KM8 FAQ
When and why was KM-8 drilled?
The KM-8 well at the Kirby Misperton A site was drilled in 2013. The objective of this well was to
assess and then produce any further gas reserves in the Kirby Misperton field.
Third Energy collected a substantial amount of data during the drilling of the KM-8 well. Analysis of
this demonstrates that the deep Bowland section in North Yorkshire is a hybrid unconventional
resource consisting of potentially productive, mainly inter-bedded sandstone and shale.
Why have you been reluctant to comment publicly on shale gas potential in the area?
We have not been reluctant – we have been analysing data and the KM-8 well results. We have
preferred to wait until we are able to communicate facts rather than talk about possibilities.
Now the analysis of the KM-8 well result is advanced, we understand that there is a gas resource
that requires further appraisal. This appraisal will involve stimulating gas flow through hydraulic
fracturing.
What are your plans new plans for the KM-8 well?
To take our evaluation of the deep Bowland section at KM-8 to the next stage, Third Energy is
seeking the necessary planning permission and other approvals, to test (and if favourable, then
flow) the well from five zones penetrated by Well KM-8. Given the tight nature of the rock, testing
will involve hydraulic fracturing.
The proposal is to fracture five zones at depths of between 7-10,000 feet below ground level. The
purpose of the fracturing is to stimulate gas flow from the deep Bowland section, appraise the
potential for economic production and subsequently produce gas.
Gas would be transported by the existing pipeline system to Third Energy’s gas fired power station at
Knapton.
What is Hydraulic Fracturing?
Hydraulic fracturing is a technique used to stimulate oil or gas flow from reservoirs that have
insufficient permeability for the oil or gas to flow at economic rates without stimulation. It involves
pumping water based hydraulic fracturing fluid at sufficient pressure to open up fractures in the
tight gas reservoir. The grains of sand in the fluid – the proppant – prop open the fractures allowing
the gas to flow up through the well.
Is fracking safe?
Thorough research into shale gas and hydraulic fracturing by leading independent scientific and
industry experts, including the Royal Society, the Royal Academy of Engineering, the Geological
Society, the British Geological Survey, WaterUK, the Chartered Institute of Water and Environmental
Management (CIWEM), Public Health England and Durham University have all concluded that any
potential residual risks associated with hydraulic fracturing can be managed in a properly regulated
industry.
KM8 FAQ – November 2014
What will be your next steps in appraising KM8 if the fracturing is successful?
Our analysis of the well and seismic data suggests that this deep reservoir extends laterally across
the Vale of Pickering. If the KM8 fracs achieve good gas flow rates we will be looking to a wider
appraisal programme across our Vale of Pickering licences.
How many wells will you need?
At this stage, we cannot be certain about the exact number of wells required to appraise the
unconventional gas reservoir in the Vale of Pickering. If the gas flows as predicted, we would
appraise the extent of the reservoir through a further three to four wells (subject to receiving all
regulatory permissions) at different locations. This may include drilling and hydraulically fracturing
a lateral well at KM8.
Are you targeting shale gas?
The well data we have obtained shows that the deeper Bowland structure in North Yorkshire is a
hybrid formation play consisting of mainly inter-bedded sandstone and shale. This is in contrast to
the Bowland section in North West England which is shale prone.
However, as this is a “tight” reservoir it will require hydraulic fracking to stimulate the gas flow.
How big will the fractures be at KM8?
We are planning to fracture five separate zones of the deep Bowland structure. Each fracture is
specifically designed for the target rock zone.
The five fractures will vary from about 250- 1,000 feet in length; and 200-350 feet in height. The
width of the fractures will be between about half inch to one inch.
How long will the process take?
The initial workover operations to prepare the well will take about 15 days.
The next stage - mobilisation, hydraulic fracturing and demobilisation from the site - will then take
about 35 days.
Each of the hydraulic fractures will take about 2-3 hours to complete but, as the operations is done
in stages, the total time will be about five hours.
Will local residents experience road blockages from heavy lorry movements?
We will develop a traffic management plan in agreement with the highways authority, taking into
account feedback from the local community.
Although local residents will experience a slightly heavier flow of traffic in the area, the disruption to
normal routines should not be significant. During the two week work-over programme, it is
expected that there will be around 100 truck movements in total. The peak of movements will be
during mobilisation and demobilisation but there will be deliveries to site during the work.
For the hydraulic fracturing programme, which will last about six weeks, around 105 truck
movements will be required for mobilisation over a one week period, and around 65 truck
KM8 FAQ – November 2014
movements for demobilisation, again for about a week. There will be low levels of traffic during the
fracturing work, other than staff arriving and leaving the site.
