May 10th, 2024

City keeping tabs on century-old gas wells

By COLLIN GALLANT on March 21, 2023.

A sign demotes an abandoned gas well near the eastern end of Balmoral Street in Medicine Hat in this April 2018 file photo.--NEWS FILE PHOTO

cgallant@medicinehatnews.com@CollinGallant

Natural gas wells that were blown off 110 years ago to display the immense potential of the “Gas City” are still in production today, city gas department officials told city council on Monday, but others are now being closed and will be monitored long into the future.

That was part of a presentation on how the division manages urban wells in the city, delving into the creation of Canada’s only municipal petroleum producer at the turn of the 20th century. Today, the city is considering using methane detecting drones to search for long-forgotten wells and fugitive gas.

“For a field that is so shallow, it’s amazing that some are still producing, and really shows the incredible volume of gas,” said Maynes, adding that for more than a century the sector has given “incredible benefit” to the city over the years.

It’s drawn in investment, cheap energy for residents, provided municipal revenue and stoked employment, but now the city is acting as caretaker for wells that are no longer productive, he said.

There are currently 313 wells within the municipal boundaries of Medicine Hat, Redcliff and Dunmore, with the City of Medicine Hat controlling 194 drilled over the past 120 years.

Of these city wells, 63 are producing and eight are suspended. Another 102 are abandoned on the surface, with 21 abandoned downhole.

A total of 21 other companies operate the remaining 119 wells, with 39 producing gas or oil, 18 for injection or observation and 60 in some state of abandonment.

The city is now monitoring wells given to long-gone industries like Maple Leaf Mills, Hycroft China and Alberta Clay products under agreement with the province’s “Orphan Well Association,” planning parks around some to meet 10-year-old setback regulations, and managing others in its own inventory.

One well, near Central Park in the middle of a residential neighbourhood, was famously captured on film being lit up in the night sky to impress a party of visiting dignitaries. Flames, shot 60 metres high as the well was opened wide, expending enough gas, Maynes estimated, to heat 6,000 homes directly above a crowd of onlookers.

“Different times,” he said.

That well produced volumes of gas until last year, when it was suspended. Currently the department is evaluating a decision and potential schedule for abandonment.

That would involve pumping cement down the 374-metre well bore, then monitoring for several years for any methane before cutting off the well below the ground, installing a concrete basin and filling it with pea gravel in case it ever requires reworking.

There are currently about 110 such urban wells in the city limits, according to the “Gas Wells in Our Backyard” presentation, which draws a line from the discovery of gas in the region in 1883, to the city’s creation of a gas company in the early 1900s to regulate its use, and a now 106-year-old agreement with the federal government and province for the rights to gas in the Northwest Field.

“I can’t overstate enough how early it was,” said Maynes. “We’re one of the oldest energy companies in the world.”

Coun. Robert Dumanowski said Hatters know Medicine Hat has natural gas running throughout its history, but a refresher on both history and the ongoing management is important.

“You can become blind to them over time,” he said.

Coun. Alison Van Dyke said the monitoring program highlights the work and care taken by the division toward safety.

Council also asked if any wells in the city are “orphaned,” meaning the owner is no longer operating or therefore responsible for their closure and upkeep.

“The wells that we’re aware of, someone is looking over them,” said Maynes, later saying the department is aware of two licensed general locations, but exact infrastructure hasn’t been found.

In other cases, one or two homeowners may have drilled wells at the turn of the 20th century.

“The vast majority are known,” he said. “We’ll take care of them to the very end.”

Records from the periods can be devoid of information, and a year’s long effort by the energy division has attempted to find wells using old photographs and landmarks.

The same group has found several wells the city believes were erroneously given to it when typos appeared in regulatory documents over time.

Later this year, the city will bring forward the need for five utility right of ways that were never registered for historic wells. Negotiations are underway in both instances, said Maynes.

The city is also providing high-level monitoring at seven wells where “complex gas migration issues” have been detected.

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