Project Title

Best Practice Guidance of Effective Coalbed Methane Recovery Technologies for APEC Developing Economies 

Project Year

2016   

Project Number

EWG 17 2016A 

Project Session

Session 2   

Project Type

Standard 

Project Status

Project in Implementation   
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Project No.

EWG 17 2016A 

Project Title

Best Practice Guidance of Effective Coalbed Methane Recovery Technologies for APEC Developing Economies 

Project Status

Project in Implementation 

Publication (if any)

 

Fund Account

APEC Support Fund 

Sub-fund

ASF: Energy Efficiency 

Project Year

2016 

Project Session

Session 2 

APEC Funding

99,969 

Co-funding Amount

Total Project Value

99,969 

Sponsoring Forum

Energy Working Group (EWG) 

Topics

Energy 

Committee

SOM Steering Committee on Economic and Technical Cooperation (SCE) 

Other Fora Involved

 

Other Non-APEC Stakeholders Involved

 

Proposing Economy(ies)

China 

Co-Sponsoring Economies

Japan; United States 

Expected Start Date

01/01/2017 

Expected Completion Date

31/12/2017 

Project Proponent Name 1

Liu Wenge 

Job Title 1

Vice President 

Organization 1

China Coal Information Institute 

Postal Address 1

No.35 Shaoyaoju, Chaoyang District, Beijing, 100029, China 

Telephone 1

86-10 84657818 

Fax 1

Not Applicable 

Email 1

Liu Wenge 

Project Proponent Name 2

Not Applicable 

Job Title 2

Not Applicable 

Organization 2

Not Applicable 

Postal Address 2

Not Applicable 

Telephone 2

Not Applicable 

Fax 2

Not Applicable 

Email 2

Not Applicable 

Declaration

Liu Wenge 

Project Summary

As an unconventional natural gas, technically recoverable CBM in the 21 APEC economies is 28,700 BCM. Some APEC developing economies like Indonesia, Vietnam and Mexico are also rich in CBM reserves. But due to lack of appropriate recovery technology, their utilization of this energy resource remains low. Some APEC economies have already developed lots of matured and advanced technologies on CBM development, such as United States, Australia, Canada and China. The problem becomes urgent to set up best practice guidance of effective CBM Recovery Technologies for APEC Developing Economies.

In initial stage of this project, project team mainly focuses on desk review of technical characteristics of advanced CBM recovery technologies. Multiple methods will be used to collect advanced CBM recovery technologies and potential developing coal blocks. Then project team will consult experts to analyze the applicability of recovery technologies to different geological conditions like coal seam gas content and coal permeability, etc. Finally project team will compile a report on recovery technology selection guidance for APEC developing economies according to specific geological condition of CBM reserves. An international conference will be held in Beijing at the end of the project, which works as a platform for CBM technology sharing, expert networking and business cooperation.

Relevance

Coal bed methane (CBM), which is one kind of un-conventional natural gas, contributes to clean energy supply of developing economies which need large amount of energy consumption to boost economy growth. APEC developing economies like Indonesia, Vietnam, Mexico and Thailand are rich in CBM reserves, but lack of recovery technology. Meanwhile, APEC economies such as United States, China, Australia and Canada have already developed lots of matured and advanced technologies for CBM recovery. The project is expected to establish guidance for selection of suitable CBM recovery technologies according to specific developing economies’ geological conditions.

Economies with CBM development potential, like Indonesia, Vietnam, Mexico and Thailand, will get guidance on selection suitable CBM recovery technology. Economies with advanced and matured technology, such as United States, China, Australia and Canada, can benefit from export opportunities of recovery technology and relevant equipments. The project will also promote cooperation of technology and equipment exchange on CBM recovery among APEC economics.

This project falls under Criteria Rank 2. It will support the APEC Leaders’ Sustainable Growth Strategy, under the heading “projects related to Energy efficiency, energy security and energy resiliency including the development of low carbon technology and alternative energy sources”. CBM is one kind of unconventional natural gas, which is a clean fuel contributing to greenhouse gas reduction. CBM is also an alternative energy resource replacing traditional fossil fuels, so CBM recovery and utilization will enhance energy security of economies highly dependent on natural gas resources. It will also support the APEC Leaders’ Sustainable Growth Strategy, under the heading “projects related to Sustainable development in mining”. CBM recovery ahead of coal mining facilitates sustainable development in mining as alternative energy source supply, pollutant emission reduction and improved mining safety due to degasification of coal seams.

Objectives

The objectives of this project include four points as below:

1) To summarize the successful experience and mature technologies of CBM development in United States, China , Australia and Canada;

2) To accelerate in-depth and broad exchange of experiences and information on CBM recovery technologies among APEC economies; and

3) To establish best practice guidance of CBM recovery technologies for APEC economies.

To work out policies and suggestions for relevant government departments on the difficulties during the development and promotion of the CBM recovery.

Alignment

The Final Declaration of the 23rd APEC Economic Leaders' Meeting, held in Manila, Philippine in November 2015, noted that “affirm the importance of energy resiliency in promoting energy security”. CBM recovery will provide a clean energy source to support energy securities for APEC economies. As one kind of un-conventional natural gas resources, CBM helps enhancement of the energy supply capacity of the regions.

