Clean Resource Innovation Network

Decoupling GHG Emissions from Production and End Use

of Hydrocarbons

Soheil Asgarpour, Ph.D., FCAE, FCIM, P. Eng.

April 2018

What is Happening? Hydrocarbon industry is transforming from a resource driven sector to a

technology driven sector.

Low commodity prices and high cost.

Canada’s largest energy customer has become our biggest competitor.

A growing number of energy consumers are willing to pay a premium for

clean energy.

Technological advances resulting in less demand for oil; hence downward

pressure on oil price.

Tech Advancements = Less Demand for Oil

Recent Announcements:

Last year, Dutch Parliament voted to end all gas and diesel car sales

by 2025.

In June, India announced that it would end sales of gas and diesel

cars by 2030.

In June, Norway agreed to end sales of gas and diesel cars by 2025.

In July, France announced that it would end sales of gas and diesel

cars by 2040.

In July, Britain announced that it would end sales of gas and diesel

cars by 2040.

Last month, it was approved that German cities could ban diesel

cars from their streets.

Autonomous Cars

France to Pave 1,000 KM of Road with Solar Panels

Renewables: World’s Fastest-Growing Energy Source

Opportunities in a Low Carbon Economy

Advancing to a clean, low carbon economy offers Canada

significant business, economic, and social opportunities.

The world trusts Canada.

We have the largest hydrocarbon deposits in the world.

Excellent track record for innovation.

Who is CRIN?

The Clean Resource Industry Network (CRIN) is an

industry-led network (including SMEs and technology

solution providers) that leverages Canada’s strengths

in large-scale heavy industrial collaboration.

Vision

The vision of CRIN is to contribute to a future in which:

Canada is a global leader in producing clean hydrocarbon

energy from source to end use.

Focus Areas

Environmental performance to improve water and air

quality, and reduce GHG and land disturbance.

End-user collaboration to reduce carbon intensive

processes.

Digital technologies.

Mining/extraction methods.

Innovation Challenges

Great basic research which fails to advance post-publication

Focus on technology push rather than market pull

Lack of funding and access to sites for field demonstration of

technologies

Slow market uptake

Lack of interest from venture capitals to invest in clean technology

Slow advancement of technology movement from concept to

commercialization

Lack of infrastructure within small producers to adopt new

technologies

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How Does CRIN Work?

Ex) Methane Network

The Methane Network was created to unite and align R&D

priorities for all stakeholders working on methane related

initiatives

About PTACInnovation & New Tech: Critical in a Low O&G Price Environment

PTAC has two decades of R&D facilitation and has created a unique platform for

collaboration among Industry, Governments & Regulators.

Industry Sets PTAC’s Priorities to:

Address Industry Challenges.

Capture Opportunities.

Governments & Regulators identify issues to address social license,

permitting & compliance.

PTAC executes members R&D priorities:

Leverage member’s limited budgets ten fold through other funding.

Provide seed money.

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PTAC’s Innovation Ecosystem

210 Members (Producers, Service & Supply, Gov’ts, Regulators, SMEs,

R&D Providers, Transporters).

250 industry experts driving projects.

600+ projects completed; 98 projects underway.

700+ PTAC events held

426 producers providing funds for the 2017 Alberta Upstream Petroleum

Research Fund Program16

Oil sands GHG emissions represent approx 10% of Canada's GHG Emissions

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Oil & Gas GHG Emissions

Canada's Emissions Breakdown by GHG

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Methane represents 14% of Canada's GHG Emissions

Canada’s Methane Emissions

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Methane Emissions from Oil and Gas represent 44% of Canada's

total Methane Emissions

Methane GHG Emissions Reduction Goals

Increase Canada’s Oil and Gas technology capacity to reduce

methane GHG emissions by:

30% by 2017

45% by 2020

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Focus Areas

Focus Areas

Fugitive Emissions

Pneumatic Devices

Tank Vents

Compressor Seals

CHOPS Casing Gas Venting

Liability

Mgmt

Social

License

Access to

Resource

Exploration Production Retirement

5. WELL ABANDONMENT

1. AIR

2. BIODIVERSITY

3. WATER

Value $Million

Invested 19.2

Leveraged 98.8 (5 times)

Total Cost 119

Saving Thus Far Up to 350*

* Value Estimation provided under leadership of

ConocoPhillips, Suncor, and Husky

Improving Environmental Performance & Creating Value

Live Cycle: Protecting the Asset Base

AUPRF: An Example of Applied Research Leveraging

A Unique Collaboration Platform Between Industry, Government & Regulators

4. RECLAMATION/REMEDIATION

Current GHG Emissions Studies

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Development of a highly repeatable and auditable, cost-effective monitoring system to locate and quantify

emissions via small unmanned aerial systems

Airborne 3D Gas Imager Aerial Verification

Aerial Emissions Detection and Mapping

Mobile Methane Sensing Analytics for Emissions Reduction

Pneumatic Vent Gas Measurement

Verification of Quantitative Optical Gas Imaging System

Pilot Measurements Study for Quantifying Methane Emissions at Upstream and Midstream Oil and Gas Facilities

Technology roadmap under Methane Hub

Fugitive Equipment Leak Emission Factors with Advanced Monitoring and Detection Methods

Fugitive Emission Management Program (FEMP) Effectiveness Assessment

Fugitive Emission Management Program (FEMP) Effectiveness Assessment

PM2.5 Emissions Test Program and Emission Factor

Current Technology Projects

Technology Opportunities for Environmental Performance Improvements and Cost Reduction in the

Alberta Oil and Gas Sector

Support for Small and Medium Sized Enterprises Program

Targeted PureJet Incinerators for Methane Challenges

Advanced Methane Measurements using Novel Ground-based and UAV-based Sensors

Methane Emission Measurement using UAVs

Satellite Detection of Change Algorithm for VOCs

Methane Abatement Project Platform Analytics

Methane Advisor

Solar Instrument Air Compressor

Improved Solar Electronic Control System

Area Methane Detection Using Work Trucks

Zero Emission Wellsite

Centre for the Demonstration of Emissions Reductions

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Future Technology ProjectsAffordable Zero-Emission Fail-Safe Electric Dump Valve Actuator

Clean Energy Enhanced Oil Recovery Demonstration Project

Clean Enhanced Heavy Oil Recovery in Saskatchewan and Alberta

Deploying CeDER to Accelerate Commercial Advancement of Innovative GHG Emissions Reduction

Technologies

Enhancements to Analytics of Methane Detection and Quantification For Surface Mining and Tailings Ponds

Intelligent Methane Monitoring and Mitigation System

Low Temperature Thermoelectric Generator for Large Scale Waste Heat Conversion to Clean Low Cost Electricity

Methane Mitigation Thermoelectric Generator Field Demonstration

Multilateral Junction Testing and Field Trial, for Permanent and Scalable Methane Emissions Reductions –

Proposal under review at Alberta Innovates

Solid Acid Fuel Cell Technology for Methane Emissions Reduction

Systematic Third-party Validation of Environmental and Economic Performance of Methane Reduction

Technologies

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Current Benefit Full Industry Uptake

130,000/year cars off road

$15 Million/year value creation

1.6 Million/year cars off the road

$160 Million/year value creation

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REMVue Slipstream Technologies

By: Spartan Controls

Solar Chemical Injection PumpBy: TRIDO Industries

TRIDO has installed ~1,500 of its solar-power systems, powering

approximately 2,500 pumps

Current installations are preventing ~200,000 tonnes per year of

GHGs from being emitted, equal to 125 tonnes CO2-equivalent per

pump.28

Thank You