hydraulic fracturing: marcellus shale - range …...hydraulic fracturing was first used more than...

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Hydraulic Fracturing: Marcellus Shale WWW.RANGERESOURCES.COM | RANGE RESOURCES CORPORATION | NYSE: RRC When the world demanded a clean, abundant, reliable, and secure source of energy – America’s natural gas producers, led by Range Resources, delivered. Thanks to proven technologies and American ingenuity, the United States now enjoys a nearly 100-year supply of clean-burning natural gas, represenng a game-changing revoluon for cleaner energy and a stronger economy. Many of the proven technologies employed today, including hydraulic fracturing, have been safely used since the 1940s. Fracturing is crical to developing America’s abundant natural gas supplies. HISTORY Hydraulic fracturing was first used more than 100 years ago in 1903, but the first commercial fracturing treatment was performed in 1949. By some accounts, it took more than 40 years for technical experts to perfect the process, but since then, the pay-off has been extraordinary. Fracturing’s efficiency in bringing new life to old oil and natural gas wells quickly made it an integral part of our naon’s energy strategy, and by 1988, it had been safely applied more than one million mes. As technology improved, fracturing techniques did as well. Now, fracturing is the linchpin to shale gas producon, with U.S. energy producers ulizing the technology to safely complete more than 35,000 wells each year and thousands more internaonally. THE PROCESS Hydraulic fracturing is used to smulate producon from oil and natural gas wells by pumping sand and water, along with a small percentage of addives, at a pressure high enough to create paper- thin fractures in the hydrocarbon-bearing rock formaon. The small fracture network extends out from the wellbore and creates a pathway for the natural gas to flow from the shale formaon and into the well. To fully isolate the wellbore, mulple heavy steel casings are inserted in the earth’s surface deep in the ground and fully cemented to the ground. The casing, cement specificaons and process are governed by strict state regulaons, as well as various other industry standards. Once the cement has set, the wellbore is connued from the boom of the previously cemented steel casing to the next depth. This process is repeated using smaller diameter steel casings unl the oil and natural gas bearing rock is reached. In a well stretching almost two miles, typically more than three million pounds of steel and cement are ulized to isolate a wellbore with several layers of casing strings cemented in place, ensuring the protecon of groundwater aquifers.

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Page 1: Hydraulic Fracturing: Marcellus Shale - Range …...Hydraulic fracturing was first used more than 100 years ago in 1903, but the first commercial fracturing treatment was performed

Hydraulic Fracturing: Marcellus Shale

WWW.RANGERESOURCES.COM | RANGE RESOURCES CORPORATION | NYSE: RRC

When the world demanded a clean, abundant, reliable, and secure source of energy – America’s natural gas producers, led by Range Resources, delivered. Thanks to proven technologies and American ingenuity, the United States now enjoys a nearly 100-year supply of clean-burning natural gas, representing a game-changing revolution for cleaner energy and a stronger economy.

Many of the proven technologies employed today, including hydraulic fracturing, have been safely used since the 1940s. Fracturing is critical to developing America’s abundant natural gas supplies.

HISTORY Hydraulic fracturing was first used more than 100 years ago in 1903, but the first commercial fracturing treatment was performed in 1949. By some accounts, it took more than 40 years for technical experts to perfect the process, but since then, the pay-off has been extraordinary. Fracturing’s efficiency in bringing new life to old oil and natural gas wells quickly made it an integral part of our nation’s energy strategy, and by 1988, it had been safely applied more than one million times.

As technology improved, fracturing techniques did as well. Now, fracturing is the linchpin to shale gas production, with U.S. energy producers utilizing the technology to safely complete more than 35,000 wells each year and thousands more internationally.

THE PROCESSHydraulic fracturing is used to stimulate production from oil and natural gas wells by pumping sand and water, along with a small percentage of additives, at a pressure high enough to create paper-thin fractures in the hydrocarbon-bearing rock formation. The small fracture network extends out from the wellbore and creates a pathway for the natural gas to flow from the shale formation and into the well.

