Wednesday, April 25, 2012

Kinder Morgan outlines plans for major CO2 development at St. Johns field


Kinder Morgan briefed the Arizona Oil & Gas Conservation Commission on Friday about their plans to complete evaluation of the St. Johns carbon dioxide and helium field in eastern Arizona, and develop it as a major supplier to the oil fields of New Mexico and Texas. [Right, proposed pipeline routes. Credit, Kinder Morgan]

The company will drill new wells in 2012 and do more extensive testing of those than the previous operator did, to better see if they can improve performance and establish commercial production rates.  Construction would begin in 2013 and the field would go into production in 2015.

If successful, Kinder Morgan foresees eventually drilling 250 wells in the field and building a 400 mile long, 20” diameter pipeline to the town of Denver City, on the Texas-New Mexico border to carry 450 million cubic feet per day (MMCFD) of carbon dioxide.

If the field production turns out to be less, the company would look at a 10” diameter to the northeast to connect with the CO2 pipeline from McElmo Dome.

10 comments:

  1. Anonymous4:15 PM

    Lets just send it into space and let the aliens deal with it.

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  2. Anonymous8:29 AM

    How will this effect the city of st.johns? possible adding jobs to community

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  3. Arizona is loaded with oil, manganese and other natural resources. When word gets out, those who opened grape vineyards and nut trees on their Arizona property will have struck gold literally....

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  4. Anonymous6:25 PM

    I have land outside St Johns where the drilling has started. Guess what- the Rail Road has the mineral rights to the land. The Company wants to pay the property owners a one time fee for access to their land to set up a rig for drilling. I don't know what the deal will be for the pipe line. As far as I am concerned, since the Company says they will not frack, no access to the land.

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  5. Anonymous5:19 PM

    Update on Kinder Morgan. They have met with some POA's in the area of St. Johns. Unfortunately,they did so after they started drilling at a previously operational site and two new ones. Although, they have stated they will not frack, and they have said they will not drill laterally, I am concerned at what will be the impact on the land. I have requested a site map from my Property Owners Association as to the proposed sites for drilling. The issue of the pipeline,pumping stations,crew access roads and acreage of the well sites, apparently were never discussed. I believe this entire project needs to be negotiated from step one- again.

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  6. Anonymous12:56 PM

    You need to check Kinder Morgan's record of dealing with problems associated with their work, their facilities. In Arizona and throughout the west. Talk to any private property owner that has had to deal with Kinder Morgan not keeping word, not following rules of feds or state.

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  7. Anonymous6:19 PM

    I've read that Kinder Morgan and GreenFIre Energy are planning on building a Geothermal plant and Natural gas liquification plant in the St. John's to Springerville area. Does anyone know the exact location of these two plants.

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  8. Anonymous12:01 PM

    This Sounds very intersting does anybody know what type of compensation for land owners in the area might be

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  9. We don't know what agreements land owners are making with the developer in this particular situation, but in oil and gas operations it's not unusual for landowners to lease their lands (ie, mineral rights) for an upfront bonus, with an annual lease or rental payment. Then if production is established, to get a royalty (1/8 is often standard) on the value of the production. Additional payments may be made for surface occupancy for drill rigs, wells, compressors, pipelines, etc.

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  10. Anonymous7:26 PM

    just to restate what the above article says. They are acquiring the CO2 out of the ground - not drilling for and producing oil.

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