July 15, 2024
In a recent article, Hart Energy's Jaxon Caines addresses the new "grave to grave" approach to decommissioning orphaned and abandoned wells.
Abandoned wells —though no longer producing— pose significant environmental threats, releasing greenhouse gases and contaminating waterways. Despite federal efforts like the 2021 $4.7 billion Orphaned Wells Program, the problem remains extensive. With approximately 3.7 million abandoned oil and gas wells in the U.S., only about 42% have been plugged, according to the U.S. Environmental Protection Agency (EPA).
According to a recent Stanford-led research, oil and gas operations across the United States emit more than 6 million tons per year of methane, the main component of natural gas and the most abundant greenhouse gas after carbon dioxide. This is allegedly costing the nation $10 billion per year.
Mike Orr, president of Occlusion Solutions, emphasized the scale of the issue, describing it as a "couple hundred thousand-well problem." He stressed the need for a comprehensive platform that adapts to regulatory changes and environmental standards.
To tackle this, Occlusion Solutions partnered with Envana, applying the Go2Green process, treating well plugging as a “grave-to-grave” endeavor. This method aims to leave abandoned wells in a better state than they were found.
The Go2Green process offers efficiency, predictability, and real-time adaptability in well retirement. Envana’s software integration helps ensure accurate emissions reporting and compliance with state requirements. This collaboration streamlines the carbon credit process and addresses scalability and adoption challenges.
Currently, the well retirement process is slow and manual, involving questionnaires and documentation to justify carbon credits. Envana’s software simplifies this, handling large volumes of data and facilitating faster carbon credit generation. Roxana Nielsen, Envana’s vice president of product development, highlighted the software's capacity to manage numerous wells simultaneously, enhancing the efficiency of data monitoring.
The collaboration between Occlusion and Envana also addresses the carbon credit market stabilization. The current market is unpredictable, making it difficult for states to issue and utilize these credits effectively. By generating reliable carbon credits, Occlusion and Envana hope to create a more stable market and provide potential revenue streams for continued well-plugging efforts.
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The innovative approach promises not only to mitigate current issues but also to pave the way for more sustainable practices in the future.
In Mike Orr's words regarding why Occlusion Solutions chose to partner with Envana, "We have to have a platform that allows us to move with regulation, to move with standards and to move with the environment. We need to run the methane sprint to win the C02 marathon."
If you're currently struggling with how to most efficiently address the environmental hazards of abandoned wells, reach out to Envana today for a free consultation. Our team is eager to help you make progress on your emission reduction goals with an economically viable solution, leveraging state-of-the-art technology and the industry's best practices. Contact us today for a free assessment of your current situation and a personalized demo.