The Final Declaration of the 22nd APEC Economic Leaders' Meeting, held in Beijing, China, in November 2014, noted that “support the efforts to promote economic restructuring and upgrading in traditional industries, explore new and promising economic growth areas…promote green, circular, low-carbon and energy-efficient development”. CBM recovery and utilization will be a new growth area for traditional coal mining industry for three reasons. Firstly, CBM recovery will promote green and low carbon development of coal industry. Secondly, utilization of CBM to replace coal is able to reduce carbon emission. CBM is promising economic growth area for coal companies which can increase their efficiency of energy utilization. Thirdly, mining safety will also be improved in coal blocks with CBM recovery before coal mining.

The Cebu Declaration of the 12th APEC Energy Ministerial Meeting (EMM12), held in Cebu, Philippines in October 2015, noted that “will sustain efforts to integrate emerging and cutting edge technologies in our economic and business processes that will significantly improve our energy utilization and optimize the use of existing energy assets and capital investments in the region. This project will function as a platform for cutting edge technology sharing among APEC economies on CBM recovery technologies.

The Beijing Declarationencourages stronger cooperation between member economies to support activities on oil and gas exploration and development, non-conventional oil and gas exploration and development in the APEC region, the establishment of a mechanism to share best practices on non-conventional oil and gas exploration and development, and off-shore oil and gas exploration and development.This project will function as a bridge between economies with mature CBM recovery technologies and economies huge potential reserves. This project needs cooperation of many APEC economies experts and research staffs work together to establish best practice guidance of CBM development in APEC developing economies.

TILF/ASF Justification

APEC developing economies like Indonesia, Vietnam, Mexico and Thailand are rich in CBM reserves, but lack of recovery technology. These developing economies require huge energy consumption for development. CBM can add additional clean energy to their energy mix to meet the increasing demands.

This project will support the capacity building needs of APEC developing economies by two aspects:

1)   The final report on best practice guidance of effective CBM recovery technologies for APEC developing economies will be a good resource for training in developing economies; and

2)   Engineers, researchers and industry leaders from APEC developing economies will be invited to Beijing, attending the international conference for knowledge sharing and networking.

Beneficiaries and Outputs

Outputs: The main outputs of the project include:

1)  A project research report. The research report will focus on CBM well types and fracturing technologies, it includes three parts. The first part is a comprehensive review of different types of CBM wells and fracturing technology, including their characteristics and applicability. The second part is description of geological conditions of developing economy as Indonesia, Vietnam, Mexico or Thailand. The third part is selection guidance of CBM well types and fracturing technologies, including specific suggestions for developing economy where the on-site visits take place.

2)  Assessment tool: The project will develop one assessment tool for CBM recovery technology selection. The assessment tool could take into consideration of different geological conditions, such as coal seam permeability, methane desorption isothermal curves, coal reserve characteristics, hydrologic conditions and etc. And the assessment tool also could compare pros and cons of different well types and fracturing technologies. Through the assessment tool, the developing economies of APEC could find best practice of effective coalbed methane recovery technologies based on their conditions.

3)  An international workshop on Best Practice Guidance of Effective Coalbed Methane Recovery Technologies for APEC Developing Economies: The participants of the workshop mainly come from CBM company, government officials, supplier of technology and equipment of CBM development, research institutes and international organization throughout the APEC area. The project will fund 8 persons from APEC developing economies to attend the workshop. The workshop will disseminate the results and share the experiences of the Project to promote the common understanding and raise the awareness of coalbed methane recovery technologies, and to provide valuable guidance of recovery technology selection for APEC developing economies when they make CBM development planning.

Outcomes: Through the process of the project, we are expected to draw global attentions on CBM development in APEC developing economies. The might lead to a set of positive consequences. Commercial companies specialized in CBM development will start to notice the investment opportunities in APEC developing economies, and the output of this project will laid a good foundation. The outcomes of the project are expected to facilitate CBM recovery technology transfer among APEC economies and promote CBM infrastructure investment of APEC developing economies.

Beneficiaries: The main direct project participants and users of the output include CBM companies of APEC developing economies, CBM technology and equipment suppliers, coal producers of APEC developing economies, research institute of CBM technology and CBM experts in APEC region, etc. Engineers, researchers and company managers involved will be senior level.They can benefit from the outputs as follow:

1) CBM companies of APEC developing economies, like Continental Energy Corporation, Jakarta: this project did fundamental research work for CBM development. It will provide an effective guideline for CBM companies in APEC developing economies when they are making CBM project planning. The technology reviews are also of great value to these companies with relatively less experiences of CBM development.

2) Governments of APEC developing economies: the output of this project can be helpful to governments of developing economies as reference for related public policy making.

3) Technology and equipment suppliers, like China United Coalbed Methane Corporation, Schramm Incorporation and CCTEG Xi’an Research Institute: this project will help to promote the CBM development in APEC developing economies. As more CBM development projects come into construction in APEC economies, demands for technology and equipments import will arise. The CBM technology and equipment suppliers will benefit from these new opportunities. The suppliers can also use the reports from this project to help them target potential clients.