How much water will be needed for hydraulic fracturing at the KM8 well?
The maximum water use for the fracturing will be 4,000 cubic metres. This will delivered to site via
an existing pipeline. We propose to use new technology which will allow us to reuse the flow-back
water from one fracture zone in the next. This has the potential to reduce water use to circa 2,000
cubic metres.
As a comparison, 4,000 cubic metres is equivalent to the volume of two Olympic swimming pools or
enough to run a 1,000MW coal-fired power plant for 12 hours.
How will water be transported to the KM8 well site?
As this is an existing site we are able to make use of our existing infrastructure. Water will be
delivered to site by our existing underground pipeline from Knapton Generating Station.
The flow-back water from the fracture programme can then be sent back to Knapton, down the
same pipeline. From here it will collected for safe disposal by an authorised Contractor. On average
around 20-40 % of the total water used will return as flow-back water.
How can local residents be sure that “fracking” will not cause water shortages?
Third Energy has started discussions with Yorkshire Water to inform them of our plans. We will work
with them on a robust plan to manage our water requirements.
It is worth remembering, that the total water requirement for the hydraulic fracturing fluid is the
equivalent to the capacity of two Olympic swimming pools and it is not a continuous process.
What is in the Hydraulic Fracturing Fluid?
Typical hydraulic fracturing fluids are 99 per cent water and sand and 1 per cent additives. The exact
proportions vary as each fracture is designed specifically for the target geology. The additives
perform various functions such as helping to carry the sand and preventing the growth of bacteria.
In the UK, all constituents of the fluid – both quantity and concentration - have to be disclosed to the
Environment Agency and approved by them. The additives are commonly used substances that are
non-hazardous – many of them found in food and toiletries.
How can local residents be sure ground-water will not be contaminated?
Since 1975, thirteen wells have been drilled through the aquifer on our licence areas in the Vale of
Pickering and there has been no incidence of aquifer pollution. In total, around 2,000 onshore wells
have been drilled in the UK, most of which have also been through aquifers, again there has been no
incidence of aquifer pollution.
Hydraulic fracturing itself does not pose a risk to groundwater – it is the integrity of the well that is
critical. It is for this reason that close attention is paid to the design, construction and monitoring of
wells. The stringent and robust regulatory regime in the United Kingdom provides the framework
within which the energy companies plan and operate their wells.
KM8 FAQ – November 2014
For drilling operations, steel pipes called casing are cemented in place and provide a multi-layered
barrier to protect the shallow fresh water aquifers. For gas in the reservoir to escape into the
aquifer - in both conventional and unconventional production – several previously tested safety
barriers would have to be breached, one after the other, without one leak being detected.
The water table in Third Energy’s acreage has additional protection through a geological formation
to prevent any flows upwards into the aquifers. Target zones for fractures at KM8 lie 7,000-10,000
feet below ground level. This is at least 6,000 feet below the bottom of the Corallian aquifer.
In the UK there will be baseline monitoring for multiple environmental issues – including water
standards and seismic activity – before, during and after any hydraulic fracturing operations. This
monitoring will be publicly available and will be reviewed by regulators.
How much noise will be created from the fracturing process at the KM8 well?
During the actual fracturing process, noise from pumps and other equipment may be heard in Kirby
Misperton village. We are working with an independent acoustic consultant and developing
mitigation measures to ensure that noise levels do not exceed the limits set out in the National
Planning Practice Guidance. Monitoring during operations will ensure limits are not exceeded.
How can local residents be sure that “fracking” will not cause earthquakes?
Monitoring studies carried out by the British Geological Survey indicate the north Yorkshire region is
benign to seismic events. Baseline monitoring will be conducted in the months leading up to
operations at KM8 and real time monitoring for natural and induced seismicity will be conducted
during and after operations.
The risk that hydraulic fracturing will cause seismic events that can be felt at the earth’s surface is
very low. Following the additional regulations set out by Department of Energy and Climate Change
(DECC), the risk has been reduced further.
The regulations includes the implementation of the Traffic Light Monitoring system that ensures that
operations are either slowed down or halted if even very low levels of seismicity are detected.
Operations will be halted if a seismic event of magnitude greater than 0.5 is measured. Humans do
not normally feel anything below 2.5M on the Richter scale. In 2011, the minor seismic event at
Cuadrilla’s site at Presse Hall in Lancashire had a magnitude of 2.3M.
What steps would be taken to avoid contamination and to dispose of any waste materials?