To fully isolate the wellbore, multiple heavy steel casings are inserted in the earth’s surface deep in the ground and fully cemented to the ground. The casing, cement specifications and process are governed by strict state regulations, as well as various other industry standards.

Once the cement has set, the wellbore is continued from the bottom of the previously cemented steel casing to the next depth. This process is repeated using smaller diameter steel casings until the oil and natural gas bearing rock is reached. In a well stretching almost two miles, typically more than three million pounds of steel and cement are utilized to isolate a wellbore with several layers of casing strings cemented in place, ensuring the protection of groundwater aquifers.

Page 2: Hydraulic Fracturing: Marcellus Shale - Range …...Hydraulic fracturing was first used more than 100 years ago in 1903, but the first commercial fracturing treatment was performed

WWW.RANGERESOURCES.COM | RANGE RESOURCES CORPORATION | NYSE: RRC

FAST FACTS

• Hydraulic Fracturing is a proven and key technology to unlocking our nation’s growing 100-year supply of clean-burning American natural gas.

• Fracturing fluids consist of 99.9-percent water and sand, with a small percentage of highly diluted common chemicals that are carefully managed.

• More than 3 million pounds of fully cemented steel casing strings are utilized to maximize freshwater aquifers protection.

• Fracturing typically takes place more than one mile below the water aquifers over a period of several days.

With those and other precautions taken, water and sand are pumped deep into the well at pressures sufficient to cause the reservoir rock to break or fracture. The sand, carried by water, serves as a proppant to hold open the fractures. For shale gas development, all Range mixtures are comprised of more than 99% water and sand, with a small proportion of common, highly-diluted additives used to clean the wellbore, prevent scaling and bacterial growth in the well.

Once the rock has been fractured, water is flowed out of the well and is either recycled and reused or taken to an EPA-permitted injection well for disposal. Range recycles its flowback water for the purpose of reuse. Throughout the life of a well, remaining water – called produced water – returns slowly over time through the isolated wellbore or is trapped in the rock bed thousands of feet below the surface.

COMPLETIONS FLUIDSMore than 30 state and federal regulatory agencies – such as the U.S. Department of Energy, the Interstate Oil and Gas Compact Commission, the Groundwater Protection Council and others – have deeply analyzed oil and natural gas development, including hydraulic fracturing. These reports conclude that the technology is safe and well-regulated. Equally important to safety is transparency. Accordingly, disclosure of fracturing additives are required by DEP. The additives are also publicly available on a well-to-well basis on our corporate website, FracFocus.org, and several regulatory websites, including DEP and in the form of Material Safety Data Sheets at all work locations.

CHEMICAL DISCLOSURERange voluntarily submits the additives for each well to the Pennsylvania Department of Environmental Protection (DEP). Range’s disclosure initiative provides regulators, landowners and citizens an account of the highly-diluted additives used at each well site, along with their classifications, volumes, dilution factors and specific and common purposes. This information can be found at RangeResources.com.

ENVIRONMENTAL COMMITMENTEven though fracturing additives are carefully managed, highly-diluted and injected through multiple cemented strings of steel casing, Range encourages all vendors to utilize the most environmentally-friendly additives whenever technically possible.

Range works with scientists, universities, government agencies and contractors to improve this process. We are continuously honing our methods, including the use of “green completions,” food grade fluids and biodegradable additives.

REGULATION AND BEST PRACTICESNatural gas development is highly-regulated by DEP, and is also subject to regulatory oversight by the Susquehanna River Basin Commission, Delaware River Basin Commission, Pennsylvania Fish and Boat Commission, and others. Before a well is even drilled, thousands of pages of documentation are filed and submitted to state regulators for review and approval.

In addition to state laws, various aspects of natural gas development are subject to the Federal Emergency Planning and Community Right-to-Know Act, the Federal Worker’s Right to Know Act, the Federal Dam Safety Law, and others through state regulatory statutes.

All Range locations are regularly inspected by regulatory officials, in addition to the company’s continuous monitoring.

Pennsylvania has world-renowned oil and natural gas regulations, but Range takes pride in going above and beyond compliance. The opportunity for our nation is too important and we simply must get this right.