Ć?Ć&#x161;Ć&#x152;Ĺ?Ä?Ć&#x161; ,Ĺ˝Ć?Ć&#x2030;Ĺ?Ć&#x161;Ä&#x201A;ĹŻ &ŽƾŜÄ&#x161;Ä&#x201A;Ć&#x;ŽŜÍ&#x2DC; ,Ĺ?Ć? Ć&#x2030;Ĺ˝Ä&#x161;Ĺ?ƾž Ç Ä&#x201A;Ć? ŽŜ Ć&#x161;Ĺ&#x161;Ä&#x17E; Ć?Ć&#x161;Ä&#x17E;Ć&#x2030;Ć? ŽĨ Ć&#x152;Ä&#x17E;Ć?Ä?Ä&#x17E;ĹśĆ&#x161; WĹ˝Ĺ?ĹśĆ&#x161; WĹŻÄ&#x201A;Ä?Ä&#x17E;Í&#x2DC;

Â&#x201E; Story and photos by Brian Zinchuk Pipeline News Weyburn â&#x20AC;&#x201C; With a massive $4.5 million donation to the Weyburn and District Hospital Foundation, Crescent Point Energy Corp. put the communityâ&#x20AC;&#x2122;s long-running campaign for a new hospital over the top. By reaching its funding goal of $20 million, Weyburn has now put the ball in the provinceâ&#x20AC;&#x2122;s court, according to the funding formula put out by the province for new health facilities.

Under the current formula, if a community reaches 20 per cent of the estimated cost, the province will cough up the remaining 80 per cent.

Thatâ&#x20AC;&#x2122;s a change in recent years, as the split used to be 35 per cent local, 65 per cent provincial.

In this case, a new hospital is expected to cost approximately $100 million for the bricks and mortar.

Equipping it will be extra.

The announcement was made on Sept. 24 in the parking lot of Crescent Point Place, the arena that the oil

producer had purchased the naming rights for several years ago. Several hundred people, including a strong contingent from Crescent Point, were there for the announcement, made by CEO Scott Saxberg.

Speaking to the crowd, Saxberg said, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve had such great support from the community. Weâ&#x20AC;&#x2122;re really grateful to be able to give back in this way and help build a brand new hospital. Weâ&#x20AC;&#x2122;re proud to announce our donation of $4.5 million to the Weyburn and District Hospital Foundation. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s very exciting to help build a new, modern hospital for the community.â&#x20AC;?

The company has a strong history of supporting health care in the province, being the lead donor on the STARS helicopter air ambulance program in Saskatchewan. Their $5 million donation, announced in 2010, got the ball rolling, and soon other donors stepped up to the plate and the program was implemented. â&#x20AC;&#x153;One of the unique benefits with

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STARS is that STARS, combined with the new hospital, will enhance that project as well,â&#x20AC;? Saxberg said.

While the building cost for the proposed new hospital is estimated at $100 million, the local community is expected to also pay for the cost of equipping it. Everything from beds and chairs to medical equipment will need to be acquired, and this cost is typically an additional 10 per cent of the building cost, in this case estimated to be another $10 million. Thus Foundation chair Mal Barber noted thereâ&#x20AC;&#x2122;s still more work to be done in fundraising.

Barber said, â&#x20AC;&#x153;Crescent Point Energy, you have put us over the top!

Your commitment of $4.5 million brought us to our first major goal of

$20 million.â&#x20AC;?

In thanking the corporate board, shareholders and employees, Barber added, â&#x20AC;&#x153;A new hospital will help us to hire and retain good doctors, good nurses and support staff. A new physical plant will run efficiently, reducing costs. It will make it a safer environment for our patients, reducing cross-infections that can happen in an older-style hospital. Potentially it can increase the procedures that can be done locally, in our own hospital.â&#x20AC;?

Health Minister Dustin Duncan, who is also MLA for Weyburn, talking about the need to replace aging facilities said, â&#x20AC;&#x153;None of this would be possible without community support, from individuals, municipal councillors and leaders. ɸ Page A8

A4

PIPELINE NEWS NOVEMBER 2014

BRIEFS WaveAxe to stimulate heavy oil Wavefront Technology Solutions Inc. has entered into a technology co-ownership agreement with an unnamed Canadian integrated energy company to adapt its existing Powerwave technology for SAGD operations.

Powerwave is a fluid delivery technology for maximizing oil and gas reserves.

Wavefront and the integrated energy company have filed two patent applications related to a new stimulation approach, which accelerates communication between a SAGD well pair to reduce the time between well drilling, completion and well production.

Wavefront received a U.S. patent for the trademark WaveAxe for this new technological approach that diversifies the strong application base established for Powerwave in enhanced oil recovery and conventional well stimulation.

Under the agreement Wavefront and its partnering companies will be the sole providers of the technology to SAGD operators in the Western Canadian Sedimentary Basin.

Pilot testing of the SAGD well pair stimulation approach will follow in the coming weeks.

Briefs courtesy Nickleâ&#x20AC;&#x2122;s Daily Oil Bulletin

Crescent Point CEO Scott Saxberg on Flat Lake development Â&#x201E; By Brian Zinchuk

Hess, Continental and Whitingâ&#x20AC;&#x2122;s drilling plans show four Bakken wells, and then 12 Weyburn â&#x20AC;&#x201C; Crescent Point to 16 wells in the first three Energy Corp. CEO Scott Saxbenches of the Three Forks berg took the time to speak to for a stand-up 1,280 acre Pipeline News while he was in drilling unit. Are you looking Weyburn on Sept. 24 to anat similar plans? nounce a $4.5 million donaSaxberg: No. As we go tion to the Weyburn and Disinto Canada, some of those trict Hospital Foundation. In benches, as they refer to them, recent years, Crescent Point disappear. Thereâ&#x20AC;&#x2122;s really two has grown to become the largbenches, one refer to as the est producer in southeast SasBakken, one we refer to as the katchewan. Saxberg tackled Torquay. some questions about that conP.N.: Your website shows tinued growth and the impact drill plans to eventually blanthey have. ket the Viewfield. Are you Pipeline News: Where are looking at the same thing for you going now, especially in this Flat Lake region? regards to Flat Lake? There Saxberg: Itâ&#x20AC;&#x2122;s still early was a big announcement this days. We envision four wells past spring, and now it seems per section. Itâ&#x20AC;&#x2122;s deeper, a little almost everything weâ&#x20AC;&#x2122;re writbit thinner, so it wonâ&#x20AC;&#x2122;t have as ing about now is leading to Ć&#x152;Ä&#x17E;Ć?Ä?Ä&#x17E;ĹśĆ&#x161; WĹ˝Ĺ?ĹśĆ&#x161; ĹśÄ&#x17E;Ć&#x152;Ĺ?Ç&#x2021; Ĺ˝Ć&#x152;Ć&#x2030;Í&#x2DC; K ^Ä?ŽƊ ^Ä&#x201A;Ç&#x2020;Ä?Ä&#x17E;Ć&#x152;Ĺ?Í&#x2DC; many infill wells. wards that.

Photo by Brian Zinchuk P.N.: Are you looking at Scott Saxberg: The Torquay, two horizontal legs on one or Three Forks, as they call it in vertical? the U.S. and our discovering in Saxberg: No, separate wells. and around Flat Lake is really a huge discovery. It replaces a lot P.N.: Is that geology or regulations? of our drilling inventory that weâ&#x20AC;&#x2122;ve drilled in the Weyburn area Saxberg: Itâ&#x20AC;&#x2122;s both. Itâ&#x20AC;&#x2122;s really tough to do dual legs. Itâ&#x20AC;&#x2122;s comand Viewfield. Itâ&#x20AC;&#x2122;s the same high-quality, high-economic return plicated, so itâ&#x20AC;&#x2122;s not worth the dollars to do that. project that we have here.

P.N.: These are all horizontal, multi-stage frac. How Itâ&#x20AC;&#x2122;s still early days there, but weâ&#x20AC;&#x2122;ve got quite a large area. many stages do you plan on doing on a Torquay well?

Again, it really hopes the growth of the company and keeps Saxberg: It just depends on what weâ&#x20AC;&#x2122;re encountering. Weâ&#x20AC;&#x2122;ve the activity in Saskatchewan going at a pretty good pace. Weâ&#x20AC;&#x2122;re been doing 25 stage, cemented liner completions as our stanpretty excited about that play.

P.N.: When you say â&#x20AC;&#x153;Flat Lake,â&#x20AC;? what area are you refer- dard.

P.N.: Crescent Point has a habit of grabbing all the land ring to, because the Ministry of Energy and Resources refers to the area south of Lake Alma. But when you look at RigLo- in an area. Youâ&#x20AC;&#x2122;ve done that in Viewfield, youâ&#x20AC;&#x2122;ve done that in cator.ca, you see all these rigs working for Crescent Point Shaunavon, are you getting close to that in Flat Lake?

Saxberg: Yeah, weâ&#x20AC;&#x2122;re by a vast margin, the largest landholdsouth of Torquay and south of Oungre.

Saxberg: Itâ&#x20AC;&#x2122;s basically the west edge of the Oungre field, er there. We have close to a thousand sections of land, a pretty all the way east towards Taylorton, and two or three townships large position P.N.: Every month it seems you buy another company. north. Itâ&#x20AC;&#x2122;s a vast, large area. Itâ&#x20AC;&#x2122;s the early days of drilling it. The key main lands that we have are in and around that Flat Lake T. Bird is a recent one, CanEra, yesterday you closed another area, where we have most of that activity. It would be southeast $750 million dollars. Are you buying the rest of Lightstream?

Saxberg: (laughs) Youâ&#x20AC;&#x2122;d have to ask them that. Weâ&#x20AC;&#x2122;re alof Oungre.

P.N.: You had mentioned this could be as big as Viewfield. ways opportunistic, looking for things to consolidate, to make it easier for our operations guys. Looking for opportunities, and Are you serious about that?

Saxberg: Oh yeah, just in the Flat Lake area, because itâ&#x20AC;&#x2122;s with technology changes, we see that there lots of opportuniBakken and Three Forks, itâ&#x20AC;&#x2122;s dual-zone. The initial discovery ties still in some of the older fields: anything in our (southeast) there is probably three townships, or the equivalent of six town- Saskatchewan core area or Shaunavon core areas that are easy ships. The Viewfield field, the core is six townships and the main consolidations that can provide a strong cash flow and development opportunities. field is probably 12 to 14 townships big. ɸ Page A9 P.N.: At the Williston Basin Petroleum Conference,

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PIPELINE NEWS November 2014

A5

BRIEFS Sask. tops in job creation

^ĂĨĞƚLJ ŽƐƐ ĐƌĞǁƐ ƵƐĞĚ ǁĂƚĞƌ ĐĂŶŶŽŶƐ ĂŶĚ ĮƌĞ ƌĞƚĂƌĚĂŶƚ ƚŽ ƉƵƐŚ ďĂĐŬ ŇĂŵĞƐ ŝŶ ŽƌĚĞƌ ƚŽ ůŽǁĞƌ Ă ŶĞǁ ǁĞůůŚĞĂĚ ŝŶ ƉůĂĐĞ ĂŶĚ ƐŚƵƚ Žī ƚŚĞ ŇŽǁ ŽĨ ŶĂƚƵƌĂů ŐĂƐ ĨĞĞĚŝŶŐ Ă ǁĞůůŚĞĂĚ ĐĂǀĞƌŶ ĮƌĞ ƚŚĂƚ ďƵƌŶĞĚ ĨŽƌ Ɛŝdž ĚĂLJƐ Ăƚ Ă dƌĂŶƐ'ĂƐ ƉƵŵƉŝŶŐ ƐƚĂƟŽŶ ŶĞĂƌ WƌƵĚ͛,ŽŵŵĞ͘ Photo courtesy TransGas

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By Geoff Lee Prud' Homme, Regina – Safety Boss crews are credited with snuffing out a troublesome fire at a TransGas pumping station near Prud’Homme that burned for six days.

“The fire was out Friday night,” said SaskEnergy spokesperson Dave Burdeniuk referring to the evening of Oct. 17.

TransGas is a wholly-owned subsidiary of SaskEnergy.

“Safety Boss from Calgary and Red Deer – they worked with us. They used a fire retardant on the well fire just before the new wellhead was lowered into place.

“Then they used the new wellhead to shut off the gas flow.

So that happened Friday night.”

Heat-shielded equipment including a boom crane, a trackhoe and a skid-steer loader enabled crews to replace the original wellhead damaged in the fire that began Oct. 11 from leaked natural gas stored in a cavern.

Weir Seaboard had men on site and supplied the replacement wellhead, according to Cameron Smith, general manager for Weir Seaboard Canada.

The cavern is one of seven in the area serving the central Saskatchewan region.

“We do know the other six caverns are secure. We did check that throughout this whole process. The other six are in good shape and are not affected by this,” said Burdeniuk.

He estimated the cost of extinguishing the fire and repair-

ing damaged equipment between $5and $10 million.

The losses will include the value of gas burned off in the cavern that held 730 terajoules when fire erupted with flames shooting as high as 250 ft. when the wellhead failed on Oct. 15.

“We don’t know at this point how much we’ve lost. We haven’t done a full pressure test on it yet,” said Burdeniuk.

Burdeniuk said that will be part of the assessment phase to determine the cause and assess the full extent of damage during a phone interview with Pipeline News on Oct. 20.

“It’s now the recovery phase for us and that includes the investigative work,” he said.

“Now we’re looking at the investigative side of things and doing a full assessment at the surface to determine what have we lost for above ground equipment, what can be repaired, and what has to be replaced.

“We probably lost a couple of line heaters. The fire itself did melt the cavern building.

“We thought it might have actually melted on to the wellhead, but in one of the final inspections before Safety Boss went in to turn the valve off, their water cannons were actually able to remove the remaining debris from the wellhead building.

“They just walked in with a wall of water towards this and used the water cannons to cool things off and push flames aside so they could actually have a look at things.”

Burdeniuk said Safety Boss came up with two options to safety lower and secure the wellhead in place. ɸ Page A10

Saskatchewan is leading the nation in job creation heading into November with the fastest rate of employment growth and the lowest unemployment rate in Canada.

“Having a growing and robust economy has had a huge impact on the job front,” Minister responsible for Immigration, Jobs, Skills and Training Jeremy Harrison said in an Oct. 10 news release.

“It is no surprise that Saskatchewan’s job growth rate is the best in the nation now, providing more employment opportunities to support and sustain strong economic momentum.”

Employment was up 3.5 per cent over last September (19,300 jobs), the highest growth rate in the nation. Nationally, jobs were up 0.9 per cent. There were 574,800 people employed in Saskatchewan in September.

Briefs courtesy Nickle’s Daily Oil Bulletin

FULL FLUSHBY & PRESSURE SERVICES BODY VACS, STEAMER/PRESSURE WASHER SERVICES SALTWATER DISPOSAL PUMPING SERVICES

24 HOUR SERVICE Ken McConnell Owner/Operator 24 HR Dispatch: 780-205-9001 Mike #: 403*11*29001 Fax: 306-397-2697 Box 238 Edam, SK rackenent@hotmail.com

A6

PIPELINE NEWS November 2014

PIPELINE NEWS

EDITORIAL

Mission Statement: Pipeline Newsâ&#x20AC;&#x2122; mission is to illuminate importance of Saskatchewan oil as an integral part of the provinceâ&#x20AC;&#x2122;s sense of community and to show the general public the strength and character of the industryâ&#x20AC;&#x2122;s people.

Publisher: Brant Kersey - Estevan Ph: 1.306.634.2654 Editorial Contributions: SOUTHEAST Brian Zinchuk - Estevan 1.306.461.5599 SOUTHWEST Swift Current 1.306.461.5599 NORTHWEST Geoff Lee - Lloydminster 1.780.875.5865 Associate Advertising Consultants: SOUTHEAST SASK. & MANITOBA R5 -. 0 (5g8ifl8lij8hlkj Cindy Beaulieu Candace Wheeler Kristen Oâ&#x20AC;&#x2122;Handley Deanna Tarnes Teresa Hrywkiw R5 ,&3& 5g8ifl8jki8hkhk Alison Dunning NORTHWEST SASK. & ALBERTA R5 &)3 '#(-. ,5g8mnf8nfn8imfl Krista Thiessen CENTRAL Al Guthro 1.306.715.5078 SOUTHWEST R5 1# .5 /,, (.5g8ifl8mmi8nhlf Stacey Powell

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Hitting the big 4-0 Itâ&#x20AC;&#x2122;s taken a long time, but weâ&#x20AC;&#x2122;ve hit the big 4-0.

Forty what? You ask. Editions? Pages? Topics covered? Years old? Pipeline protests?

Nope. Itâ&#x20AC;&#x2122;s taken six-and-a-half years, but Pipeline News editor Brian Zinchuk has finally seen a total of 40 women working in the oilfield, in the field, wearing coveralls and gloves, and not working in some sort of geologist or engineer capacity. Weâ&#x20AC;&#x2122;re talking swampers, labourers, equipment operators, truck drivers and the like.

This month provided a significant boost to that number, which had been quite stagnant for a while. A couple years ago over 10 were found working on the Vantage Pipeline with A&B Pipeliners. This month, three women were found working as swampers on hydrovacs. Indeed, of the hydrovacs we visited, nearly all had female swampers. Thatâ&#x20AC;&#x2122;s a switch, because weâ&#x20AC;&#x2122;ve never seen any sampling of any field position where the women we encountered outnumbered the men.

Depending on how it goes and how much experience the swamper and operator have, swamping on a hydrovac can be one of the toughest jobs in the oilpatch. Thatâ&#x20AC;&#x2122;s because not only it is generally messy, but itâ&#x20AC;&#x2122;s also pretty dang cold. You are always working with water and mud, and thatâ&#x20AC;&#x2122;s not a fun combination in the winter, when the temperature hits -27 C and thereâ&#x20AC;&#x2122;s a wind.

Despite gender equality being reached or, in some cases, mightily surpassed in places that were almost exclusively male domains like law schools and schools of medicine, the Saskatchewan oilpatch remains one of the few bastions of almost total dominance of male participation.

Weâ&#x20AC;&#x2122;ve been on pretty much every type of lease, right-of-way, gas plant and battery you can imagine. The reason weâ&#x20AC;&#x2122;ve been able to keep track is because it is such a rarity to encounter women in the field, working with their hands, that when it does happen, it stands out. You would think itâ&#x20AC;&#x2122;s almost as rare an occurrence as a winning season for the Oilers.

The prevalence of women working in the field is so Spartan that when you do bring it up, the people you are talking to will say things like, â&#x20AC;&#x153;Oh yeah, we had three women working on our crew once.â&#x20AC;?

Or, â&#x20AC;&#x153;We had a woman working for us onceâ&#x20AC;Ś.â&#x20AC;?

This month it was swampers. Previously itâ&#x20AC;&#x2122;s been pipeline labourers, or truck drivers. One was a journeyperson welder. Women working on drilling floors as roughnecks, motorhands, derrickhands or drillers are still as rare as unicorns, however.

Perhaps some day that will change. After all, the Canadian military has long been fully integrated. The American military is finally accepting women into combat roles, and into submarine duty. If women can fight in the infantry, they certainly can run tongs on a drilling floor.

Should we keep counting? Will it take another sixand-a-half years to reach 80? If it does, thatâ&#x20AC;&#x2122;s a mighty poor reflection on our industry. Note that with about 78 editions under our belt, that 40 meant an average of less than one woman encountered in the field every two months. Surely we can do better than that.

Weâ&#x20AC;&#x2122;re not envisioning some sort of affirmative action program. Rather, weâ&#x20AC;&#x2122;d like to see more women applying for field work. Weâ&#x20AC;&#x2122;ve been told they would be hired, if they just applied. Time to get those resumes out.

PIPELINE NEWS November 2014

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A7

OPINION

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Straightening out the numbers on Boundary Dam ICCS It’s great to see all the coverage in other media regarding the Boundary Dam Integrated Carbon Capture Project following its grand opening on Oct. 2. However, there are a few things many of the other media are getting wrong. It’s an incredibly complex project, and hard to swallow in a press event a few hours long, so that’s understandable.

Here are some things I’ve noticed: This project involves one of four coal-fire units in the power plant, not then entire plant. Thus it is capturing CO2 from one of the four orange smokestacks, not all of them. The remaining three are still in operation.

Boundary Dam is not a 110 megawatt power plant. That number is the net power production of the revamped Unit 3, which will produce a gross 165 megawatts. That’s what the nameplate says stamped on the side of the generator. The difference is accounted for by the usage of power in the carbon capture plant, also known as parasitic loss.

The net capacity of Units 3, 4, 5, and 6 is now 110+ 139+139+284 = 672 megawatts, making it still the largest power plant in the province. (Units 1 and 2 were recently retired).

While some of the CO2 will go into the nearby Aquistore injection well and thereby into a deep saline aquifer, 3.4 kilometres deep, the vast majority of the CO2 will go to the Cenovus-operated Weyburn Unit 70 kilometres away. At the Weyburn Unit it will be used for enhanced oil recovery (EOR). There it will be injected 1.4 kilometres

underground, not 3.4. This oilfield has been using even larger quantities of CO2 sourced from Beulah, North Dakota, since 2000. The field has producing oil for 60 years as of this fall, and is expected to produce for several more decades as a result of CO2-EOR. While one report mentioned, “The food and agriculture industries are potential customers,” not one person from SaskPower or the provincial government has mentioned this to Pipeline News in our extensive coverage over the years. Indeed, all CO2 production sales are locked up for the next 10 years by Cenovus and its partners in the Weyburn Unit. If there are to be sales to food and agriculture, this would presumably not happen until 2024 at the earliest.

While there were 250 people in attendance to the invitation-only grand opening, they were not all media representatives from around the world. There were approximately 30 media represented, including outlets from France and Norway. A large number of the attendees were participants in a carbon capture and storage symposium SaskPower hosted in Regina Sept. 30 and Oct. 1, with the grand opening and tour being the culmination of the event. There were also representatives from various companies involved with the production of the plant and SaskPower.

In our October 2014 edition coverage, we noted the cost as “$1.3+ billion.” This was based on the following statement by CEO Robert Watson in a

phone interview on Sept. 17: “It is going to cost more than the original number. We’re still putting our numbers together. Rather than through all kinds of numbers out there, we’d rather not comment now. We’d rather come up with one number. It is going to be more. What I think, it’s not going to be exorbitantly more. It will be at least $1.3 billion. There are still contracts to settle. It’s not fair to come up with a final number, because it could be inaccurate tomorrow.”

The number used by SaskPower and all other media on Oct. 2 was $1.4 billion. If this is indeed the final number, that would put the project at approximately 12.9 per cent over the initial $1.24 billion budget, or $160 million over. One commentator noted that if the project was $200 million over budget, it would be $1.6 billion. In fact, if it is $200 million over budget, the final number would be $1.44 billion.

There are a lot of numbers that have flown around. It’s taken a long time to wrap my head around this, so I guess they can be forgiven. The important thing here is to make sure the correct information gets out, because inaccuracies quickly become overblown myths – the prime one being that there can be no such thing as “clean coal.”

Brian Zinchuk is editor of Pipeline News. He can be reached at brian.zinchuk@sasktel.net.

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Husky embraces innovation for Lloyd growth There is an unmistakable aura of confidence these days in the future of heavy oil production in the Lloydminster region.

That confidence was reflected in the keynote speech at the 2014 Lloydminster Heavy Oil Show banquet by Ed Connolly, Husky Energy’s senior vice president of heavy oil and gas.

“We recognize the lifeline of heavy oil is innovation and new technology development,” said Connolly who built his speech around milestones in technology and what lies ahead to enhance oil recovery.

For example, he was pleased to announce that Husky had just produced its one millionth barrel of incremental oil using cold solvents beginning in 2006.

In the company’s first 68 years, they produced over 900 million barrels of heavy oil with about 1.8 billion barrels of oil in place on the Saskatchewan side of their Lloydminster operations to sustain them for another 70 years.

Innovation and technology will lead the way as it always has said Connolly.

Husky produces about 120,000 barrels of day per day in the Lloydminster area with recovery rates from new and existing thermal plants up to 70 per cent.

That’s a far cry from the one half to three per cent recovery rates in the old days from pump jacks.

Connolly said the base resource that Husky has in the region lends itself to SAGD (steam assisted gravity drainage) in certain small pools.

Husky plans to double its thermal output in the region to over 80,000 barrels a day by 2020.

One way it is will do this is by capturing carbon dioxide from its steam generators and injecting it into reservoirs to enhance oil recovery.

Husky also has a project underway called hot water vapour production. Connolly said this is a project where they take nitrogen out of the air.

They heat it up saturate it with water and inject it into a reservoir to produce oil. They will run that pilot for three years.

Husky is also conducting a couple of ASP (alkaline surfactant polymer) floods to increase the efficiency of the heavy oils they produce.

In addition, the company is testing a couple of microbial projects for enhanced oil production.

Connolly explained microorganisms are injected into the reservoirs where they release gas. That generates energy to push oil into of the reservoir.

In addition, the company is also using chemical floods, and in Alberta, firefloods.

The company produces about 50,000 barrels

a day of its total production in the Lloydminster area from CHOPS (cold heavy oil production with sand).

He noted CHOPS and PC pumps among the major step changes that come along in the development of new technology including the dynadrill that revolutionized directional drilling.

Connolly expects production from horizontals will rise from its current level around 13,000 barrels a day to 15,000 barrels a day in 2015.

Those are some of the initiatives Husky has under way to look to its future said Connolly.

Husky’s four part formula for sustaining growth for the next seven decades relies on the resource base in place, support from government, support from the community and innovation and technology.

Connolly said he sees the biggest challenge will come from innovation and technology.

In order to innovate he said you need the tools, you need to collaborate and have the will to succeed, all three of which he said industry is well known for in Lloydminster.

“The world needs our oil. Innovation has a way of turning copper into gold,” he said.

No doubt, Connolly was referring to black gold with a lot more of it to be mined in the Lloydminster area by innovation and technology.

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

A8

PIPELINE NEWS November 2014

Contribution part of continuing community support Éş Page A3 â&#x20AC;&#x153;It would not be possible without our health foundations and it would not be possible without our corporate community. I want to thank a very strong corporate partner we have in this province, Crescent Point Energy.

On behalf of the province of Saskatchewan, thank you.â&#x20AC;?

Asked about where this puts the proposed new hospital, Duncan noted raising that 20 per cent of funds is â&#x20AC;&#x153;one of the components,â&#x20AC;? in new projects. â&#x20AC;&#x153;Certainly, itâ&#x20AC;&#x2122;s a long process from when a project is announced to when a facility is opened.â&#x20AC;?

Functional planning has not yet begun on a new hospital and he noted before the presentation, â&#x20AC;&#x153;Because a lot of the functional planning hasnâ&#x20AC;&#x2122;t taken place yet, ($100 million) is really a rough estimate. â&#x20AC;&#x153;Thereâ&#x20AC;&#x2122;s been no discussion of beds, because itâ&#x20AC;&#x2122;s not an approved project at this point. We havenâ&#x20AC;&#x2122;t looked at the number of beds or square footage. The foundation used $100 million, because down the highway in Moose Jaw it cost $100 million. Thatâ&#x20AC;&#x2122;s what a hospital costs today. Certainly that would be determined through a lot of the functional planning.â&#x20AC;?

Speaking to Pipeline News before the announcement, Saxberg said, â&#x20AC;&#x153;The community here has been so supportive of Crescent Point, and our operations out here and our staff, we felt this was a great opportunity to give back to the community.â&#x20AC;?

Among his thanks to dignitaries and volunteers, Saxberg singled out the efforts of Ken and Joanne Cugnet for their support of the Foundation. â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;ve been very key, as supporters of Crescent Point, and in the com-

â&#x20AC;&#x153;Heâ&#x20AC;&#x2122;s pretty big. Heâ&#x20AC;&#x2122;s been our key guy in the community for Crescent Point for all these years and a big supporter of Crescent Point and the community.

His donation as well is pretty amazing, for him and for the things heâ&#x20AC;&#x2122;s done in

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munity, and really pushing that legacy into the community. Weâ&#x20AC;&#x2122;re proud to be involved with Ken all these years in the growth of our company.â&#x20AC;?

Long-time Crescent Point director Ken Cugnet has also been a strong supporter of the hospital project. He and his wife Joanne had donated $1 million to the project on behalf of their family. Asked how instrumental Cugnet had been in securing Crescent Pointâ&#x20AC;&#x2122;s donation, Saxberg replied,

the community. Itâ&#x20AC;&#x2122;s a highlight of the things heâ&#x20AC;&#x2122;s done in the community. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re pretty excited about this opportunity and for the community.

Weâ&#x20AC;&#x2122;re just happy we can be in a position to donate and to give back to the community in this way,â&#x20AC;? Saxberg said.

Beyond the donation to the hospital foundation, Ken Cugnet noted the companyâ&#x20AC;&#x2122;s contributions to other worthy causes, like STARS. He recounted how some young men were recently

D&D OILFIELD RENTALS

driving around in a farmerâ&#x20AC;&#x2122;s field and hit a drainage ditch, just a couple miles south of Weyburn. They were seriously injured. STARS, for which Crescent Point instrumental in implementing, was deployed.

Cugnet recalled, â&#x20AC;&#x153;Watching it come in and make a circle, they landedâ&#x20AC;Ś I just said how proud I was to be part of an organization that supported that. To me, thatâ&#x20AC;&#x2122;s a success of a company â&#x20AC;&#x201C; what they put back into the communities theyâ&#x20AC;&#x2122;re working in, and put back into the communities theyâ&#x20AC;&#x2122;re working in.â&#x20AC;?

Noting donations to places like Weyburnâ&#x20AC;&#x2122;s Crescent Point Place arena and Estevanâ&#x20AC;&#x2122;s Affinity place, Cugnet said, â&#x20AC;&#x153;It doesnâ&#x20AC;&#x2122;t matter where you drive in the southeast, theyâ&#x20AC;&#x2122;ve given substantially to projects, and theyâ&#x20AC;&#x2122;re still giving to minor hockey, ball teams, and supporting them.â&#x20AC;?

Before the official announcement, Barber told Pipeline News the change from a 35 percent to 20 per cent local contribution made a â&#x20AC;&#x153;huge difference.â&#x20AC;? â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re estimating a hospital might cost in the tune of $100 million to get it built. Whatâ&#x20AC;&#x2122;s 15 per cent? Fifteen million. It reduces what we need to raise,â&#x20AC;? he said.

Prior to the Sept. 24 announcement, they had $15.5 million. â&#x20AC;&#x153;The need is still there. Our Foundation is going to continue to raise money for equipment forever.

But weâ&#x20AC;&#x2122;re over the top for bricks and mortar.â&#x20AC;?

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PIPELINE NEWS November 2014

A9

With Crescent Point’s growth, is southeast Saskatchewan becoming a ‘company town?’

America, this and Shaunavon. These will be the last rigs to shut down, if there ever is a shutdown in the oil industry. I think that’s something that should be very comforting to the people here and to the community here and those service providers. This is one of the top economic plays. If they’re shut in, everyone else is, which is pretty unlikely.

P.N.: This area was once dominated by Shell and large major players.

