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Permalink Reply by jffree1 on August 27, 2011 at 3:09

Les, do you have any insight into what caused the precipitous decline in District 8A @ 2005?

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Permalink Reply by Les Bamburg on August 27, 2011 at 3:34

Jffree, that was a change in TRRC reporting rules.  This district has a large number of CO2 floods (enhanced oil recovery projects) and prior to 2005 the produced volumes included the CO2.  Now the volume excludes the returned CO2.

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Permalink Reply by jffree1 on August 27, 2011 at 4:44

Thanks, it makes sense that they wouldn't want to include injected volumes. I knew you would  probably know and I'm glad it wasn't some sort of catastrophic event.

Where does the CO2 come from for those EOR projects and how is it transported? 

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Permalink Reply by Les Bamburg on August 27, 2011 at 7:06

Jffree, there are CO2 fields (reservoirs) in the west and a network of CO2 pipelines between the sources and the EOR projects.  Over the years Kinder Morgan has acquired various assets from the production companies and built a CO2 business unit.

 

The majority of the CO2 produced with the oil and gas from the EOR projects is recovered and recycled but supplemented with essentially pure CO2 from the supply sources.  Produced gas from the EOR projects will be 80% to 90% CO2.

 

http://www.kindermorgan.com/business/co2/

 

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