Consulting - Storage

SaskEnergy International's areas of technical and operational storage consulting services fall under two categories, salt cavern storage and reservoir storage:

Salt Cavern Storage

Stage I - SEII can develop a seismic and test well drilling program to establish if a suitable formation exists and is available.
SEII, with the assistance of a hydrogeology firm, can review potential water sources for cavern washing. We can evaluate potential water supplies to determine cavern washing schedules, and review potential methods for brine disposal including both underground and above ground options.

We can inspect core samples and make recommendations for further analysis. Assuming the confirmation of a suitable (a) water source, (b) brine disposal system, and (c) geological zone, SEII can develop a cavern conceptual design program to determine potential cavern configuration.

Stage II - Given the structure, thickness and mineralogy for the formation, SEII can determine the number of wells as well as injection and deliverability rates. We can develop suitable cavern/well drilling programs, provide ongoing cavern development review and operating recommendations during the mining operation, and can provide cavern well work programs and timing recommendations.

Finally, we can develop conceptual compressor stations designs, dehydration units, pipelines, regulator stations and meter runs associated with a storage operation.

Stage III - SEII can develop a training program for storage operators (storage operators can train in Saskatchewan, learning first-hand about the operation and maintenance of underground storage facilities).

Cost of Service, Regulation and Tariff - We can develop a cost of service model, including allocation factors. We can also establish a depreciation analysis, identify operations, maintenance and administration costs, and determine revenue requirements.

We can set a return on rate base, customer contributions and oriented costs. Finally, we can assist in developing appropriate toll and tariff design and facilitating regulatory approvals.

Reservoir Storage

Stage I - SEII can conduct a preliminary evaluation of known geology for caverns by searching existing data and literature, preparing conceptual economic analysis based upon results of preliminary evaluation, and developing and conducting field programs for additional reservoir evaluation where required.

Stage II - We can also conduct detailed reservoir modeling and develop conceptual field development strategies including well design and location, gathering system design, compression design, and proceeding design. We can also assist in the actual design and construction of development strategies.

Stage III - SEII can develop a training program for storage operators (storage operators can train in Saskatchewan, learning first hand about operation and maintenance of underground storage facilities).

Cost of Service, Regulation and Tariff - We can develop a cost of service model, including allocation factors. We can also establish a depreciation analysis, identify operations, maintenance and administration costs, and determine revenue requirements.

We can set a return on rate base, customer contributions and oriented costs. Finally, we can assist in developing appropriate toll and tariff design and facilitating regulatory approvals.