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Journal of Australian Energy Producers
RESEARCH ARTICLE (Non peer reviewed)

Managing the risk of CSG water to LNG project production reliability

Mick Varidel A and Mark Salisbury A
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- Author Affiliations

Sinclair Knight Merz.

The APPEA Journal 53(2) 455-455 https://doi.org/10.1071/AJ12066
Published: 2013

Abstract

From afar, managing CSG water seems simple: capture it, treat it, and deliver it to someone who needs it. On closer inspection, however, it is difficult.

CSG water production varies considerably across time and space and in both quality and quantity. This means that whatever the infrastructure is built for CSG water management, it will sometimes be the wrong size or specification or built in the wrong place.

The complications do not end there—the most difficult question of all is often: what can be done all this water? Most water outlets available in CSG project areas are heavily influenced by a combination of climatic, environmental, and commercial variability. This effectively results in no easy set-and-forget water outlets. Predicting the reliability and availability of CSG water outlets is a significant challenge.

CSG water management, therefore, involves risk and variability on both supply and demand, making it difficult to optimise investment in infrastructure and outlets. Importantly, it also impacts directly on the core objective of CSG operators: to reliably, predictably, and efficiently produce gas.

This extended abstract explores how management of CSG water risk is being addressed in CSG projects being developed in Queensland. It also examines analytical methods and strategies for improving existing CSG water risk-management practices.

Mick is a senior executive water engineer at Sinclair Knight Merz.

He has 19 years of experience in water resources and infrastructure engineering. He has been extensively involved with CSG projects in Queensland, particularly in the planning of CSG water management, the design of water infrastructure, and the development of water outlet strategies.

He also has considerable experience in the planning, development, and delivery of beneficial use and disposal schemes for marginal quality water, including municipal wastewater.

Mark is a senior executive civil engineer with 18 years of experience in the water industry. For the past six years, he has been in the roles of design manager, project manager, construction manager, and commission manager, working directly with water treatment plants and associated infrastructure. His present position is project manager for a water treatment plant in the CSG industry where he is the client representative. Prior to becoming an engineer, he was a water supply and sewerage fitter for local authority and he also has a practical background to water treatment.


References

Department of Environment and Heritage Protection, 2012—Coal seam gas water management policy. Brisbane, Australia: Department of Environment and Heritage Protection (EHP), Queensland Government.

Klohn Crippen Berger, 2012—Healthy HeadWaters coal seam gas water feasibility study: forecasting coal seam gas water production in Queensland’s Surat and Southern Bowen basins. Brisbane, Australia: Queensland Department of Natural Resources and Mines.

Ringer, M., Vidaver, D., Ostrover, S., and Bahceci, S., 2007—Portfolio analysis and its potential application to utility long-term planning. Publication No CEC-200-2007-012SD. Sacramento, US; London, UK: California Energy Commission, London Economics International.