Some people seem to think you’re setting up to be a size attractive enough for a Shell or Exxon for an eventual buyout.

Saxberg: We’re a $20 billion market cap company, going to $30, $40 (billion). We’ve never entertained any of those, or had anybody approach us. So we’ll focus on growing the company and being successful. We have a five year, 10 year plan to do that.

On Oct. 21, Crescent Point Energy Corp. had four rigs (green dots) working in what they refer to as their Flat Lake area. The rigs were working south of Torquay, which is at the ŝŶƚĞƌƐĞĐƟ ŽŶ ŽĨ ,ŝŐŚǁĂLJƐ ϭϴ ĂŶĚ ϯϱϬ͘ KŶ ƚŚĂƚ ĚĂLJ͕ ƚŚĞ ĐŽŵƉĂŶLJ ŚĂĚ Ϯϱ ƌŝŐƐ ǁŽƌŬŝŶŐ ŝŶ tĞƐƚĞƌŶ ĂŶĂĚĂ͕ ƚŚĞ ƐĞĐŽŶĚ ŵŽƐƚ ĂĐƟ ǀĞ ĚƌŝůůĞƌ ŝŶ ƚŚĞ ĞŶƟ ƌĞ ĐŽƵŶƚƌLJ͘ Graphic courtesy Rig Locator

ɺ Page A4 Obviously we’re very concentrated and have consolidated a lot in the area.

Those deals become fewer and farther between. We’re always looking.

P.N.: The last time we spoke, you had talked about getting into waterfloods. Can you talk about your waterflood strategy?

Saxberg: We’re expanding the Viewfield waterflood, Bakken waterflood.

Now it’s 15,000 barrels a day, the third largest waterflood in Canada. To put it in perspective, it’s right behind the Weyburn field. It’s already at a scale beyond most conventional reservoirs in Western Canada; almost all of them.

We’re looking in the next couple years to probably double that size, to probably 30,000.

We’ll have our first water injector in the Torquay play here next year. That will move rapidly. It will give us a good sense of waterflooding into the U.S. and our U.S. lands. We’re pretty keen on that project.

P.N.: We understand you’re doing some work on gas plants?

Saxberg: We’re expanding the gas plant in Viewfield. We have another expansion planned for the southwest. We’ve built a gas plant in the Flat Lake area as well.

As these plays develop, we need that gas conservation and compression.

Those are all part and parcel to the growth of the fields.

P.N.: In talking to a lot of service providers, there is a little bit of a concern of southeast Saskatchewan becoming a little bit of a company town, in that if you don’t work for Crescent Point, you may not find much work.

There were a lot of concerns last summer, honestly, when you shut down your drilling program and had only one rig instead of 15 working. Everyone said, “Ahh, now what?” Can you address that?

Saxberg: Obviously, we’re concentrated here and in the southwest. I think we’ve been very positive for the community and for the service providers. We work with several different types of service providers and work with them very closely. They’ve been very good to use and treat us well, and we want tend to treat them very well.

It’s long term. We’ve got 15 years, 20 years of drilling here. It’s steady, low-risk work. That will always continue as the most economic play in North

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A10

PIPELINE NEWS November 2014

&RYD[ WR PDVV SURGXFH YDF XQLWV Â&#x201E; By Geoff Lee Lloydminster â&#x20AC;&#x201C; Covax Tank Company Inc. came to the 2014 Lloydminster Heavy Oil Show fresh from the first customer delivery of its vacuum and pressure trucks designed and manufactured in Edmonton.

The company formed in May 2013 has quickly become a sought-after manufacturer of vac trucks, trailers systems and hydrovac excavator units.

The fast growth company plans to build 60 to 100 units in different configurations in 2015 out of its new 45,000 sq. ft. facility in south east Edmonton acquired on a five year lease. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ll be moving in our first phase of people around Nov. 1,â&#x20AC;? said Covax CEO Bruce Wispinski in a follow-up phone interview on Oct. 15.

Wispinski is also the owner and CEO of the parent company Blowertech Ltd. that he founded in 2011.

His company has jumped to 201 on the 2014 Profit 500 list of Canadaâ&#x20AC;&#x2122;s fastest growing companies after holding down the 376 position the previous few years.

Blowertech is a booming business that repairs all types of mechanical and rotating machinery including blowers, fans, gearboxes, centrifuges, pumps and heavy industry machinery.

The company currently has a combined total of 70 employees including 55 at Covax that needs room to expand. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve already outgrown our facility. We are sharing a shop between the companies right now and weâ&#x20AC;&#x2122;ve outgrown that space and we need to increase production,â&#x20AC;? said Wispinski.

The first unit produced by Covax was delivered to Gibson Energy in July with many more to roll out of the plant in the coming weeks. â&#x20AC;&#x153;The industry backlog is at an all-time peak,â&#x20AC;?

said Robert Hawkes, chief operating officer at the Covax vac exhibit at the Lloydminster Exhibition Grounds Sept. 10-11. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;ve been in the industry for 25 years, and Iâ&#x20AC;&#x2122;ve never seen it this busy. Right now, our lead times are six months which is considered good.â&#x20AC;?

Wispinski said dollar-wise, the backlog at Covax is valued at about $12 million and quantitywise about 30 units. â&#x20AC;&#x153;We have a lot more capacity. We can build multiple units a month for any fleet that needs volume,â&#x20AC;? he said. â&#x20AC;&#x153;We have a lot of capacity because of our background in welding technology and the quality of our people.â&#x20AC;?

One of the keys to the quick success of Covax is an alliance with Kenworth for what Hawkes calls a joint venture rigged-and-ready program. ɸ Page A11

)LUVW Ă&#x20AC;UH RI LWV W\SH DW D 6DVN(QHUJ\ FDYHUQ Éş Page A5 â&#x20AC;&#x153;One was to knock the fire down and then work in the gas stream,â&#x20AC;? he said. â&#x20AC;&#x153;One was just to keep it burning and work in the flames, and they opted for knocking the flame down just as the boom crane was about to lower the wellhead into place. â&#x20AC;&#x153;They hit it with retardant and then just worked in the gas stream.â&#x20AC;?

Once the fire was out, crews spent the remainder of that weekend doing integrity work with the well and checking out the rest of the casing and the cavern itself. â&#x20AC;&#x153;We made the determination it was performing as per its design and it was holding the gas in the cavern,â&#x20AC;? said Burdeniuk.

An evacuation order was lifted by 6 p.m. on Oct. 19 allowing 13 affected people from four families to return to their homes. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re glad that they are back in their homes because thatâ&#x20AC;&#x2122;s asking a lot of

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your neighbours,â&#x20AC;? said Burdeniuk who noted there were no injuries or service outages during the emergency. â&#x20AC;&#x153;We didnâ&#x20AC;&#x2122;t want anyone hurt including the final stages when the new wellhead was installed and locked down,â&#x20AC;? he added. â&#x20AC;&#x153;Safety Boss told us there was nothing spectacular about this; that is was a fairly normal routine fire for them. I think what they do is quite extraordinary.â&#x20AC;?

Safety Boss and its CEO, Mike Miller, became famous by becoming the number one firefighting company in Kuwait after the 1991 Gulf War, when the retreating Iraqi army lit over 600 oil wells and â&#x20AC;&#x153;oil lakeâ&#x20AC;? ablaze. â&#x20AC;&#x153;They are one of the contractors we can call on in these situations,â&#x20AC;? said Burdeniuk. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve been operating caverns since 1964 and this is our first wellhead fire so it is good to have access to a company that is one of the best at what they do. â&#x20AC;&#x153;They were on the scene Oct. 11 to start their assessment.â&#x20AC;?

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PIPELINE NEWS November 2014

A11

The feature list of a Covax combo vac wash unit includes a fresh water tank, a diesel-fired hot water heater, a powerful vac pump and pressure wash pump and a containment tank for waste disposal.

The straight back vac Covax brought to the oil show is strictly intended for the transportation of dangerous goods typically from drilling rigs to regulated waste disposal sites.

Covax was founded by a decision made two years ago to acquire the vac truck assets from the former owner of Almac Machine Works who sold out to an Australian mining company in 2010.

“They decided that vac trucks weren’t part of their core competency so that was shut down and we took the opportunity and bought those assets,” explained Hawkes.

The purchase included $500,000 of vac truck inventory for building the trucks along with $250,000 of tank design as intellectual property. ĂǀŝĚ ,ĂǁŬĞƐ͕ ŵĂƌŬĞƟ ŶŐ ĂĚŵŝŶŝƐƚƌĂƚŽƌ ĨŽƌ ŽǀĂdž dĂŶŬ ŽŵƉĂŶLJ /ŶĐ͘ ƐƚĂŶĚƐ ďĞƐŝĚĞ Ă ŶĞǁ ƚƌŝ ĚƌŝǀĞ ƐƚƌĂŝŐŚƚ ďĂĐŬ ǀĂĐ “It was a natural progression for Bruce to pick ƵŶŝƚ ďƵŝůƚ ďLJ ƚŚĞ ĐŽŵƉĂŶLJ ŝŶ ĚŵŽŶƚŽŶ͘ ^ŽŵĞ ŽĨ ŽǀĂdž ƌŝŐŐĞĚ ĂŶĚ ƌĞĂĚLJ ƵŶŝƚƐ ĂƌĞ ďƵŝůĚ ŽŶ Ă <ĞŶǁŽƌƚŚ dϴϬϬ ŚĞĂǀLJ ĚƵƚLJ ƚƌƵĐŬ ĐŚĂƐƐŝƐ͘ dŚĞ ǀĂĐ ƵŶŝƚ ĂƩ ƌĂĐƚĞĚ Ă ůŽƚ ŽĨ ĂƩ ĞŶƟ ŽŶ ĚƵƌŝŶŐ ƚŚĞ ϮϬϭϰ >ůŽLJĚŵŝŶƐƚĞƌ ,ĞĂǀLJ Kŝů ^ŚŽǁ ŝŶ ^ĞƉƚĞŵͲ this company up,” said Hawkes.

Prior to that Blowertech purchased the rotating ďĞƌ͘ WŚŽƚŽ ďLJ 'ĞŽī >ĞĞ equipment repair business from the new owner of Almac that included a large service facility situated “We have different kind of computer CAD ɺ Page A10 programs where we can model and profile the truck on 4.5 acres of land.

Wispinski went on to form Brudon Air Vac and come up with a system that is suited to what a “It’s a combination of Edmonton Kenworth Ltd. in 2011 as the exclusive North American discustomer’s requirements are in the field. supplying the truck chassis, and then we build the tributor for Kay International positive displacement backend section with our vacuum tank systems,” he “We like to work with fleets and we will also vacuum blowers based in India. work with the independent contractors.” explained.

“We weren’t happy with the product we were The industry demand for vacuum and pressure The choice of truck chassis, however, is purely getting from the North American Canadian supwash units is driven in part by an increase in oil customer driven and can be any make and model. plier. We sourced a supplier that will actually listen production and a lack of pipeline capacity to trans“It’s whatever the customer demands. They can to our needs” said Wispinski. bring their truck – they can have their truck sent port oil to market.

“We are efficiency driven and also driven to “When there is no access to pipelines, 400 from a dealer of their choice,” explained Wispinski.

“The Kenworth working relationship does give barrel tanks are popular on the site. Our equipment give the customer an efficient truck that gives them the maximum amount of payload possible. will move that product from point A to point B,” us some trucks that are in our calendar that aren’t “We are constantly looking at alternative methspoken for yet. It does give the end user the option explained Hawkes. of having very quick access to units.

Covax’s new manufacturing facility will employ ods of manufacturing that can lighten up some some of the last welding technology to boost capac- components.”

“We have a number of build slots with the At the oil show, Hawkes said with Wispinski’s ity including semi automatic welding equipment.

Kenworth relationship that aren’t committed to yet background he was able to go to the factory to set “There will be laser seam tracking and welding but the truck is ready to be built. up this North American distribution agreement “It really speeds us the process for someone vision cameras. We are adopting some fairly new and make this blower Alberta tough. technology to improve and streamline our operaneeding a truck right now.”

The technical merits and performance benchThe Kenworth class 8 T800B heavy truck chas- tion and increase efficiency,” said Wispinski. marks included in the KAY blower design signifiCombo vac wash units are among the most sis supports a variety of Covax vac units including tri-drive straights, combo vac wash units, tri-drive popular products in demand by customers in West- cantly reduce pulsation, slippage and noise levels.

“This will work at 40 below and 40 above. It ern Canada along with the export of various units hydrovacs, and semi-vac trailer systems. offers a two year warranty which is double other to the United States and South America.

“We have numerous other configurations – manufacturers,” said Hawkes who was pleased with “Combo vac wash units seem to be popular track mounted vehicles, different trailer systems, the traffic to his outdoor display. skid systems – whatever’s in demand for the right now and semi-vacs for long distance waste As for sales of vac units Hawkes reported, “As a oilpatch in Alberta,” said Hawkes including custom disposal are very popular. It’s a little bit of everyresult of the Lloyd oil we did receive orders.” builds. thing,” said Hawkes.

Lloydminster

6203 - 56th Street, Lloydminster, AB T9V 3C1

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A12

PIPELINE NEWS November 2014

Spill drill preps pipeline companies

By Geoff Lee Edmonton – Member pipeline companies of the Canadian Energy Pipeline Association will take a new collaborative approach to respond to future emergency situations.

CEPA tested its mutual emergency assistance agreement (MEAA) for the first time on Sept. 24 from an incident command post set up at Northlands’ Expo Centre in Edmonton to deal with a mock oil spill.

The exercise brought 70 industry employees and evaluators together to test their ability to work together to contain and recover a large volume of virtual oil detected on the North Saskatchewan River near Edmonton.

“This is an historic occasion. This is the first time the agreement has been tested, so let’s really put that to the test and see how it works,” said Sean Reilly, the lead controller for the exercise during a group orientation.

“The purpose really is to test the agreement to work through an organization so everyone has a chance to work into an ICS (incident command system) organization.

“At the end of the day, I hope to have a laundry list of things that we can look at and say, ‘Maybe we need to modify the agreement here, maybe we need to fix this, maybe we need to tweak that a little bit.’”

The agreement made last November, allows CEPA member companies to call upon each other to share additional manpower and equipment to increase their existing response capabilities during a major emergency situation.

“Today is an opportunity to meet somebody new, exchange business cards, exchange ideas, talk about how you do things, how they do things. Steal shamelessly. Learn something new,” said Reilly.

“My goal for the day is for everybody to learn one new thing and meet one new person. The purpose is to focus in on that agreement and getting that organization to work through some of these initial reactive phases.”

At the ICS centre, pipeline employees and role players were grouped into the five functional areas of command, operations, planning, logistics and finance administration wearing coloured section vests.

A tour of the command centre was led by Jared Serviss, supervisor of emergency management at Inter Pipeline and chairman of CEPA’s emergency and security management working group.

Page A13

ƌĞŶĚĂ <ĞŶŶLJ͕ ƉƌĞƐŝĚĞŶƚ ĂŶĚ K ŽĨ ƚŚĞ ĂŶĂĚŝĂŶ ŶĞƌŐLJ WŝƉĞůŝŶĞ ƐƐŽĐŝĂƟ ŽŶ͕ ƐƉŽŬĞ ƚŽ ŐƵĞƐƚƐ ĂŶĚ ƉĂƌƟ ĐŝƉĂŶƚƐ Ăƚ ƚŚĞ ŝŶĂƵŐƵƌĂů ƚĞƐƚ ŽĨ Ă ŵƵƚƵĂů ĞŵĞƌŐĞŶĐLJ ĂƐƐŝƐƚĂŶĐĞ ĂŐƌĞĞͲ ŵĞŶƚ ďLJ ƉŝƉĞůŝŶĞ ĐŽŵƉĂŶŝĞƐ Ăƚ EŽƌƚŚůĂŶĚƐ͛ džƉŽ ĞŶƚƌĞ ŝŶ ĚŵŽŶƚŽŶ͘ WŚŽƚŽƐ ďLJ 'ĞŽī >ĞĞ

An Innovation in Safe, Clean Well Abandonment

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NuWave’s innovative technology features an abrasive water jet cutting tool that is lowered into the well casing and cuts from the inside, slicing through layers of steel and cement with incredible speed. Then the entire casing is pulled right out of the ground, leaving only a small hole. Our ERCB-approved vented cap is compression-fit to the casing strings, the hole is backfilled, and the job is complete, with minimal ground disturbance.

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Depending on the number of layers of casings and cement, NuWave’s cutting process takes from 20 minutes to an hour. The traditional excavation cut-andcap method, in many cases, is a full-day job for a single well; in that same day’s time, NuWave can complete six abandonments.

The part of the NuWave innovation we’re most proud of is the dramatic increase in safety. For starters, you’re not putting a man down a pit— that eliminates all kinds of potential injuries right there. There’s no exposure to harmful gases or chemicals.

NuWave’s technology is mobile and portable. It can be used on any terrain, in any temperature. The system is ideal for use in wet muskeg conditions that would otherwise require a hydrovac to dry out the well hole.

Saving on time, manpower, and resources all translates to saving big money!

NuWave’s process involves no flame or sparking tools, eliminating dangerous fire hazards.

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PIPELINE NEWS November 2014

A13

70 pipeline employees and evaluators turned out at Northlandsâ&#x20AC;&#x2122; Expo Centre in EdžŽŜĆ&#x161;ŽŜ ĨŽĆ&#x152; Ć&#x161;Ĺ&#x161;Ä&#x17E; ÄŽĆ&#x152;Ć?Ć&#x161; Ć&#x161;Ä&#x17E;Ć?Ć&#x161; Ä&#x17E;Ç&#x2020;Ä&#x17E;Ć&#x152;Ä?Ĺ?Ć?Ä&#x17E; ŽĨ W Ć? žƾĆ&#x161;ĆľÄ&#x201A;ĹŻ Ä&#x17E;ĹľÄ&#x17E;Ć&#x152;Ĺ?Ä&#x17E;ĹśÄ?Ç&#x2021; Ä&#x201A;Ć?Ć?Ĺ?Ć?Ć&#x161;Ä&#x201A;ĹśĆ&#x161; Ä&#x201A;Ĺ?Ć&#x152;Ä&#x17E;Ä&#x17E;ĹľÄ&#x17E;ĹśĆ&#x161; ŽŜ Sept. 24.

dĹ&#x161;Ĺ?Ć? Ĺ˝Ć&#x2030;Ä&#x17E;Ć&#x152;Ä&#x201A;Ć&#x;ŽŜĆ? Ĺ?Ć&#x152;ŽƾĆ&#x2030; Ç Ĺ˝Ć&#x152;ĹŹÄ&#x17E;Ä&#x161; Ć&#x161;Ĺ˝Ĺ?Ä&#x17E;Ć&#x161;Ĺ&#x161;Ä&#x17E;Ć&#x152; Ä&#x201A;Ć&#x161; Ä&#x201A;Ĺś Ĺ?ĹśÄ?Ĺ?Ä&#x161;Ä&#x17E;ĹśĆ&#x161; Ä?ŽžžÄ&#x201A;ĹśÄ&#x161; Ä?Ä&#x17E;ĹśĆ&#x161;Ć&#x152;Ä&#x17E; Ć?Ä&#x17E;Ć&#x161; ĆľĆ&#x2030; Ä&#x201A;Ć&#x161; EĹ˝Ć&#x152;Ć&#x161;Ĺ&#x161;ĹŻÄ&#x201A;ĹśÄ&#x161;Ć?Í&#x203A;Ć? Ç&#x2020;Ć&#x2030;Ĺ˝ Ä&#x17E;ĹśĆ&#x161;Ć&#x152;Ä&#x17E; Ĺ?Ĺś Ä&#x161;žŽŜĆ&#x161;ŽŜ ĨŽĆ&#x152; Ć&#x161;Ĺ&#x161;Ä&#x17E; ÄŽĆ&#x152;Ć?Ć&#x161; Ć&#x161;Ć&#x152;Ĺ?Ä&#x201A;ĹŻ Ć&#x161;Ä&#x17E;Ć?Ć&#x161; ŽĨ Ä&#x201A; žƾĆ&#x161;ĆľÄ&#x201A;ĹŻ Ä&#x17E;ĹľÄ&#x17E;Ć&#x152;Ĺ?Ä&#x17E;ĹśÄ?Ç&#x2021; Ä&#x201A;Ć?Ć?Ĺ?Ć?Ć&#x161;Ä&#x201A;ĹśĆ&#x161; Ä&#x201A;Ĺ?Ć&#x152;Ä&#x17E;Ä&#x17E;ĹľÄ&#x17E;ĹśĆ&#x161; Ä&#x201A;žŽŜĹ? Ć&#x2030;Ĺ?Ć&#x2030;Ä&#x17E;ĹŻĹ?ĹśÄ&#x17E; Ä?ŽžĆ&#x2030;Ä&#x201A;ĹśĹ?Ä&#x17E;Ć?Í&#x2DC;

Éş Page A12 â&#x20AC;&#x153;They can come into here, leave their company or organization at the door, put on the appropriate vest and easily find their location and that tells that what function they are going to be doing,â&#x20AC;? explained Serviss. â&#x20AC;&#x153;Everyone will be working on their pods or particular activities. We will see a lot of that cross pollination â&#x20AC;&#x201C; that working together. You might see blue vests working with red vests. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve got at least eight or nine companies minimum in the room, all working together. We have looked at all the companies with CEPA and they all adhere to the principles of ICS. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a very disciplined approach.â&#x20AC;?

CEPA represents 12 transmission pipeline companies who operate about 130,000 kilometres of pipelines in Canada and the United States.

The member pipeline companies are Access, Enbridge, Pembina, TransCanada, Alliance, Inter Pipeline, Plains Midstream Canada, TransGas, ATCO, Kinder Morgan Canada, Spectra Energy and Trans-Northern.

Serviss said itâ&#x20AC;&#x2122;s definitely not unique for pipeline companies to work together even before CEPA made the mutual emergency agreement.

â&#x20AC;&#x153;We always had an informal agreement. We put aside the business-type goals. When something happens everyone pitches in. This just formalizes that,â&#x20AC;? he said.

He went on to say the agreement â&#x20AC;&#x153;is formalizing what already existed in an informal way in industry.â&#x20AC;?

At the midpoint of the exercise, Reilly liked the pace of group dynamics in the room that he said is central to a successful ICS operation. â&#x20AC;&#x153;I see a lot of good communication. I see a lot of good coordination between the different parties,â&#x20AC;? he said to Pipeline News. â&#x20AC;&#x153;Thatâ&#x20AC;&#x2122;s really how I can gauge an exercise. Itâ&#x20AC;&#x2122;s how well people are talking to each other. In the early stages, thatâ&#x20AC;&#x2122;s usually the hardest thing. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s to get them to work together and come together and kind of develop the organization and develop a response to a potential incident.â&#x20AC;?

Reilly said the key is to make the exercise realistic enough to give people an idea of what they need to do. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s getting them to understand that there are artificialities. They have to learn to move past the artificialities.â&#x20AC;? ɸ Page A14

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A14

PIPELINE NEWS November 2014

Mock oil spill on North Saskatchewan River ɺ Page A13 from a range of companies. By rubbing shoulders together in the midst of an Oil just mysteriously appears on the North Saskatchewan River by a exercise, they’re going to be learning from each other. pipeline right of way to set up the scenario for the mock exercise explained by “So I am sure folks will leave today saying ‘I hope I never have to do the Reilly.

MEAA because I hope The mock spill he said I never have an incident is detected by an Inter that requires it.’”

Pipeline crew on a routine Kenney also said the equipment deployment exercise and the mutual exercise. agreement reflect the The crew then deploys desire of CEPA members equipment and calls Westto continuously improve ern Canadian Spill Services pipeline safety by workabout equipment, before ing together. realizing the spill could get “I think that we, as bigger enacting the mutual an industry across these assistance agreement. big transmission pipe“Any emergency where lines, now really underextra support would be stand more than ever, helpful would trigger it,” we do not compete on said Brenda Kenny, presisafety,” she said. dent and CEO of CEPA to “It is absolutely Pipeline News. fundamental that we look “It would be something at this an opportunity like where you have a two to learn together and to alarm fire instead of a one accelerate improvement. alarm fire. It’s anything that We have a goal of zero could impact the safe opera- DŝŬĞ >ŽĐŬĞ͕ ŽƉĞƌĂƟŽŶƐ ŵĂŶĂŐĞƌ ĨŽƌ tĞƐƚĞƌŶ ĂŶĂĚŝĂŶ ^Ɖŝůů ^ĞƌǀŝĐĞƐ ƌƵŶƐ ƚŚƌŽƵŐŚ ƐŽŵĞ ĞƋƵŝƉŵĞŶƚ ĚĞŵŽƐ incidents. tions of the companies.”

“I think working toĚƵƌŝŶŐ ƚŚĞ ĮƌƐƚ ƚĞƐƚ ŽĨ Ă ŶĞǁ ŵƵƚƵĂů ĞŵĞƌŐĞŶĐLJ ĂƐƐŝƐƚĂŶĐĞ ĂŐƌĞĞŵĞŶƚ ďLJ ŵĞŵďĞƌƐ ĐŽŵƉĂŶŝĞƐ ŽĨ ƚŚĞ ĂŶĂĚŝĂŶ ŶĞƌŐLJ WŝƉĞůŝŶĞ ƐƐŽĐŝĂƟŽŶ͘ dŚĞ ĞǀĞŶƚ ǁĂƐ ŚĞůĚ Ăƚ ƚŚĞ EŽƌƚŚůĂŶĚƐ͛ džƉŽ ĞŶƚƌĞ ŝŶ ĚŵŽŶƚŽŶ͘ Kenny said having a gether is the way forward. well-tested plan in place Emergency response is goes beyond the regulatory one of those things that requirement of companies to conduct their own emergency response plans. you plan for and hope that you never actually have to do.

“I think it’s really important for two things. One is, that if we do need to “When you are dealing with an incident in real time, it’s a time of crisis. activate the MEAA, we’ve tried it out and we know where there might of be“Going through this kind of exercise today, individuals get to know each ing some pitfalls that are remedied because of this exercise today,” she said. other, trust each other, know where they’re coming from and they have a shared “Also as we go through the exercise, you have representatives and experts language and a shared conviction.”

PIPELINE NEWS November 2014

A15

Hawkeye sees opportunity in Lloyd tank level-gauging and vapour-control products, pipeline products and oil well production equipment.

They sell a full line of high density polyethylene fittings including Ts, elbows and laterals molded and fabricated at the Edmonton plant.

Their ID-controlled steel to polyethylene

fitting is manufactured without heat by cold flowing the polyethylene that creates a good seal and a strong fitting.

Itâ&#x20AC;&#x2122;s marketed as a piggable alternative to traditional, non-IDcontrolled fittings with several applications. â&#x20AC;&#x153;It would be used for fuel gas lines, coalbed methane â&#x20AC;&#x201C; any-

where where they need to pig a line,â&#x20AC;? said Eliuk. â&#x20AC;&#x153;So they put in say three kilometers of polyethylene. They need to transition to steel at the surface and if they ever have to pig those lines, they would choose our fitting so the pig would not get stuck within the connection of the two.â&#x20AC;?

^Ä&#x201A;ĹŻÄ&#x17E;Ć? ĹľÄ&#x201A;ĹśÄ&#x201A;Ĺ?Ä&#x17E;Ć&#x152; :Ä&#x17E;ÄŤ ĹŻĹ?ƾŏ Ć&#x2030;Ĺ?Ć&#x161;Ä?Ĺ&#x161;Ä&#x17E;Ä&#x161; Ĺ˝Ĺ?ĹŻ Ä&#x201A;ĹśÄ&#x161; Ĺ?Ä&#x201A;Ć? Ć&#x2030;Ć&#x152;Ĺ˝Ä&#x161;ĆľÄ?Ć&#x161;Ć? ĹľÄ&#x201A;ŜƾĨÄ&#x201A;Ä?Ć&#x161;ĆľĆ&#x152;Ä&#x17E;Ä&#x161; Ä?Ç&#x2021; ,Ä&#x201A;Ç ĹŹÄ&#x17E;Ç&#x2021;Ä&#x17E; /ĹśÄ&#x161;ĆľĆ?Ͳ Ć&#x161;Ć&#x152;Ĺ?Ä&#x17E;Ć? /ĹśÄ?Í&#x2DC; Ĺ?Ĺś Ä&#x161;žŽŜĆ&#x161;ŽŜ Ć&#x161;Ĺ˝ Ä?ŽžĆ&#x2030;Ä&#x201A;ĹśĹ?Ä&#x17E;Ć? Ä&#x201A;ĹśÄ&#x161; Ç&#x20AC;Ĺ?Ć?Ĺ?Ć&#x161;Ĺ˝Ć&#x152;Ć? Ä&#x161;ĆľĆ&#x152;Ĺ?ĹśĹ? Ć&#x161;Ĺ&#x161;Ä&#x17E; ĎŽĎŹĎ­Ď° >ĹŻĹ˝Ç&#x2021;Ä&#x161;ĹľĹ?ĹśĆ?Ć&#x161;Ä&#x17E;Ć&#x152; ,Ä&#x17E;Ä&#x201A;Ç&#x20AC;Ç&#x2021; KĹ?ĹŻ ^Ĺ&#x161;Ĺ˝Ç Ĺ?Ĺś ^Ä&#x17E;Ć&#x2030;Ć&#x161;Ä&#x17E;ĹľÄ?Ä&#x17E;Ć&#x152; ĨŽĆ&#x152; ĨƾĆ&#x161;ĆľĆ&#x152;Ä&#x17E; Ć?Ä&#x201A;ĹŻÄ&#x17E;Ć?Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

Lloydminster â&#x20AC;&#x201C; A stuck pig can bleed the finances of a pipeline operator if production is shut down to free it.

Thatâ&#x20AC;&#x2122;s why itâ&#x20AC;&#x2122;s a good idea to purchase ID-controlled steel to polyethylene fittings manufactured by Hawkeye Industries Inc. in Edmonton for the oil and gas market. â&#x20AC;&#x153;Our ID-controlled fittings are one of the only ones made here in Canada where the ID of the steel is the same ID as the polyethylene so itâ&#x20AC;&#x2122;s very easy to pig,â&#x20AC;? said Jeff Eliuk, sales manager.

A pipeline pig tool is typically deployed by an operator for cleaning, inspection, and product removal for flow assurance.

Hawkeyeâ&#x20AC;&#x2122;s ID-controlled transition fitting for easy pigging was one of the featured products

on display at Hawkeyeâ&#x20AC;&#x2122;s booth during the 2014 Lloydminster Heavy Oil Show held Sept 10-11.

There was also a related assortment of flange adapters, backup rings, tracer wire, end seals and RACI casing spacers on exhibit.

RACI spacers isolate carrier pipes from casing pipe. â&#x20AC;&#x153;They are very unique to the industry and we are one of the only companies that have this product,â&#x20AC;? said Eliuk.

The unique RACI design provides projections around the entire circumference of the carrier pipe, and has no fasteners to scratch or mar the casing during installation. â&#x20AC;&#x153;A lot of oil companies use our fittings because of the quality.