On average around 20-40 per cent of the total water used will return as flow-back water from the
hydraulic fracturing. This will be transported back to Knapton via the existing pipeline. From here it
will sent for safe disposal, via authorised waste carrier, to an Environment Agency permitted waste
facility.
Environment Agency permits must be sought for the management of waste, including mining waste
and naturally occurring radioactive material (NORM). It is anticipated that the flow-back water
resulting from the fracturing process at the KM8 well will have a very low concentration of NORM.
Will fracking activity cause air pollution?
Fracking itself offers very little risk of air pollution as no pollutants are typically released into the air
during this process. Public Health England has concluded that potential risks to public health from
KM8 FAQ – November 2014
exposure to the emissions associated with shale gas extraction are low if the operations are properly
run and regulated.
Any methane produced will be captured on-site and then sent by pipeline to the Knapton Generating
Station to generate electricity, which is then released to the grid for public use.
The equipment associated with the hydraulic fracturing - pumps, flanges, valves, pipe connectors,
and other pieces of machinery – will be monitored for any unexpected emissions.
Tourism is an important part of the local economy. Won’t your operations have a negative effect
on tourism?
Third Energy has been drilling, developing and producing gas in North Yorkshire for over 20 years
with an excellent environmental and safety record. To date, our operations have had no discernible
effect on the tourism industry in North Yorkshire. There is no reason to suspect this will change in
the future.
Most passers-by are oblivious to the location of our facilities in the area. We have been and
continue to be committed to minimising any environmental impact and /or disruption from our
activity and to being a good neighbour.
How will this project benefit the local community?
Third Energy is committed to sharing the benefits from our activities with the local community;
either directly through increased employment or through the opportunities for local businesses to
benefit from supplying goods and services for our operations. This is the principle we have worked
with for over twenty years and will continue to do so.
If the planning application is approved, and before Third Energy starts testing operations, it would
provide the Government defined benefits of £100,000 per well site where there is hydraulic
fracturing. The Fund would go live, and be available for community projects, when hydraulic
fracturing starts on site.
In addition, if the appraisal leads to commercial production from the fracked unconventional
reservoir, 1% of gross revenues from production will also be paid to the Fund for local community
use. For example, at current gas prices, if 1 tcf of gas were produced it would yield about £70 million
to the local community over 20 years.
The funds will be administered by the independent UK Community Foundations (UKCF,
www.ukcommunityfoundations.org), as set out under the UKOOG Community Charter. Third Energy
will not be involved in the administration and disbursement of the fund.
What does the consultation process involve?
When unconventional gas development is being proposed, we follow the guidelines set out in
UKOOG’s Community Engagement Charter (http://www.ukoog.org.uk/community/charter).
Importantly, this states that communities must be engaged from the start of the planning
application process.
The first stage of consultation is the pre-application consultation by Third Energy for the DECC
Environmental Risk Assessment (ERA). Its purpose is to capture potential environmental impacts and
risks at the start of the project.
KM8 FAQ – November 2014
Third Energy will hold formal Public Consultation events prior to submitting its planning application
to the North Yorkshire County Council (the MPA). The MPA will then consult on the planning
application. The Environment Agency will also undertake public consultation as part of the
environmental permitting process.
Third Energy will continue informal consultation and communication throughout the planning,
permitting and operational stages of the project.
Who are the key regulators involved in permitting and monitoring operations?
Obtaining approval is a rigorous process involving various Government departments, regulatory
bodies, HSE, Environment Agency, Local Councils and local communities.
There are four main regulators involved in permitting and monitoring our operations:
•
Department of Energy & Climate Change
(https://www.gov.uk/government/organisations/department-of-energy-climate-change): issues
Petroleum Licences, grants consent to drill and regulates seismic activity ; approves the early
Environmental Risk Assessment
•
Health & Safety Executive (http://www.hse.gov.uk/): regulates safety aspects including well
design and construction
•
North Yorkshire County Council (http://www.northyorks.gov.uk/article/23681/Resident) and the
Minerals Planning Authority: grants planning consent for the location of the wells and well pads
and ensures the impact on land use is acceptable
•
Environment Agency (https://www.gov.uk/government/organisations/environment-agency)
issues Environmental Permits to ensure protection of groundwater, appropriate treatment and
disposal of mining waste, air emissions, and the treatment and management of naturally
occurring radioactive materials
Within the planning applications, there are requirements to consult with various statutory and
environmental bodies, and with the public.
DECC regulation and best practice for onshore oil and gas exploration in the UK can be found here.
KM8 FAQ – November 2014