Working Energy Commitment

June 2013

Presentation Outline

• Introduction to PSAC• Working Energy Commitment• Hydraulic Fracturing Overview• Public Engagement

Photo: Trican Well Service

Petroleum Services Association of Canada (PSAC)

• National trade association representing the service, supply and manufacturing sectors within the upstream petroleum industry.

• Close to 260 member companies, employing more than 80,000 people and contracting almost exclusively to oil and gas exploration and production companies.

Industry Responsibility & Authority

Service Sector Producer Sector

• Contract to producers• Innovate and provide

specialized services, technologies and equipment for preparing, drilling, completing, testing, maintaining and abandoning oil and gas wells, and reclaiming lease sites

• AKA operators• Explore for oil and gas• Negotiate for land access

and mineral rights• Contract services as

needed• Oversee operations on

their leases

PSAC is Working Energy

Goals

• Communicate the commitment of our members to listen to and openly discuss public concerns about oil and gas development; and

• Draw attention to the efforts our members put into mitigating the risk to health, safety and environmental impacts associated with their operations.

Working Energy Commitment

Working Energy Commitment Founding Members

Working Energy Commitment Statement of Principles

• Operate safely and responsibly• Meet or exceed all environmental

standards• Act with integrity• Continually improve our

practices and services• Treat all members of the community

with respect, dignity and trust

Hydraulic Fracturing Overview

Photo: Trican Well Service

60 Years of Hydraulic Fracturing

Photo: Halliburton

Hydraulic Fracturing Today

• R&D centres• Scientific protocols• Environmentally friendly chemistries• Simulators to map out hydraulic fracturing operations• Equipment to reduce wellsite footprint• Real-time micro seismic monitoring and interpretation

Graphic: Halliburton

Exploration in Alberta

Map: ERCB

Hydraulic Fracturing Purpose

Graphic: CSUR

Hydraulic Fracturing Process

• Pump fluid into a wellbore to create enough pressure to crack, or fracture, the rock layer

• Causes existing fractures to open or new fractures to be created

• Proppant, usually sand or ceramics, helps keep the fractures open to allow oil and gas to flow to the well

Many Steps in Hydraulic Fracturing

Graphic: Trican Well Service

Many Steps in Hydraulic Fracturing

Graphic: ERCB

Horizontal Drilling and Multistage Fracturing

Graphic: ERCB

Hydraulic Fracturing Animation

Video: Imperial Oil

Typical Fracture Fluid Composition

Graphic: BC Oil & Gas Commission

Fracture Fluid Disclosure – fracfocus.ca

Alberta Energy Regulator (AER)

Public Engagement Spring/Summer 2013• Drayton Valley, AB• Lethbridge, AB• Grande Prairie, AB• Dawson Creek, BC• Red Deer, AB• Medicine Hat, AB

Service Sector Hydraulic Fracturing Code of Conduct

Health, Safety & the Environment

Technology & Innovation

Stakeholder Communication

Respect for Communities

Working Energy Commitmentwww.workingenergy.ca