Grant: Alliance Grants

Low-permeability ("unconventional") reservoirs hosting hydrocarbon liquids-rich gas and light oil are currently the most important source of hydrocarbon production in North America. In Canada, low-permeability siltstone/shales within the Montney Formation, and shales within the Duvernay Formation, are the target of significant industry activity. Commercial production of these unconventional resources ('URs') has depended on the combination of long horizontal wells and multi-stage hydraulic fracturing (multi-fractured horizontal wells, 'MFHWs'). The current industry paradigm is to maximize both the number of wells and the number of hydraulic fracture (HF) stages to increase hydrocarbon recovery without carefully considering properties of the reservoir or created hydraulic fractures. While this approach achieves economic hydrocarbon recovery, it is the purpose of the current research program to increase the efficiency, and ensure the sustainability, of this process. This is made possible by reducing the number of wells, and HF stages required per well, while 1) achieving equal or greater hydrocarbon recovery and 2) mitigating environmental impact. The goal of this research program is to increase the environmental and economic sustainability of UR development in Canada through increased development efficiency, providing an important transition to lower carbon emission energy sources of the future. The survival of the hydrocarbon industry in Canada will require advancements in technology to make development of Canadian unconventional resources more economically attractive to energy companies while reducing environmental impact and increasing the sustainability of unconventional resource development. This research program, performed in collaboration with multi-disciplinary partner organization experts, will deliver Pre-, Syn- and Post-HF reservoir and hydraulic fracture characterization methods designed to improve the efficiency, and sustainability, of unconventional reservoir development. The majority of the requested funding will be spent on the training of students who will develop critical skills in this important field of study.