
From The Grand Junction Daily Sentinel (Dennis Webb):
A Colorado company is working with the Colorado School of Mines on the next stage of testing for a novel approach to developing oil shale. Parker-based Independent Energy Partners is pursuing the concept of using what it calls a geothermic fuel cell to employ heat to produce oil from shale in-situ, or in place, underground. Strings of fuel cells would be stacked in wells drilled into the shale.
The idea was first conceived by Marshall Savage, whose family has extensive land holdings in western Colorado’s Piceance Basin and who serves as IEP’s vice president of technology development.
A fuel cell can convert a fuel like natural gas into electricity through a chemical process. The patented, downhole heater being developed by IEP will use the waste heat to warm up the oil shale rock in what’s called a geothermic process, versus the geothermal one of tapping heat from the ground.
The company plans to use locally produced natural gas to get the fuel cells going, but under the concept the cells then will operate on gas generated along with oil in the heating process. Electricity production will be a side benefit of the process, and IEP President and Chief Executive Officer Alan Forbes said the process would be water neutral because water produced by the fuel cell would offset consumption. Carbon emissions would be minimal because there’s no combustion, he said.
The company had Pacific Northwest National Laboratory do work to confirm the concept’s technical viability, and had Delphi, a solid oxide fuel cell maker, make a downhole prototype. Now, IEP is paying about $900,000 for the School of Mines to do prototype testing at its Colorado Fuel Cell Center. The school received a small unit earlier this year and a stacked one more recently.
Initial testing will be followed next year by in-ground tests on campus, and then field tests in oil shale formations, with a goal of producing oil in 2015. IEP holds several leases on private property in Rio Blanco County.
“It’s kind of an exciting research project,” said Jeremy Boak, director of the Center for Oil Shale Technology and Research at the School of Mines.
Said Forbes, “We’re pretty confident it’s going to work fine, it will work as advertised.”
Boak said one challenge the company might face is rock shifting when heated and damaging heaters. He said he thinks Shell faced such problems but was able to solve them. [ed. emphasis mine]
The company is pressing forward even as Shell has announced the end of its Colorado oil shale research and development project, citing a desire to focus on other global opportunities.“I know that they haven’t been doing really well at a corporate level and I think they’re just readjusting their priorities,” Forbes said.
He said IEP’s work is “moving right along.”
“We’re quite pleased with the progress and the parties we’re working with right now.”
Those parties include the energy giant Total, which also is a partner with American Shale Oil in an in-situ project in Rio Blanco County and is invested in Red Leaf Resources’ project to mine and process oil shale in Utah.
“I think Total is very energized by this (IEP) approach and other approaches and is eager to see something proceed here,” Boak said.