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Denbury Onshore, LLC is installing a 24” pipeline from
Donaldsonville, Louisiana to the Hastings Field, south of Houston,
Texas. The approximately 320 mile pipeline is designed to transport both natural and
man-made (anthropogenic) carbon dioxide (CO2). The
CO2, a greenhouse gas, will be injected into oil
reservoirs to recover additional crude oil.
download printable brochure |
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Denbury Resources
Inc. (NYSE: DNR) a growing independent oil and gas company engaged
in acquisition, development and exploration activities in the U.S.
Gulf Coast region. We are the largest oil and natural gas producer
in Mississippi, own the largest carbon dioxide (“CO2
”) reserves east of the Mississippi River used for tertiary oil
recovery, and hold operating acreage in the Barnett
Shale play near Fort Worth, Texas, onshore Louisiana, Alabama, and
properties in Southeast Texas. Our primary goal is to increase the
value of acquired properties through tertiary recovery operations,
together with a combination of exploitation, drilling, and proven
engineering extraction processes.
Our corporate
headquarters are in Plano, Texas (a suburb of Dallas), and we have
four primary field offices located in Laurel, Mississippi; McComb,
Mississippi; Jackson, Mississippi; and Cleburne, Texas. At December
31, 2008, we had 797 employees, 493 of whom were employed in field
operations or at the field offices.
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Purpose of the Green Pipeline |
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The U.S. has limited methods to transport CO2.
Denbury is currently installing the Green Pipeline to transport CO2
from both natural and manmade (anthropogenic) sources to petroleum
reservoirs. We have currently entered into seven agreements with
owners of potential sources of man-made CO2
and are in various stages of discussions with several other
entities. To date, none of these potential industrial plants have
started construction, so we are not certain that they will be built.
Denbury plans to use this CO2 to recover oil
that would not otherwise be economically produced. In addition to
increased domestic oil production, our use of this CO2
will help reduce the release of this greenhouse gas into the earth’s
atmosphere.
Facts About Proposed Pipeline
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Size: 24” diameter pipeline
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Length: Approximately 320 miles
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Volume: Designed to transport up to 800 million
standard cubic feet per day of carbon dioxide (CO2)
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Design and Operations: The pipeline has been
designed to operated under the rules and regulation of the
Department of Transportation (DOT)
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Regulatory: Compliant with local, state and
federal regulations. Pre-pipeline construction involved
approvals for wetland delineation, habitat evaluations and
culture resource studies along with other environmental and
safety statutes.
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Targeted Completion Date: Louisiana to
Galveston Bay by mid 2010; Galveston Bay to Hastings in late 2010.
CO2
Injection to Enhance Oil Recovery
CO2 is one of the most efficient
enhanced recovery mechanisms for crude oil. The CO2
acts somewhat like a solvent for the oil, removing it from the oil
bearing formation as the CO2
passes through the rock. CO2
enhanced recovery projects require large volumes of CO2,
which has only been discovered to date in just a few limited
geological basins. The limited number of existing CO2
pipeline systems which are necessary to transport the CO2
make enhanced recovery projects even less common. The proposed Green
Pipeline will be one of the first pipelines designed to transport
man-made CO2 so that it can be
injected or sequestered into the ground, keeping it out of the
earth’s atmosphere and utilizing it to recover oil that would not
otherwise be produced.
Facts About
Carbon Dioxide (CO2):
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Colorless, oderless, and tasteless gas
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Non-flammable
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Non-toxic but can acts as an asphyxiant in large amounts
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Also used to
manufacture dry ice and carbonated
Pipeline Safety
According to the U.S. Department of Transportation, pipelines are
the safest, most reliable, and least costly way to transport energy
products. Denbury is committed to maintaining the highest
standards of safety. We design, install, test, operate, and maintain
our pipelines to meet or exceed regulatory standards. Our employees
are thoroughly trained to maintain and operate the systems safely,
and we are proud of our safety record. We use a variety of methods
to ensure safe operations of our pipeline systems.
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Monitoring - Operating conditions on our pipelines
are monitored 24 hours a day by a control center. The computer
system has the capability to operate automated valves to
shutdown and/or isolate sections of the pipeline systems, if
necessary.
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Pressure Testing - All of our pipelines are
strength tested to establish maximum operating pressure
(including a safety factor) prior to being placed into service.
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Visual Inspection - Denbury’s pipeline
right-of-ways are inspected on a regular basis for signs of
damage and encroachment. Encroachments prevent us from gaining
access to all our facilities at all times for regular
maintenance or during emergencies. Marker signs are placed along
the right-of-way to alert the public of the existence of the
pipelines.
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Public Awareness Program - The program is designed
to help the public, contractors and others identify the location
of pipelines before excavating to prevent third party damages.
We are also members of One-Call centers in the states where we
operate pipelines.
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Cathodic Protection - An induced electrical
current is applied to our pipelines in addition to a protective
coating to help prevent external corrosion.
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Emergency Procedures - All pipeline operations
personnel are trained for emergency preparedness
and are required to follow company’s procedures during emergency
situations.
Additional pipeline safety information can be obtained through
the following:
If you have any questions or need more information regarding The
Green Pipeline Project, please contact Laurie Burkes at
laurie.burkes@denbury.com.
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