Weâ&#x20AC;&#x2122;ve been making them for years,â&#x20AC;? said

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He described the goal at the oil show as â&#x20AC;&#x153;just getting our name out â&#x20AC;&#x201C; awareness and people understanding what we sell and the quality behind what we make.â&#x20AC;?

Hawkeye Industries is a manufacturer of

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A16

PIPELINE NEWS November 2014

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PIPELINE NEWS November 2014

A17

Optimus Prime breaks ice in Lloyd Â&#x201E; By Geoff Lee Lloydminster â&#x20AC;&#x201C; The only thing missing from the outdoor exhibit of oilfield trucks by First Truck Centre at the recent 2014 Lloydminster Heavy Oil Show was popcorn.

The local Western Star and Freightliner dealer propped up its display with the Optimus Prime truck featured in the Hollywood summer blockbuster movie Transformers: Age of Extinction.

Ed Durocher, a truck sales rep had a front row seat so to speak to a show of visitors taking photos and videos of the flashy looking movie truck that served as a conversation ice breaker. â&#x20AC;&#x153;Everybodyâ&#x20AC;&#x2122;s stopping by and taking photos and they all want to see it. It was a big movie,â&#x20AC;? said Durocher at the Lloydminster Exhibition Grounds. â&#x20AC;&#x153;You donâ&#x20AC;&#x2122;t normally see that many children at the oil show, but everyone wants their photo taken with it.â&#x20AC;?

The Optimus Prime truck is a Western Star truck with a vastly different aerodynamic look from the Peterbilt truck used in the first three Transformer movies. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s built on a Western Star chassis, but Daimler Trucks North America is the parent company for both Freightliner trucks and Western Star trucks,â&#x20AC;? explained Durocher.

Optimus Prime took its styling cues from a new fuel efficient Western Star 5700XE highway truck unveiled in Las Vegas the same week the Lloydminster oil show was held from Sept. 10-11.

The 5700XE is the truck makerâ&#x20AC;&#x2122;s first foray into the aerodynamic on-highway tractor segment.

Dealers will begin taking orders for the truck later this year for delivery in the spring of 2015.

In Lloydminster, Western Star truck chassis like the 4900 model are used to build a variety of oilfield trucks including the hydrovacs, and pressure trucks that First Truck Centre displayed. â&#x20AC;&#x153;Here in the booth I think we have seven units.

Weâ&#x20AC;&#x2122;ve got a small picker, weâ&#x20AC;&#x2122;ve got a pressure truck and weâ&#x20AC;&#x2122;ve got a hydrovac unit,â&#x20AC;? said Durocher. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve got a tank unit as well as just a regular oilfield haul tractor thatâ&#x20AC;&#x2122;s rigged up.â&#x20AC;?

First Truck Centre also sells a lot heavy haul specâ&#x20AC;&#x2122;d trucks and a long list of other vocational heavy trucks on the Western Star 4900 set forward or set back axel configurations.

Western Star trucks often get the nod from companies seeking to rig up a hydrovac or pressure unit to the chassis which is Durocherâ&#x20AC;&#x2122;s sales specialty. ɸ Page A18

Ed Durocher, a sales rep for First Truck Centre in Lloydminster was one of dozens of people to pose for a photo next to Ć&#x161;Ĺ&#x161;Ä&#x17E; KĆ&#x2030;Ć&#x;žƾĆ? WĆ&#x152;Ĺ?ĹľÄ&#x17E; tÄ&#x17E;Ć?Ć&#x161;Ä&#x17E;Ć&#x152;Ĺś ^Ć&#x161;Ä&#x201A;Ć&#x152; Ć&#x161;Ć&#x152;ĆľÄ?ĹŹ Ć?Ä&#x17E;Ä&#x17E;Ĺś Ĺ?Ĺś Ć&#x161;Ĺ&#x161;Ä&#x17E; žŽÇ&#x20AC;Ĺ?Ä&#x17E; dĆ&#x152;Ä&#x201A;ĹśĆ?ĨŽĆ&#x152;ĹľÄ&#x17E;Ć&#x152;Ć?Í&#x2014; Ĺ?Ä&#x17E; ŽĨ Ç&#x2020;Ć&#x;ĹśÄ?Ć&#x;ŽŜÍ&#x2DC; The Hollywood truck drew Ä&#x201A;ĆŠÄ&#x17E;ĹśĆ&#x;ŽŜ Ć&#x161;Ĺ˝ &Ĺ?Ć&#x152;Ć?Ć&#x161; dĆ&#x152;ĆľÄ?ĹŹÍ&#x203A;Ć? Ä&#x161;Ĺ?Ć?Ć&#x2030;ĹŻÄ&#x201A;Ç&#x2021; ŽĨ Ĺ˝Ĺ?ĹŻÄŽÄ&#x17E;ĹŻÄ&#x161; Ć&#x161;Ć&#x152;ĆľÄ?ĹŹĆ? Ä?Ä&#x201A;Ć?Ä&#x17E;Ä&#x161; ŽŜ Ć&#x161;Ĺ&#x161;Ä&#x17E; tÄ&#x17E;Ć?Ć&#x161;Ä&#x17E;Ć&#x152;Ĺś ^Ć&#x161;Ä&#x201A;Ć&#x152; ϰϾϏϏ Ä?Ĺ&#x161;Ä&#x201A;Ć?Ć?Ĺ?Ć?Í&#x2DC;

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A18

PIPELINE NEWS November 2014

Rig ups often done locally ɺ Page A17 “Everyone really likes the Western Star brand for this. It’s a very durable well known oilfield style of truck,” he said.

“The pressure trucks that we got built are very popular around here.”

First Truck Centre makes a point of referring customers to a list of wellknown local companies for rig ups.

“We usually let the customer make their choice as to who they want on the backend, but the manufactures here locally, they just build quality stuff,” said Durocher.

Durocher spoke about out a pressure truck rigging on the backend of a Western Star truck on display as an example of what local suppliers can do.

The unit in subject was built by Ronera Trucking, a local manufacturing company.

“Our local customers like to deal locally. If there are any warranty issues or parts supply issues or anything like that – they don’t have to run to the city,” said Durocher.

Also on display was a hydrovac unit rigged up to a Western Star chassis by Foremost in Stettler Alberta for Pentacon Utility Services in Vermilion.

“This is unit that a customer had built. It’s a hydrovac unit built on a Western Star. This is a tri-drive chassis. It’s a very nice unit,” said Durocher.

Although the made-for-Hollywood Optimus Prime truck stole most of the attention at the First Truck Centre booth, Durocher said the crowd reaction to their oilfield trucks was as good as expected.

“Everything that’s here that’s rigged up is kind of nice because the customers can actually be here, see it, and touch it kind of thing,” he said.

“It’s very easy to see the durability and everything that’s built into the Western Star and the Freightliners.

“It’s a chance to experience the unit as it’s built and ready to go to work. “

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A19

Badger digs a niche in Lloyd Lloydminster â&#x20AC;&#x201C; Badger Daylighting Ltd. continues to add to its fleet of hydrovacs in Lloydminster to keep pace with the demand for non-destructive excavating. â&#x20AC;&#x153;We have seven in Lloydminster and we are planning on growing,â&#x20AC;? said Bruce Slade, area manager, at the 2014 Lloydminster Heavy Oil Show. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re up to 12 employees now and weâ&#x20AC;&#x2122;re still growing.â&#x20AC;?

The company has been on a tear since the grand opening of their 9,100 sq. ft. facility in Lloydminster last spring when five hydrovacs were in service. â&#x20AC;&#x153;We have been doing really well actually. Itâ&#x20AC;&#x2122;s been good for us,â&#x20AC;? said Slade who noted there is space available in the new shop to park more hydrovacs. â&#x20AC;&#x153;We purchased Fieldtek, so we have storage there if we need it.â&#x20AC;?

Fieldtek Holdings Ltd., purchased in November 2013, specializes in production tank cleaning and removal of waste oil and sand.

At the Lloydminster branch, daylighting underground gas lines and electrical is the main focus of operations. â&#x20AC;&#x153;About 90 percent of our work is for the oil and gas industry in Lloyd,â&#x20AC;? said Slade. â&#x20AC;&#x153;Bigger branches like Regina and Calgary â&#x20AC;&#x201C; they do a lot of construction.â&#x20AC;?

Hydrovacing services at Badger include line exposing, pole and piling holes, debris removal and tank cleanouts along with growing shoring applications.

Badger uses its own hydrovacs built in Red Deer to provide non-destructive excavation to customers in the oil and gas, power, municipal, transportation, industrial and commercial construction sectors. â&#x20AC;&#x153;We make everything for all of North America.

We are the largest hydrovac company in North America. We push out 1.4 trucks a day,â&#x20AC;? said Slade.

Badger has more the 900 hydrovacs in service from more than 100 locations in Canada and the United States.

Their hydrovac systems are mounted on the back end of Peterbilt trucks.

Badger hydrovacs use a pressurized water stream to liquefy the soil cover, which is then removed with a powerful vacuum system and deposited into a storage tank housed on the truck.

As for Badgerâ&#x20AC;&#x2122;s expectations at the oil show, Slade said, â&#x20AC;&#x153;It always works out real well for us. Every time we come there is always good connections to be made at the oil show.â&#x20AC;?

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PIPELINE NEWS November 2014

PIPELINE NEWS November 2014

A21

Ground zero pix of the Lloyd oil show Â&#x201E; By Geoff Lee Lloydminster â&#x20AC;&#x201C; There was a lot to see during the 2014 Lloydminster Heavy Oil Show held at the Lloydminster Exhibition Grounds Sept. 10-11.

There was a record 260 exhibitors indoors and outdoors that attracted 6,200 people from all over the world.

In case you missed the event, we are pleased to share these images of the show with you.

Now that the Lloyd show is over, this would a good time to plan to attend the Bonnyville & District Oil & Gas to be held at the Bonnyville Centennial Centre June 17-18, 2015.

Visit the event website at www.bonnyvilleoilandgasshow.com for details on how to register and where to stay.

The outdoor exhibits at the 2014 Lloydminster Heavy Oil Show drew sizable Ä?Ć&#x152;Ĺ˝Ç Ä&#x161;Ć? ŽŜ Ć&#x161;Ĺ&#x161;Ä&#x17E; ÄŽ ĹśÄ&#x201A;ĹŻ Ä&#x161;Ä&#x201A;Ç&#x2021; ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; Ä&#x17E;Ç&#x20AC;Ä&#x17E;ĹśĆ&#x161; Ĺ&#x161;Ä&#x17E;ĹŻÄ&#x161; ^Ä&#x17E;Ć&#x2030;Ć&#x161;Í&#x2DC; ϭϏͲϭϭ Ć&#x161;Ĺ&#x161;Ä&#x201A;ŜŏĆ? Ć&#x161;Ĺ˝ Ä?ĹŻÄ&#x17E;Ä&#x201A;Ć&#x152; Ä?ĹŻĆľÄ&#x17E; Ć?ĹŹĹ?Ä&#x17E;Ć? Ä&#x201A;ĹśÄ&#x161; Ç Ä&#x201A;Ć&#x152;Ĺľ Ć&#x161;Ä&#x17E;ĹľĆ&#x2030;Ä&#x17E;Ć&#x152;Ä&#x201A;Ć&#x161;ĆľĆ&#x152;Ä&#x17E;Ć?Í&#x2DC; /Ć&#x161; Ç Ä&#x201A;Ć? Ä&#x201A; Ĺ?Ć&#x152;Ä&#x17E;Ä&#x201A;Ć&#x161; Ć&#x2030;ĹŻÄ&#x201A;Ä?Ä&#x17E; Ć&#x161;Ĺ˝ Ĺ&#x161;Ä&#x201A;Ç&#x20AC;Ä&#x17E; ůƾŜÄ?Ĺ&#x161;Í&#x2022; Ć&#x161;ŽŽÍ&#x2022; Ç Ĺ?Ć&#x161;Ĺ&#x161; ĹľÄ&#x201A;ĹśÇ&#x2021; Ä&#x17E;Ç&#x2020;Ĺ&#x161;Ĺ?Ä?Ĺ?Ć&#x161;Ĺ˝Ć&#x152;Ć? Ć?Ć&#x161;ŽŏĹ?ĹśĹ? Ä?Ä&#x201A;Ć&#x152;Ä?Ä&#x17E;Ä?ĆľÄ&#x17E;Ć?Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝Ć? Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

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A22

PIPELINE NEWS November 2014

United Safety showcases innovation Lloydminster â&#x20AC;&#x201C; United Safety Ltd. deployed three of their innovative safety devices to define their booth space and presence at the 2014 Lloydminster Heavy Oil Show.

The show of equipment included a blinding air cart the can be used both as a breathing air delivery system and a pneumatic tool air source; a tower cart for portable tool storage, and a Typhoon remote community alarm system.

The display is in keeping with United Safetyâ&#x20AC;&#x2122;s profile as a global safety provider of H2S safety services, specialized equipments and personnel and safety solutions to the oil and gas industry. â&#x20AC;&#x153;We provide breathing air equipment and manpower for turnaround and shutdowns,â&#x20AC;? explained Justin Pellerin, a business development rep with the Fort Saskatchewan office. â&#x20AC;&#x153;We also support the upstream market with H2S advisors as well as gas detection equipment.â&#x20AC;?

United Safety has conducted over 735 turnarounds during its 27 year history including approximately 30

over the past year. â&#x20AC;&#x153;On average, we have about 150 full-time employees and we ramp up â&#x20AC;&#x201C; I think the last count was up to 800 â&#x20AC;&#x201C; just to support the turnarounds in the region,â&#x20AC;? said Pellerin. â&#x20AC;&#x153;Next year, we are projecting close to 1,600 people.â&#x20AC;?

Growth in Western Canada is being driven by strong maintenance and turnaround activity with an uptick in drilling activity as well. â&#x20AC;&#x153;Also with our occupational health and safety technicians weâ&#x20AC;&#x2122;re seeing more growth supporting projects with construction capital and things of that nature â&#x20AC;&#x201C; so supporting them from a health and safety side,â&#x20AC;? said Pellerin.

United Safety is based in Airdrie with offices throughout Alberta and worldwide with a blue chip list of oil and gas customers.

Their objective during the Lloydminster oil show held Sept. 10-11 at the Lloydminster Exhibition Grounds was â&#x20AC;&#x153;to get our brand out thereâ&#x20AC;? as Pellerin put it. â&#x20AC;&#x153;We want people to understand The trademark Typhoon by United Safety Ltd. is a solar powered remote community alarm system that can be programmed to provide a warning alert for high C02 or H2S gas levels around oil and gas sites.

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who we are. I think the end goal would be to eventually have a facility here in Lloyd supporting the area as well as into Saskatchewan.â&#x20AC;?

What sets United apart from the competition said Pellerin is their innovative equipment for improving safety and efficiency on the job site. â&#x20AC;&#x153;We take breathing air very seriously. Thatâ&#x20AC;&#x2122;s where we started. Our tag line is Powering the Safety Revolution,â&#x20AC;? he said.

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â&#x20AC;&#x153;So some of our equipment and innovations like our Typhoon emergency alerting system â&#x20AC;&#x201C; itâ&#x20AC;&#x2122;s all powered by air.â&#x20AC;?

There are no compressors or any other electronics aside from a solar panel to power transmitter functions.

The Typhoon can be programmed to provide alerts for high levels of gases such as C02 or H2S gases at oil and gas or industrial sites.

The units are activated from a command center and are equipped with a proven multi-pitch horn system for maximum sound travel in remote areas. â&#x20AC;&#x153;Another innovation that we are looking at driving is our new blinding cart,â&#x20AC;? said Pellerin.

The cart is ideal for use when a pipe is blinded or sealed off to prevent flow during maintenance operations. â&#x20AC;&#x153;This blinding cart can actually provide breathing air as well as the ability to work pneumatic tooling right off the air cart,â&#x20AC;? he said.

The blinding cart is equipped with ample storage compartments for tools, consumables and safety equipment necessary for the task at hand. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s completely improving efficiency and at United Safety, weâ&#x20AC;&#x2122;re always about making safety not a cost centre,â&#x20AC;? said Pellerin. â&#x20AC;&#x153;We are an efficiency driver, so we are here to help make the world safer and at the same time improve efficiency and tools.â&#x20AC;?

Their tower cart is a mobile tool and equipment carry-all that eliminates the need for workers to leave their work area to visit the tool crib for needed equipment. â&#x20AC;&#x153;This is a very simple product that we brought out to improve efficiency,â&#x20AC;? said Pellerin. â&#x20AC;&#x153;Overall it improves efficiency and tool time.â&#x20AC;?

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PIPELINE NEWS November 2014

A23

Northwind oil show demo all ears I am wearing them, but overall itâ&#x20AC;&#x2122;s not loud.â&#x20AC;?

Barr said the two-way radio headset is ideal for anyone in the oil and gas industry working in a loud environment and needs to communication with other people. â&#x20AC;&#x153;I know several companies that use them,â&#x20AC;? he said stressing they are 100 per cent intrinsically safe or explosion proof.

An optional throat mic is also available to allow for unobstructed

conversations while wearing a respirator.

The 3M Peltor Lite-Com Pro II headset was priced at $899 during the oil show including the rechargeable lithium-ion battery.

Barr said wearing the headset for an hour or so at the oil show fits Northwindâ&#x20AC;&#x2122;s focus on customer relations and communications. â&#x20AC;&#x153;You try and interact with people get them to know what you have to offer and learn what they have to offer

at the same time,â&#x20AC;? said Barr. â&#x20AC;&#x153;At Northwind Radio, we deal with cellphones and boosters and two way radios, towers â&#x20AC;&#x201C; all sorts of communication products. â&#x20AC;&#x153;We deal a lot with the oil and gas industry; we deal with farmers, construction workers â&#x20AC;&#x201C; just about anybody who needs to communicate. â&#x20AC;&#x153;We even deal with the public sector â&#x20AC;&#x201C; people who need a cellphone.â&#x20AC;?

Sharing the Energy

J Barr interacted with visitors at the Northwind Radio Ltd. booth during the 2014 LloyÄ&#x161;ĹľĹ?ĹśĆ?Ć&#x161;Ä&#x17E;Ć&#x152; ,Ä&#x17E;Ä&#x201A;Ç&#x20AC;Ç&#x2021; KĹ?ĹŻ ^Ĺ&#x161;Ĺ˝Ç Ç Ä&#x17E;Ä&#x201A;Ć&#x152;Ĺ?ĹśĹ? Ä?ĹŻĆľÄ&#x17E; Ĺ&#x161;Ä&#x17E;Ä&#x201A;Ä&#x161;Ć&#x2030;Ĺ&#x161;ŽŜÄ&#x17E;Ć? Ć&#x161;Ĺ&#x161;Ä&#x201A;Ć&#x161; Ä&#x17E;ĹśÄ&#x201A;Ä?ĹŻÄ&#x17E; Ć&#x161;Ç Ĺ˝ Ç Ä&#x201A;Ç&#x2021; Ä?ŽŜÇ&#x20AC;Ä&#x17E;Ć&#x152;Ć?Ä&#x201A;Ć&#x; ŽŜĆ? Ä&#x201A;ĹśÄ&#x161; Ĺ&#x161;Ä&#x17E;Ä&#x201A;Ć&#x152;Ĺ?ĹśĹ? Ć&#x2030;Ć&#x152;Ĺ˝Ć&#x161;Ä&#x17E;Ä?Ć&#x; ŽŜ Ĺ?Ĺś ŜŽĹ?Ć?Ç&#x2021; Ĺ˝Ć&#x152; Ĺ&#x161;Ä&#x201A;Ç&#x152;Ä&#x201A;Ć&#x152;Ä&#x161;ŽƾĆ? Ç Ĺ˝Ć&#x152;ĹŹ Ä&#x17E;ĹśÇ&#x20AC;Ĺ?Ć&#x152;ŽŜžÄ&#x17E;ĹśĆ&#x161;Ć?Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

Lloydminster â&#x20AC;&#x201C; Whatâ&#x20AC;&#x2122;s going on? That question, heard many times by J Barr at the Northwind Radio Ltd. booth during the 2014 Lloydminster Heavy Oil Show, was music to his ears.

It allowed Barr, an installation technician and sales rep, to demonstrate the special communication features of the blue headphones he wore without having to remove them to chat. â&#x20AC;&#x153;People come up to you because you are wearing this crazy headset and they say, â&#x20AC;&#x2DC;Whatâ&#x20AC;&#x2122;s going onâ&#x20AC;&#x2122; and then you tell them about it,â&#x20AC;? said Barr.

The conversation piece was the 3M Peltor Lite-Com Pro II two way radio headset with functions that allow you to hear what you want to hear while remaining protected from harmful noise. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s an intrinsically safe UHF radio headset thatâ&#x20AC;&#x2122;s frequency programmable, making it ideal for manufacturing, oil and gas environments, as well as assembly line work,â&#x20AC;? said Barr. â&#x20AC;&#x153;It allows you to use it as a noise suppression

headset to reduce the loud noises around you. â&#x20AC;&#x153;It also has a built in microphone that allows you to have a conversation with someone without having to take off the headphones.â&#x20AC;?

The fully programmable UHF radio headset allows an organization to connect with their team of employees with up to 30 channels It also offers pushto-talk or hands-free voice-activated transmit functions among the many features.

Wearing the device during the show was the best way for Barr to demonstrate how it works for the oil and gas show crowd at the Lloydminster Exhibition Grounds Sept.

10-11. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;ve only been here for a little while so far itâ&#x20AC;&#x2122;s been really positive,â&#x20AC;? said Barr with his headset on. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve had a couple of ladies that have come by in the industry and they found it very interesting that someoneâ&#x20AC;&#x2122;s come up with a headset that you can wear for hearing protection without having to take it off to speak with somebody.

â&#x20AC;&#x153;It blocks out the high and low frequencies and any sharp heavy noises. I am still hearing the din of the crowd as

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Leased Ops & Company Drivers always welcome to apply.

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A24

PIPELINE NEWS November 2014

EZ Flow cuts pipeline diluent costs Lloydminster – James Robson, president and CEO of Petro Motion Inc. should have given $5 to every heavy oil producer who came to his booth during the 2014 Lloydminster Heavy Oil Show.

That would have sold them on the per bar-

rel potential payback of his company’s EZ Flow product.

“Actually, the use of EZ Flow reduces the amount of diluent needed by 50 percent or more, therefore saving the operator about $4 to $5 for every barrel of oil he currently produces per day,” said Robson.

“EZ Flow creates more space in the pipeline to be able to add more oil – about 35 per cent more space.”

With a shortage of condensate or diluent – light oil – needed to allow heavy oil to flow in a pipeline, EZ Flow could be the right product at the right time.

EZ Flow is a 100 percent hydrocarbon additive that reduces the viscosity of heavy oil while maintaining its density.

“It ‘accentuates the behavior’ of regular diluent allowing it to act a super viscosity reducer,” said Robson.

Traditionally, producers need to mix 10 to 40 percent diluent with their oil to reach pipeline specifications.

“With heavy oil on the rise and increasing daily, the availability of condensate is not ever going to keep up with the heavy oil production,” said Robson.

“Therefore, with the use of half of what is the number one expense all producers have, we feel like it’s a very attractive thing to be doing.” ɸ Page A25

James Robson, a career Oklahoma and Texas oil man and ůĂƚĞůLJ͕ ĐŚŝĞĨ ĞdžĞĐƵƟ ǀĞ Žĸ ĐĞƌ ŽĨ WĞƚƌŽ DŽƟ ŽŶ ŝŶ ĂůŐĂƌLJ ĐĂŵĞ ƚŽ ƚŚĞ ϮϬϭϰ >ůŽLJĚŵŝŶƐƚĞƌ ,ĞĂǀLJ Kŝů ^ŚŽǁ ƚŽ ƉŝƚĐŚ Ă ŶĞǁ ĚŝůƵĞŶƚ ĂĚĚŝƟ ǀĞ ĐĂůůĞĚ &ůŽǁ͘ &ůŽǁ ǁŽƌŬƐ ƚŽ ƌĞĚƵĐĞ ƚŚĞ ĂŵŽƵŶƚ ŽĨ ĚŝůƵĞŶƚ ŶĞĞĚĞĚ ƚŽ ƉŝƉĞůŝŶĞ ŚĞĂǀLJ Žŝů ďLJ ƵƉ ƚŽ ϱϬ ƉĞƌĐĞŶƚ͘ WŚŽƚŽ ďLJ 'ĞŽī >ĞĞ

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PIPELINE NEWS November 2014

Éş Page A24 In June, the Canadian Association of Petroleum Producers forecast oilsands production would rise from its current level of 1.9 million barrels per day to 4.8 million bpd by 2030.

The cost of diluent needed to flow that oil to market is about $125 per barrel and likely to keep going up as the available supply canâ&#x20AC;&#x2122; t keep up with the demand. â&#x20AC;&#x153;What EZ Flow really does is makes the condensate go twice as far as it does today,â&#x20AC;? said Robson.

Operators can simply add EZ Flow to an existing condensate tank with no capital expenditure required. â&#x20AC;&#x153;Because EZ Flow is 100 per cent natural hydrocarbon taken from oil and gas reservoirs, once it mixes with heavy oil it becomes family,â&#x20AC;? said Robson. â&#x20AC;&#x153;It just becomes an oil, but an oil of a better quality. Itâ&#x20AC;&#x2122;s refinery-approved and there is no waste product to it.â&#x20AC;?

EZ Flow is the brainchild of Christy DeWalt, vice-president of research at Petro Motion and CEO of Petroleum Field Laboratory Inc. in Fox Creek, Alberta. â&#x20AC;&#x153;A year ago, I was contacted by a group that she knew in order to be able to get with her and bring the business end to EZ Flow and bring it to the oil and gas producers,â&#x20AC;? explained Robson.

Petro Motion was incorporated in January, 2014.

Previously, Robson built Pontotoc Production Company in Oklahoma â&#x20AC;&#x201C; from the ground up â&#x20AC;&#x201C; through an initial public offering in 1997 and sold it to Ascent Energy Inc. in 2001.

Robson is also the current chief executive of the Tyner Texas Operating Company Inc., a wholly owned subsidiary of Tyner Resources, a publicly

traded company on the Vancouver Stock Exchange.

The potential for EZ Flow to gain a foothold with heavy oil and oilsandsâ&#x20AC;&#x2122; producers in Western Canada is what brought him to Calgary. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;ve never seen anything like it. If I was in the oil business and someone told me I could save $3 to $4 a barrel, I would follow them all around town,â&#x20AC;? he said. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;m here to take EZ Flow to the producers so they can see the savings.â&#x20AC;?

Finding early adapters for new products like EZ Flow is a challenge not unexpected for a new company like Petro Motion. â&#x20AC;&#x153;Nobody likes change, so weâ&#x20AC;&#x2122;re fighting a little uphill stream,â&#x20AC;? said Robson in a Sept 11 interview at the Lloydminster Exhibition Grounds. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve had some interest some rather large producers. Yesterday, I got together here with a local producer thatâ&#x20AC;&#x2122;s very interested in EZ Flow. â&#x20AC;&#x153;Naturally, we are all attracted to the big oil

A25

companies because theyâ&#x20AC;&#x2122;ve got the most production and the most impact on your business. â&#x20AC;&#x153;I think â&#x20AC;&#x201C; thatâ&#x20AC;&#x2122;s why I am here in Lloydminster â&#x20AC;&#x201C; that the smaller companies will end up being more co-operative and we can build proof of EZ Flow in the field.â&#x20AC;?

Robson came to the Lloydminster show armed with the results of an independent field test conducted in Alberta on May 7.

The test involved the mixing of EZ Flow with a tanker of heavy oil produced by Baytex Energy Corp.

The hydrocarbon condensate used in the test was provided by Pengrowth Energy Corporation in North Central Alberta.

The full test results are posted online where Robson said, â&#x20AC;&#x153;The independently verified test results showed the addition of EZ Flow cut the required quantity of expensive diluents to get oil pipeline standard by 53 per cent.â&#x20AC;?

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A26

PIPELINE NEWS November 2014

Westech combo vac worth a look Lloydminster â&#x20AC;&#x201C; Westech Vac Systems Ltd. provided some eye candy for visitors during the 2014 Lloydminster Heavy Oil Show with an outdoor exhibit of its best selling combination vac unit.

The looker wore a shiny new coat of blue and white paint fresh from the factory in Nisku that makes a variety of pleasing to look at vac, combo, and hydrovac systems for the international market. â&#x20AC;&#x153;We make several different types of vac and pressure trucks starting from your basic straight back to combo hydrovacs and semi-vacs,â&#x20AC;? said Paul Watkins, territory manager next to the combo beauty. â&#x20AC;&#x153;We actually just pushed out a semi-vac combo which was a unique build for us. We are also working on a bunch of other engineered products that make these a lot more efficient.â&#x20AC;?

The Westech factory uses 3D-computer aided design that allows Westech to optimize the geometry, weight distribution, and payload maximization across all of its mobile vacuum lines.

Westech is known for its mobile vacuum technology innovation reflected in every unit from tridem drive 822 hydrovacs to light weight semi straight vacs.

The company is owned by Advance Engineered Products, a North American manufacturer of bulk tanks and vac equipment.

Most of Westechâ&#x20AC;&#x2122;s hydrovacs including the best selling combo unit shown at the Lloydminster Exhibition Grounds Sept. 10-11 are designed as TC407 hazardous waste hauling trucks. â&#x20AC;&#x153;The combo units are getting a lot more popular just because you get the ability to wash and steam on site,â&#x20AC;? said Watkins. â&#x20AC;&#x153;They can clean out the tanks.â&#x20AC;?

The combo units are available from Westech as

WÄ&#x201A;ƾů tÄ&#x201A;Ć&#x161;ĹŹĹ?ĹśĆ?Í&#x2022; Ć&#x161;Ä&#x17E;Ć&#x152;Ć&#x152;Ĺ?Ć&#x161;Ĺ˝Ć&#x152;Ç&#x2021; ĹľÄ&#x201A;ĹśÄ&#x201A;Ĺ?Ä&#x17E;Ć&#x152; ĨŽĆ&#x152; tÄ&#x17E;Ć?Ć&#x161;Ä&#x17E;Ä?Ĺ&#x161; sÄ&#x201A;Ä? ^Ç&#x2021;Ć?Ć&#x161;Ä&#x17E;ĹľĆ? >Ć&#x161;Ä&#x161;Í&#x2DC; Ĺ?Ĺś EĹ?Ć?ĹŹĆľ Ć?Ć&#x161;Ä&#x201A;ĹśÄ&#x161;Ć? Ä?Ç&#x2021; Ć&#x161;Ĺ&#x161;Ĺ?Ć? Ä?Ä&#x17E;Ć?Ć&#x161; Ć?Ä&#x17E;ĹŻĹŻĹ?ĹśĹ? Ä?ŽžÄ?Ĺ?ĹśÄ&#x201A;Ć&#x;ŽŜ Ĺ&#x161;Ç&#x2021;drovac and pressure unit at the 2014 Lloydminster Heavy Oil Show. Westech designs and manufactures a variety of mobile vac systems in Nisku. WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

single axle, double axle, tri-drive and trailer mounted units The combo unit has similar capabilities as the popular hydrovac design, but without the heavy boom and associated hydraulics. â&#x20AC;&#x153;With a lot of the stuff they can dig holes and suck out for daylighting,â&#x20AC;? said Watkins. â&#x20AC;&#x153;So, if youâ&#x20AC;&#x2122;re doing any fiber optic daylighting where youâ&#x20AC;&#x2122;re trying to find a line in the ground â&#x20AC;&#x201C; you donâ&#x20AC;&#x2122;t want a backhoe to come in there and possibly hit the line â&#x20AC;&#x201C; itâ&#x20AC;&#x2122;s a lot safer. â&#x20AC;&#x153;You donâ&#x20AC;&#x2122;t get any accidents like you might with a backhoe operator where they hit the line and do a power outage across the city or something like

that.â&#x20AC;?

