PIPELINE The Pipeline News North
NEWS NORTH
Serving the Oil and Gas Industry in Nor thern B.C. and Alber ta VOL. 14 • ISSUE 04
APRIL 2022
FREE
An active gas plant northeast of Dawson Creek in the PRRD. BLAKE BROWN
Alberta Innovates presents the Hydrogen Centre of Exellence Building Alberta’s Hydrogen Centre of Excellence will accelerate technology and innovation across the hydrogen value chain, closing innovation and support gaps to strengthen Alberta’s hydrogen economy. Its purpose is to provide innovation support across the entire hydrogen system, from production to end use.The centre will help make Alberta a world leader in the innovative production, deployment and use of hydrogen across our economy, acting as a connecting forum to bring together researchers, academics, innovators, industry, and various levels of government to help Alberta achieve its hydrogen ambitions. What is the Hydrogen Centre of Excellence? Lead by Alberta Innovates, with the applied research and engineering expertise of InnoTech Alberta and C-FER Technologies, the Hydrogen Centre of Excellence is a funding program, testing and service facility, and forum for facilitating partnerships to derisk hydrogen technology development. Its
objectives are to: Inform the public about the scopes, benefits and deployment of a hydrogen economy in Alberta; Identify technology gaps to broad market adoption of hydrogen; Develop and deliver innovation programs to fill the identified technology gaps; Provide testing facilities and services, and host demonstration projects; and Facilitate partnerships and alliances to derisk technology and advance projects. The centre adds value to the economy by investing in clean technology research and innovation that focuses on technologies that improve environmental sustainability and economic diversification. Interest in hydrogen is gaining momentum globally, offering opportunities to achieve economic and environmental objectives in Alberta and beyond.
Hydrogen has been identified as an important priority for Alberta in the provincial Economic Recovery Plan and the Natural Gas Vision and Strategy, as well as the federal Hydrogen Strategy. Alberta’s Hydrogen Roadmap lays out a path to a hydrogen economy and establishes a policy framework and actions to achieve Alberta’s ambitions in the emerging hydrogen economy. Within Alberta’s Hydrogen Roadmap, the Hydrogen Centre of Excellence is an important delivery mechanism for many of its policy pillars to achieve a thriving hydrogen economy in Alberta, including: - Build new market demand - Enable Carbon Capture, Utilization, and Storage (CCUS) - De-risk investment - Activate technology and innovation - Ensure regulatory efficiency, codes, and standards - Lead the way and build alliances - Pursue export markets.
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Up close!
PNN MISSION STATEMENT Pipeline News North provides current, interesting, and relevant news and information about the oil and gas industry in Northeast B.C. and Northwest Alberta. Have an interesting story to share or a news lead? Email us at editor@ahnfsj.ca.
WILLIAM JULIAN REGIONAL MANAGER 250-785-5631 wj@ahnfsj.ca
Service rigs 101 in Canada
JANIS KMET ADVERTISING CONSULTANT DAWSON CREEK 250-782-4888 EXT 101 C: 250-219-0369 jkmet@dcdn.ca
ROB BROWN MANAGING EDITOR DAWSON CREEK 250-782-4888 ext 112 C: 403-501-1492 editor@dcdn.ca
production), to repairing wells as required, to abandoning wells (permanently and safely closing the well) service rigs are used to perform a variety of different services and will often return to the same well site many times. The service rig unit carries the mast structure (otherwise known as the derrick) and the rig floor. When a rig is working downhole, the unit is secured with its derrick sitting over top of the well bore.
RYAN WALLACE ADVERTISING MANAGER FORT ST. JOHN 250-785-5631 C: 250-261-1143 rwallace@ahnfsj.ca
MATT PREPROST MANAGING EDITOR FORT ST JOHN 250-785-5631 C: 250-271-0724 editor@ahnfsj.ca
CONTACT US Phone (250) 785-5631 Fax (250) 785-3522
www.pipelinenewsnorth.ca BILLING: Lisa Smith - Accounting Manager 250-960-2771 Fax: 250-960-2762 accounting@ pipelinenewsnorth.ca
Service rigs in Canada, and the crews that operate them, are sought after around the globe. CAOEC Service Rig members have operated their equipment from Australia to Russia and everywhere in between. The Western Canadian Sedimentary Basin (WCSB) is one of the most challenging basins to produce hydrocarbons, and the rigs and people developed working in the WCSB have experience that is second to none. Service rigs are much smaller than drilling rigs and they are fully mobile. Where a drilling rig requires trucks to move its various pieces, a service rig’s equiment is on wheels, and can be driven from location to location. Mobility is required because unlike drilling
rigs that, once situated, can spend months in the same location, service rigs will move often (sometimes daily) to new jobs on different well sites. Combined, CAOEC Service Members operate over 900 rigs in Canada. The demand for service rigs is generally different than for drilling rigs, and is not as direclty impacted by the price of oil or natural gas. Work on existing wells can be more economical when commodity prices are lower because operating costs are not as high, and returns are often more predictable. This means service rigs may still be busy when producers aren’t otherwise looking to drill new wells. From turning exploratory wells into producing wells, to shutting wells in (temporarily halting well
Like drilling rigs, service rigs also come in different sizes. A typical rig is close to 20 meters long with the board. With the board and derrick laid over, it is just over four meters high. The laid-over derrick can hang out anywhere from one to eight meters beyond the cab. When loaded up and ready to move a typical rig can weigh up to 50,000 kilograms and is close to 20 meters long (with the laid-over derrick extending anywhere from 1 to 8 meters beyond the cab) and 4 meters high. Additionally, service rigs work on both oil and natural gas wells, and must adjust their procedures accordingly. These must rigs keep pace with all of the market driven changes in activity, and as such have made technological adjustments along the way. Service rigs, however, don’t vary as greatly as drilling rigs, and many of the anciliary well services are handled by purpose-built, specialty equipment such as coil tubing or fracking units.
