SPE Projects, Facilities & Construction
Volume 2, Number 4, December 2007, pp. 1-5

SPE-105178-PA

Options, Methods, and Costs for Offsite Commercial Disposal of Exploration and Production Wastes

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DOI  More information 10.2118/105178-PA http://dx.doi.org/10.2118/105178-PA

Citation

  • Puder, M.G. and Veil, J.A.  2007. Options, Methods, and Costs for Offsite Commercial Disposal of Exploration and Production Wastes. SPE Proj Fac & Const  2 (4): 1-6. SPE-105178-PA.

Discipline Categories

  • 2 Health, Safety, Security, Environment and Social Responsibility

Summary

In the United States, most exploration and production (E&P) wastes generated at onshore oil and gas wells—contaminated soils, naturally occurring radioactive material (NORM), oil-based muds and cuttings, produced water, tank bottoms, and water-based muds and cuttings—are disposed of or otherwise managed at the well site. Some of these E&P wastes, however, are not suitable for onsite management, and some well locations in sensitive environments cannot be used for onsite management. In these situations, operators must find offsite waste-disposal solutions. Responding to this need, offsite commercial disposal facilities are businesses that charge a fee for accepting and managing E&P wastes generated by others.

Funded by the U.S. Department of Energy (USDOE), the authors of this paper assembled a unique set of data covering options, methods, and costs for offsite disposal of E&P wastes in the United States (Puder and Veil 2006a). Data were collected for more than 200 disposal facilities. This paper describes the project and the findings, which were published in September 2006.

Issue Definition

In the United States, most of the 18 billion barrels (bbl) of produced water, 149 million bbl of drilling wastes, and 21 million bbl of associated wastes generated at onshore oil and gas wells are disposed of or otherwise managed at the well site (API 2000). However, under certain conditions, operators will seek offsite management options for their E&P wastes, including contaminated soils, NORM, oil-based muds and cuttings, produced water, tank bottoms, and water-based muds and cuttings.

Some types of E&P wastes—saltwater muds and very oily cuttings—are not suitable for onsite management. In other cases, the environmental sensitivity of a particular location (for example, marshy environments and tundra) precludes onsite waste-management operations. In the offshore arena, those E&P wastes that cannot be discharged from the platform are generally hauled back to shore for disposal, especially when underground injection at the platform is not a common regional practice. Another reason for selecting commercial waste management facilities involves cost effectiveness. If an operator generates a relatively small volume of E&P waste, it may make sense to send it offsite rather than constructing, operating, and closing an onsite facility. Finally, some operators simply prefer sending their E&P waste to a third party. However, in the light of the specter of potential liability under the U.S. Superfund law, it is crucial to review the business practices and compliance histories of offsite commercial disposal companies.

Offsite commercial disposal companies offer waste management and disposal, transportation, cleaning of vehicles and tanks, disposal of wash water, and, in some cases, laboratory analysis. The suite of commercially available waste management methods and technologies include bioremediation, burial, salt cavern, discharge, evaporation, injection, land application, recycling, thermal treatment, and treatment.

Since the 1990s (Veil 1997), no comprehensive survey of offsite commercial disposal of E&P wastes has been made available to the public. In the light of the lack of recent national data and literature, the USDOE funded a systematic and up-to-date study of offsite commercial disposal options, methods, and costs. The data were collected from summer 2005 through spring 2006. In the first phase, state oil and gas regulatory officials in 31 states were contacted to find out whether their agency maintained a list of permitted commercial disposal companies dedicated to the offsite management of E&P wastes. In the second stage, individual representatives of commercial disposal companies were interviewed to collect information covering disposal methods and costs.

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History

  • Original manuscript received: 2 January 2007
  • Meeting paper published: 5 March 2007
  • Revised manuscript received: 27 June 2007
  • Manuscript approved: 24 August 2007
  • Version of record: 20 December 2007