Typically, a Westech combo unit comes with equipment such as combination in-tank water storage, high output boilers for water and steam and high pressure water pumps.

Some other built-in features are high capacity blowers and vacuum pumps, a hydraulic lift for cleanouts, hydraulic valves for automated control systems and remote control operation systems.

There are many more standard and optional features available on Westech vac trucks that are in strong demand especially in Western Canada. â&#x20AC;&#x153;Our customers are real loyal to us. We have orders out to 2017,â&#x20AC;? said Watkins. ɸ Page A27

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PIPELINE NEWS November 2014 Éş Page A26 â&#x20AC;&#x153;We do have a few open spots in between there, but our customers continue to book with us because they enjoy our product. â&#x20AC;&#x153;We make good quality products that customers are loyal to. We have a customer base right across Canada. â&#x20AC;&#x153;The vacuum side of things â&#x20AC;&#x201C; most of our business is in Western Canada from Saskatchewan to B.C., but we also have sales that go out to North

Dakota and California. â&#x20AC;&#x153;We also have trucks out in Texas and weâ&#x20AC;&#x2122;ve seen them out in Mexico as well.â&#x20AC;?

Watkins said sales are also strong in the Lloydminster heavy oil region with Westechâ&#x20AC;&#x2122;s goal at the oil described by Watkins as being, â&#x20AC;&#x153;basically marketing, grabbing a couple of leads that kind of thing. â&#x20AC;&#x153;We like to be like the other companies and show off the product â&#x20AC;&#x201C; make sure people donâ&#x20AC;&#x2122;t forget us.â&#x20AC;?

A27

Watkins said what sets Westechâ&#x20AC;&#x2122;s line of vac trucks apart from their competition is quality and service. â&#x20AC;&#x153;Basically, we do offer a higher quality product and we stand behind our product as well,â&#x20AC;? he said. â&#x20AC;&#x153;We have a great service and a great quality product. We stand out because our customers enjoy using our product. There is less downtime. â&#x20AC;&#x153;They are very hard worked equipment. For what they are worth, we have a piece of equipment that lasts a long time.â&#x20AC;?

Lakeland fall enrolment spikes Vermilion â&#x20AC;&#x201C; Fall term enrolment at Lakeland College is up six per cent over last year.

There are 2,223 full-time and part-time students enrolled in classes at Lakeland compared to 2,098 at the same time last year according to a Sept.

30 report.

An extra group of heavy oil and power engineering students, growth in trades and technology as well as agricultural sciences enrolment, plus an increase in students taking courses online are some of the reasons for the enrolment rise.

The increased fall enrolment also includes 71 first year and 28 year second year students in the Heavy Oil and Power Engineering program offered at the Lloydminster campus.

The campus has another 32 students are enrolled in the one year Heavy Oil Operations Technician certificate program. â&#x20AC;&#x153;These strong numbers reflect our focus on providing programming that meets the needs of students and industry,â&#x20AC;? said Tracy Edwards, president of Lakeland College in a news release.

There are 982 students at the Vermilion campus, 859 at the Lloydminster campus, and 382 students in online and off-campus programs.

The numbers will rise during the academic year with seasonal intakes for apprenticeship technical training, emergency services, university transfer, business and human services. â&#x20AC;&#x153;We know we will have record enrolments in our apprenticeship programs. We expect to provide apprenticeship technical training to more than 1,500 people this academic year,â&#x20AC;? said Edwards, noting that depending on the trade, apprentices spend two to three months at the college taking training.

This yearâ&#x20AC;&#x2122;s class includes students from every province and territory in Canada except Prince Edward Island and the Northwest Territories.

There are also 49 international students at Lakeland from Australia, Barbados, Brazil, Cameroon, China, India, Jamaica, Mexico, Nigeria, Pakistan and the Philippines. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re thankful that so many people open up their homes to provide rooms or basement suites

for our students,â&#x20AC;? said Edwards. â&#x20AC;&#x153;We could not accommodate the number of students we do without the support of the Vermilion and Lloydminster communities.â&#x20AC;?

Rigger Fraser MacQueen from Prairie Crane in Saskatoon was dressed for the cold on the morning of Oct. 8 when Ä?Ć&#x152;Ä&#x17E;Ç Ć? Ĺ&#x161;Ĺ˝Ĺ?Ć?Ć&#x161;Ä&#x17E;Ä&#x161; Ć&#x161;Ĺ&#x161;Ä&#x17E; Ĺ?Ć&#x152;Ä&#x17E;Ä&#x17E;Ĺś ÄŽ Ć&#x152;Ä&#x17E;Ć&#x161;ĆľÄ?Ä&#x17E; Ä?Ĺ˝Ĺ?ĹŻÄ&#x17E;Ć&#x152; Ć?Ĺ&#x161;Ĺ˝Ç Ĺś Ĺ?Ĺś Ć&#x161;Ĺ&#x161;Ä&#x17E; Ä?Ä&#x201A;Ä?ĹŹĹ?Ć&#x152;ŽƾŜÄ&#x161; Ĺ?ĹśĆ&#x161;Ĺ˝ Ä&#x201A; Ä&#x161;ŽŽĆ&#x152;Ç Ä&#x201A;Ç&#x2021; ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; ĹśÄ&#x17E;Ç ĹśÄ&#x17E;Ć&#x152;Ĺ?Ç&#x2021; Ä&#x17E;ĹśĆ&#x161;Ć&#x152;Ä&#x17E; Ä&#x201A;Ć&#x161; Ć&#x161;Ĺ&#x161;Ä&#x17E; >ĹŻĹ˝Ç&#x2021;Ä&#x161;ĹľĹ?ĹśĆ?Ć&#x161;Ä&#x17E;Ć&#x152; Ä?Ä&#x201A;ĹľĆ&#x2030;ĆľĆ? ŽĨ >Ä&#x201A;ĹŹÄ&#x17E;ĹŻÄ&#x201A;ĹśÄ&#x161; ŽůůÄ&#x17E;Ĺ?Ä&#x17E;Í&#x2DC;

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A28

PIPELINE NEWS November 2014

Tarpon puts its best foot forward Â&#x201E; By Geoff Lee Lloydminster â&#x20AC;&#x201C; Tarpon Energy Services Ltd. stood out at the 2014 Lloydminster Heavy Oil Show in September by spotlighting personnel and services at their booth.

The main attraction was the talking points about the company presented by Jason Seely, corporate sales manager for Tarponâ&#x20AC;&#x2122;s Electric & Controls division based in Calgary. â&#x20AC;&#x153;We do have our

'

SCADA panels, but most of our work is done through field services, so itâ&#x20AC;&#x2122;s people.

Thatâ&#x20AC;&#x2122;s the big sell,â&#x20AC;? said Seely about the division. â&#x20AC;&#x153;We are an electrical and instrumentation field services provider and we work in the oil and gas sector.â&#x20AC;?

To be precise, Tarpon Electric & Controls is a full service provider for the engineering, design, supply, construction and installation of electrical, instrumenta-

tion and control systems. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re across the western sedimentary basin, so weâ&#x20AC;&#x2122;re in British Columbia, Alberta and Saskatchewan. We also have field offices in the U.S. and we operate internationally as well,â&#x20AC;? said Seely. â&#x20AC;&#x153;Lloydminster is actually one of our larger hubs and we focus on the heavy oil group out here. â&#x20AC;&#x153;We have approximately 89 employees

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that do electrical and instrumentation field services and programming and high voltage.â&#x20AC;?

The Lloydminster employees work at oil batteries and gas facilities as well as at the Lloydminster Husky Upgrader and refinery facilities and at local pipeline and midstream operations.

Tarpon Energy Services is a growing privately-held Canadian company with over 2,000 employees worldwide including those in the Structures division that designs, engineers and manufactures modular and pre-engineered building systems and components.

Tarpon Construction Management Ltd. located in Edmonton is a business entity that focuses on electrical and instrumentation construction for the energy

OUR NETWORK Equipped and strategically located to drive your project forward in

CALGARY 840 7th Avenue SW Suite 900 Calgary, Alberta T2P 3G2 Phone: 403.234.7599 Fax: 403.261.4712 EDMONTON 17327 106A Avenue Edmonton, Alberta T5S 1M7 Phone: 780.481.3399 Fax: 780.481.3841

19

HIGH LEVEL (FIELD OFFICE) High Level, Alberta Phone: 708.926.4123 Fax: 780.926.4550 REGINA 311 Albert Street Regina, Saskatchewan S4R 2N6 Phone: 306.522.5628 Fax: 306.359.0992

GRANDE PRAIRIE 11417 91st Avenue Grande Prairie, Alberta T8V 5Z3 Phone: 780.532.6793 Fax: 780.532.7694

SASKATOON 226 Cardinal Crescent Saskatoon, Saskatchewan S7L 6H8 Phone: 306.343.8187 Fax: 306.343.3325

LLOYDMINSTER 1812 50th Avenue Bay 10 Lloydminster, Alberta T9V 2W7 Phone: 780.875.6130 Fax: 780.875.1658

SWIFT CURRENT 300 Begg Street West Swift Current, Saskatchewan S9H 0K6 Phone: 306.773.7733 Fax: 306.778.3678

RED DEER 303A, 4406 50 Avenue Red Deer, Alberta T4N 3Z6 Phone: 780.236.1603

WEYBURN 615 Railway Avenue Weyburn, Saskatchewan S4H 0A9 Phone: 306.842.6060 Fax: 306.842.7872

MEDICINE HAT 1601 Dunmore Road S.E. Suite 202 Medicine Hat, Alberta T1A 1Z8 Phone: 403.528.4215 Fax: 403.528.4287

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Altus Group has over 1,900 employees in multiple offices around the world, including Canada, the United States, the United Kingdom, Australia and Asia Pacific. Altus Groupâ&#x20AC;&#x2122;s clients include financial institutions, private and public investment funds, insurance companies, accounting firms, public real estate organizations, real estate investment trusts, healthcare institutions, industrial companies, foreign and domestic private investors, real estate developers, governmental institutions and firms in the oil and gas sector.

Jason Sealy, corporate sales manager for Tarpon Electric & Controls, was pleased to talk with visitors at the 2014 Lloydminster Heavy Oil Show. WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

sector.

The parent company is PTW Energy Services Ltd. a privately-held company based in Nisku Alberta.

Seely said training is a big of the job with continual changes and advancements in instrumentation and controls with high demand for automation by the oil and gas industry. â&#x20AC;&#x153;One of the biggest things that we try to do as a company is stay up on our training. Right now, (human) resource attraction and retention is a big thing,â&#x20AC;? he said. â&#x20AC;&#x153;I think as a company, our biggest challenge right now is employee shortages and we try to get more people and draw them in.â&#x20AC;? â&#x20AC;&#x153;In terms of the growth that we are trying to experience this year, weâ&#x20AC;&#x2122;ve got connection with the foreign worker trade program, too (temporary foreign worker program). â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve been involved with Ireland trying to get good quality skilled workers. â&#x20AC;&#x153;Obviously, Canada is our first draw that we try to look for. But right now with the demand being so high, we are looking at all sorts of programs to help bolster our ranks.â&#x20AC;?

Seely said Tarpon Electric and Controls maintains strong connections with post secondary educators like SAIT in Calgary and Saskatchewan Polytech-

nic (formerly SIAST) based in Regina to attract trades graduates to work for them. â&#x20AC;&#x153;We are one of Canadaâ&#x20AC;&#x2122;s 50 Best Managed Companies and we are a gold member for our safety program, too,â&#x20AC;? he said.

Tarpon Energy won top employer in the oil and gas category of Canadaâ&#x20AC;&#x2122;s Safest Employers Award in 2013.

The company was awarded platinum club status with Canadaâ&#x20AC;&#x2122;s Best Managed Companies in 2013 for the second year in a row for maintaining the best managed designation for seven years in a row.

The 2014 awards will be held in October.

Seely said his main goal at the oil show was to connect with new and existing customers within a wide radius of the heavy oil centre of Lloydminster. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re hoping to not only see our regular customers that we deal with on a day to day basis, but weâ&#x20AC;&#x2122;re also looking to deal with clients that we donâ&#x20AC;&#x2122;t necessarily deal with today â&#x20AC;&#x201C; so our future clients,â&#x20AC;? he said. â&#x20AC;&#x153;Lloyd offers a whole host of opportunities, not only directly in Lloydminster, but in Kindersley and Provost. â&#x20AC;&#x153;There is a potential here to just do more business not only for field services, but for all of the other host of services that we offer as well.â&#x20AC;?

PIPELINE NEWS November 2014

A29

Insulation snakes uncoil in Lloyd Lloydminster â&#x20AC;&#x201C; Insulation Snakes uncoiled samples of their wrap on or strap on insulation for oilfield, commercial and RV and recreational markets during the 2014 Lloydminster Heavy Oil Show.

The standout selling point of the Insulation Snake brand products for the oil and gas show audience is that they are removable, reusable and weatherproof. â&#x20AC;&#x153;The Insulation Snake is adaptable to most heat tracing applications and itâ&#x20AC;&#x2122;s a very cost saving product,â&#x20AC;? said Tim Burns, international sales manager at the company booth inside the Lloydminster Exhibition Grounds.

Insulation Snakes manufacturers an extensive line of removable, reusable and weatherproof insulation products manufactured at its main base in Breton, Alberta and in Casper, Wyoming.

The products are sold through distributors in both Canada and the United States.

Insulation Snakes is one of three companies in the Gazelleâ&#x20AC;&#x2122;s Group of Companies that also includes Gazelleâ&#x20AC;&#x2122;s Oilfield Service Ltd. and Canline Pipeline Solutions.

The Insulation Snake is widely used to insulate and protect oilfield pipes, hoses, valves, vessels, tanks and wellheads among a list of outdoor field equipment.

Specialized insulation products are available for unique insulating applications such as wellheads and plunger lifts. Insulation hoods are made to fit over equipment that sticks out. â&#x20AC;&#x153;Heavy oil industry uses our product. They would use it for facilities and pipelines â&#x20AC;&#x201C;anything thatâ&#x20AC;&#x2122;s outside,â&#x20AC;? said Burns. â&#x20AC;&#x153;They would use it as a cost-saving solution as opposed to using hard insulation.â&#x20AC;?

Some of the cost savings come from not having to hire special crews to install hard insulation with similar R-10 to R-14 values to Insulation Snake products. â&#x20AC;&#x153;Thereâ&#x20AC;&#x2122;s lot of money associated with that

whereas with our product you donâ&#x20AC;&#x2122;t need large crews,â&#x20AC;? said Burns.

The removable, reusable benefit of the Insulation Snake also saves time and money if crews need to fix or change parts that can be rewrapped quickly when the job is done. â&#x20AC;&#x153;It can be attached primarily through straps or it can be attached sometimes with tape or anyway you want,â&#x20AC;? said Burns.

The best-selling original Insulation Snake with an R-12 rating is made from a fiberglass batting thatâ&#x20AC;&#x2122;s protected with a 5 ml UV treated .polyethylene covering.

Itâ&#x20AC;&#x2122;s available in widths from 6 inches to over 96 inches and in lengths up to 40 feet.

The Insulation Snake company name said Burns was derived from the look of the original product thatâ&#x20AC;&#x2122;s been in the Canadian market for over 20 years. â&#x20AC;&#x153;It was black, it was long and it wrapped around a pipe â&#x20AC;&#x201C; it snaked around the pipe,â&#x20AC;? he said with a laugh.

Burns added the oil show held Sept.10-11 was also an opportunity to promote their newest Super Snake product with an R-14 rating.

This new insulation serpent is protected by 5 ml

,Ä&#x17E;Ć&#x152;Ä&#x17E;Í&#x203A;Ć? Ç Ĺ&#x161;Ĺ˝ Ć&#x161;Ĺ˝ Ä?Ä&#x201A;ĹŻĹŻ Ä&#x201A;Ć&#x161; /ĹśĆ?ƾůÄ&#x201A;Ć&#x;ŽŜ ^ĹśÄ&#x201A;ĹŹÄ&#x17E;Ć? ĹľÄ&#x201A;Ä&#x161;Ä&#x17E; Ĺ?Ĺś ĹŻÄ?Ä&#x17E;Ć&#x152;Ć&#x161;Ä&#x201A; Ä&#x201A;ĹśÄ&#x161; tÇ&#x2021;ŽžĹ?ĹśĹ?Í&#x2DC; /ĹśĆ&#x161;Ä&#x17E;Ć&#x152;ĹśÄ&#x201A;Ć&#x;ŽŜÄ&#x201A;ĹŻ Ć?Ä&#x201A;ĹŻÄ&#x17E;Ć? ĹľÄ&#x201A;ĹśÄ&#x201A;Ĺ?Ä&#x17E;Ć&#x152; dĹ?Ĺľ ĆľĆ&#x152;ĹśĆ? Ĺ&#x161;ŽůÄ&#x161;Ć? Ä&#x201A; Ć&#x2030;Ć&#x152;Ĺ˝Ä&#x161;ĆľÄ?Ć&#x161; Ä?Ä&#x201A;Ĺ? ŽĨ Ä&#x17E;Ä&#x201A;Ć?Ç&#x2021; Ć&#x161;Ĺ˝ Ĺ?ĹśĆ?Ć&#x161;Ä&#x201A;ĹŻĹŻ Ĺ?ĹśĆ?ƾůÄ&#x201A;Ć&#x;ŽŜ ĨŽĆ&#x152; Ć&#x161;Ĺ&#x161;Ä&#x17E; Ĺ˝Ĺ?ĹŻÄŽÄ&#x17E;ĹŻÄ&#x161; Ć&#x161;Ĺ&#x161;Ä&#x201A;Ć&#x161; Ĺ?Ć? Ć&#x152;Ä&#x17E;žŽÇ&#x20AC;Ä&#x201A;Ä?ĹŻÄ&#x17E;Í&#x2022; Ć&#x152;Ä&#x17E;ĆľĆ?Ä&#x201A;Ä?ĹŻÄ&#x17E; Ä&#x201A;ĹśÄ&#x161; Ç Ä&#x17E;Ä&#x201A;Ć&#x161;Ĺ&#x161;Ä&#x17E;Ć&#x152;Ć&#x2030;Ć&#x152;ŽŽĨ Ä&#x161;ĆľĆ&#x152;Ĺ?ĹśĹ? Ć&#x161;Ĺ&#x161;Ä&#x17E; ĎŽĎŹĎ­Ď° >ĹŻĹ˝Ç&#x2021;Ä&#x161;ĹľĹ?ĹśĆ?Ć&#x161;Ä&#x17E;Ć&#x152; ,Ä&#x17E;Ä&#x201A;Ç&#x20AC;Ç&#x2021; KĹ?ĹŻ ^Ĺ&#x161;Ĺ˝Ç ^Ä&#x17E;Ć&#x2030;Ć&#x161;Í&#x2DC; ϭϏͲ Ď­Ď­Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

of UV treated polythene plastic and is also rodent retardant.

Itâ&#x20AC;&#x2122;s available in black or a new Cobra tan polyethylene intended to ward off damage from crows and ravens because itâ&#x20AC;&#x2122;s not black like most garbage bags.

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A30

PIPELINE NEWS November 2014

Rebel with a cause to sell vac units Lloydminster â&#x20AC;&#x201C; The cover of the Rebel Metal Fabricators Ltd. product brochure depicts a straight back hydrovac with an agitator system for land spreading drilling mud.

Welder fabricator, David Hohn from Rebel Metal Fabricators Ltd. in Red Deer displays A similar functionĆ&#x161;Ĺ&#x161;Ä&#x17E; Ä?Ĺ˝Ç&#x20AC;Ä&#x17E;Ć&#x152; ŽĨ Ä&#x201A; Ć&#x2030;Ć&#x152;Ĺ˝Ä&#x161;ĆľÄ?Ć&#x161; Ä?Ć&#x152;Ĺ˝Ä?Ĺ&#x161;ĆľĆ&#x152;Ä&#x17E; Ä&#x161;Ä&#x17E;Ć&#x2030;Ĺ?Ä?Ć&#x;ĹśĹ? Ä&#x201A; Ć?Ć&#x161;Ć&#x152;Ä&#x201A;Ĺ?Ĺ?Ĺ&#x161;Ć&#x161; Ä?Ä&#x201A;Ä?ĹŹ Ĺ&#x161;Ç&#x2021;Ä&#x161;Ć&#x152;Ĺ˝Ç&#x20AC;Ä&#x201A;Ä? ĨŽĆ&#x152; ĹŻÄ&#x201A;ĹśÄ&#x161; Ć?Ć&#x2030;Ć&#x152;Ä&#x17E;Ä&#x201A;Ä&#x161;Ĺ?ĹśĹ?Í&#x2DC; al unit made by Rebel ,Ĺ˝Ĺ&#x161;Ĺś Ä?ĆľĹ?ĹŻĆ&#x161; Ć&#x2030;Ä&#x201A;Ć&#x152;Ć&#x161; ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; Ć?ĆľÄ? Ć?Ć&#x161;Ć&#x152;ĆľÄ?Ć&#x161;ĆľĆ&#x152;Ä&#x17E; ĨŽĆ&#x152; Ć&#x161;Ĺ&#x161;Ĺ?Ć? ƾŜĹ?Ć&#x161; Ä&#x17E;Ć&#x2039;ĆľĹ?Ć&#x2030;Ć&#x2030;Ä&#x17E;Ä&#x161; Ç Ĺ?Ć&#x161;Ĺ&#x161; Ä&#x201A;Ĺś Ä&#x201A;Ĺ?Ĺ?Ć&#x161;Ä&#x201A;Ć&#x161;Ĺ˝Ć&#x152; Ć?Ç&#x2021;Ć?Ć&#x161;Ä&#x17E;Ĺľ Ä&#x161;Ä&#x17E;was on display during Ć?Ĺ?Ĺ?ĹśÄ&#x17E;Ä&#x161; Ä?Ç&#x2021; ZÄ&#x17E;Ä?Ä&#x17E;ĹŻÍ&#x2DC;

Primary supplier of frac tanks fresh water, trucking service, and frac heating equipment in SK and MB.

A Leader In OilďŹ eld Service Equipment

the 2014 Lloydminster Heavy Oil Show as an example of their ability to produce custom designed vacuum systems and hydrovacs. â&#x20AC;&#x153;We make all sorts of different vacuum trucks and trailers â&#x20AC;&#x201C; anything with a vac system on it essentially for the oilfield,â&#x20AC;? said Duane Hirsekorn, a sales rep at the company booth.

The straight back hydrovac on exhibit at the Lloydminster Exhibition Grounds from Sept. 10-12 is equipped with an agitator system designed and built at the Rebel factory in Red Deer.

The business is privately owned and operated by Gary Layden and has been manufacturing vacuum systems and equipment since 1978 for operations primarily in Western Canada.

The company also

ships a lot of vacuum systems to global markets in Alaska, Australia, South America and the Middle East. â&#x20AC;&#x153;We market all over the world. We are expanding into other countries like Australia and Argentina,â&#x20AC;? said Hirsekorn who noted sales have been strong the past few years. â&#x20AC;&#x153;We are booked out about a year and a half. We have been for about two years.â&#x20AC;?

The combo vac and wash units and hydrovacs designed and built

by Rebel are among the most popular pieces of oilfield service equipment used in Western Canada.

The Rebel combo system offers a vacuum system combined with a high pressure wash system for cleaning tanks, buildings and wellheads in the oilfield. ɸ Page A31

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PIPELINE NEWS November 2014 Éş Page A30 At Rebel each combo unit is designed manufactured to meets the field requirements of the customer.

Rebel can install vacuum pumping systems and blower units ranging in capacity from 200 cubic feet per minute to 3,400 cfm depending on the application.

Likewise, their customers can choose a pressure wash pump ranging from 2 gallons per minute to 20 gpm of output.

Some combo units can be installed with a diesel-fired boiler with heating capacities up to 980,000 BTUs for hot water or steam applications. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s just getting more and more popular and hydrovacs in the oilfield,â&#x20AC;? said Hirsekorn for environmental reasons.

Hydrovacs are used for oil and gas, mining, industrial and municipal applications for nondestructive excavation.

A hydrovac uses pressurized water and a powerful vacuum to quickly and safely expose buried pipes and cables.

â&#x20AC;&#x153;They can just expose the lines with water, suck up the dirt and get that out of the way and see the lines and crossings and contamination and all that stuff,â&#x20AC;? said Hirsekorn. â&#x20AC;&#x153;Thereâ&#x20AC;&#x2122;s no backhoes coming in that can damage the pipelines.â&#x20AC;?

A Rebel hydrovac comes with a high volume vacuum system up to 6,200 cfm and a high pressure pump with capacities of 20 gpm and 4,000 psi.

They also come equipped with a wireless remote controlled six or eight inch boom for hands-free operation.

Rebel specializes in rigging up vacuum systems mounted to any type of truck chassis a customer wants.

They even fitted a hydrovac unit with an agitator system on a Volvo truck depicted on the cover of their brochure.

Rebel has about 30 employees and is certified and qualified to repair, retrofit and re-certify any type and make of vacuum unit.

Hirsekorn said Rebel has been steadily growing its market share in the Lloydminster region over the past few

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years by design. â&#x20AC;&#x153;Our market is growing. Weâ&#x20AC;&#x2122;ve been busy enough before, but over the last four years we probably had about 20 per cent versus about four percent come up in this area of our market,â&#x20AC;? he said.

He described the response to their exhibit at the oil show as being pretty good. â&#x20AC;&#x153;It depends on the weather. It seems like a guys in our industry are working a lot, so they donâ&#x20AC;&#x2122;t get a chance to come to the show all the time to see what we do. â&#x20AC;&#x153;But between the show and us just pounding the pavement and calling on guys and word of mouth our units actually sell themselves,â&#x20AC;? he said.

ĆľÄ&#x201A;ĹśÄ&#x17E; ,Ĺ?Ć&#x152;Ć?Ä&#x17E;ĹŹĹ˝Ć&#x152;ĹśÍ&#x2022; Ä&#x201A; Ć?Ä&#x201A;ĹŻÄ&#x17E;Ć? Ć&#x152;Ä&#x17E;Ć&#x2030; ĨŽĆ&#x152; ZÄ&#x17E;Ä?Ä&#x17E;ĹŻ DÄ&#x17E;Ć&#x161;Ä&#x201A;ĹŻ &Ä&#x201A;Ä?Ć&#x152;Ĺ?Ä?Ä&#x201A;Ć&#x161;Ĺ˝Ć&#x152;Ć? >Ć&#x161;Ä&#x161;Í&#x2DC; Ĺ?Ĺś ZÄ&#x17E;Ä&#x161; Ä&#x17E;Ä&#x17E;Ć&#x152; Ć?Ĺ&#x161;Ĺ˝Ç Ä&#x17E;Ä&#x161; Žč Ä&#x201A; custom designed and built straight back hydrovac with an agitator system during the 2014 Lloydminster Heavy Oil Show in September. The company is privately owned-andoperated by Gary Layden who started the business in 1978.

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Sales: Logan Gilliss 421-8481

Estevan, SK www.gillisscasingservices.com

Tel: (306) 634-6768 Fax: (306) 634-6738

A32

PIPELINE NEWS November 2014

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PIPELINE NEWS November 2014

A33

October land sale reaps $21.6 M Regina – The October harvest month sale of petroleum and natural gas rights reaped $21.6 million in revenue for Saskatchewan with the focus on land near the Manitoba border.

The sale of 29 leases and two exploration licences located between Carnduff in the south and Moosomin to the north along the Manitoba border yielded $10.4 million.

This area is considered prospective for several targets, including the Jurassic, Mississippian and Devonian.

“Industry has been developing the BakkenThree Forks play quite extensively on either side of the Saskatchewan-Manitoba border for several years now, and the ongoing acquisition of oil and gas rights in that area bodes well for future economic activity in local communities,” said Economy Minister Bill Boyd.

Receipts from the latest sale raise the 2014 rev-

enue total to $179.6 million with one sale remaining on Dec. 1.

The October sale saw the Weyburn-Estevan area receive the most bids with sales of $14.4 million.

The Kindersley-Kerrobert area was next at $4 million, followed by Lloydminster at $3 million, and Swift Current at $115,086.

The highest price paid for a single parcel was $3.5 million by Plunkett Resources Ltd. to acquire a 1,554-hectare exploration licence south of Moosomin.

The highest price on a per-hectare basis was $27,367 by Petroland Services (1986) Ltd. that bid $20,799 for a 0.76-hectare lease southeast of Estevan.

Weyburn-Estevan (numbers rounded off ) The top purchaser of acreage in this area was Plunkett Resources Ltd. that spent $5.6 million to acquire one lease parcel and one exploration licence.

The highest price paid for a single lease in this area was $2.2 million by Plunkett Resources Ltd. for a 259 hectare parcel situated 3 kilometres east of the Pinto Midale and Frobisher Beds Oil Pools, 40 kilometres east of Estevan.

The top price paid for a single licence in this area was $3.4 million by Plunkett Resources Ltd. for a 1,554 hectare block located 20 kilometres north of the Ryerson Bakken-Torquay Oil Pool, 15 kilometres south of Moosomin.

The highest dollar per hectare in this area was received from Petroland Services (1986) Ltd. that paid $27,367 per hectare for a 0.76 hectare parcel

located within the Pinto Midale and Frobisher Beds Oil Pools, 30 kilometres southeast of Estevan.

Kindersley-Kerrobert The top purchaser of acreage in this area was Plunkett Resources Ltd. that spent $1.3 million to acquire 12 lease parcels.

The highest price paid for a single lease in this area was $277,278 by Northend Resources Ltd. for a 194.25 hectare parcel situated partially within the Forgan Viking Oil Pool, 20 kilometres southeast of Elrose. This is the highest dollar per hectare in this area at $1,427 per hectare.

Lloydminster area The top purchaser of acreage in this area was Gear Energy Ltd. which spent $771,370 to acquire eight lease parcels.

The highest price paid for a single lease in this area was $564,278 by Stomp Energy Ltd. for a 259 hectare parcel situated adjacent to the Celtic Mannville Sands Oil Pools, 50 kilometres east of Lloydminster.

The highest dollar per hectare in this area was received from Windfall Resources Ltd., at $3,438 per hectare for a 32.37 hectare parcel located within the Furness Sparky Sand Oil Pool, 11 kilometres southeast of Lloydminster.

Swift Current area The top purchaser of acreage in this area was Scott Land & Lease Ltd. which spent $115,086 to acquire one lease parcel.

This 32.37 hectare parcel is situated within the Eastbrook Upper Shaunavon Oil Pool, 22 kilometres southeast of Eastend. This is the highest dollar per hectare in this area at $3,555 per hectare.

