Notional Field Development Final Report - EBN

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EBN Notional Field Development Plan 4.5 Well Pad Construction As a part of this feasibility study, the Team has been involved in an iterative process of designing the most favorable locations for well pad sites 4.5.1 Go – No-Go Areas We developed an initial Geographic Information System (GIS) database divided the conceptual study area into three (3) categories: 1. NO GO areas, which are: o Buildings o Surface waters o Roads o Railways o Overhead power lines o Existing safety zones o Archeological monuments o Drinking water production areas 2. MIGHT GO areas, which are o Ecological sensitive areas (Main Ecological Structure (EHS)) o Natura2000 areas o Ground water protection areas o Drill free zone drinking water 3. GO areas: which are open, agricultural areas For the GIS evaluation, the pad size has been assumed to be 150 x 150 m, which roughly leaves a ‘buffer zone’ of about 75m around the well pad. Using the midpoint co-ordinates of the well pads, it has been evaluated whether or not an intersection of the well pad area with either a no-go, or a might go intersection exists: · If no intersection with NO-GO and MIGHT GO exists, the location of the well pad is considered feasible · If intersections with a NO-GO area exist, the location of the well pad is considered NOT to be feasible · If intersections with a MIGHT GO area exist, additional evaluation of the suitability might be an option, but for the time being, the location of the well pad was considered NOT to be feasible. Based on the above, 83 well pad locations – within the 8C area - that seemed to be suitable for development were identified. The Figure on the next page shows the location of these possible well pad sites and the five hectare section of land for our “Base Case” site. © 2011 Halliburton All Rights Reserved 190
EBN Notional Field Development Plan Due to the requirement to store water on location during drilling and fracking operations, there is a need to construct large impoundments (reservoirs, ponds, pits) in nearby locations where the water is readily accessible, so as to not impede the processes. The typical well site might have two separate impoundments constructed for the storage of water for distinct purposes. One impoundment is specifically designated for the storage of flowback and produced water, and a second impoundment is designated for the storage of fresh water for use during drilling and fracking operations. 4.5.2 Well Pad Designs The actual design of the surface “footprint” involves a number of engineering (geotechnical and civil) and compliance related aspects. In order to minimize the size of the actual well pad and the overall footprint of a shale gas development plan, a common practice is to drill multiple horizontal wells from the same well pad. One of the Assumptions noted in Section 6.0 – Project Description, notes that the proposed development plan would look at drilling up to ten (10) wells from each well pad. Using the “Base Case” site as defined in Section 6.0 that could result in 130 wells within the area. By drilling multiple horizontal wells from the same well pad, the Operator is able to reduce their site footprint that results in a number of other benefits: • Lower construction costs • Less surface disturbance • Less habitat fragmentation • Fewer roads and utility corridors © 2011 Halliburton All Rights Reserved 191
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