Page 24 - OGA-Sept-2015
P. 24
NEW ZEALAND
OIL & GAS AUSTRALIA
NZ study finds no risks from Landfarming
LANDFARMING, the process of spreading
rocks and minerals from drilling oil and gas
wells on farm land, poses no attributable
risk to food safety or animal welfare if
managed properly, a study has found.
The report, commissioned by New Zealand’s A farmer drills seed into pasture paddock in the New Zealand region of Westland. Image courtesy
Ministry of Primary Industries (MPI) from INGImage.
crown research institute Landcare Research,
provided a comprehensive analysis of the “This isn’t about fracking or pouring oil Association of New Zealand (PEPANZ) chief
potential risks posed by different components on land. It’s about ground up rocks, mud and executive Cameron Madgwick said the release
of the waste material. minerals left over from drilling very deep holes of the guidelines would wrap up the debate.
in the ground,” he said.
“Land application of oil and gas (O&G) “At the moment the Taranaki region is the
wastes is considered to pose no attributable risk “Soil organisms naturally break down only place where landfarming takes place and
to food safety of animal welfare, particularly hydrocarbons like these, which is why it is a the Taranaki Regional Council has rigorous
when wastes are incorporated into the shallow common and accepted practice internationally monitoring procedures that govern the
subsoil with topsoil overlying the soil/waste to spread these left-over rocks and minerals operation of landfarms and review, test and
layer,” the report said. into soil.” evaluate their use regularly,” he said.
Bentonite clays, barium sulphate, salts and Mr Wansbrough said the process allowed the “These new guidelines build on the high
hydrocarbons made up most of the O&G rocks and minerals to be recycled to improve standard that the Taranaki Regional Council
waste, with salts and hydrocarbons being the productivity of some soils. currently operates too, and will alleviate any
the most likely to contribute to any observed concerns food producers and farmers had
toxicity, the report said. “They increase the clay content and improve about the practice.”
the soil’s ability to retain water and nutrients
“While a range of other components are – this can improve pasture growth and reduce “Good regulation that is transparent and
used, these are generally considered to be non- the risk of erosion,” he said. accountable to New Zealanders is a must, and
toxic or present at concentrations that do not that is why we welcome these new guidelines
contribute to the toxicity of the waste,” the “This guidance provides scientific assurance, and hope they help to dispel the mistruths
report said. regulatory clarity and a nationally consistent about Landfarming and alleviate any concerns
approach to ensure food safety and animal New Zealanders may have had about the
The primary pathway of exposure of welfare.” practice,” Mr Madgwick said. l
foodstuffs to these chemicals is via plant
uptake, but there was limited uptake of Petroleum Exploration and Production
hydrocarbons, the main contaminants of
concern in the waste, the report found.
“Surface application of O&G wastes is
considered to pose no attributable risk to
food safety or animal welfare when stock are
excluded and crops not harvested until agreed
endpoints for soil quality are reached,” it said.
The report was released in conjunction
with MPI’s guidance report for producers and
processors to follow when spreading rocks and
minerals from oil and gas drilling in order to
ensure food safety and animal welfare.
MPI director of resource policy David
Wansbrough said Landcare Research had been
a cornerstone of the MPI report.
Maari production boosts company profits
Project operator OMV, which holds a 69 Cue Energy, which holds a 5% stake in PMP
WELLS coming onstream at the Maari per cent stake in the project, anticipates the 38160, reported a 10.8% increase in revenue to
oilfield, in New Zealand’s Taranaki basin, field’s production capacity to increase to $37.67 million in 2015, due to a full year of oil
have boosted project partners OMV New about 20,000 barrels of oil equivalent per day production from the Maari field as well as gas
Zealand and Cue Energy. (boepd) with production from this new well, production from the Wortel field in Indonesia.
MR10, and an upcoming 2015 work-over
The Maari Growth Project, which has been campaign. However the company’s decision to write
running since late last year, was targeting new down the carrying value of the Maari asset by
reserves, production and greater recovery from The company said its total daily production $18 million, together with a 60% increase in the
the oil field, located in the PMP 38160 joint of oil, gas and natural gas liquids was 307,000 value of Cue’s stake in the Mahakam Hilir PSC
venture area, 80 kilometres off the coast of boepd, 3% higher than in the second quarter in Indonesia ($38.02 million) had influenced
South Taranaki, New Zealand. of 2014, driven by the Maari wells coming Cue’s net profit, of $40.05 million after tax.
online as well as a higher contribution from
The project was successfully completed in the Gudrun field in Norway. Profit statements of Todd Energy (16%) are
early July, with the last of four new oil wells not publicly available, but Horizon Oil (10%)
drilled by the Ensco 107 rig having started Sales quantity also increased by 5%, related was up 43% after tax to US$18.3 million,
production, to higher sales volumes from these two resulting from a higher operatiosn profit and
regions, OMV said. insurance recoveries from repairs at Maari. l
22 ENERGY PUBLICATIONS CELEBRATING 34 YEARS OF PUBLISHING IN AUSTRALIA
OIL & GAS AUSTRALIA
NZ study finds no risks from Landfarming
LANDFARMING, the process of spreading
rocks and minerals from drilling oil and gas
wells on farm land, poses no attributable
risk to food safety or animal welfare if
managed properly, a study has found.