A34

PIPELINE NEWS November 2014

U.S. banker trucks to Lloyd campus Â&#x201E; By Geoff Lee Lloydminster â&#x20AC;&#x201C; Lakeland College took delivery of the fourth and final teaching boiler in early October for installation inside the new $23 million Energy Centre at the Lloydminster campus.

The firetube boiler

was trucked 1,900 miles from the Victory Energy factory in Cushing Oklahoma to Lloydminster by Karl Speiser from Anderson Trucking Service.

Speiser awoke from his truck sleeper at Lakeland the morning of Oct. 8 willing to

shoot the breeze with a newsman while waiting for unloading instructions from a Prairie Crane crew. â&#x20AC;&#x153;A wonderful trip, I got here last night,â&#x20AC;? he said with his truck and loaded step deck in backup mode for hoisting by a 75 tonne Terex

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A Prairie Crane crew lowers this teaching boiler onto a skate skid to roll it into place inside the new Energy Centre at Lakeland College in Lloydminster.

crane. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s my fourth or fifth time in the Alberta Saskatchewan area.â&#x20AC;?

Speiser shrugged off being congratulated for picking good weather for the drive north noting that he prefers a challenge. â&#x20AC;&#x153;I wish there was snow on the ground.

Other drivers wonâ&#x20AC;&#x2122;t take loads like this,â&#x20AC;? he said with a straight face. â&#x20AC;&#x153;If the moneyâ&#x20AC;&#x2122;s right Iâ&#x20AC;&#x2122;ll take it.â&#x20AC;?

Anderson Trucking is based in St. Cloud, Minnesota, but Speiser was driving in the eastern U.S. when he got the call to head to the midwest. ɸ Page A35

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PIPELINE NEWS November 2014 Éş Page A34 â&#x20AC;&#x153;I dropped a load over in Tulsa coming from the east coast, and then they sent me this load to pick up in Cushing,â&#x20AC;? he said noting thatâ&#x20AC;&#x2122;s where the Victory Energy plant is. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a new little facility in the middle of Godâ&#x20AC;&#x2122;s country.â&#x20AC;?

Speiser is a lease driver who picked up his 36,000 lb. payload in Cushing behind the wheel of a 2015 Freightliner SD truck. â&#x20AC;&#x153;The SD stands for super duty, so itâ&#x20AC;&#x2122;s an engine that can take it,â&#x20AC;? he said.

When mounted and secured on the flat deck, the firetube boiler was about 9 ft.-six inches wide with no escort vehicle required in Western Canada.

Speiserâ&#x20AC;&#x2122;s main task at Lakeland College was to unchain the firetube in preparation for the crane crew. â&#x20AC;&#x153;This is the work part. So, I donâ&#x20AC;&#x2122;t mind the cold weather at all when it comes to this part of the work,â&#x20AC;? he said.

The arrival of the boiler was delayed by over a month and a half, but Jeff Dustow, Lakelandâ&#x20AC;&#x2122;s manager for capital projects was pleased to see the delivery. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a great day,â&#x20AC;? he said on a chilly morning with the crane ready to lift the boiler and lower in on a skate skid through a door opening in the Energy Centre. â&#x20AC;&#x153;Prairie Crane has hauled every piece of equipment, and I think there is a condensing economizer yet to come and they will probably be involved with that also,â&#x20AC;? said Dustow. â&#x20AC;&#x153;A condensing economizer is used to capture all the heat out of the flue gas so it literally recovers all the heat thatâ&#x20AC;&#x2122;s going up the chimney. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a teaching tool. We actually have several different types of economizers just for training purposes.â&#x20AC;?

Dustow said it will take three month months to commission the plant once all of the new equipment is hooked up. â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;re tying in the steam header. The main steam header is in, but thereâ&#x20AC;&#x2122;s still a lot of the fuel train and the auxiliary piping to be done yet,â&#x20AC;? he explained.

Three of the four teaching boilers were made by Victory Energy in Cushing.

Cushing is major oil storage hub for TransCanada Corp.â&#x20AC;&#x2122;s Keystone pipeline and its proposed Keystone XL pipeline that Speiser chatted about.

â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a shame whatâ&#x20AC;&#x2122;s going on with the Keystone. I grew up with many farmers up in the Nebraska area. They donâ&#x20AC;&#x2122;t mind it.,â&#x20AC;? he said because of the jobs it will create. â&#x20AC;&#x153;If you poll a lot of Americans down there, youâ&#x20AC;&#x2122;d get probably 66 per cent of Americans who want that damn thing done because of that simple reason â&#x20AC;&#x201C; thereâ&#x20AC;&#x2122;s a lot of jobs.â&#x20AC;?

Speiser acquired a commercial driverâ&#x20AC;&#x2122;s licence after losing his job as a commercial credit banker with Wells Fargo in Knoxville, Tennessee. â&#x20AC;&#x153;Back in â&#x20AC;&#x2122;09 when the U.S. economy tanked, me and a bunch of older guys got laid off,â&#x20AC;? he said. â&#x20AC;&#x153;So thatâ&#x20AC;&#x2122;s when I got my CDL. Iâ&#x20AC;&#x2122;ve been happy ever since. â&#x20AC;&#x153;I was 25 years in banking. I told my wife â&#x20AC;&#x2DC;You know, honey, I want to do something different and see the countryâ&#x20AC;&#x2122; so I thought to myself to become a truck driver. So far itâ&#x20AC;&#x2122;s paid off.â&#x20AC;?

A35

Speiser lives in Tennessee and has been driving truck for three years. He found a job quickly after training, but cautioned new drivers have to pay their dues. â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;re not going make very much money the first year, but if you stick with it and do everything correctly and safely then the world opens up. Thatâ&#x20AC;&#x2122;s the best way I can put it,â&#x20AC;? he said. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;m lovinâ&#x20AC;&#x2122; it. I love travelling. My wife travels too, so itâ&#x20AC;&#x2122;s not really that hard on the family life. She works in the hotel industry. My daughter spends time with her mom (maternal mother). â&#x20AC;&#x153;â&#x20AC;ŚI miss my daughter. Thatâ&#x20AC;&#x2122;s the biggest part of the sacrifice that driving makes, is missing your family. And it is hard, but the money is something you canâ&#x20AC;&#x2122;t turn away.â&#x20AC;?

Long haul trucking he said is good money and â&#x20AC;&#x153;far better than banking.â&#x20AC;? ɸ Page A36

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PIPELINE NEWS November 2014

Trucking beats banking, says driver Éş Page A35 Speiser drives all over North America and recommends taking a trip to Cushing Okla.. â&#x20AC;&#x153;Have you never

been down there? Go down there someday.

Itâ&#x20AC;&#x2122;s a nice little place.

Itâ&#x20AC;&#x2122;s booming,â&#x20AC;? he said. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s absolutely booming â&#x20AC;&#x201C; not as much as northern Canada.

Thatâ&#x20AC;&#x2122;s a happening place up there, Fort McMurray.â&#x20AC;?

Speiserâ&#x20AC;&#x2122;s been to Fort Mac numerous times delivering oilfield products, and he

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U.S. truck driver Karl Speiser from Anderson Trucking Service gets out of the cab of his ĎŽĎŹĎ­Ďą &Ć&#x152;Ä&#x17E;Ĺ?Ĺ?Ĺ&#x161;Ć&#x161;ĹŻĹ?ĹśÄ&#x17E;Ć&#x152; Ä&#x201A;Ĺ&#x152; Ä&#x17E;Ć&#x152; Ä&#x161;Ä&#x17E;ĹŻĹ?Ç&#x20AC;Ä&#x17E;Ć&#x152;Ĺ?ĹśĹ? Ä&#x201A; ÄŽ Ć&#x152;Ä&#x17E;Ć&#x161;ĆľÄ?Ä&#x17E; Ć&#x161;Ä&#x17E;Ä&#x201A;Ä?Ĺ&#x161;Ĺ?ĹśĹ? Ä?Ĺ˝Ĺ?ĹŻÄ&#x17E;Ć&#x152; Ć&#x161;Ĺ˝ Ć&#x161;Ĺ&#x161;Ä&#x17E; ĹśÄ&#x17E;Ç ĹśÄ&#x17E;Ć&#x152;Ĺ?Ç&#x2021; Ä&#x17E;ĹśĆ&#x161;Ć&#x152;Ä&#x17E; Ä&#x201A;Ć&#x161; >Ä&#x201A;ĹŹÄ&#x17E;ĹŻÄ&#x201A;ĹśÄ&#x161; ŽůůÄ&#x17E;Ĺ?Ä&#x17E; Ĺ?Ĺś >ĹŻĹ˝Ç&#x2021;Ä&#x161;ĹľĹ?ĹśĆ?Ć&#x161;Ä&#x17E;Ć&#x152;Í&#x2DC; ^Ć&#x2030;Ä&#x17E;Ĺ?Ć?Ä&#x17E;Ć&#x152; Ç Ä&#x201A;Ć? Ä&#x201A; ĨŽĆ&#x152;ĹľÄ&#x17E;Ć&#x152; Ä?Ä&#x201A;Ć&#x152;Ä&#x17E;Ä&#x17E;Ć&#x152; hÍ&#x2DC;^Í&#x2DC; Ä?Ä&#x201A;ŜŏÄ&#x17E;Ć&#x152;Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ä?Ç&#x2021; 'Ä&#x17E;Žč >Ä&#x17E;Ä&#x17E;

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continues to be awed by the sprawling pace of oilsands extraction in the region. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a long drive especially when you get north of Edmonton, thereâ&#x20AC;&#x2122;s really nothing out there. But when you get to Fort McMurray, youâ&#x20AC;&#x2122;re surprised how many people live up there,â&#x20AC;? he said. â&#x20AC;&#x153;They just bus them up from Edmonton. â&#x20AC;&#x153;Unless you have been up there, you have no idea. Itâ&#x20AC;&#x2122;s huge, itâ&#x20AC;&#x2122;s actually huge. I haul a lot of pipe and stuff like that. â&#x20AC;&#x153;From a driverâ&#x20AC;&#x2122;s perspective, a lot of guys donâ&#x20AC;&#x2122;t like coming here in the wintertime, but stuff has to get up here.â&#x20AC;?

Speiser often backhauls goods and products from Canada to the U.S. to make the trip pay for itself.

â&#x20AC;&#x153;Sometimes you get lumber out of Whitecourt west of Edmonton. Today, I am going over to Humboldt, east of Saskatoon picking up trailers and Iâ&#x20AC;&#x2122;ll take them over to Wisconsin,â&#x20AC;? he said.

On route heâ&#x20AC;&#x2122;ll have his Sirius XM satellite radio tuned to the Road Dog talk show for trucker news.

He recalled hearing a recent show on the impact of crude-by-rail shipments on the drive up from Cushing. â&#x20AC;&#x153;They were saying with the amount of oil thatâ&#x20AC;&#x2122;s being pushed out of North Dakota and from Canada, itâ&#x20AC;&#x2122;s cutting back on the trucking and the rail lines for agricultural products. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s hurting that industry because thereâ&#x20AC;&#x2122;s so much oil to move.â&#x20AC;?

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PIPELINE NEWS November 2014

A37

Formation damage under study Lloydminster – The first of two technical luncheons in October by the Lloydminster section of Society of Petroleum Engineers dished out a serving of science on formation damage.

Formation Damage Matters was the title of an Oct. 8 presentation by Michael Byrne, global technical head of formation damage for Senergy in Aberdeen Scotland.

His abstract noted the impact of formation damage on different reservoirs and wells has often been the subject of conjecture and speculation rather than science.

Byrne came to Lloydminster to provide some insight into new understanding, modeling and theories on the impact of formation damage.

Byrne is a SPE distinguished lecturer who delivered the same talk to sections in Grande Prairie, Calgary and Regina during a swing through Western Canada.

He began by defining formation damage “as a reduction of near wellbore permeability that is the consequence of anything we do like drilling, completions and production or injection.”

It’s estimated the oil and gas industry losses $140 billion a year in production from formation damage.

Often damage is a result of a foreign-fluid invasion into the reservoir rock such as drilling mud that Byrne used as an example.

Because it is pressurized, the drilling fluid filtrate (fluid and fine particles) can flow radially into the formation.

A filter cake or mud cake forms typically within the first twelve inches of the wellbore radius.

“Some of the mud liquids go beyond that into the rock. These things can cause reduction in permeability which is formation damage,” explained Byrne in a media interview.

Byrne made a point of telling the audience in the Prairie Room at the Lloydminster Exhibition Grounds, that sometimes formation damage matters and sometimes it doesn’t.

“Sometimes because of the well geometry, the fact that we have formation damage doesn’t have as big an impact as we might think,” he said. ɸ Page A38

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A38

PIPELINE NEWS November 2014

Formation damage has big impact ɺ Page A37 “Equally, because of different well geometry, a shorter well perhaps, that formation damage has much more importance. So sometimes it doesn’t matter and sometimes it does matter much more.

“Formation damage during drilling or completion can have a big impact on the life of the wells.

“It’s really important to understand what impact formation damage has on the well productivity not just

that there is formation damage, but what impact it has.”

The way to do that he said is by computer modeling to determine, among other things, the permeability of a well in the design phase.

Byrne argues for less reliance on what are called skin factors in the industry to help to explain and predict well performance.

“A skin factor is something that we use to describe a well’s performance and it includes a whole multitude of

different components like the geometry of the well, flow convergence, or formation damage,” he said.

“It is what we use to describe whether a well is good or bad, because we use a single number called a skin factor.”

A skin factor is a numerical measure of formation damage as a dimensionless pressure drop caused by a flow restriction in the near wellbore region.

“We should try to remove that from our description of well be-

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havior,” said Byrne, He advocates the use of modern computational power to solve complex physical challenges and do away with skin factors.

Byrne held up and flew a paper airplane to make the point that other industries that have complex fluid flow problems use computer simulation to model fluid flow.

“In aircraft design, it’s the flow of air over the wings of the plane.

In our industry, we are looking at flow of oil, gas and water through formations and into wellbores,” he said.

“That to me, should be fully numerically modeled because we have big computers now.

“If we can model fully the system, that is a much more thorough description and therefore better prediction of what different wells will do and what chemicals will do when it comes to drilling and completing.”

He told the audi-

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ence that it is important to model a well to avoid damage for optimal drawdown of oil.

“If you have damage in the well then you can have considerably less daily production than if you don’t have damage,” he said “Designing the well properly in the first place gives you a much better chance of sustaining productivity and ultimately higher

recovery.”

Byrne said the topic of formation damage is relevant to all parts of the industry and therefore, hopefully for all SPE sections on his tour.

“This topic is relevant for unconventional oil, conventional oil, and unconventional low permeability and conventional high permeability like heavy oil,” he said.

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A39

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PIPELINE NEWS November 2014

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PIPELINE NEWS

SECTION B November 2014

Boundary Dam project opens

Premier Brad Wall said ‘clean coal’ is no longer an oxymoron. See more photos on B20.

By Brian Zinchuk Estevan – Speeches were made, tours offered and a ribbon cut. With that, Saskatchewan made history, with the grand opening of the world’s first commercial-scale post-combustion carbon capture plant.

Approximately 250 invited guests attended the Oct. 2 grand opening of the Boundary Dam Integrated Carbon Capture and Storage Project, with several dozen media covering it. The question of whether or not the world was watching was answered by the presence of reporters wearing “France 24” jackets and others speaking Norwegian. Representatives from Mitsubishi Hitachi Power Systems to the International Energy Agency also were there.

There was a lot of consternation in the months leading up to the opening of the $1.4 billion project, which rejuvenated the existing Unit 3 of the Boundary Dam Power Station with a new turbine and generator, improvements to the boiler, and the construction of a new carbon capture plant adjacent to the power plant. Would it work? Was it worth the investment? Those questions were addressed on that day.

“It’s working,” said SaskPower president and CEO Robert Watson, noting about 2,300 tonnes of CO2 was going into the pipeline to the Cenovusoperated Weyburn Unit for enhanced oil recovery.

“And we’re getting paid for it,” he added to

both applause and some ironic laughter.

“It sounds pretty lofty, but this truly does put us in a world-leading process.”

He noted that Saskatchewan’s power demands increased by six per cent last year alone. “Now we have option for the future to deal with it.”

Premier Brad Wall said, “One of the biggest challenges we face in the terms of public policy is this balance, this quest for balance between the energy we need for a growing economy and environmental considerations. This has been a challenge exasperated with what happened in 2008 in terms of world-wide economic decline.

“We seem then, to be left, with this Faustian choice; this rock and a hard place choice, between low-cost energy, that coal can provide; that’s good for the economy, good for the consumers, but maybe not so good for the environment. That choice is contrasted with higher-cost forms of energy that aren’t maybe as good for the economy and as good for the consumers, but are better for the environment. This has been the choice, that we’ve had, until today, I would say.

“It’s interesting, as we look around the world, to see how nations and decision makers around the world are dealing with this very difficult choice,” Wall said, noting they are going for the cheaper choice, and that 1,200 new coal-fired plants are being planned world-wide. China and India account

for 76 per cent.

China alone is planning the equivalent of a Poplar River Power Station every 12 days.

“There’s reason for hope, today, as a result of what we’ve seen in Estevan, in terms of this challenge, this Faustian challenge. For today, from this particular plant, Boundary Dam 3, in southeast Saskatchewan, from the nation of Canada, the message is maybe there’s more choice after all.

“Maybe coal, affordable coal, can continue to be part of the more sustainable energy mix, here and around the world.”

Wall suggested that carbon taxes should go to technology like seen at Boundary Dam rather than general revenue funds. “They’re not really about the environment, are they? They’re about taxes,” he said.

“Maybe this project here allows decision-makers to analyze the effectiveness of contrived carbon markets that basically move carbon around. Heavy emitters pay and that drives price pressure down to the economy and consumers and doesn’t deal with the problem. Maybe what we’ve done here in southeast Saskatchewan, what you have done, is we should focus on technological solutions – that we should invest in this kind of technology. That’s the solution we seek, to avoid that choice between coal and the environment.”

He noted this is the first generation of the technology, with virtually no fly ash, virtually no CO2 to be emitted, no SOX, 30 per cent less nitrogen oxide, and the ability to sell CO2.

He noted that with human ingenuity and the advances we’ve made here, what’s next for us?

“We should think about how far we come,” Wall said, thanking Prime Minister Harper for financial support, SaskPower, its board, the union workers, and other officials who worked hard to make it happen.

“I was told by some officials I shouldn’t use the term ‘clean coal,’ because people just don’t believe it, because it’s an oxymoron. Well they can believe it today, because of you.”

Federal Minister of Natural Resource Greg Rickford said it is a world-leading initiative.

“Today Saskatchewan is on the leading edge of clean technology development, and Canada is proud to be with it, as we say in Rider Nation, to move the chains.

“Today’s CCS project opening is a world first.

Sorry, President Obama, we’re leading the way on this file,” Rickford said.

“This project represents a major, major step forward for Saskatchewan and for Canada in the development of world-class and in fact world leading technology”.

He noted that the federal government has over half a billion dollars invested in CCS projects, $240 million in this project. That establishes a strong Canadian CCS research advantage.

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PIPELINE NEWS November 2014

Mitsubishi Hitachi present at opening

Yoshiro Inatsune of Mitsubishi Hitachi is responsible for that companyâ&#x20AC;&#x2122;s work on the Shand Carbon Capture Test Facility.

Thereâ&#x20AC;&#x2122;s more at play in the carbon capture world than just the Boundary Dam project.

Yoshiro Inatsune of Mitsubishi Hitachi, who is attached to the Shand Carbon Capture Test Facility, spoke to Pipeline News during the grand opening of the BD3 project.

Asked how important the Shand project is, he noted, â&#x20AC;&#x153;SaskPower is building the test facility. We will supply the solvent to absorb CO2.

That is a key technology of our CCS technology.â&#x20AC;? â&#x20AC;&#x153;We developed our solvent and we are test-

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ing the viability and the performance. It will start next spring.â&#x20AC;? â&#x20AC;&#x153;We are doing tests in the U.S.A., Norway and Japan. Now weâ&#x20AC;&#x2122;ve built the facility here.

Itâ&#x20AC;&#x2122;s the biggest one. In Norway and U.S.A., we are just supplying the solvent. They are testing it in their facility.â&#x20AC;?

This is the second test facility of its type to be constructed, he noted, with the first being built in Japan in the 1990s.

One of the main vessels has been built

partly out of carbon steel, instead of stainless steel, to see if it can hold up. He said they are testing for performance against corrosion, high CO2 loading and deteriorating factors in the flue gas. â&#x20AC;&#x153;We are now testing if carbon steel material can be used, using our solvent.â&#x20AC;?

If carbon steel is viable, it would reduce the cost of facilities, since much more costly stainless steel is normally used.

He confirmed that

the Hitachi-supplied turbine for Boundary Dam Unit 3 is the first of its kind, and they see a future market for more like it. â&#x20AC;&#x153;I think so. We hope the CCS market will grow in the future, not soon, but in the near future.â&#x20AC;?

Can this change the world? â&#x20AC;&#x153;I think so, I hope so, and we would be having a large market share by using this new turbine,â&#x20AC;? Inatsune said.

IEA attends grand opening Didier Houssin, of the International Energy Agency, came from Paris to attend the grand opening of the Boundary Dam Integrated Carbon Capture and Storage Project in addition to the symposium in Regina that led up to the big day. â&#x20AC;&#x153;I have a team of eight people working full-time on CCS. We

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are great believers. We think CCS is a very important technology if we want to move to a low carbon economy.

Considering the importance of fossil fuels that continue to be used, we need CCS in the future to de-carbonize the power sector as well as industry.â&#x20AC;?

Asked if he sees this technology being used in Europe, particularly Germany, which has similar lignite coal to Saskatchewan, he said, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re not as

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He noted Europe has limited oil production, and thus limited CO2 enhanced oil recovery opportunities.

Deep saline aquifers are an important option, because the potential for storage are much larger.

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PIPELINE NEWS November 2014

B3

Train carrying petroleum distillate derails near Wadena 6XEVHTXHQW Ă&#x20AC;UH OHDGV WR HYDFXDWLRQ QR LQMXULHV UHSRUWHG Â&#x201E; By Brian Zinchuk Wadena â&#x20AC;&#x201C; The morning of Oct. 7 saw an evacuation of the community of Clair, Sask., near Wadena following a train derailment and subsequent fire.

Highway 5 was closed as heavy black smoke billowed from the wreck, which saw 26 of 100 cars leave the tracks.

According to Wadena RCMP in a press release, â&#x20AC;&#x153;10:39 a.m., Wadena RCMP were called to a train derailment approximately one kilometer east of Clair, Saskatchewan, which is approximately 21 kilometers west of Wadena, SK. The derailment occurred near Highway #5 and a one kilometer radius barrier has been set up at the site. Highway #5 between Wadena and Watson is closed.â&#x20AC;?

RCMP officers from Wadena, Wynyard, Lanigan, Rose Valley, Punnichy, Humboldt are assisted on scene as well as Quill Lake and Wadena fire and Wadena EMS. There were no reported injuries.

The train in question was what is often referred to as a manifest train, one carrying multiple cargoes, as opposed to a unit train, carrying one cargo. There were three engines for this train, and they did not derail.

Jim Feeney, CN spokesperson addressed the wreck the following day on CJMEâ&#x20AC;&#x2122;s John Gormley Live, where he explained what had happened.

Feeney said, â&#x20AC;&#x153;There were 26 cars that derailed.

They were carrying a variety of goods This was a mixed freight train, with everything on it from grain to some fertilizer to used automobiles; various products. Of the cars that derailed, six were carrying dangerous goods. Two were carrying caustic soda; those cars are intact, they did not leak. There was no breach. â&#x20AC;&#x153;Two cars were carrying hydrochloric acid. Those cars are intact and did not breach as well. â&#x20AC;&#x153;The cars of concern were two cars carrying petroleum distillate, a product. Think of naphtha, kerosene. Those cars did breach. They leaked. The product, the petroleum distillate caught on fire. That product burned through the morning and afternoon and through the night. It was greatly diminished by last night. â&#x20AC;&#x153;As of this morning, the fire is out, all the derailed cars are clear. The evacuation order for the affected residents has just been lifted and weâ&#x20AC;&#x2122;re in the process of rebuilding the track at this moment.â&#x20AC;?

Feeney noted the Transportation Safety Board had investigators on site by the first evening. As of Oct. 7, it was too early to make conclusions.

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The derailment took place on the â&#x20AC;&#x153;Prairie North Line,â&#x20AC;? which Feeney referred to as a â&#x20AC;&#x153;secondary mainline.â&#x20AC;? That line goes from west of Winnipeg to east of Edmonton, and passes through Canora, Wadena, Saskatoon and North Battleford within Saskatchewan. â&#x20AC;&#x153;CN is busier than itâ&#x20AC;&#x2122;s ever been in its history in

terms of traffic weâ&#x20AC;&#x2122;re carrying,â&#x20AC;? Feeney noted.

The company had spent $100 million on upgrades and infrastructure on the Prairie North Line in the last year. There were no speed restrictions on this section of track, and the train had been travelling at 40 miles per hour, the speed limit on that portion of track.

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PIPELINE NEWS November 2014

Drilling rig boiler training now offered at SETI Â&#x201E; By Brian Zinchuk Estevan â&#x20AC;&#x201C; Thereâ&#x20AC;&#x2122;s a need in the Saskatchewan oilpatch for people qualified to look after larger boilers, according to Sheena Onrait, regional manager for Southeast College, the parent organization of the Saskatchewan Energy Training Institute.

As such a new program, Special Oilwell Boiler Part B, will be offered. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve always delivered a prep class for Part A, for 500 kilowatt or less. Weâ&#x20AC;&#x2122;re finding as companies build bigger rigs, the boilers they are using are bigger, up to

1,000 kilowatts,â&#x20AC;? Onrait said.

While there has been a program on the books for years, it hasnâ&#x20AC;&#x2122;t been offered recently.

Thatâ&#x20AC;&#x2122;s now changed.

The Part B program has been approved for delivery from TSASK, the Technical Safety Authority of Saskatchewan. With the course re-affirmed and reinstated, Southeast College is now currently the only school authorized to offer it. â&#x20AC;&#x153;We have two upcoming courses last week in October and the first week of No-

vember,â&#x20AC;? Onrait said. It will be offered at other Southeast College campuses in the future.

The Part B course runs five days, including the exam. Up to 25 students can take part in each session. The class will require a minimum of 12 students and will cost $600 including tuition and materials.

Onrait expects a strong response to initial offerings of the class. â&#x20AC;&#x153;Our first class will be full,â&#x20AC;? she said, noting CanElson Drilling and Red Dog Drilling had taken up the slots.

There is a strong

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Larger boilers are driving demand for the Special Oilwell Boiler Part B course to be revived. It will now Ä?Ä&#x17E; ŽčÄ&#x17E;Ć&#x152;Ä&#x17E;Ä&#x161; Ä?Ç&#x2021; ^ŽƾĆ&#x161;Ĺ&#x161;Ä&#x17E;Ä&#x201A;Ć?Ć&#x161; College.

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demand for this training, according to Onrait. â&#x20AC;&#x153;It was one of the first things that came up in a recent CAODC meeting,â&#x20AC;? she said.

Depending on the year, plans are to offer the program in the fall, prior to boilers being fired up for winter drilling. Spring breakup is another option for training.

They wonâ&#x20AC;&#x2122;t be using a rig boiler during the class, but they will be doing a field trip to the Shand Power Station.

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PIPELINE NEWS November 2014

New welding program at SETI $1,000 entrance scholarships offered Â&#x201E; By Brian Zinchuk Estevan â&#x20AC;&#x201C; The Saskatchewan Energy Training Institute, or SETI, is launching its new welding applied certificate program, a Saskatchewan Polytechnic course. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve never offered this at SETI before,â&#x20AC;? said Sheena Onrait, regional manager for Southeast College, the parent organization of SETI. â&#x20AC;&#x153;Big news â&#x20AC;&#x201C; we will be offering $1,000 entrance scholarships for our upcoming welding program,â&#x20AC;? she said on Oct. 14.

For welding students she added, â&#x20AC;&#x153;This is a huge opportunity to invest in their future.â&#x20AC;?

The new program will use a mobile training lab supplied by Saskatchewan Polytechnic (formerly SIAST).

It will involve two semi trailers set up in a T-shape on the south side of the building. The mobile lab will include a lab and supplies, while classroom space will be accommodated within the main building.

In the past this mobile facility has run off generators, but in this case it will be supplied by grid power. Threephase power has been installed within the last

month.

The program starts Feb. 2, 2015, and will run to June 19, 2015.

The pre-employment welding course will be 20 weeks in length, after which time students can become indentured apprentices.

Thereâ&#x20AC;&#x2122;s room for 12 students. As of mid-October, applications had not yet been received, but interest has been expressed.

SETI has secured used of the lab for all of 2015, and another program is in the works for the latter half of the year. According to Onrait, the lab can be used for a number of other courses.

Explaining why they are using this lab for the program as opposed to those already a part of the building, she said, â&#x20AC;&#x153;We would have to hugely retrofit our lab.

Ventilation is key.â&#x20AC;?

Having access to this lab was a positive, according to Onrait.

Onrait noted the Canada Job Grant, a new federal/provincial initiative, is applicable to the program. Itâ&#x20AC;&#x2122;s a training tool for companies to expand training for employees or prospective employees.

Employers pay one third of the cost, and the grant will cover up to two-thirds, for a maximum grant contribution of up to $10,000 per person. In this case, the program is expected to cost a total of $2,720 for tuition and $750 for materials. â&#x20AC;&#x153;We did an employment survey last summer. Welding was a long-term career opportunity that was in the top five of the list,â&#x20AC;? she said.

Applications will be taken through the college.

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PIPELINE NEWS November 2014

Ground conditions so wet, sight holes become water wells Oxbow – His face shows a lot about his personality – you aren’t going to find Kim Janke in an office if he can help it.

Janke is partners with co-owner Trevor Spearing in Extreme ďŽǀĞ͗ ,ŝƐ ŚŽŵĞ ƉƌŽǀŝŶĐĞ ŽĨ EŽǀĂ ^ĐŽƟ Ă ŚĂƐ ďĂŶŶĞĚ ĨƌĂĐŬŝŶŐ͕ ĂŶĚ ƚŚƵƐ >ĞƐůŝĞ DƵŶƌŽ Excavating, a nine-yearŝƐ ŶŽǁ ǁŽƌŬŝŶŐ ŝŶ ^ĂƐŬĂƚĐŚĞǁĂŶ͘ ĞůŽǁ͗ ƚ ϭͬϮϬϬϬ ŽĨ Ă ƐĞĐŽŶĚ͕ LJŽƵ ĐĂŶ ƌĞĂůůLJ ƐĞĞ ƚŚĞ old hydrovac business Ěŝƌƚ Ň LJ ǁŚĞŶ ƚŚĞ ŚLJĚƌŽǀĂĐ Į ƌĞƐ ƵƉ͘ based in Oxbow.

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about after they “retired,” when Spearing sold his interest in Spearing Service Ltd. to the Mullen Group.

