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the water to residuals, so the output is estimated to be <br />32,000 barrels per day. <br />Water Quality Results <br />These are the actual water qualities determined in the pilot <br />study; they differ from the historical numbers: <br />Parameter <br />Initial (mg /L) <br />Final (mg /L) <br />TDS <br />6000 <br />145 <br />Temperature <br />150 to 175° F <br />90 <br />Boron <br />—16 <br />1 -2 <br />Ammonia <br />9.3 <br />2 -11 <br />Silica <br />~10 <br />not detectable <br />Hardness <br />1 -5 <br />not detectable <br />TOC <br />120 <br />2 <br />Water quality with respect to TDS, at least for Southern <br />California, is excellent. Our state water project water has a <br />TDS usually of about 300. Ground waters can be anywhere <br />from 500 to 1,000. Temperature has been reduced, boron <br />removed. Ammonia is still high, but we think we can address <br />that through some alternative cooling mechanisms. Silica was <br />removed, hardness was removed, TOC is down to 2 mg /L. <br />The technology is clearly there to meet our objectives. <br />Total Project Costs <br />Based on this particular project, we estimate the plant would <br />have a capital cost of about $10.6 million. The treated pro- <br />duced water would cost about $0.16 per barrel. These figures <br />reflect use as recycled water and do not reflect the potable or <br />industrial reuse options that we looked at. <br />Technical Conclusions <br />• We clearly can meet the water quality objectives. The tech- <br />nology is there to do that — it's improved quite a bit since the <br />time this research was done. <br />• The cost for treatment is comparable — slightly higher than <br />the disposal cost that the oil field is currently experiencing. <br />• The cost of the water is more expensive than imported <br />water but only slightly higher than local recycled water sup- <br />ply. Right now, when we go out to seek additional state water <br />project entitlements — predominately from agricultural areas <br />— we can acquire and confirm that water supply at over $500 <br />an acre -foot. The recycled water that we're developing tends <br />to be about $1,000 an acre -foot when we include the long term <br />development of the program. The earlier phases are more <br />expensive than that. <br />• Just as important, this supply could avoid some of the envi- <br />ronmental issues associated with our other supplies. We get <br />our state water from a very fragile area called the Sacramento <br />San Joaquin Delta, fraught with environmental issues. We're <br />not clear that we can get any more additional water supplies; <br />whether from agriculture, but certainly from the project as a <br />whole. <br />So, why has it taken us so long? <br />We've gone more than a decade now trying to discuss with the <br />oil field operator a produced water reclamation plan. We've <br />shown through research that the technology is available. The <br />costs seem to be in line; and yet, the project still languishes. <br />This analysis is based on my limited experience in California, <br />with this project and others I've been involved with. I've bro- <br />ken down the causes for delay into three basic reasons: <br />Cause <br />Water <br />Petroleum <br />Priority <br />-Relatively <br />•Oil Price Fluc- <br />Small Supply <br />tuations <br />• Competing <br />• Competing <br />Issues <br />Issues <br />• Other contam- <br />*National Focus <br />ination issues <br />• Supply and <br />Demand <br />• Local Focus <br />Expectations <br />• Not Familiar <br />• Not Familiar <br />With <br />With Water Sup - <br />Produced Water <br />plies <br />*Long Time <br />-Short Time <br />Frame <br />Fame <br />• Consistent <br />• Investment <br />long -term sup- <br />driven <br />ply <br />*Perception of <br />*Long develop- <br />Value — water <br />ment time <br />shortage <br />•Perception of <br />• Willing to Take <br />Value — water <br />Risk <br />quality issues <br />*Risk Adverse <br />Communication <br />*Little Outreach <br />-Little Outreach <br />to Petroleum <br />to Water <br />*Prior Relation- <br />*Prior Relation- <br />ship Based on <br />ship Based on <br />Contamination <br />Contamination <br />Issues <br />Issues <br />-Primary Fed- <br />*Primary Fed- <br />eral Agencies <br />eral Agency: <br />BOR & ACOE <br />DOE <br />•Primary State <br />•Primary State <br />Agency: Health <br />Agency: Re- <br />sources <br />What Should Be Done? <br />Clearly, research is going to help. Senator Domenici's Bill <br />1860, is a real good start. It funds some of the technology; <br />it will research things that exist in this particular area. We <br />need to expand our horizons about what areas are considered <br />research. In my observation, problems are as much transac- <br />tional as they are technology. We need to improve the social <br />sciences and how we can better and more quickly come to <br />