Pipeline News North, April 21, 2022
This is a welded sculpture, of a welder welding! Right on the Alaska Highway! BLAKE BROWN
The CAOEC 2022 State of the Industry will take place on November 22, 2022 Our State of the Industry is not only welcomed by our members as a capstone event for the year, but it is widely covered by mainstream media as one of the most accurate barometers of industry activity with the release of our 2022 State of the Industry Report, and 2023 Drilling Forecast. The Canadian Association of Energy Contractors (CAOEC) represents Canada’s energy service contractors operating close to the wellhead. Our mandate is to promote a strong energy services industry through safe and efficient operations. The Association’s vision and mission are driven by Member companies and the many volunteers who form CAOEC’s extensive network of professionals. Working together, our members identify where collaboration can contribute to the continuous development of our industry as we maintain our position as the best in the world. For more infromation see caoec.ca
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CAPL name change: Hope for the Future; Preserving the Wisdom of the Past It is with great pleasure that we recognize the evolution of our industry and diversity of our members with the launch of our new name, which was formally announced at the AGM on Thursday, April 7, 2022: Canadian Association of Land and Energy Professionals (CALEP) This is the third iteration of the association’s brand in 74 years. The Alberta Landman’s Association was formed in 1948 at the Fairmont Palliser. In 1970 the association changed our name to Canadian Association of Petroleum Landmen (CAPL), with a new logo to follow in March 1972. In 1998, the association further revised the logo with a contemporary look focusing more on the Canadian aspect of the association. The evolution of our name also came with a revision to
the logo. The red maple leaf is symbolic of our organization being proudly Canadian. Canada is a global leader in ethical, sustainable, low carbon energy development from multiple sectors beyond simply petroleum. The grey text emphasizes a calm and neutral colour; akin to our land professionals who bring a balanced and valued business perspective while operating under a broader scope outside of the traditional energy sources. It is also representative of surviving and thriving in shifting environments and diverse political regimes. We are proud of our history and will continue to honour that which was accomplished before. We will retain the CAPL trademark and our existing CAPL documents and procedures will remain under the CAPL name. Any new documentation will adopt the CALEP name.
It is thanks to you, our dedicated and progressive members, who embraced this initiative and who voted in favour of recognizing the evolving nature of our business and our brand. Together we will go forward with a renewed and shared vision for the future of CALEP. And with that we introduce your new (and first!) Board of Directors of CALEP: Shaun Williams – Past President – Independent Janice Redmond – *acclaimed President – Action Land & Environmental Services Ltd. Glenn Miller – *acclaimed Vice President – Miller Energy Consulting Marah Graham – (2nd year) Finance – Tundra Oil and Gas Sandra Dixon – *acclaimed Secretary/Professionalism –
Enbridge Gary Richardson – (2nd year) Community Engagement – Brittany Consulting Dayna Morgan – (2nd year) Communications/Marketing – Britt Radius Lorraine Grant – (2nd year) Professional Development – CNRL Richard Forrester – (2nd year) Events – Surge Energy Lindy Couillard – *acclaimed New Education – 360 ELM Jasmine Lothian – *acclaimed Membership – BLG Jason Gouw – *acclaimed FAM – LandSolutions Geoff Thiessen – *acclaimed External Relations West/North – N7 Energy Tom Templeton – *acclaimed External Relations Sask/East – Millennium Land
From the Pipeline archives
LNG Canada has a new CEO LNG Canada announces Jason Klein as new CEO, effective immediately. Mr. Klein brings to the position a wealth of experience and a deep understanding of liquified natural gas (LNG), its role in the global energy transition to lower carbon energy and the part LNG Canada will play in that transition. He joins LNG Canada from Shell Canada, where he served as VP Canada Integrated Gas, accountable for developing Shell’s Integrated Gas business, including oversight and governance of the LNG Canada project. One of the largest private investments in Canadian history, LNG Canada is a long-life asset with a 40-year export license that will initially produce 14 million tonnes per annum (mtpa) LNG for export. It reached a final investment decision in October 2018 and is currently under construction in Kitimat, British Columbia, in the traditional territory of the Haisla Nation. “I’m excited to join the team, especially at this time with construction in Kitimat progressing steadily and safely towards completion and the organization preparing for decades of successful operations,” said Mr. Klein. “LNG Canada and its joint venture participants are committed to setting the benchmark for economically, environmentally and socially responsible LNG development in Canada, creating a positive and lasting legacy with First Nations, the local community and all British Columbians based on our values of safety, collaboration, respect and transparency.” Klein began his career with Shell in 2016, following its global acquisition of BG Group where Jason held assignments in the Middle East, Europe, North America and Australia in roles spanning the legal function, upstream operations and LNG developments over a period of 13 years (starting in 2003). Following the BG takeover, Klein became Vice President US LNG within Shell’s Integrated Gas business, responsible for leading its development of the Elba Island LNG project near Savannah, Georgia.
Title: Cooks serving food to oil workers, Rainbow Lake area, Alberta in 1967. GLENBOW ARCHIVES