“We needed something else to do. The kids were in school, so we thought we might as well work,” Janke said on the side of a grid road near Hirsch after the completion of a line locate job.

They have nine hydrovacs and two single-axle, seven cubic metre fresh water trucks to keep them full.

There’s a reason they are running single axle units – a person with a Class 5 drivers licence can operated them.

With ongoing shortages of drivers in the industry, that’s an important consideration.

They work within a 100 mile radius, from Weyburn in the west, to Parkman in the north, and just inside the Manitoba border.

Their three Kenworth hydrovacs are equipped with “tag axles,” two wheel axles under the centre of the truck that can be lowered to take up more weight. “It does help when you go in a situation off the ditch. It’ll hold up the truck better, but they’re not recognized by the department of highways,” said Janke All their units are single steer units. One unit is a “mini.”

“It’s exactly half the size of this. It’s single axle, five cubic metres instead of nine. In the cities it’s more maneuverable,” he said.

The company has

been growing every year, Janke said. Their shop, built three or four years ago, is full of hydrovacs.

They could use a larger shop, but he noted, “We’ll see what this year brings.”

There’s 16 people working the trucks, plus Spearing and Darlene Sibley, their secretary.

As for Janke, you’ll find him on a truck. “I’d rather be in the field than that pencil-pushing part,” he said.

“I like to meet the people and keep my equipment, and my workers on their toes, I guess. I can train him (he pointed to his swamper, Leslie Munroe) and train him safely.”

Janke and Jeff Anderson, their field supervisor, handle the training for the company. Extreme takes a little different tack when it comes to operating their units.

“We don’t really play that operator/ swamper game here. It’s out there to be a team.

You work to get the job done. (An operator) has the licence to drive the truck, the swamper doesn’t, so he’s classified as the operator. But they do the exact same job.”

They’ll trade off on the wand and take “winter breaks,” or lunch breaks. “We work on the fly,” Janke said.

About 80 per cent of their work is oilpatch-related. They do a lot of work for SaskPower, and town work, making up the remainder. ɸ Page B7

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PIPELINE NEWS November 2014 ɺ Page B6 A common practice for oilpatch companies in the Oxbow and Carnduff area is to have staff housing. Extreme is no different, and has room for six people.

Three spots were filled, and a fourth would be shortly after a new hire joined.

Extreme doesn’t use a rotation basis for work, instead opting to work when they can, because you never know when the weather won’t co-operate. A half-inch of rain, given recent soil conditions, can shut down operations for up to four days. “You might as well go home for two or three days. We have enough people locally to cover,” said Janke.

Asked about how 2014 has gone, Janke responded, “Stupid weather. That thing weighs 60,000 pounds

approximately. Look over there (he pointed to the field they just came out of ) We broke through three times.”

They didn’t get stuck, though, due to “excellent driving,” he said with a smile. “If a guy had backed off, he’d have been done. You’d need a trackhoe to pull it out.”

The culprit has been ongoing wet soil conditions for the past several years. In this case, there hadn’t been any rain in two weeks. “The ground is so saturated, we’re just nicely getting going again. It was an extended road ban. We sat a lot of July,” said Janke.

“It’s like mush. The water table is, on average, is probably at five feet. When you have to dig a seven-foot deep hole, it’s just mush. The poor pipeliner, after we do a crossing, they dig

through that and go to put the flowline in, well they’re up to there (he pointed). There’s water and mud and pumps going. I wouldn’t want to be a pipeliner right now.

This would be the worst year for a pipeliner right now.”

The hole they did earlier that morning was 52 inches deep. “When we were done, water came in at the end,” Janke said.

What it comes down to is they’re doing sight holes, but in reality the end result is often water well.

During the midsummer flood that hammered the area along the Saskatchewan/Manitoba border Extreme volunteered light plants, but other companies provided vac trucks.

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Saskatchewan gains another worker Don’t ask Leslie Munro, 21, of Truro, Nova Scotia, of what he thinks of his home province’s recent ban of fracking.

“It’s disappointing to see that,” he said, frustration on his face.

“That’s why he’s here,” according to his boss, Kim Janke, co-owner of Extreme Excavating.

Asked if the provincial government had enabled that industry in Nova Scotia, would he be at home, working in it, Munroe said, “Yeah, I would be. Gas and oil are the highest paying jobs in all of Canada.

You gotta chase it.

“I’ve been out here for over a year now in Saskatchewan and Alberta. I just moved from Edmonton the other week.

He notes that Saskatchewan is “flat,” but being from a small town, it doesn’t bother him.

His brother-in-law, Richard Kennedy, has been working for Extreme for two year. Kennedy initially came out for almost a year, going home every three months, roughly, then his wife and daughter came out to Saskatchewan to join him. Munroe is now staying with them.

Munroe had been working on hydrovacs before coming to Extreme.

Asked what brought his brother-in-law out to Saskatchewan initially, Munroe responded, “To make a living back home … he was making $16 an hour, which is really good back East, but it’s not enough to cover the bills and put food on the table and try to save.”

“The wage here is double. Probably more than double, with overtime, and in the winter time, there’s no shortage of hours,” said Janke. “By the time road ban comes, some guys are so burnt and tired, they don’t want to work those last few days before road ban hits. They’re just exhausted.”

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PIPELINE NEWS November 2014

Driving a hydrovac over a questionable bridge to help ZLWK WKH Ă RRG

Tierra Carpenter

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Carnduff â&#x20AC;&#x201C; Not that anyone would wish a flood on anyone, but if a flood were to occur, Carnduff, with numerous hydrovac and vac units based there, would have more capacity to deal with it than many other communities in the province.

That bore out this past summer, when torrential rains hit the region. One of the companies that responded was Suck It Up, which spent a lot of time down the road helping neighbouring Gainsborough get back on its feet.

Lyndon and Brycen

Mains, the father-son co-owners of Suck It Up Hydro Vac Service, spoke with Pipeline News on Oct. 6 about this past summer, the upcoming winter, and their newest hydrovac.

Flood response Carnduff and area got hammered with flooding around the Canada Day long weekend. â&#x20AC;&#x153;That rain cost millions and millions, from Cat skinners to moving rig, vacs, backhoe operators. Anybody thatâ&#x20AC;&#x2122;s employed in the oilpatch,â&#x20AC;? Lyndon said. â&#x20AC;&#x153;For farmers in this corner, it cost them lots

Basements were flooded and needed to be cleaned out. They found themselves sucking gravel out of manholes. â&#x20AC;&#x153;You want to see a community come together, you see them when a disaster strikes,â&#x20AC;?

Brycen said, commenting that sandbags were filled by the thousands.

Lyndon noted there were some scary moments at times. â&#x20AC;&#x153;The first three days were the worst. We had to run equipment over a closed bridge at our own risk.â&#x20AC;?

of money. It was wet somewhat before, but it was a killer. â&#x20AC;&#x153;We did a lot of volunteer work for that flood in Gainsborough.

We would load later on the north side of the highway, back up to the south side and dump.â&#x20AC;?

Theyâ&#x20AC;&#x2122;ll get wages and fuel back, he noted.

All but one of their trucks were deployed, including three hydrovacs and one water truck. â&#x20AC;&#x153;One truck sucked up outhouses and campersâ&#x20AC;&#x2122; septic tanks for a month,â&#x20AC;? Brycen added.

A local famer had a problem. They had a bin with soggy, rotten canola that had to be cleaned out. While hydrovacs are usually used to locate underground utilities, their unique capabilities can be useful in cleaning out nasty, stinking bins.

Glenn Preston, a hydrovac operator with Suck It Up of Carnduff got to wash down the inside of the bin. His swamper, Tierra Carpenter, got to deal with the debris at the bottom of the hopper.

Carpenter, 23, is from Carievale. She used to jointly own a

small business cleaning out oilfield shacks on leases and in yards. â&#x20AC;&#x153;I sold my half when I went to Australia for six months,â&#x20AC;? she said as she geared up for the job of cleaning rotten canola. â&#x20AC;&#x153;I like the physical work. Iâ&#x20AC;&#x2122;m not scared to get dirty,â&#x20AC;? she said.

In this case, the job would mean sweeping debris away from the bottom of the hopper and manipulating the vac hose to suck it up.

The work is quite a bit different from her training as a certified dog obedience trainer. â&#x20AC;&#x153;This pays better,â&#x20AC;?

Carpenter said.

ɸ Page B9

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PIPELINE NEWS November 2014

Brycen and Lyndon Mains, co-owners of Suck It Up Hydro Vac Service, pulled their brand new Cat CT660 hydrovac unit out of the shop for a picture.

On the side it says, â&#x20AC;&#x153;If you canâ&#x20AC;&#x2122;t dig it, Suck It Up!â&#x20AC;? Photo by Brian Zinchuk

Éş Page B8 â&#x20AC;&#x153;It was the day after the rain quit the flooding hit,â&#x20AC;? Brycen said. â&#x20AC;&#x153;We both had water in our own basements. Dad got flooded. Mine got water. â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;d never seen anything like that in my life.â&#x20AC;?

Indeed, they had to get equipment out of some areas before it was stranded. â&#x20AC;&#x153;There were a lot of people who couldnâ&#x20AC;&#x2122;t work who helped out,â&#x20AC;?

Brycen said.

Lyndon added, â&#x20AC;&#x153;Our men said, â&#x20AC;&#x2DC;Letâ&#x20AC;&#x2122;s go give them a hand if we can.â&#x20AC;&#x2122;â&#x20AC;?

Most of their efforts were in Gainsborough, probably the worst-hit community in Saskatchewan. There, basements were filled with four to six feet, and sometimes nine feet of water.

Suck It Up donated squeegees and shop vacs, but Lyndon noted, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re not the only ones who donated by any means. A lot helped

out.â&#x20AC;?

New unit The last time Pipeline News spoke to Lyndon and Brycen Mains, they had just gotten a truck back on the road after a lengthy odyssey repairing it due to a fire.

This time around, things have been going a little smoother.

Indeed, the company now has one of the latest offerings in the hydrovac market. â&#x20AC;&#x153;We bought a new 2015 Cat hydrovac

CT660,â&#x20AC;? Brycen said. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s working out okay. It has a slopped floor on it. Thatâ&#x20AC;&#x2122;s why we ordered it, to unload a lot easier,â&#x20AC;? said Lyndon. â&#x20AC;&#x153;The truck is very user-friendly,â&#x20AC;? Brycen added.

The unit also has a spread bar inside to wash the tank out.

The addition brings their fleet up to three hydrovacs and two water trucks, one tandem and one tandem steer/

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water.

A certain breed â&#x20AC;&#x153;A hydrovac operator takes a certain breed.

Itâ&#x20AC;&#x2122;s not like a winch driver, where you load and sit for half a day,â&#x20AC;?

Lyndon said.

Operators take pride in their work, i.e. making a straight hole.

Working around underground utilities, they have to be careful.

Most of Suck It Upâ&#x20AC;&#x2122;s work is local.

They have seven people on staff, plus the ownership. As of early October, they were hiring another operator and swamper.

Increasingly, those workers are coming from a little to the east.

Brycen said, â&#x20AC;&#x153;Our last three drivers were from Manitoba, Winnipeg and Morden.â&#x20AC;?

The summer months have been steady at best, but not busy. However, as freeze up comes, Lyndon expects that to change. â&#x20AC;&#x153;When the frost hits, itâ&#x20AC;&#x2122;ll be 110 per cent busy.â&#x20AC;?

Usually they donâ&#x20AC;&#x2122;t run on the weekends.

That may change this winter.

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tandem drive. Thatâ&#x20AC;&#x2122;s important, because the enforcement of weight standards â&#x20AC;&#x153;are getting pretty thick, said Lyndon. â&#x20AC;&#x153;We can haul more water legally.â&#x20AC;?

The water trucks are used to service the hydrovacs in the field.

They usually dump their debris on site. â&#x20AC;&#x153;When they run out of water, we run out and service it,â&#x20AC;? he said.

The water trucks are only used for fresh water.

Typically they buy town

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PIPELINE NEWS November 2014

Who are you working for? The Competition Carnduff â&#x20AC;&#x201C; The name can throw you off, but make no bones about it, Competition Environmental Land Spreading Ltd. knows a thing or two about land spreading.

The first time Pipeline News heard of the company, it was from talking with a vac wagon operator on a drilling rig on a very cold winter night near Stoughton. That conversation went something like this: â&#x20AC;&#x153;And who do you work for?â&#x20AC;? was the question. â&#x20AC;&#x153;The Competition,â&#x20AC;? was the response. â&#x20AC;&#x153;Competition to whom?â&#x20AC;? â&#x20AC;&#x153;The Competition.â&#x20AC;? â&#x20AC;&#x153;But who are the competition?â&#x20AC;? â&#x20AC;&#x153;The guys that I work for. The Competition. In Carnduff.â&#x20AC;?

You get the drift.

There were shades of Abbott and Costelloâ&#x20AC;&#x2122;s â&#x20AC;&#x153;Whoâ&#x20AC;&#x2122;s on Firstâ&#x20AC;? routine all over that conversation. It took about five minutes to realize that the name of the company was â&#x20AC;&#x153;Competition,â&#x20AC;? and indeed, the man did work for â&#x20AC;&#x153;The Competition.â&#x20AC;?

The name makes sense when you realize that the majority owner, Dennis Day, has a habit

of choosing interesting names for his companies â&#x20AC;&#x201C; one of which is called â&#x20AC;&#x153;Runcible Oil.â&#x20AC;?

He swears to never tell anyone why that name was chosen. Those who do know are sworn to secrecy, but it may be tied Edward Learâ&#x20AC;&#x2122;s best known poem, the Owl and the Pussycat, where they â&#x20AC;&#x153;They dined on mince and slices of quince, which they ate with a runcible spoon.â&#x20AC;?

On Oct. 8 Pipeline News spoke to Charlie Bayliss, general manager, and Jason Hollinger, safety and accounting manager. Bayliss and operations manager Greg â&#x20AC;&#x153;Henryâ&#x20AC;? Wang have become partners in the firm in recent years.

Land spreading Competition Environmental specializes in the collection of drilling fluids and disposing of it either through land spreading (spraying it over the surface of farmland) or transporting it to disposal facilities.

The company was founded in 1997. Over the years it has grown to approximately 20 vac trucks and 10 vac wagons, two semi-vacs and one combo-unit hydrovac. â&#x20AC;&#x153;We bought a vac truck in 1998 and I started operating it,â&#x20AC;?

Bayliss said.

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From 1997 to 2006, the year Hollinger joined, expansion was slow. By that point they had approximately eight wagons and five trucks.

Since then theyâ&#x20AC;&#x2122;ve added one or two units a year on average. Decisions to add units are typically made a year in advance. Many of the wagons are original, but three new ones have been added since 2006.

One has been retired.

Bayliss was one of the first employees.

Initially the company started out using subcontractors. â&#x20AC;&#x153;Dennis and I were the first employees. The others were subcontractors.

They had their tractors, and Dennis bought the wagons,â&#x20AC;? he said.

The â&#x20AC;&#x153;wagonsâ&#x20AC;?

Bayliss referred to are large vacuum units typically pulled behind large four-wheel drive or tracked farm tractors.

They have large tires for high flotation. The wagons are typically used for collecting and then dispersing drilling fluids. The vac trucks are used in a similar manner. Several have high flotation â&#x20AC;&#x153;floaterâ&#x20AC;? tires. ɸ Page B12

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PIPELINE NEWS November 2014

Land spreading, once new, is now the norm ɺ Page B11 Bayliss noted around 1996 and 1997, land spreading of drilling fluids, common in Alberta, came to Saskatchewan. “We started out with Vista Petroleum at the time, as an alternative to drilling with sumps,” he said.

Prior to that an excavator would dig a hole on the lease and all the drilling fluids would go in the pit. That practice is still used by a few small junior operators in the area, but has largely been abandoned in favour of land spreading.

“There are some, but not very many,” Bayliss said.

“We’re sucking up the drilling fluids used for the drilling process.”

Hollinger said, “We basically spread surface mud, intermediate mud, end of the hole, and some floc water.”

“Every time they change their mud system, clean their tanks, we spread,” added

Bayliss.

The total is usually four rounds of spreading. Bayliss explained, “Surface mud is just mud and water. They’ll set their cement and casing, and we clean tanks. Then they’ll drill to about 1,000 metres with fresh water and calcium nitrate. That’s their floc water system.

Some will reuse that as makeup water, as centrifuges will make that back into water. Some will spread it. It varies rig to rig and company to company. So we spread the floc water.

“When they mud up, building their curve in the intermediate section, they have another mud system for that to go to the intermediate casing point. Then we spread that,” he said.

Of the four different times they pull off fluid, Bayliss said, “Ninety per cent of the time, it is spread on soil.”

The other 10 per cent is hauled away.

That’s when their trucks, or someone else’ trucks, are used.

“That goes to a disposal facility like NewAlta, Plains, Gibsons,” Bayliss said.

The mode of truck depends on the fluid. If it’s more like water, it could end up going in a tank truck. If the mud weight is too heavy, like intermediate mud, then a vac truck such as a semi-vac is more appropriate.

Bayliss said, “Nowadays the tank trucks can haul it (intermediate), but we take the heavier stuff and salt with a semi-vac.”

Once in a while product will go to the caverns at Melville, operated by Plains Environmental. This is particularly the case when drilling with invert, or distillate-based muds.

“We don’t get as much of that now, but we get from potash (drilling) going there.

We had some a couple weeks ago,” Bayliss said.

ŚĂƌůŝĞ ĂLJůŝƐƐ͕ ŽŶĞ ŽĨ ƚŚĞ ƉĂƌƚŶĞƌƐ ŝŶ ŽŵƉĞƟƟŽŶ ŶǀŝƌŽŶŵĞŶƚĂů >ĂŶĚ ^ƉƌĞĂĚŝŶŐ >ƚĚ͕͘ ƐŚŽǁƐ Žī Ă ƚĞƐƟŶŐ Ŭŝƚ ƵƐĞĚ ŝŶ ƚŚĞ ĮĞůĚ ƚŽ ĚĞƚĞƌŵŝŶĞ ŝĨ ĚƌŝůůŝŶŐ ŇƵŝĚƐ ĐĂŶ ďĞ ƐƉƌĞĂĚ ŽŶ ŶĞĂƌďLJ ůĂŶĚ͕ Žƌ ŝĨ ƚŚĞLJ ŚĂǀĞ ƚŽ ŐŽ ƚŽ Ă ĚŝƐƉŽƐĂů ĨĂĐŝůŝƚLJ͘ Photo by Brian Zinchuk

In addition to cleaning out the mud tank, there’s daily little cleanups on site, like sucking out trenches or the drilling cellar.

Usually there’s a worker staying on lease in trailer. Most of their trailers are locally produced in Weyburn by Demby Trailer Ltd. Their vac wagons

range from 15 to 20 cubic metres.

Nearly all their fleet of tractors are companyowned, all but one.

Ninety per cent of their tractors are Case, purchased from A&E Chicoine in Storthoaks.

They go for wheeled 4-wheel-drive tractors, as opposed to Quadtracs.

“They don’t get worked hard, so they last a long time,” Bayliss said. “One had 20,000 hours on it and we hardly touched the engine. We just replaced it.”

Hollinger added, “We’ve only bought three tractors in the last five or six years.” ɸ Page B13

PIPELINE NEWS November 2014

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Éş Page B12 Some, but not all of the tractors have blades. In a bad year, the blades are handy for snow removal for the area theyâ&#x20AC;&#x2122;re spreading, or to clean up the lease.

With wet soil conditions over the last four years, more companies want the tractor units for land spreading, or flotation tires on the trucks. â&#x20AC;&#x153;You donâ&#x20AC;&#x2122;t even go on a field without floater tires anymore,â&#x20AC;? Bayliss said. â&#x20AC;&#x153;Right now, as of today, everyone is using floaters or theyâ&#x20AC;&#x2122;re not going in

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the field.â&#x20AC;?

The distance from the rig to the area where the spreading occurs can vary from just adjacent to the lease to 10 miles.

About three-quarters of Competitionâ&#x20AC;&#x2122;s work is working directly with drilling. The rest is service work, including spills, cleanups, and treater turnarounds.

Thatâ&#x20AC;&#x2122;s truck work, not vac wagon work. Contaminated mud canâ&#x20AC;&#x2122;t be hauled in wagons. Thus the wagons are dedicated to drilling, and the trucks are dualpurpose.

Steady growth Forty-five people are currently working with Competition Environmental.

Their working area is primarily southeast Saskatchewan and southwest Manitoba, but they have done some work in the Shaunavon and Kindersley areas, as well as supporting potash drilling operations.

The company moved into its current shop, the former Totem Drilling building, in 2010. Prior to that the operation was somewhat scattered, with trucks at the Fast Trucking yard.

Competition saw substantial growth occur beginning in 2006. Hollinger said, â&#x20AC;&#x153;It was crazy. For me, I was checking mud and working in of the office. â&#x20AC;&#x153;It was just steady growth. It wasnâ&#x20AC;&#x2122;t like we bought five trucks a year. Weâ&#x20AC;&#x2122;ve just had steady growth since then.â&#x20AC;?

Starting in 2011, summers arenâ&#x20AC;&#x2122;t as busy as they have been, likely due to wet soil conditions impeding drilling. â&#x20AC;&#x153;It seems to be a later start in the spring,â&#x20AC;? said Bayliss.

The whole train of thought has changed, he added. Now thereâ&#x20AC;&#x2122;s a two week shut down at Christmas, whereas it used to be a few days.

A lot of their workers come from Manitoba. â&#x20AC;&#x153;I donâ&#x20AC;&#x2122;t remember the last time we hired someone from southeast Saskatchewan,â&#x20AC;? said Hollinger, who noted many come from more northern parts of Saskatchewan like Prince Albert and Nipawin.

They have a variety of shifts to accommodate their workers needs, varying from three weeks on, one off; others two weeks on, two off; and yet others trade off on each hole with their counterpart. Flexibility is necessary to keep staff.

Housing is continually an issue in Carnduff, but Hollinger noted that their guys are usually staying at the rig. They have a few shacks at their shop if needed. â&#x20AC;&#x153;We do have some guys staying in apartments now,â&#x20AC;? Hollinger said.

Testing Another side of Competition is their sampling of products before it is spread. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ll line up water for the drilling rig, and a spread field, and sign up the land owners. Weâ&#x20AC;&#x2122;ll send out guys to test the mud. If theyâ&#x20AC;&#x2122;re spreading four times, weâ&#x20AC;&#x2122;ll test four times,â&#x20AC;? Bayliss said.

The testing is done on site. â&#x20AC;&#x153;We test for pH, your chlorides, sodium, salt content, oil content, nitrates, magnesium â&#x20AC;Ś thereâ&#x20AC;&#x2122;s a set of guidelines set out by the government we follow.â&#x20AC;?

The testing is done with a field kit. Six people, in addition to Bayliss, are tasked with the testing. â&#x20AC;&#x153;I usually run two guys during the day and one guy on call at night, because a lot of our stuff is at night. They run 24 hours. We could be out at 10 oâ&#x20AC;&#x2122;clock, we could be out at midnight,â&#x20AC;? Bayliss said. â&#x20AC;&#x153;We do a lot of the same things a mud man does.â&#x20AC;?

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306-339-7136 iohl@sasktel.net Box 144, Carnduff, SK S0C 0S0

Top wages for experienced winch tractor drivers and picker operators. Health and dental benefits. Living accommodations available.

B14

PIPELINE NEWS November 2014

He wishes he came here sooner Carnduff â&#x20AC;&#x201C; His truck is still pretty new, but Lance Merkowsky, one of two supervisors with Competition Environmental Land Spreading Ltd., has already put a lot of kilometres on it.

Merkowskyâ&#x20AC;&#x2122;s counterpart supervisor is >Ä&#x201A;ĹśÄ?Ä&#x17E; DÄ&#x17E;Ć&#x152;ĹŹĹ˝Ç Ć?ĹŹÇ&#x2021; Ä?Ĺ˝Ç&#x20AC;Ä&#x17E;Ć&#x152;Ć? Ä&#x201A; ĹŻĹ˝Ć&#x161; ŽĨ Ĺ?Ć&#x152;ŽƾŜÄ&#x161; Ĺ?Ĺś Ĺ&#x161;Ĺ?Ć? Ć&#x152;ŽůÄ&#x17E; Ä&#x201A;Ć? Ä&#x201A; Ć?ĆľĆ&#x2030;Ä&#x17E;Ć&#x152;Ç&#x20AC;Ĺ?Ć?Ĺ˝Ć&#x152; Ç Ĺ?Ć&#x161;Ĺ&#x161; ŽžĆ&#x2030;Ä&#x17E;Ć&#x;Ć&#x;ŽŜ Kevin Belmore.

Environmental Land Spreading Ltd. Photo by Brian Zinchuk

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Merkowskyâ&#x20AC;&#x2122;s going on seven-and-a-half to eight years with Competition. He joined â&#x20AC;&#x153;just before things went crazy.

We had 18 employees when I started.â&#x20AC;?

That number is now 45. â&#x20AC;&#x153;I was on a vac on a rig for four years, on a truck,â&#x20AC;? he said.

Prior to coming to the southeast Merkowsky was from Meath Park, northeast of Prince Albert. He commuted to southeast Saskatchewan for six years before finally moving to Oxbow in December 2012.

Heâ&#x20AC;&#x2122;s worked in diamond mines and spent 10 years logging. But in Merkowskyâ&#x20AC;&#x2122;s words, â&#x20AC;&#x153;Logging went to hell, so I had to find something else. I wish I had come (here) 10 years sooner. â&#x20AC;&#x153;I hauled logs for 10 years all over northern Alberta, Meadow Lake, Prince Albert, Swan Hills. I did lots in Edson, Fort Mac, Athabasca. â&#x20AC;&#x153;My experience from logging helps now, fixing breakdowns, working off road. I already had the truck knowledge. I had to pick up the oilfield knowledge.â&#x20AC;?

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The 37-year-old father of two girls was widowed four months ago. The company was supportive during difficult times. â&#x20AC;&#x153;I wouldnâ&#x20AC;&#x2122;t have been able to do it without working at Competition. I canâ&#x20AC;&#x2122;t see myself working anywhere else.â&#x20AC;?

In the field, heâ&#x20AC;&#x2122;s run everything in their inventory. â&#x20AC;&#x153;Kevin and I can do wahever. If they have troubles, they phone. â&#x20AC;&#x153;Kevin does maintenance. Iâ&#x20AC;&#x2122;m usually out in the field, heâ&#x20AC;&#x2122;s the one in the shop, overseeing. He relieves Henry, the operations manager,â&#x20AC;? Merkowsky said, referring to operations manager Greg â&#x20AC;&#x153;Henryâ&#x20AC;?

Wang.

On this day he was driving Pipeline News out to their hydrovac, working just out of Carnduff exposing a telephone line. While heâ&#x20AC;&#x2122;s run it, hydrovac work isnâ&#x20AC;&#x2122;t his favourite. â&#x20AC;&#x153;I donâ&#x20AC;&#x2122;t much care for it. If it needs doing, Iâ&#x20AC;&#x2122;ll do it,â&#x20AC;? he said, noting the work is often cold, wet, and frozen.

However, cold weather does have one good point, he noted, as at least you can get out there when the ground is stiff.

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B15

Vac-U-Spread Mark III to be launched expected to last six to seven years, he said, but there are many in the area that have seen eight to 10 years.

However, by that point, theyâ&#x20AC;&#x2122;re shot.

Addressing that means tackling erosion, corrosion, and ensuring mixing capability.

These buildings are generally custom-fit to the particular rig.

Partner with us to achieve your goals.

This is the Vac-U-Spread Mark II. The next unit of the Stewart Steel line will be the Mark III. Photo by Brian Zinchuk

weight. With a larger capacity than typical farm units, their 100 per cent capacity is 23 cubic metres, with a usable capacity of 20 to 21 cubic metres.

Including the unit, the gross total weight is up to 85,000 pounds.

The primary usage may be land spreading, but in recent years some units saw usage sucking production fluids out of tanks and bringing them to the road to be transferred to trucks.

Stewart noted this product is a low-volume business, with a very specific target market.

Land spreading drilling fluids has become commonplace in Saskatchewan, but not so in the hot drilling market of North Dakota. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re waiting for that (market) to develop for this product,â&#x20AC;? Stewart said.

In addition to its vac wagon line, Stewart steel produces several other products for the oilfield and for the agriculture sector. One of those lines is buildings for drilling rigs â&#x20AC;&#x201C; boiler buildings, pump houses, and mud tanks. â&#x20AC;&#x153;We hope to make mud tanks a regular product. There are lots of tanks that need to be replaced out there,â&#x20AC;? he said.

A typical mud tank might be

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Weyburn â&#x20AC;&#x201C; Stewart Steel is working on their next generation of vac wagons, the large vacuum units pulled behind agricultural large tractors for land spreading. They are used primarily for handling drilling by-product disposal. â&#x20AC;&#x153;We are going to come out with our Mark III,â&#x20AC;? said Brad Stewart, owner, on Oct. 15.

This model of Vac-U-Spread will be a straight-PTO (power take-off ) drive. The Mark II was both PTO or hydraulically driven.

Stewart explained that they have found the PTO-driven design work fine and is a proven design. High flow hydraulics are needed to operate the â&#x20AC;&#x153;huge agitatorâ&#x20AC;? in the tank if using the hydraulic option.

That agitator is unchanged from the Mark II. It was made smaller, but with more torque, than the Mark I. That level of torque has been found to be satisfactory in operation.

Hydraulic drive will still be available as an option for the Mark III. â&#x20AC;&#x153;We mainly made changes to the pump drive, and made it more userfriendly,â&#x20AC;? he said. â&#x20AC;&#x153;We simplified it.â&#x20AC;?

High flotation is a key item for these units, as they carry a lot of

â&#x20AC;&#x153;We were always doing that business,â&#x20AC;? Stewart said, noting they have built buildings for Panther Drilling and Alliance Drilling. â&#x20AC;&#x153;Pipe tubs are the other thing weâ&#x20AC;&#x2122;re doing.â&#x20AC;?

Those tubs include larger tubs to handle longer range 3 pipe, used by some larger rigs.

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B17

Many strategies in well optimization: Level Best Technologies Â&#x201E; By Brian Zinchuk Estevan â&#x20AC;&#x201C; Are you really getting the most out of your oil well? Could some refinements improve production?

Thatâ&#x20AC;&#x2122;s what well optimization is all about, and thatâ&#x20AC;&#x2122;s the area of expertise of Estevan-based Level Best Technologies. The company is owned and operated

by Dave Gallaway.

Level Best has four well optimization specialists, including Gallaway. Three work out of Estevan, and one works out of Weyburn. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s not a big world in optimization,â&#x20AC;? Gallaway said. â&#x20AC;&#x153;There are just a handful of companies.â&#x20AC;?

Yet itâ&#x20AC;&#x2122;s a very specialized knowledge set. â&#x20AC;&#x153;I often have to explain it to engineers,â&#x20AC;? he said.

Origins Gallaway grew up on a farm northwest of Estevan â&#x20AC;&#x153;I help out on the farm. Iâ&#x20AC;&#x2122;ve been working in the oilpatch full-time since 1989. I shot my first fluid level in 1979 when I was a summer student,â&#x20AC;? he said.

