2013-03-01_HYDROLOGY - P2010026 - Laserfiche WebLink

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PART I. General Information and Description of Facility Shell Frontier Oil & Gas Inc. 3737 Bellaire Blvd Houston, TX 77025 on May 12, 2011 submitted an application for an Underground Injection Control (UIC) Program area permit to construct and operate Class III injection well or wells within the permitted area which is described by: Township 2S, Range 98W, Section 4, Lots 9, 10, 15, 16 The following injection well is included in this area permit: Well Name UIC Permit No. Surface Location in Rio Blanco County, CO H01 CO32210 -09191 1820 FNL, 2050 FWL, SWNW S4, T2S, R98W The application, including the required information and data necessary to issue a UIC Permit in . accordance with 40 CFR Parts 144, 146 and 147, was reviewed and determined by EPA to be complete. Regulations specific to Colorado injection wells are found at 40 CFR §147 Subpart G. The Permit will expire upon delegation of primary enforcement responsibility (primacy) for applicable portions of the UIC Program to the State of Colorado unless the delegated agency has the authority and chooses to adopt and enforce this Permit as a State Permit. PROJECT DESCRIPTION Shell Frontier Oil & Gas Inc. (Shell) has submitted an application for a Class III Solution Mining area permit to mine the Saline Zone in the Parachute Creek Member of the Green River Formation to initially include one injection well in their East Research, Development, and Demonstration (RDD) Project Site. Shell has received a 149 acre RDD lease from the Bureau of Land and Management (BLM) to demonstrate technologies capable of developing oil shale resources. In addition they also hold a Nahcolite Preference Right Sodium lease to commercially mine nahcolite. There are two distinct phases In this project proposal. The first phase requires a Class III injection well, to deliver hot water into the targeted zone lo leach the nahcolite for recovery at the surface. The nahcolite that will be recovered at the surface is expected to be a relatively small quantity that will be stored at the surface and appropriately disposed of, offsite. Once the formation has been leached, the zone will have increased permeability and the oil shale hydrocarbons can be more readily produced during the second phase. In the second phase, the formation will be heated to convert the kerogen (immature hydrocarbon in oil shale) to gases and liquids that will then be produced at the surface. The injection activity occurs only during the first phase where fluids are injected to recover nahcolite solution. and is expected to take 6 months to 1 year. During the second phase, there will be no injection activity. The well will be converted to a monitoring well and will no longer be regulated under the UIC program. Shell estimates the second phase to take 1.5 to 2 years. Well Field Configuration Permit CO32210 -00000 2 FINAL PERMIT Statement of Basis