Why Z-Pinnate® Technology?
The Z-Pinnate® Horizontal Drilling and Completion System has proven successful in over 230 coalbed methane (CBM) wells. It finds optimal application in low- to medium-permeability (1-30md) reservoirs, when rapid degasification is desired or when surface access is restricted due to terrain or environmental sensitivities. It can aide in transforming CBM fields that were previously uneconomic or barely economic into viable natural gas development opportunities.
Quick Facts
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Increased Productivity
The Z-Pinnate® System enables recoveries of up to 80 to 90 percent of the gas in an eight- to nine-year period. As much as 75 percent of the ultimate recovery occurs in less than five years. That compares to about 20 percent of gas recoverable from conventional wells over a similar period of time.
Economic Benefits
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Accelerated Recovery of Gas Increases Profitability
The Z-Pinnate® System enables recoveries of up to 80 to 90 percent of the gas in an eight- to nine-year period. As much as 75 percent of the ultimate recovery occurs in less than five years. That compares to about 20 percent of gas recoverable from conventional wells over a similar period of time. These accelerated recoveries provide economic benefits including an accelerated cash flow stream thereby enhancing the net present values of properties.
Why Z-Pinnate® Technology? Achieving Economies of Scale
Economies of scale are achieved when numerous vertical wells are replaced by a single Z-Pinnate Well System. This is easily illustrated when 16+ conventional vertical wells are replaced by a Z-Pinnate Well System having conjoined Pinnate™ drainage patterns that access a 1,200+ acre drainage network. Capital costs are reduced since fewer wells require less infrastructure, and operating costs per unit of gas produced are dramatically lower due to higher flow rates.
16 Vertical Wells Replaced by a Single Z-Pinnate® Well System
Having Four Conjoined Pinnate™ Drainage Patterns
Advantages of the Z-Pinnate® Technology over Conventional Development
- IRR 2 to 4 times greater than conventional development
- Payout ~ 1 year
Environmental Benefits
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Minimal Surface Impact
The Z-Pinnate® Horizontal Drilling and Completion System is ideal for delicate terrain and around environmentally sensitive areas such as forests, reservoirs, inaccessible canyons and mountains. CDX goes to great lengths to protect the environment from unnecessary development and surface disturbance. This is just one part of CDX’s commitment to the environment in every aspect of its operations, from the beginning to the end of a project. CDX Gas’ environmental stewardship has been recognized through praise and support from environmental grassroots organizations.
Through application of the Z-Pinnate System, development of coalbed methane (CBM) resources leaves a smaller surface footprint than traditional sites, and less infrastructure is required to support the well. The small surface footprint protects environmentally sensitive areas by minimizing the number of roads, pipelines and other infrastructure associated with operations.
Reduction of Greenhouse Gas Emissions
CDX is able to recover methane gas from coal mines that would otherwise be vented into the atmosphere.
Safe Disposal of Water
CDX’s environmental consciousness also extends to water treatment and disposal. CDX matches the needs of the project with the needs of the environment. As water is drained from coal to release the gas, CDX either treats it for reuse or reinserts it into the well. With some well sites, CDX uses traditional means of treating and releasing the water. If the water is not potable, or clean enough to release into the environment, CDX can re-inject the produced water into nearby depleted Z-Pinnate Wells. For protection of shallow aquifers, CDX sets multiple steel casings and cement. Water is reused, discharged, or disposed in accordance with applicable state permits or regulations.
Land Reclamation
CDX strives to restore drilling areas to pristine pre-drilling condition. CDX’s environmental efforts have not gone unnoticed. The company has been recognized by industry groups for its impeccable reclamation work, earning accolades for sediment control, road quality, equipment maintenance and operation, and timeliness of reclamation efforts. CDX was named one of the leading companies for reclamation in the Appalachian Basin by the Independent Oil and Gas Association of West Virginia.
Safety in Mining Operations
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In the past, coalbed methane gas was seen as an obstacle to coal mining operations. It had to be removed before coalbeds could be safely mined, a process that could take several years. However, because of the high costs and difficulty of capturing gas in these unconventional reservoirs, operators often had little choice but to vent the methane gas from operations into the atmosphere. This made mining safer but significantly added to greenhouse gas emissions. Venting adversely impacts the ability to control emissions as methane gas is a greenhouse gas 21 times more potent than carbon dioxide.
In pre-mining operations, CDX captures this gas and turns it into an energy resource, reducing greenhouse gas emissions and helping to meet the nation’s rising demand for clean-burning natural gas. This creates a win-win situation for both the environment and the energy industry.
The accelerated recovery reduces the well life and allows mining companies to begin their operations earlier. Mines drained of gas increase the level of safety for mining and enhance productivity in mining development.