He got his diploma in agriculture. But Gallaway noted, â&#x20AC;&#x153;The 1980s werenâ&#x20AC;&#x2122;t good for the farm.â&#x20AC;?

Thus, he got into the oilpatch. â&#x20AC;&#x153;I was operating for Home Oil in Estevan. Thatâ&#x20AC;&#x2122;s how I got into optimization.â&#x20AC;?

The training was hands-on. â&#x20AC;&#x153;In 1997 I started doing optimization full-time in the field and in the office on the engineering side. I did that for just about 10 years, then jumped ship to another company and was division manager for Western Canada.â&#x20AC;?

Striking out on his own in 2009, Gallaway said, â&#x20AC;&#x153;I wanted to do it well, and do it better. I saw too many people trying to cut corners and save money. I donâ&#x20AC;&#x2122;t believe thatâ&#x20AC;&#x2122;s the way to do it.â&#x20AC;? ɸ Page B18

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PIPELINE NEWS November 2014

Developing new well optimization tools of the trade Éş Page B17 His preference is for a lot of data collection, making more oil while reducing costs. â&#x20AC;&#x153;The first thing people think of is youâ&#x20AC;&#x2122;ll make more oil. In more cases, youâ&#x20AC;&#x2122;ll probably reduce your costs with proper optimization,â&#x20AC;? he explained.

That may mean using less electricity or performing fewer repairs on the equipment.

Putting a service rig on a well is expensive, he noted.

Some items to watch for include pounding on fluid, which can happen if you pump off too fast. A void forms in the pump.

Slowing it down can

deter that situation. â&#x20AC;&#x153;Experience in optimization plays a big part,â&#x20AC;? Gallaway said. â&#x20AC;&#x153;There could be a multitude of different things.â&#x20AC;?

Pump cards, the graphic record of how a pump is performing, used to be created by an instrument-guided pen on paper. Now they are generated by software.

Reading them properly is a prime diagnostic tool. But thereâ&#x20AC;&#x2122;s a catch â&#x20AC;&#x201C; you have to understand how they come together. â&#x20AC;&#x153;If you donâ&#x20AC;&#x2122;t understand what that software is telling you, it doesnâ&#x20AC;&#x2122;t matter if you can read the card or not,â&#x20AC;? Gallaway said.

Acoustics

One of the key tools of a well optimization specialist is the use of acoustics to determine fluid levels in a well.

Sending a sound wave down a well and recording the echoes can indicate a lot of information.

The tubing collars, for instance, can indicate depth, including depth of the fluid. â&#x20AC;&#x153;You can see each well collar and count how far down the well you are,â&#x20AC;? he said.

Other items of consideration include rod stretch due to temperature and harmonics.

When a new rod string goes into a well, it goes in cold. As they warm up, you can get an additional three or four feet, at times. This can result in compression of rods.

Well deviation is another factor.

More than speed

So what can you change when optimizing a well? â&#x20AC;&#x153;The easiest is strokes per minute, or speed,â&#x20AC;? Gallaway said.

On a pumpjack, you can also alter the stroke length. In some cases, itâ&#x20AC;&#x2122;s a combination of stroke length and speed.

Moving up the complication scale from simple to difficult, the next step would be to upgrade or downgrade the size of the equipment. This could include the pump or even the pumpjack. It might also mean moving to a different artificial lift system, like electric submersible pumps or progressing cavity pumps.

Backpressure Itâ&#x20AC;&#x2122;s also possible to reduce the backpressure â&#x20AC;&#x201C; an avenue that has resulted an additional venture for Level Best,

providing casing gas compressors. They are similar in style to an air compressor, and function by sucking off wellbore gas from the annulus and sending it down the flowline. â&#x20AC;&#x153;The result is you reduce the backpressure on the well itself,â&#x20AC;? he said.

One example is usage in Bakken wells. â&#x20AC;&#x153;The Bakken is a tight reservoir. It canâ&#x20AC;&#x2122;t flow against a lot of pressure.

Low pressure reservoirs react really well when you reduce that pressure.

Wells with poor pump efficiency due to gas interference also benefit by the addition of a casing gas compressor.

It helps produce the gas up the annulus instead of through the pump allowing the pump to produce the fluids more efficiently.

â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve seen the best results on Bakken wells. Not only are they making more oil, but increasing gas flow. â&#x20AC;&#x153; The product they are aligned with is PC Compression, out of Nisku. Level Best provides sales and service for the product.

Other optimization strategies Other strategies include adjusting a waterflood or CO2 flood. â&#x20AC;&#x153;We optimize wells in a CO2 flood. Weâ&#x20AC;&#x2122;ve helped develop software to analyze data from wells in a CO2 flood,â&#x20AC;? Gallaway said.

A foam depression test is used to determine producing pressure. A reservoir pressure is tested via an acoustic buildup. The well is shut in and monitored for pressure over time. ɸ Page B19 Â&#x2021; 0HWKDQRO 6DOHV DQG 5HQWDOV Â&#x2021; &KHPLFDO %DWFKLQJ Â&#x2021; )OXVKE\ 6HUYLFHV Â&#x2021; %23 7HVWLQJ 8QLWV Â&#x2021; 3LSHOLQHV Â&#x2021; 3DFNHUV Â&#x2021; %ORZLQJ )UDF 3RUWV $QG 7XELQJ 'UDLQV

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PIPELINE NEWS November 2014

Dave Gallaway of Level Best Technologies works on a casing gas compressor, a system that reduces the backpressure ŽŜ Ä&#x201A; Ç Ä&#x17E;ĹŻĹŻÍ&#x2DC; dĹ&#x161;Ĺ?Ć? Ć?Ć&#x161;Ć&#x152;Ä&#x201A;Ć&#x161;Ä&#x17E;Ĺ?Ç&#x2021; Ĺ?Ć? Ć&#x2030;Ä&#x201A;Ć&#x152;Ć&#x; Ä?ƾůÄ&#x201A;Ć&#x152;ĹŻÇ&#x2021; Ć?ĆľĹ?Ć&#x161;Ä&#x17E;Ä&#x161; Ć&#x161;Ĺ˝ Ć&#x; Ĺ?Ĺ&#x161;Ć&#x161; ĨŽĆ&#x152;ĹľÄ&#x201A;Ć&#x; ŽŜĆ? Ç Ĺ?Ć&#x161;Ĺ&#x161; ĹŻĹ˝Ç Ć&#x2030;Ć&#x152;Ä&#x17E;Ć?Ć?ĆľĆ&#x152;Ä&#x17E;Ć?Í&#x2022; ĹŻĹ?ĹŹÄ&#x17E; Ć&#x161;Ĺ&#x161;Ä&#x17E; Ä&#x201A;ĹŹĹŹÄ&#x17E;ĹśÍ&#x2022; Ĺ&#x161;Ä&#x17E; ŜŽĆ&#x161;Ä&#x17E;Ä&#x161;Í&#x2DC; Photo by Brian Zinchuk

Éş Page B18 Gallaway noted he did a lot of data gathering prior to the implementation of CO2 floods in the

area. â&#x20AC;&#x153;It generates a lot of work for us. CO2 floods require a lot of optimization because so much

B19

changes,â&#x20AC;? he said.

With the recent addition of new CO2 from the Boundary Dam Integrated Carbon Capture Project, Gallaway hopes that will result in more work.

Instruments â&#x20AC;&#x153;Iâ&#x20AC;&#x2122;m involved in developing new equipment and fine-tuning it,â&#x20AC;? he said.

One such device is an S2S, or surface-to-sandface logger. Thatâ&#x20AC;&#x2122;s acoustic equipment developed by an engineering firm from Calgary. Gallaway said it is a state-of-the-art instrument with better software and better response with microphones. The result, he said, is more accurate pressures and levels.

This product is four or five years old.

It is equipped with a 40-day battery, allowing it to be left on a well for continual monitoring. â&#x20AC;&#x153;You can leave it on a well for a month,â&#x20AC;? he said.

The units are also capable of being programmed wirelessly.

All told, Gallaway said, â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;re a big improvement in an industry that doesnâ&#x20AC;&#x2122;t have a lot of products to choose from.â&#x20AC;?

Indeed, Gallaway added, â&#x20AC;&#x153;I have a patent pending on another piece of equipment, on the gas compression side.â&#x20AC;?

It is his first patent.

Level Best is in discussions to sell another optimization product, a pump-off controller. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re looking to expand, but not take over the world,â&#x20AC;? Gallaway said.

Engineering â&#x20AC;&#x153;Another thing that sets Level Best apart is the engineering group we work with. Theyâ&#x20AC;&#x2122;re the most experienced group of optimization engineers,â&#x20AC;? he said.

The company they are partnered with is NRTec of Calgary.

Gallaway thinks Canada is â&#x20AC;&#x153;pretty much ahead of everybody,â&#x20AC;? when it comes to optimization.

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PIPELINE NEWS November 2014

PIPELINE NEWS November 2014

B21

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&Ć&#x152;Žž ĹŻÄ&#x17E;Ĺ&#x152; Í&#x2014; ^Ä&#x201A;Ć?ĹŹWĹ˝Ç Ä&#x17E;Ć&#x152; Ä?Ĺ&#x161;Ä&#x201A;Ĺ?Ć&#x152;Ć&#x2030;Ä&#x17E;Ć&#x152;Ć?ŽŜ ZĹ˝Ä? WÄ&#x17E;ĹŻÄ?Ĺ&#x161;Í&#x2022; ^Ä&#x201A;Ć?ĹŹWĹ˝Ç Ä&#x17E;Ć&#x152; DĹ?ĹśĹ?Ć?Ć&#x161;Ä&#x17E;Ć&#x152; Ĺ?ĹŻĹŻ Ĺ˝Ç&#x2021;Ä&#x161;Í&#x2022; WĆ&#x152;Ä&#x17E;ĹľĹ?Ä&#x17E;Ć&#x152; Ć&#x152;Ä&#x201A;Ä&#x161; tÄ&#x201A;ĹŻĹŻÍ&#x2022; ĨÄ&#x17E;Ä&#x161;Ä&#x17E;Ć&#x152;Ä&#x201A;ĹŻ DĹ?ĹśĹ?Ć?Ć&#x161;Ä&#x17E;Ć&#x152; ŽĨ EÄ&#x201A;Ć&#x161;ĆľĆ&#x152;Ä&#x201A;ĹŻ ZÄ&#x17E;Ć?ŽƾĆ&#x152;Ä?Ä&#x17E;Ć? 'Ć&#x152;Ä&#x17E;Ĺ? ZĹ?Ä?ŏĨŽĆ&#x152;Ä&#x161;Í&#x2022; ^Ä&#x201A;Ć?ĹŹWĹ˝Ç Ä&#x17E;Ć&#x152; K ZĹ˝Ä?Ä&#x17E;Ć&#x152;Ć&#x161; Watson cut the ribbon.

This is the control centre of the carbon capture plant.

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YEAR

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of service to the oil patch

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Numerous tours packed the carbon capture plant.

Here media from around the world got to see the guts of the plant.

Federal Minister of Natural Resources Greg Rickford praises the CCS effort.

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B22

PIPELINE NEWS November 2014

CEDA tackles large industrial turnarounds Estevan – CEDA Specialty Services has been operating out of Estevan since 1977, four years after it was founded, but it’s still adding new services.

In recent months it added a hydrovac unit to the fleet, one of the new services. The other is vapour phasing.

“A new one is vapour phasing to clean out bullets to get rid of unwanted gas,” said operations

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manager Normand Riopel. “We just got into it this summer.”

The process is used to clean out the big bullets (pressurized storage tanks) seen at gas plants.

With new venting and flaring regulations resulting in a substantial growth in the gas plant business in southeast Saskatchewan, there will soon be more bullets in the region.

Vapour phasing is an alternative to a nitrogen process. Riopel explained, “We go in with dry steamers and bring the temperature up to 40 to 60 C. Then we inject some chemicals to get the tank prepped for inspection.”

Brian Fleck, who has been with CEDA for decades, said, “We’re killing the LEL (lower explosive limits) and gasses. The chemical you inject captures some of that.”

In Estevan CEDA has one hydrovac unit now, and is getting a second. They have two wet vac trucks, and five steamers, all equipped for dry steam.

They have two water trucks and four bulkers used

for water hauling. The company also operated frac fluid heaters and hot oiling.

Their services include hot oiling, chemical cleaning (using chemicals to clean treaters, tanks and the like) and turnaround in both the oilfield and in industrial applications.

That industrial application includes substantial work at SaskPower’s power plants, during turnarounds.

“We do a lot of mechanical cleaning and boiler cleaning as well,” he said. Boilers tend to be on a 10 year cleaning cycle, but that cleaning can be more frequent. “Some years you do two (units) in the same year.”

The process involves cleaning the inside of boilers tubes.

A boiler cleaning is typically a seven to eight day job, with perhaps three days of operations, and the remainder spent in setup and rig-out. High pressure units and chemical units are used. ɸ Page B23

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PIPELINE NEWS November 2014 Éş Page B22 â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a specialty service we provide,â&#x20AC;? Riopel said.

The company works from Alberta to Ontario, going where the work is.

When the Regina refinery does its annual turnarounds during spring breakup, itâ&#x20AC;&#x2122;s an all-hands-on-deck affair, with staff pulled from all directions to support the Regina office.

The Estevan branch will maintain a skeleton staff and send almost everyone else to Regina to assist. Up to 75 of CEDAâ&#x20AC;&#x2122;s staff can be working on a shift.

Another service offered is hydrotesting for pipelines and tanks. In October they were working on the new line that ties into the Vantage pipeline, a recently installed ethane pipeline that runs from Tioga, N.D. to Empress, Alta.

About a third of their work is oilfield turnarounds. â&#x20AC;&#x153;Most of our work is emergency work,â&#x20AC;? Riopel said.

As an example, he said there could be a leak, or a flowline plugged.

Waxing off of a flowline is a common occurrence, caused by paraffins in the oil clogging up the line. Fleck said they will â&#x20AC;&#x153;jet a lineâ&#x20AC;? by feeding in a high-pressure water jet on the end of a line, going 400 feet or more in each direction from where the line is dug up and opened. The jet head, which shoots streams both forward and backward, will actually pull itself into the line as it progresses. Their vac trucks are then used to suck up the residue. â&#x20AC;&#x153;We can supply the vac truck, water truck, pressure truck and a hose

trailer with a reel on it,â&#x20AC;? he said. That hydraulically-driven reel takes care of the several-hundred feet of hose needed for the job.

As for where waxing off is most problematic, Fleck said, â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s kind of all over,â&#x20AC;? but he added, â&#x20AC;&#x153;Bakken oil is thinner, so you hardly get plugging with wax.â&#x20AC;?

Early winter, when the ground hasnâ&#x20AC;&#x2122;t yet settled on a new pipeline, is often when plugging can become an issue. Thatâ&#x20AC;&#x2122;s because the air gaps in the backfilled soil can allow the ground to get colder and allow the waxes within the pipeline to cool down.

That being said, Fleck noted, â&#x20AC;&#x153;They plug them all.â&#x20AC;?

An operator who was supposed to pig a line may miss a few days, and the next thing you know, itâ&#x20AC;&#x2122;s plugged.

Riopel said, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re 24 hours a day, seven days a week, 365 days a year to provide a wide range of diversified services. â&#x20AC;&#x153;In the oil industry, when something goes down, they need it right away.â&#x20AC;?

Fleck said that means getting prepped as soon as the call comes in. â&#x20AC;&#x153;They want us booked so when theyâ&#x20AC;&#x2122;re ready, weâ&#x20AC;&#x2122;re there.â&#x20AC;?

The Estevan location has 19 people working there.

Unlike most of the companies Pipeline News has spoken to in the southeast in recent months, CEDA reported a busy summer. Riopel attributed that to being a well-diversified company that works in a wide geographic range.

tk trailer sales manor, sask.

B23

Dale Daly moved from Regina to Estevan to run a hydrovac unit for CEDA.

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B24

PIPELINE NEWS November 2014

Hydrovac work isnâ&#x20AC;&#x2122;t always messy, but it can be Dale Daly has spent three years with CEDA, but he recent moved from their Regina operation to Estevan to run the new hydrovac unit, a tri-drive, single steer 2014 Peterbilt. He had previously been doing hydrovac work in Regina.

That new unit has a four-cubic metre water capacity, and five-cubic meter debris capacity. Itâ&#x20AC;&#x2122;s equipped with a sloped floor inside the tank to make emptying a breeze.

Asked if it is one of the dirtiest jobs in the oilfield, he responded, â&#x20AC;&#x153;Hydrovac isnâ&#x20AC;&#x2122;t that hard.â&#x20AC;?

He added practice does make a difference. He noted that his new swamper, Debbie Tinsley, found that out the day before. He stayed pretty clean, and well, she did not. â&#x20AC;&#x153;If you know how to work the truck and work the wand, you donâ&#x20AC;&#x2122;t get dirty,â&#x20AC;? he said.

That high-pressure water wand will put out from 500 to 4,000 psi of pressure. There are six different styles of wands, he said. Two are carried on their truck.

Debbie Tinsley recently joined hydrovac operator Dale Daly as the swamper on CEDAâ&#x20AC;&#x2122;s new Estevan hydrovac unit. Photo by Brian Zinchuk

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â&#x20AC;&#x153;One wand will cut three inches wide, one will cut four inches,â&#x20AC;? he said.

Most use a spinning, rotary action where the angled spray spins around in a circle. â&#x20AC;&#x153;Knowing your pressures, temperature and the material youâ&#x20AC;&#x2122;re cutting will determine what you use,â&#x20AC;? Daly said.

Tinsley has spent seven months with CEDA, often working with hot oiling. â&#x20AC;&#x153;I just go where Iâ&#x20AC;&#x2122;m needed,â&#x20AC;? she said.

Asked when she started on the hydrovac, she replied, â&#x20AC;&#x153;Yesterday.â&#x20AC;?

Tinsley used to do maintenance work at the Weyburn Leisure Centre. â&#x20AC;&#x153;I was building, ground maintenance and pool operator,â&#x20AC;? she said adding, â&#x20AC;&#x153;I prefer to get out in the field.â&#x20AC;?

Originally from British Columbia, she moved to Saskatchewan in 2005. She went back for a yearand-a-half before returning in 2012. Her children are in Estevan and Regina.

A bit of everything Oxbow â&#x20AC;&#x201C; Courage Oilfield Services of Oxbow offers a little of everything, but a good chunk of their business is related to vac units and steamers.

In addition to their diverse operations which include a truck wash and recently acquired cattle hauler semi-trailer (which keeps a driver working during breakup), they have five steamers, four vac trucks, one combo unit with dry steam, and one hydrovac, according to Whitney Davis, who looks after human resources and safety.

Oxbow was on the edge of the flood zone that dominated activities in southeast Saskatchewan since breakup. â&#x20AC;&#x153;Once things dried up from flooding, itâ&#x20AC;&#x2122;s been steady,â&#x20AC;? Whitney said. She expects winter to be busy. â&#x20AC;&#x153;Our steamers go out more in the winter.

We would like to get a few more operators and swampers with them. We have tonnes of swampers applying, but we canâ&#x20AC;&#x2122;t bring them on without operators,â&#x20AC;? she said.

A Class 1 drivers licence is needed, in addition to standard oilfield safety tickets. She added they would like to see a minimum of six months experience as well. ɸ Page B25

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PIPELINE NEWS November 2014

Busy winter last year for steamers, and expected again Éş Page B24 The company has 19 people working on its oilfield side, and a further six in the truck wash and convenience store. That truck wash, established a few years ago when they built a new shop east of Oxbow, has been working out really well. â&#x20AC;&#x153;In the spring we were booked two weeks in advance. Weâ&#x20AC;&#x2122;d have service rigs come and rent it for a day,â&#x20AC;? she said.

Courageâ&#x20AC;&#x2122;s other services include six rental catwalk trailers, H2S scrubbers and auxiliary trucks. â&#x20AC;&#x153;We started increasing our gravel hauling. We just added a new gravel semi to the fleet,â&#x20AC;? Whitney said.

Like many other companies in the region, they find the local housing shortage has an impact on business. â&#x20AC;&#x153;We just recently purchased a house that allows us to house five guys,â&#x20AC;? she said. They took possession of that Oxbow house in October.

Courage rents another house in Glen Ewen for two more workers, and they have a 60/40 wellsite trailer for yet another two more.

The company charges rent at a reduced rate compared to the local market.

Whitney noted the necessity of providing housing because itâ&#x20AC;&#x2122;s not a camp job, and itâ&#x20AC;&#x2122;s a hard sell to get people to come to rural areas.

One operator/welder rotates in and out, for instance. â&#x20AC;&#x153;We work with them on their schedule,â&#x20AC;? she said. â&#x20AC;&#x153;For some from northern Manitoba, itâ&#x20AC;&#x2122;s quite a hike.â&#x20AC;?

To make life a little easier on those who get in the thick of things, the company has been pursuing tear resistant, warmer wetsuits for the swampers. â&#x20AC;&#x153;The swampers that are good will make or break your job,â&#x20AC;?

Whitney said.

The winter of 2013/14 was a busy one for Courage. â&#x20AC;&#x153;Our guys were out non-stop for thawing â&#x20AC;&#x201C; not just oilfield, but farmersâ&#x20AC;&#x2122; water bowls,â&#x20AC;? she said. â&#x20AC;&#x153;It was a long winter that turned into a longer spring. Steamers were active washing during the spring, cleaning out mats and equipment in yards.â&#x20AC;?

Your Home Away From Home

B25

<Ä&#x17E;ĹśĆ&#x161; Ĺ&#x161;Ĺ?Ä?Ĺ˝Ĺ?ĹśÄ&#x17E; Ć&#x152;ƾŜĆ? Í&#x17E;Ä&#x17E;Ç&#x20AC;Ä&#x17E;Ć&#x152;Ç&#x2021;Ć&#x161;Ĺ&#x161;Ĺ?ĹśĹ?Í&#x; Ć&#x161;Ĺ&#x161;Ä&#x201A;Ć&#x161; ŽƾĆ&#x152;Ä&#x201A;Ĺ?Ä&#x17E; KĹ?ĹŻÄŽ Ä&#x17E;ĹŻÄ&#x161; ^Ä&#x17E;Ć&#x152;Ç&#x20AC;Ĺ?Ä?Ä&#x17E;Ć? Ĺ&#x161;Ä&#x201A;Ć? Ĺ?Ĺś Ĺ?Ć&#x161;Ć? Ĺ&#x2021; Ä&#x17E;Ä&#x17E;Ć&#x161;Í&#x2DC; ,Ä&#x17E;Í&#x203A;Ć? ŽŜÄ&#x17E; ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; ĹŻÄ&#x17E;Ä&#x201A;Ä&#x161; Ĺ˝Ć&#x2030;Ä&#x17E;Ć&#x152;Ä&#x201A;Ć&#x161;Ĺ˝Ć&#x152;Ć? Ç Ĺ?Ć&#x161;Ĺ&#x161; Ć&#x161;Ĺ&#x161;Ä&#x17E; KÇ&#x2020;Ä?Ĺ˝Ç ÄŽ Ć&#x152;ĹľÍ&#x2DC; ,Ä&#x17E;Ć&#x152;Ä&#x17E; Ĺ&#x161;Ä&#x17E; Ĺ&#x161;ŽůÄ&#x161;Ć? Ä&#x201A; Ć?Ć&#x161;Ä&#x17E;Ä&#x201A;ĹľÄ&#x17E;Ć&#x152; Ç Ä&#x201A;ĹśÄ&#x161;Í&#x2DC; Í&#x17E;dĹ˝Ä&#x161;Ä&#x201A;Ç&#x2021; / Ç Ä&#x201A;Ć? Ć&#x161;Ć&#x152;Ä&#x201A;Ĺ?ĹśĹ?ĹśĹ?Í&#x2022;Í&#x; Ĺ&#x161;Ä&#x17E; Ć?Ä&#x201A;Ĺ?Ä&#x161;Í&#x2DC; Í&#x17E;hĆ?ĆľÄ&#x201A;ĹŻĹŻÇ&#x2021; /Í&#x203A;Ĺľ Ć&#x161;Ä&#x17E;Ä&#x201A;Ä?Ĺ&#x161;Ĺ?ĹśĹ? Ä&#x17E;Ç&#x20AC;Ä&#x17E;Ć&#x152;Ç&#x2021;ŽŜÄ&#x17E; Ä&#x17E;ĹŻĆ?Ä&#x17E; Ĺ&#x161;Ĺ˝Ç Ć&#x161;Ĺ˝ Ä&#x161;Ĺ˝ Ĺ?Ć&#x161;Í&#x2DC;Í&#x; Photo by Brian Zinchuk

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PIPELINE NEWS November 2014

B27

Spearing Service adds another combo vac, new shops Oxbow â&#x20AC;&#x201C; Spearing Service LP of Oxbow continues to add more vacuum capacity to its fleet. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve got seven combo vacs and an eighth is on its way,â&#x20AC;? said Ken McClement, operations manager for Spearing, part of the Mullen Group.

It can take four months to build a combo vac, McClement said on Oct. 9. â&#x20AC;&#x153;We book spots a long way in advance. We send them a unit, a Kenworth or whatever, and they build it. Eighty per cent is probably standard, and we spec the remaining 20 per cent.â&#x20AC;?

Those items include pumps, washer, heater, hoses, type of tank and weight configuration. â&#x20AC;&#x153;The last five have been built in Red Deer at a company called Rebel (Rebel Metal Fabricators),â&#x20AC;? he said.

They also run Advance and Westech units.

A combo vac has a steamer unit on the front and a vac unit on the back. That steamer unit may have up to a million BTU washer and up to a 15 gallon per minute pressure washer unit, according to McClement.

They see a lot of usage in turnarounds for tanks and treaters during the summer. In the winter they can be used as a steamer unit. â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;re set up to steam as well as wash,â&#x20AC;? he said.

The majority of Spearingâ&#x20AC;&#x2122;s vac

fleet are tri-drives. The trucks are generally built to haul the water they will need to do a job, he noted. â&#x20AC;&#x153;The biggest factor is the type of debris they have,â&#x20AC;? he said.

Only potable water is used.

Most of the jobs are washing and maintenance, he noted, including a lot of turnarounds of treaters and tanks.

The combo vac is a much more versatile piece of equipment, he feels, saying they are â&#x20AC;&#x153;entirely efficient and sufficient for most jobs.â&#x20AC;?

The alternative is to use separate steamer and vac units. â&#x20AC;&#x153;The combos are the best way to go,â&#x20AC;? McClement said. â&#x20AC;&#x153;Theyâ&#x20AC;&#x2122;ve really gained popularity.â&#x20AC;?

However, for a big cleaning job, he said you still need oversized steamers.

The fleet is spread out between their four operation locations, in Oxbow and Carlyle in Saskatchewan and Pipestone and Waskada in Manitoba. â&#x20AC;&#x153;We donâ&#x20AC;&#x2122;t do any hydrovacs. We still run two steamers,â&#x20AC;? McClement said.

Hydrovacs are made to haul dirt, he noted, while these units are â&#x20AC;&#x153;spec tanks,â&#x20AC;? and can haul crude oil or oil waste. Those loads go to disposal sites.

New Carlyle shop Spearing moved into a new shop

SAFE & SOUND

in Carlyle this past June, leased from Faberâ&#x20AC;&#x2122;s Electric.

They leased the whole building, which includes six winter parking bays and one wash bay. There are also four mechanicâ&#x20AC;&#x2122;s bays with two pits, one 50 feet, and one 80 feet.

The old shop will be for sale.

The new shop has better space efficiencies and is more modern, McClement said.

Itâ&#x20AC;&#x2122;s a good size, too, at 90 by 280 feet. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re building another in Pipestone,â&#x20AC;? he said. That one will be 80 by 160 feet, providing a separate winter parking shop.

Flood response

Two of Spearingâ&#x20AC;&#x2122;s operations were in some of the worst flooding areas when torrential rains hit on June 30 last summer. â&#x20AC;&#x153;We had units out in Manitoba and the town of Virden, working a couple days and nights there. We were moving fresh water and working at the sewage lift station,â&#x20AC;? McClement said.

Reston, near Pipestone, had a flooding event the year prior, he added.

These vac units are called upon when sewage lift stations have their power go out. â&#x20AC;&#x153;You canâ&#x20AC;&#x2122;t pump water with a vac.

You can pick it up, and then blow,â&#x20AC;? he explained.

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B28

PIPELINE NEWS November 2014

Steaming vessels clean enough to eat breakfast in

ĹŻÄ&#x201A;Ć?Ć?Ĺ?Ä? sÄ&#x201A;Ä?ƾƾž dĆ&#x152;ĆľÄ?ĹŹ ĆľĆ?Ä&#x17E;Ć? Ĺ?Ć&#x161;Ć? Ĺ&#x2021; Ä&#x17E;Ä&#x17E;Ć&#x161; ŽĨ Ç&#x20AC;Ä&#x201A;Ä? Ć&#x161;Ć&#x152;ĆľÄ?ĹŹĆ? ÍžÄ&#x201A;Ä?Ĺ˝Ç&#x20AC;Ä&#x17E;Íż Ä&#x201A;ĹśÄ&#x161; Ć?Ć&#x161;Ä&#x17E;Ä&#x201A;ĹľÄ&#x17E;Ć&#x152;Ć? ĨŽĆ&#x152; Ć&#x161;ĆľĆ&#x152;ĹśÄ&#x201A;Ć&#x152;ŽƾŜÄ&#x161;Ć?Í&#x2DC;

Â&#x201E; By Brian Zinchuk Alida â&#x20AC;&#x201C; When it comes to turnaround, Classic Vacuum Truck Ltd. of Alida knows a thing or two about the process. As manager Randy McCan-

nell puts it, their business is â&#x20AC;&#x153;mostly turnarounds and cleanups.â&#x20AC;?

Additionally, he noted, â&#x20AC;&#x153;We haul a lot of contaminated material, i.e. mud from rigs that canâ&#x20AC;&#x2122;t be spread.â&#x20AC;?

The company operates eight vac

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trucks, one hydrovac, three steamers (plus one leased-on steamer). They also have a fire truck that sees a lot of use in turnarounds. The vac units are up to 20 cubic metres in capacity.

On Oct. 16 Pipeline News asked spoke to Classic Vacuum Truckâ&#x20AC;&#x2122;s management team of Randy McCannell and Tim Erickson about the steamer aspect of the business.

Steamers While some companiesâ&#x20AC;&#x2122; steamers are used primarily in winter, McCannell noted, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re steaming all year round.â&#x20AC;?

Tim Erickson looks after the steamers, which have a diesel-fueled boiler capable of heating the water up to 200 Celsius, thus turning it into steam.

He owns three and operates them under Classic. He noted they are set up for turnarounds of tanks and treaters, and have a â&#x20AC;&#x153;wet steamâ&#x20AC;? as opposed to a â&#x20AC;&#x153;dry steamâ&#x20AC;? that is used by some steamers for thawing frozen lines.

That said, their steamers are still used

for thawing during the winter. The summers are spent doing turnarounds.

Occasionally the steamers will be used to wash a wellhead or piping on their own, or to â&#x20AC;&#x153;sit onâ&#x20AC;? a service rig to make sure everything stays thawed out. Usually they are paired with vac units for turnarounds.

