Anna C. Snider Lord

A LIFE CYCLE COST ANALYSIS FRAMEWORK FOR GEOLOGIC STORAGE OF HYDROGEN: A USER'S TOOL

The U.S. Department of Energy (DOE) has an interest in large scale hydrogen geostorage, which could offer substantial buffer capacity to meet possible disruptions in supply or changing seasonal demands. The geostorage site options being considered are salt caverns, depleted oil/gas reservoirs, aquifers and hard rock caverns. The DOE has an interest in assessing the geological, geomechanical and economic viability for these types of geologic hydrogen storage options. This study has developed an economic analysis methodology and subsequent spreadsheet analysis to address costs entailed in developing and operating an underground geologic storage facility. This year the tool was updated specifically to (1) incorporate more site-specific model input assumptions for the wells and storage site modules, (2) develop a version that matches the general format of the HDSAM model developed and maintained by Argonne National Laboratory, and (3) incorporate specific demand scenarios illustrating the models capability. Four general types of underground storage were analyzed: salt caverns, depleted oil/gas reservoirs, aquifers, and hard rock caverns/other custom sites. Due to the substantial lessons learned from the geological storage of natural gas already employed, these options present a potentially sizable storage option. Understanding and including these various geologic storage types in the analysis physical and economic framework will help identify what geologic option would be best suited for the storage of hydrogen. It is important to note, however, that existing natural gas options may not translate to a hydrogen system where substantial engineering obstacles may be encountered. There are only three locations worldwide that currently store hydrogen underground and they are all in salt caverns. Two locations are in the U.S. (Texas), and are managed by ConocoPhillips and Praxair (Leighty, 2007). The third is in Teeside, U.K., managed by Sabic Petrochemicals (Crotogino et al., 2008; Panfilov et al., 2006). These existing H{sub 2} facilities are quite small by natural gas storage standards. The second stage of the analysis involved providing ANL with estimated geostorage costs of hydrogen within salt caverns for various market penetrations for four representative cities (Houston, Detroit, Pittsburgh and Los Angeles). Using these demand levels, the scale and cost of hydrogen storage necessary to meet 10%, 25% and 100% of vehicle summer demands was calculated.

A life cycle cost analysis framework for geologic storage of hydrogen : a scenario analysis.

The U.S. Department of Energy has an interest in large scale hydrogen geostorage, which would offer substantial buffer capacity to meet possible disruptions in supply. Geostorage options being considered are salt caverns, depleted oil/gas reservoirs, aquifers and potentially hard rock cavrns. DOE has an interest in assessing the geological, geomechanical and economic viability for these types of hydrogen storage options. This study has developed an ecocomic analysis methodology to address costs entailed in developing and operating an underground geologic storage facility. This year the tool was updated specifically to (1) a version that is fully arrayed such that all four types of geologic storage options can be assessed at the same time, (2) incorporate specific scenarios illustrating the models capability, and (3) incorporate more accurate model input assumptions for the wells and storage site modules. Drawing from the knowledge gained in the underground large scale geostorage options for natural gas and petroleum in the U.S. and from the potential to store relatively large volumes of CO{sub 2} in geological formations, the hydrogen storage assessment modeling will continue to build on these strengths while maintaining modeling transparency such that other modeling efforts may draw from this project.

2013 strategic petroleum reserve big hill well integrity grading report.

This report summarizes the work performed in developing a framework for the prioritization of cavern access wells for remediation and monitoring at the Big Hill Strategic Petroleum Reserve site. This framework was then applied to all 28 wells at the Big Hill site with each well receiving a grade for remediation and monitoring. Numerous factors affecting well integrity were incorporated into the grading framework including casing survey results, cavern pressure history, results from geomechanical simulations, and site geologic factors. The framework was developed in a way as to be applicable to all four of the Strategic Petroleum Reserve sites.

U.S. strategic petroleum reserve Big Hill 114 leak analysis 2012.

This report addresses recent well integrity issues related to cavern 114 at the Big Hill Strategic Petroleum Reserve site. DM Petroleum Operations, M&O contractor for the U.S. Strategic Petroleum Reserve, recognized an apparent leak in Big Hill cavern well 114A in late summer, 2012, and provided written notice to the State of Texas as required by law. DM has since isolated the leak in well A with a temporary plug, and is planning on remediating both 114 A- and B-wells with liners. In this report Sandia provides an analysis of the apparent leak that includes: (i) estimated leak volume, (ii) recommendation for operating pressure to maintain in the cavern between temporary and permanent fixes for the well integrity issues, and (iii) identification of other caverns or wells at Big Hill that should be monitored closely in light of the sequence of failures there in the last several years.