The report, commissioned by New Zealand’s A farmer drills seed into pasture paddock in the New Zealand region of Westland. Image courtesy
Ministry of Primary Industries (MPI) from INGImage.
crown research institute Landcare Research,
provided a comprehensive analysis of the “This isn’t about fracking or pouring oil Association of New Zealand (PEPANZ) chief
potential risks posed by different components on land. It’s about ground up rocks, mud and executive Cameron Madgwick said the release
of the waste material. minerals left over from drilling very deep holes of the guidelines would wrap up the debate.
in the ground,” he said.
“Land application of oil and gas (O&G) “At the moment the Taranaki region is the
wastes is considered to pose no attributable risk “Soil organisms naturally break down only place where landfarming takes place and
to food safety of animal welfare, particularly hydrocarbons like these, which is why it is a the Taranaki Regional Council has rigorous
when wastes are incorporated into the shallow common and accepted practice internationally monitoring procedures that govern the
subsoil with topsoil overlying the soil/waste to spread these left-over rocks and minerals operation of landfarms and review, test and
layer,” the report said. into soil.” evaluate their use regularly,” he said.
Bentonite clays, barium sulphate, salts and Mr Wansbrough said the process allowed the “These new guidelines build on the high
hydrocarbons made up most of the O&G rocks and minerals to be recycled to improve standard that the Taranaki Regional Council
waste, with salts and hydrocarbons being the productivity of some soils. currently operates too, and will alleviate any
the most likely to contribute to any observed concerns food producers and farmers had
toxicity, the report said. “They increase the clay content and improve about the practice.”
the soil’s ability to retain water and nutrients
“While a range of other components are – this can improve pasture growth and reduce “Good regulation that is transparent and
used, these are generally considered to be non- the risk of erosion,” he said. accountable to New Zealanders is a must, and
toxic or present at concentrations that do not that is why we welcome these new guidelines
contribute to the toxicity of the waste,” the “This guidance provides scientific assurance, and hope they help to dispel the mistruths
report said. regulatory clarity and a nationally consistent about Landfarming and alleviate any concerns
approach to ensure food safety and animal New Zealanders may have had about the
The primary pathway of exposure of welfare.” practice,” Mr Madgwick said. l
foodstuffs to these chemicals is via plant
uptake, but there was limited uptake of Petroleum Exploration and Production
hydrocarbons, the main contaminants of
concern in the waste, the report found.
“Surface application of O&G wastes is
considered to pose no attributable risk to
food safety or animal welfare when stock are
excluded and crops not harvested until agreed
endpoints for soil quality are reached,” it said.
The report was released in conjunction
with MPI’s guidance report for producers and
processors to follow when spreading rocks and
minerals from oil and gas drilling in order to
ensure food safety and animal welfare.
MPI director of resource policy David
Wansbrough said Landcare Research had been
a cornerstone of the MPI report.
Maari production boosts company profits
Project operator OMV, which holds a 69 Cue Energy, which holds a 5% stake in PMP
WELLS coming onstream at the Maari per cent stake in the project, anticipates the 38160, reported a 10.8% increase in revenue to
oilfield, in New Zealand’s Taranaki basin, field’s production capacity to increase to $37.67 million in 2015, due to a full year of oil
have boosted project partners OMV New about 20,000 barrels of oil equivalent per day production from the Maari field as well as gas
Zealand and Cue Energy. (boepd) with production from this new well, production from the Wortel field in Indonesia.
MR10, and an upcoming 2015 work-over
The Maari Growth Project, which has been campaign. However the company’s decision to write
running since late last year, was targeting new down the carrying value of the Maari asset by
reserves, production and greater recovery from The company said its total daily production $18 million, together with a 60% increase in the
the oil field, located in the PMP 38160 joint of oil, gas and natural gas liquids was 307,000 value of Cue’s stake in the Mahakam Hilir PSC
venture area, 80 kilometres off the coast of boepd, 3% higher than in the second quarter in Indonesia ($38.02 million) had influenced
South Taranaki, New Zealand. of 2014, driven by the Maari wells coming Cue’s net profit, of $40.05 million after tax.
online as well as a higher contribution from
The project was successfully completed in the Gudrun field in Norway. Profit statements of Todd Energy (16%) are
early July, with the last of four new oil wells not publicly available, but Horizon Oil (10%)
drilled by the Ensco 107 rig having started Sales quantity also increased by 5%, related was up 43% after tax to US$18.3 million,
production, to higher sales volumes from these two resulting from a higher operatiosn profit and
regions, OMV said. insurance recoveries from repairs at Maari. l
22 ENERGY PUBLICATIONS CELEBRATING 34 YEARS OF PUBLISHING IN AUSTRALIA