These steamers are often used with a Gamajet system for cleaning tanks. Inserted into the top of a tank through a port like the thief hatch, the Gamajet has nozzles that spray a rotating pattern to wash down the interior. â&#x20AC;&#x153;It sounds like a dishwasher.

It cleans from top to bottom,â&#x20AC;? said Erickson. Indeed, the Gamajet looks a lot like the spinning wash arm you will find inside a typical dishwaser. â&#x20AC;&#x153;A steamer is a high-maintenance item with the water quality around here. Thereâ&#x20AC;&#x2122;s big problems replacing the coil if it shales off and you canâ&#x20AC;&#x2122;t acid through it,â&#x20AC;? Erickson noted. As such, itâ&#x20AC;&#x2122;s important to have access to good water. ɸ Page B29

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PIPELINE NEWS November 2014

B29

dŝŵ ƌŝĐŬƐŽŶ ;ůĞŌͿ͕ <ĂƌĞŶ ^ƚƌƵƩ ĂŶĚ ZĂŶĚLJ DĐ ĂŶŶĞůů ĐĂŶ ďĞ ĨŽƵŶĚ ŽŶ ŽĐĐĂƐŝŽŶ ŝŶ ƚŚĞ ƐƚĞĂŵĞƌ ĂŶĚ ǀĂĐ ƚƌƵĐŬ ǁŽƌŬŝŶŐ ƚŽŐĞƚŚĞƌ͘ WŚŽƚŽ ƐƵďŵŝƩĞĚ ůŝĚĂ ŽĸĐĞ͘

ɺ Page B28 “We have our own source wells, and dugout at Carlyle,” Erickson said.

With three very wet years in a row, he noted there is no shortage of water in the area.

If they do need to pull their own water, the steamers have a buoy pump onboard to load their own water if need be.

Almost all of Classic Vacuum Truck’s steamer work in the summer is related to turnarounds. Depending on the weather, that season can run up to the middle of November.

When it’s colder, they will be used to deal with sand frozen in the bottom of tanks that are used to collect frac flowback. There’s also work emptying tester vessels.

Additional units

“We also have fresh water trucks to haul water to keep the steamers supplied,” Erickson said. They have two tandems and one semi water hauler.

One semi truck as a scrubber for gas while loading. It is used for hauling away fluid from vac units.

Getting in there Steamer operators often have to climb into tanks to pressure wash off residue inside, allowing vac units to suck out the remains. It’s messy work, in a confined space, sometimes working on supplied air. It is very loud and can be very hot, since they are working with steam, after all.

“The heat is unreal,” he said. Typically the two workers on the steamer will change off every 20 minutes.

“There’s not much fat on them,”

he added.

“They’re paid fairly well,” Erickson responded, when asked about the working conditions. He noted there’s hazard pay for going in.

“I’ve had one guy for five or six years. Another, 15 – plus years on a steamer, four working for me. He’s good at what he does.”

When cleaning, a half-hearted job just won’t do.

“The inspector basically wants to be able to sit in there and eat breakfast in that treater,” Erickson said.

Anything missed can cause issues later.

Turnaround process Erickson described the process of a typical turnaround. First the vac truck will suck the vessel down. Then the fire truck pumps foam in. That foam displaces and traps gas. The fire truck is good for washing out sludge.

The vac truck then sucks out the foam.

The steamer is then used to either clean with a Gamajet or the operator will go into the vessel to clean it.

Clearing out the wax

An additional use of the steamers is in jetting plugged flow lines due to wax. A special jet head is attached to the line with jets pointing both forward and back. The forward-facing ones break up the plugs, and the rearfacing ones wash the residue back.

They also push the jet further into the line. The process is something like how an earthworm moves through the ground, eating its way ahead.

After the flowline is daylighted with a hydrovac, bellholes are dug every 600 feet or so to access the line, and they will jet 300 feet in each direction from where the line is split.

Using water, the temperature has to be kept below 60 to 70 C so that it doesn’t damage the fibreglass line.

This tends to be more of a winter issue.

As for the vac units, they often respond to spills, which are more frequent in winter due to the cold weather. This can lead to packing failures, thus resulting in cleanups.

McCannell said, “Last winter, the frost went so deep, the older flow lines would fail.”

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B30

PIPELINE NEWS November 2014

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PIPELINE NEWS November 2014

B31

Strike Energy adapts process software Calgary â&#x20AC;&#x201C; Strike Energy is one of the early adapters of new software from Microsoft and Hitachi Solutions that supports both operational and administrative processes for its oilfield construction.

Strike was named in a project by Hitachi Solutions Canada during the successful go-live implementation of Microsoft Dynamics AX 2012 R2, one of the most important strategic initiatives for Strike Energy in the past decade.

The project launched on Sept.

18 also included Hitachi Solutionsâ&#x20AC;&#x2122; Build/AX solution, a solution built on Dynamics AX and tailored to the construction industry.

Hitachi Solutions Canadaâ&#x20AC;&#x2122;s enterprise resource planning solution has prepared Strike Energy for the future by providing the company with access to better, more accurate and timely information required to reach significant growth objectives over the next five years. â&#x20AC;&#x153;With the help of Hitachi Solutions Canada, Strike Energy is well positioned to meet future business demands and provide our customers with even better customer service and improved project controls,â&#x20AC;? said Jerome Beaudoin, chief information officer, Strike Energy. â&#x20AC;&#x153;Like many organizations in the construction industry, we were us-

ing outdated technology and lacked standardized processes across the organization. â&#x20AC;&#x153;We knew that Microsoft Dynamics AX was the right solution for us; we just had difficulty partnering with the right vendor.â&#x20AC;? â&#x20AC;&#x153;What Hitachi Solutions Canada brought to the table was flexibility, a strong understanding of Dynamics AX R2, and a solid understanding of the construction industry. â&#x20AC;&#x153;They worked with our aggressive timelines, and together we were able to complete the project on time and on budget.

For us, this is not only the most important non-construction initiative in 2014, it is the largest strategic nonconstruction initiative for the organization in 10 years.â&#x20AC;?

After previous failed attempts with other vendors, Microsoft Dynamics AX 2012 R2 was successfully implemented with Hitachi Solutions Canada on schedule, in record time (just seven months), and within two percent of the established budget.

Divided into three phases starting February of 2014 and going live Sept. 1, 2014, the implementation of Dynamics AX resulted in the following benefits for Strike: Insight into the complete project lifecycle, resulting in more strategic project management

Standardization of business processes across all business units based on best practices A single system of record to aid in making better business decisions, enhancing communications, and improving operational and financial reporting Improved financial visibility and project controls resulting in greater profitability Technological advantage in an increasingly competitive landscape â&#x20AC;&#x153;True partnership is the key to our success and, most importantly, to the

success of our customers,â&#x20AC;? said Mike Gillis, chief operating officer, Hitachi Solutions America. â&#x20AC;&#x153;We are very proud of the fact that Hitachi Solutions Canada has worked hand in hand with the Strike team to help them move towards their vision.

We look forward to a long term business relationship with Strike, assisting them in further realizing the benefits of the joint Microsoft and Hitachi Solutionsâ&#x20AC;&#x2122; software project.â&#x20AC;?

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B32

PIPELINE NEWS November 2014

dĹ&#x161;Ĺ?Ć? >Ĺ?ĆŠ ĹŻÄ&#x17E;Ĺ&#x161;Ä&#x201A;Ç ĹŹ ƾŜĹ?Ć&#x161; Ä?ŽƾůÄ&#x161; Ä?Ä&#x17E; Ć?Ä&#x17E;Ä&#x17E;Ĺś Ç Ĺ˝Ć&#x152;ĹŹĹ?ĹśĹ? ĹśÄ&#x17E;Ä&#x201A;Ć&#x152; Ć&#x152;Ĺ˝Ç ĹśĹ?ĹśĹ? ĹŻÄ&#x201A;Ć?Ć&#x161; &Ä&#x17E;Ä?Ć&#x152;ƾͲ Ä&#x201A;Ć&#x152;Ç&#x2021;Í&#x2DC; File photo

Littlehawk grows by leaps and bounds Arcola â&#x20AC;&#x201C; Littlehawk Enterprises Ltd. operates what could arguably be called some of the shiniest hydrovacs in southeast Saskatchewan, and the number of those shiny trucks is growing.

The company is owned and operated by Graham and Ghislaine Carter, with Brian Hagel acting as manager. Itâ&#x20AC;&#x2122;s not uncommon for any of them to be out in the field as needed. The first time Pipeline News wrote about the company, Ghislaine was several months pregnant, yet she was running a water truck.

On Oct. 16, she was nine months pregnant, but this time she wasnâ&#x20AC;&#x2122;t driving truck. She was in the office, where she heads up administrative efforts. â&#x20AC;&#x153;I got a promotion,â&#x20AC;? she said with a smile, adding sheâ&#x20AC;&#x2122;s very rarely in the

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field now.

Graham was running a pressure truck that day, a reflection on the difficulty at times of finding staff. Hagel is also found on a hydrovac as need be.

The fleet includes 14 units, with three more on the way to be added midNovember. Thatâ&#x20AC;&#x2122;s a substantial increase since they set up shop in Arcola three years ago. One is operated by a sub-contractor, while the remainder are company units.

The company has one pressure truck, one water truck, one steamer, and the remainder are hydrovacs. Those hydrovacs focus on daylighting, according to Hagel, but they also see some use in sloping sides for trenches and bellholes. â&#x20AC;&#x153;If youâ&#x20AC;&#x2122;re unsure about whatâ&#x20AC;&#x2122;s in the ground, you canâ&#x20AC;&#x2122;t put a hoe in,â&#x20AC;? Ghislaine said, referring to an excavator.

Thatâ&#x20AC;&#x2122;s why hydrovacs are needed. Using a high-pressure spray wand to wash away soil, and a high suction, truck-mounted vacuum to suck up the debris, hydrovacs are used to â&#x20AC;&#x153;daylightâ&#x20AC;? underground utilities like pipelines and cables. â&#x20AC;&#x153;Daylightingâ&#x20AC;? means exposing to daylight, such that a hidden utility is no longer hidden. ɸ Page B33

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PIPELINE NEWS November 2014

B33

Î&#x2014; Ć&#x152;ĆľĆ?Ĺ&#x161;Î&#x2014; Ä&#x201A;ĹśÄ&#x161; Î&#x2014;dĹ&#x161;Ä&#x17E; ,ƾůŏÎ&#x2014; Ä&#x201A;Ć&#x152;Ä&#x17E; Ć&#x161;Ç Ĺ˝ ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; >Ĺ?ĆŠ ĹŻÄ&#x17E;Ĺ&#x161;Ä&#x201A;Ç ĹŹÎ&#x2013;Ć? Ä?ŽͲ ůŽƾĆ&#x152;Ĩƾů Ĺ&#x2021; Ä&#x17E;Ä&#x17E;Ć&#x161; ŽĨ Ĺ&#x161;Ç&#x2021;Ä&#x161;Ć&#x152;Ĺ˝Ç&#x20AC;Ä&#x201A;Ä?Ć?Í&#x2DC; WĹ&#x161;Ĺ˝Ć&#x161;Ĺ˝ Ć?ĆľÄ?ĹľĹ?ĆŠ Ä&#x17E;Ä&#x161;

Éş Page B32 In addition to finding an underground line, often they will open up a metre or two on each side of exposed utility so that the mechanical equipment doesnâ&#x20AC;&#x2122;t have to get close. There are rules in place limiting how close you can excavate near a pipeline, for instance, with mechanical equipment. The hydrovac is used within that safety zone to clear that soil away, Having a high pressure water wand with a boiler on board has other uses as well.

The company is currently working on the Enbridge Line 3 Replacement program in Manitoba, doing club root decontamination of equipment. â&#x20AC;&#x153;Clubroot decontamination is a big thing in Alberta and Saskatchewan. Itâ&#x20AC;&#x2122;s recently become an issue in Manitoba,â&#x20AC;? Hagel said.

A few years ago their trucks could be seen working on the Enbridge Bakken Expansion Project in their own neighbourhood, working near Redvers.

Another recent project has been the Mistral

pipeline, from Viewfield to Beaubier.

Littlehawkâ&#x20AC;&#x2122;s operating area runs from Manitoba to Alberta.

When theyâ&#x20AC;&#x2122;re not busy at home, you might find them in Kindersley or Fort McMurray. â&#x20AC;&#x153;When itâ&#x20AC;&#x2122;s busy, we focus on this area. During spring and breakup, weâ&#x20AC;&#x2122;ll go more afield,â&#x20AC;?

Hagel said. â&#x20AC;&#x153;We want to take care of our backyard first.â&#x20AC;?

Ghislaine added, â&#x20AC;&#x153;When itâ&#x20AC;&#x2122;s busy, itâ&#x20AC;&#x2122;s very busy.â&#x20AC;?

Flooding in southeast Saskatchewan this past summer had an

PA TE

impact. â&#x20AC;&#x153;Oh yeah, it was a dead crawl for a while in June and July,â&#x20AC;? Hagel said. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re going again here now.â&#x20AC;?

One of their hydrovacs is a tandem steer, tandem drive, while the rest are single steer, tridem drive. They are

equipped with sloped floors within their tanks, an innovation Graham Carter played a part in developing. That slope makes it much easier to empty out tanks when unloading.

Their equipment is by-by-and-large the same, but Hagel noted thereâ&#x20AC;&#x2122;s constant refinement.

Littlehawk is getting to the point where their shop wonâ&#x20AC;&#x2122;t be large enough for the fleet, but they are considering establishing a satellite elsewhere.

The company has 26 drivers and operators, and a further five office and management staff members. More

people will be added to go along with the new units due in a few weeks.

Ghislaine noted they are looking for â&#x20AC;&#x153;good, quality people.â&#x20AC;?

Hagel said, â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s all word of mouth. People like the image we portray.â&#x20AC;?

Ghislaine added, â&#x20AC;&#x153;They like the shiny trucks.â&#x20AC;? â&#x20AC;&#x153;That hour (cleaning) is worth it. A clean truck is a safe truck,â&#x20AC;?

Hagel said, adding it makes inspections easy.

They have two wash bays that get used a lot.

It generally takes an hour to clean a truck. â&#x20AC;&#x153;If you keep it up, itâ&#x20AC;&#x2122;s easy to maintain.â&#x20AC;?

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B34

PIPELINE NEWS November 2014

Metra sells to Weir Group Estevan â&#x20AC;&#x201C; Estevan-based wellhead specialist Metra Equipment Inc. has been acquired by the Weir Group PLC. Weir, whose businesses include Weir Seaboard, is based in Glasgow, Scotland. They operate in over 70 countries, according to Cameron Smith, general manager for Seaboard Canada. He was in Estevan along with Preston Schnellert, sales manager. Both are originally Saskatchewan boys, with Smith having grown up on a farm near Nipawin, and Schnellert originally from Regina. Smith is now based in Edmonton and Schnellert is in Calgary.

Metra was founded in 2007 by Burt Bondeau and Lyle Grube, both of Estevan, along with an unnamed silent partner. The two will continue to manage the operation under the new ownership for a minimum of another two years. With Weir purchasing 100 per cent ownership for an undisclosed amount, the third partner is now out. The transaction closed on July 29. â&#x20AC;&#x153;Weir is one of the worldâ&#x20AC;&#x2122;s largest engineering businesses, that

brings enormous opportunities and I intend to do my bit to capture them.

When youâ&#x20AC;&#x2122;ve been selling wellheads for 26 years, it becomes your passion, I donâ&#x20AC;&#x2122;t know anything else,â&#x20AC;? said Grube.

Blondeau said, â&#x20AC;&#x153;The intention is to help this business grow further, this time as part of a much bigger operation. Itâ&#x20AC;&#x2122;s been some journey since we started in 2007 and I am sure we still have a long way to go.â&#x20AC;?

Blondeau is the operations manager, and Grube handles sales and techical support. Blondeau will be managing the Estevan location.

Weir has three primary divisions, including minerals (mining equipment), power and industrial (power generation) and oil and gas. In 2013, the Group, which is listed on Londonâ&#x20AC;&#x2122;s FTSE 100 index, generated CAD $4.3bn in revenues. Seaboard is a part of the oil and gas division.

Seaboard has operations globally, however specifically in Canada, they are in Fort St. John., B.C., Grande Prairie, Red Deer, Edmonton, and Lloydminster, Alta., as well as a sale office in Calgary. Estevan will be the

first Saskatchewan location, depending on how you consider Lloydminster. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;ve grown through a combination of organic growth and acquisitions, but we tend to leave businesses somewhat autonomous,â&#x20AC;? said Smith.

The oil and gas division also has locations in Medicine Hat, Edmonton, Fort St. John, Grande Prairie, Red Deer and Edmonton, focussing on pressure pumping, flow control and safety critical equipment used in hydraulic fracturing operations.

Metra has grown over the years to a staff of 17 people, according to Grube. They were up to 25 at one point, and he said hopefully they will

be adding staff for the winter.

Asked how the deal came about, Grube said, â&#x20AC;&#x153;We heard that (Weir) was kicking tires around here.â&#x20AC;?

An ex-employee of Metra, now working with Weir in Edmonton, suggested they take a look at Metra.

That happened in the fall of 2013.

The process took a while to complete.

As for what the new entity will be known as, Smith said, â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re still working on branding. The Metra name here is well-respected.â&#x20AC;?

Metraâ&#x20AC;&#x2122;s product lines are primarily well heads and frac trees sales, rentals and service. The wellheads are typically sold, while frac trees are usually rented. ɸ Page B35

Metra service technician Paul Mantei straps down a rod pumping wellhead.

Photo by Brian Zinchuk

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B35

DÄ&#x17E;Ć&#x161;Ć&#x152;Ä&#x201A; Ć&#x2039;ĆľĹ?Ć&#x2030;ĹľÄ&#x17E;ĹśĆ&#x161; ĹľÄ&#x201A;ĹśÄ&#x201A;Ĺ?Ä&#x17E;ĹľÄ&#x17E;ĹśĆ&#x161; Ĺ?ĹśÄ?ĹŻĆľÄ&#x161;Ä&#x17E;Ć?Í&#x2022; ĨĆ&#x152;Žž ĹŻÄ&#x17E;Ĺ&#x152;Í&#x2022; ĆľĆ&#x152;Ć&#x161; ŽŜÄ&#x161;Ä&#x17E;Ä&#x201A;ĆľÍ&#x2022; WĆ&#x152;Ä&#x17E;Ć?Ć&#x161;ŽŜ ^Ä?Ĺ&#x161;ĹśÄ&#x17E;ĹŻĹŻÄ&#x17E;Ć&#x152;Ć&#x161;Í&#x2022; Ä&#x201A;ĹľÄ&#x17E;Ć&#x152;ŽŜ ^ĹľĹ?Ć&#x161;Ĺ&#x161; Ä&#x201A;ĹśÄ&#x161; >Ç&#x2021;ĹŻÄ&#x17E; Grube. Photo by Brian Zinchuk

interested in working outside this area, outside this division or even outside the country,â&#x20AC;? he said.

Already some staff members from Estevan have been working in Grande Prairie. â&#x20AC;&#x153;It gives people more options,â&#x20AC;? said Grube.

Weir Seaboard also has operations south of Éş Page B34 The purchase will have the benefits of more capital backing the company to foster more growth. There are also engineering and safety programs that Metra will be able to take part in. They will also have broader exposure to international supply.

Grube noted they gained a sales team in Calgary, a presence they did not have before.

It is common for operations in southeast Saskatchewan to have sales representation in

Calgary since that is where most of the deals are made. Conversely, it can be difficult to make sales in an area where you donâ&#x20AC;&#x2122;t have a presence. That changes for Weir Seaboard with the addition of Metra.

Schnellert, who heads a seven person sales team, said, â&#x20AC;&#x153;There has always been a challenge for us to compete in this region.â&#x20AC;?

The acquisition allows the larger firm to cover a greater proportion of the Western Canadian Sedimentary Basin with the addition of an established,

respected business, he noted.

There are also synergies with sister companies and new product lines at the wellsite. Without going into detail, he referred to â&#x20AC;&#x153;bolt-on pieces.â&#x20AC;?

Smith alluded to product offerings that will assist in drilling and completing wells more quickly, and thus cheaper.

He added that being part of a larger company allows employees to broaden their horizons if they wish. â&#x20AC;&#x153;This does open up opportunities if theyâ&#x20AC;&#x2122;re

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Estevan in Williston, N.D., one of 18 facilities in the U.S. Blondeau concluded, â&#x20AC;&#x153;I would like to thank all our customers and vendors in supporting us as Metra and weâ&#x20AC;&#x2122;re looking forward to continuing a strong working relationship as a new member of the Weir Seaboard organization.â&#x20AC;?

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PIPELINE NEWS November 2014

Great generational crew change

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Ross, Enform Saskatchewan manager, spoke on engaging young workers, while Christian Brown, safety advisor, touched on ergonomics in the workplace.

Ross noted that 29 per cent of Workers Compensation claims for young workers involved them being struck by an object, while a further 23 per cent involved being struck against an object.

His main topic touched on the â&#x20AC;&#x153;great generational crew change.â&#x20AC;?

The Baby Boomers, those born between 1946 and the mid-1960s, are retiring in large numbers. The smaller Generation X, borne from 1965 to 1980, are more of the â&#x20AC;&#x153;silent group,â&#x20AC;? while Gen Y, born from 1980 to 2000, are â&#x20AC;&#x153;The next wave/tsunami.â&#x20AC;?

The challenges of this crew change include knowledge transfer, skill loss, attrition among new workers, short term focus, early retirements and high risk among inexperienced workers. ɸ Page B37

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Ĺ&#x161;Ć&#x152;Ĺ?Ć?Ć&#x; Ä&#x201A;Ĺś Ć&#x152;Ĺ˝Ç Ĺś ŽĨ ŜĨŽĆ&#x152;Ĺľ ^Ä&#x201A;Ć?ĹŹÄ&#x201A;Ć&#x161;Ä?Ĺ&#x161;Ä&#x17E;Ç Ä&#x201A;Ĺś Ć?Ć&#x2030;ŽŏÄ&#x17E; Ä&#x201A;Ä?ŽƾĆ&#x161; Ç Ĺ˝Ć&#x152;ĹŹĆ&#x2030;ĹŻÄ&#x201A;Ä?Ä&#x17E; Ä&#x17E;Ä?ŽŜŽžĹ?Ä?Ć? Ä&#x161;ĆľĆ&#x152;Ĺ?ĹśĹ? Ć&#x161;Ĺ&#x161;Ä&#x17E; Ĺ˝Ć&#x152;Ĺ?Ä&#x201A;ĹśĹ?Ç&#x152;Ä&#x201A;Ć&#x; ŽŜĆ? Ć&#x152;Ĺ˝Ä&#x201A;Ä&#x161; Ć?Ĺ&#x161;Ĺ˝Ç Ĺ˝Ä¨ ůƾŜÄ?Ĺ&#x161;ͲÄ&#x201A;ĹśÄ&#x161;ͲůÄ&#x17E;Ä&#x201A;Ć&#x152;Ĺś Ć?Ä&#x17E;Ć?Ć?Ĺ?ŽŜĆ?Í&#x2DC; Í&#x17E;/Ĺś Ć?ŽžÄ&#x17E; Ć?Ä&#x17E;Ä?Ć&#x161;Ĺ˝Ć&#x152;Ć?Í&#x2022; Ć&#x161;Ĺ&#x161;Ä&#x17E; Ĺ&#x161;ƾžÄ&#x201A;Ĺś Ä?Ĺ˝Ä&#x161;Ç&#x2021; Ĺ?Ć? Ć&#x2030;Ä&#x201A;Ć&#x152;Ć&#x161; ŽĨ Ć&#x161;Ĺ&#x161;Ä&#x17E; ĹľÄ&#x17E;Ä?Ĺ&#x161;Ä&#x201A;ĹśĹ?Ć?ĹľÍ&#x2022;Í&#x; Ĺ&#x161;Ä&#x17E; Ć?Ä&#x201A;Ĺ?Ä&#x161;Í&#x2022; Ć&#x2030;Ĺ˝Ĺ?ĹśĆ&#x; ĹśĹ? Ć&#x161;Ĺ˝ Ć&#x152;ƾŜŜĹ?ĹśĹ? Ć&#x161;ŽŜĹ?Ć? Ä&#x201A;ĹśÄ&#x161; Ć&#x2030;Ĺ?Ć&#x2030;Ä&#x17E; Ä&#x201A;Ć? Ć&#x161;Ç Ĺ˝ Ä&#x17E;Ç&#x2020;Ä&#x201A;ĹľĆ&#x2030;ĹŻÄ&#x17E;Ć?Í&#x2DC;

Carlyle â&#x20AC;&#x201C; When Enform first set up a Saskatchewan office, they held a safety conference in Regina. However, there arenâ&#x20AC;&#x2122;t a lot of oil wells near Regina, so in the following years they have taken a different tack.

In mid-October Enform hosted a series of lunch-andlearn sessions throughout Saskatchewan, including Estevan, Weyburn, Carlyle, Swift Current, Kindersley and Lloydminster.

There were two areas focused on by Enform presenters. Bob

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PIPELINE NEWS November 2014 Éş Page B36 Surveys show a significant labour need in geosciences, petroleum engineering, drilling services and oilfield maintenance, Ross said.

A further 60,000 to 100,000 workers are needed in the oilsands and conventional production.

Some generational differences he pointed out between those leaving the workforce versus those coming in include physical fitness. Boomers didnâ&#x20AC;&#x2122;t grow up with gaming consoles. They were told to go outside and play. They tend to be the most active and physically fit generation, he noted. Theyâ&#x20AC;&#x2122;re also the wealthiest.

Jumping to the Gen Y group, they are much more networked with their friends. They want to know what the wages for a job are up front.

They also grew up with the Internet.

â&#x20AC;&#x153;They are more wired than you or I will ever be,â&#x20AC;? Ross said.

He also added Gen Y has â&#x20AC;&#x153;trophy kids,â&#x20AC;? whose mere participation in activities was enough to earn them a reward or trophy.

Ross noted that Gen Yers prefer to work within their own age group. Boomers will have a tendency to speak down to them.

A Boomer might have stayed with a company for 25 years or more, while a Gen Y person might be around for five. Theyâ&#x20AC;&#x2122;re much more likely to walk if they get ticked off. â&#x20AC;&#x153;If you donâ&#x20AC;&#x2122;t address their concerns, theyâ&#x20AC;&#x2122;re shopping for another job,â&#x20AC;? Ross warned.

The problem is, as boomers retire, they take their long and hardearned knowledge with them, creating what Ross called a â&#x20AC;&#x153;crippling knowledge gap,â&#x20AC;? with

â&#x20AC;&#x153;hundreds of years of experience walking out the door.â&#x20AC;?

Combatting this, he noted the important of demonstrating competence when training younger workers. â&#x20AC;&#x153;Make them show you they have the skill set,â&#x20AC;? he said, using an example of servicing a pumpjack.

Boomers â&#x20AC;&#x153;may actually read the company manual,â&#x20AC;? while a Gen Y member might shelve that manual until they are tasked with a question.

Bridging those gaps can be done by ensuring a level playing field and recognizing altruism, he said. â&#x20AC;&#x153;Recognize in public, reprimand in private,â&#x20AC;? Ross said.

It also pays to involve the younger people right from the beginning of a project, tasking them with duties to make them part of it from the get-go.

CAREER *XĂ&#x2014;GH

B37

Enform Saskatchewan manager Bob Ross addressed a lunch-and-learn session in CarĹŻÇ&#x2021;ĹŻÄ&#x17E; ŽŜ KÄ?Ć&#x161;Í&#x2DC; ϭϲÍ&#x2022; Ć&#x161;ŽƾÄ?Ĺ&#x161;Ĺ?ĹśĹ? ŽŜ Ĺ?Ä&#x17E;ĹśÄ&#x17E;Ć&#x152;Ä&#x201A;Ć&#x;ŽŜÄ&#x201A;ĹŻ Ä?Ĺ&#x161;Ä&#x201A;ĹśĹ?Ä&#x17E;Ć? Ĺ?Ĺś Ć&#x161;Ĺ&#x161;Ä&#x17E; Ç Ĺ˝Ć&#x152;ŏĨŽĆ&#x152;Ä?Ä&#x17E;Í&#x2DC;

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PIPELINE NEWS November 2014

Public drilling rig app goes viral Calgary â&#x20AC;&#x201C; A new free mobile oil patch app that enables anyone to see all current rig locations, statuses and operators across Canada in real time has gone viral.

The app, called the Petrofeed app, named for the Calgary-based software startup company that invented it, has become the most-downloaded business app in Canada according to a corporate update on Aug. 25. â&#x20AC;&#x153;We are extremely proud of what the company and team have accomplished in such a short period of time,â&#x20AC;? said Ashley Dunfield, CEO and company founder.

The application launched this past February is the first to provide free public access to industry drilling data in real time map view on a mobile device. â&#x20AC;&#x153;Until now that information was very difficult, time intensive and expensive to get,â&#x20AC;? said Dunfield. â&#x20AC;&#x153;Our belief is that everyone in the industry should be able to see what is happening, where it is happening and be able to connect to the people, rigs, and wells involved. â&#x20AC;&#x153;Mobile technology will bring a new era of efficiency and change how the industry does business.â&#x20AC;? said Dunfield who noted the company is aiming to add new features to the app once a month.â&#x20AC;?

With the Petrofeed app, users can view all drilling rigs currently operating in Canada and easily find out which operator the rig is working for, what it is doing, as well as the rigâ&#x20AC;&#x2122;s previous wells drilled and history.

The information can be filtered based on geographic area, the rig contractor, current status (drilling, moving, or down) and well type (vertical, horizontal or deviated), and operator.

â&#x20AC;&#x153;PetroFeed is at the forefront of change that is thrusting the oil and gas industry into an era of a digitally connected, mobile workforce,â&#x20AC;? said Troy Bilon, director of strategy for Petrofeed. â&#x20AC;&#x153;This change will bring a giant leap forward in efficiency and competitiveness for the entire industry, making an already world class industry even better for Canada.â&#x20AC;?

Users can also access the Petrofeed website that includes map view data on well licenses and land sales plus a reporting tool to monitor activity by company, area and well details.

The Petrofeed app also provides users with notifications when a rig moves or changes its operation status. â&#x20AC;&#x153;Making rig information universally available is an important first step towards enabling the mobile revolution,â&#x20AC;? said Dunfield.

Rig crews are provided with some additional features on the Petrofeed app.

A crew member can connect to a rig.

After they verify their company and position, their work history is tracked in the system and they are connected to a private network with their other crew members.

They can choose to make their work history public which gives them visibility and credibility in what is already a very hot employment market. â&#x20AC;&#x153;Our goal with the app for our first phase is to provide universal accessibility to the people, wells, companies and equipment in the industry,â&#x20AC;? said Dunfield.

Petrofeed began business in April 2013 with $3.1 million in closed financing.

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B39

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PIPELINE NEWS November 2014

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Pipeline News

SECTION C November 2014

Pipeline News was 2 sections this month.

Stay tuned for next month focus:

Light Trucks