4) Coal producers of APEC developing economies like PT. Bumi Resources Tbk and Vinacomin: CBM recovery can significantly reduce the methane content of coal seams, which is very helpful for future coal mining safety in the nearby coal blocks, as much less gas explosion accidents would happen.

5) Research institutes of CBM technology and CBM experts in APEC region, like Advanced Resources International and Ravens Ridge Resources: this project will collaborate with major research institutes and CBM experts in the APEC region. It is free to use the report of this project for their further study. Meanwhile, the workshop of this project will provide a platform for industry experts to communicate advances of technology, and discuss solution to CBM recovery of APEC developing economies.

Dissemination

In order to expand the influence of the project and maximize the benefits out of it, the final output of the project will be disseminated in the following manners:

1) The electronic version of the final project report and the assessment tool will be available for free download at APEC website.

2) Worldwide media, like Bloomberg and China Energy News, will be invited to attend the international workshop, and more effort will be put in project dissemination, such as through social media of Wechat and blogs of Yahoo and ifeng.

Target audience includes CBM companies of APEC developing economies, governments of APEC developing economies, CBM technology and equipment suppliers, coal producers of APEC developing economies, research institute of CBM technology and CBM experts in APEC region.

There is no intention to sell outputs arising from this project.

Gender

Throughout the execution of the project, project team will actively provide opportunities for more women to participate and engage in its activities, and we are opposed to any form of gender discrimination. We promise that we’ll have at least two women experts in the core research team. The project team ensure that women will choose to undertake most of the data translation and data analysis and processing work in the project.

In addition, coal mining sector in developing economies offer very few jobs suitable for women in mine areas and many women are unemployed. The project can promote development of the CBM development in coal mining areas, help set up more CBM factories, and these factories will offer more jobs with low labour intensity and small risk that fit for women, thus creating more job opportunities for women in coal mining areas.Besides, a survey of 2015 in UK showed that women believe that shale gas will have significant environmental impacts and importantly will result in contamination of drinking water. So, this project will put great efforts on female involvement to change the potential opposing attitude from women.

Work Plan

1) Jan 2017 – Feb 2017, Desk Review

Task 1: To establish a research team with CBM experts specialized in well types and fracturing from APEC region, such as United States, Canada, China, Japan and Australia. Though experts from developing economies, like Indonesia, Vietnam, or Mexico, might be consulted, they are not in the core research team, as this project focuses on mature technologies testified effective in APEC economies like United States, Canada, China, Japan and Australia.

Task 2: To make a comprehensive review of currently mature technology on CBM well types and fracturing methods. CBM well types include vertical well, horizontal well, U shape well, L shape well, cluster well and etc. Fracturing methods include hydraulic fracturing, high energy gas fracturing, indirect fracturing, nitrogen foam fracturing and etc.

Task 3: To make a detailed implementation plan of the project basing on study of literature.

Task 4: To hold a project planning session and invite experts from enterprises, research institutes and government agencies from APEC region to evaluate the project implementation plan, and make necessary adjustment to the plan according to recommendations from these experts.

Outputs:  A project implementation plan

A kick-off meeting;

2) Mar 2017 – Jul 2017, On-site Investigation

Task 5: On-site investigation in China

-  Select and determine the sites for on-site investigation in China. After desk review, select typical CBM recovery projects of each technology that are already in operation in China, and determine the sites for field investigation.

- Conduct in-situ field investigation, collect data and information. Technical indicators, economic parameters, environmental and social factors of each technology will be collected by means of in-situ investigation, questionnaires, field discussions and site visit.

-  Research work of this project will be contracted to one contractor, whose researchers are going to be responsible for the on-site investigation in China.

Task 6: On-site investigation in APEC developing economy

-  Conduct on-site investigation in one developing economies from APEC region, such as Indonesia, Vietnam, or Mexico to collect geological conditions of coal blocks for potential CBM development;

-  Researchers and engineers from the APEC developing economy being visited will be invited to join the on-site investigation. Their participation will be attached great importance. The project team is anticipated to make as much communication with them as possible;

-  With the help of researchers and engineers from the APEC developing economy being visited, all the data and information collected in the on-site investigation will be scrutinized to produce a on-site investigation report.

Outputs: An on-site investigation report

An interim project report

3) Aug 2017 - Sept 2017, technology analysis

Task 7: Based on the results of on-site investigation to APEC developing economy, the project team will analyze suitable CBM recovery technologies. Experts in APEC region will be consulted through multiple methods like virtual meeting, e-mail and phone call. The assessment tool for CBM recovery technology selection will be developed at this stage.

Outputs: Assessment tool

4) Oct 2017, report compilation

Task 8: The project research report focused on CBM well types and fracturing technologies will be compiled. Characteristics and applicability of different types of CBM wells and fracturing technology will be summarized. Geological conditions of APEC developing economy will be literally described. At the end, CBM recovery technology selection guidance will be given.

Task 9: Peer review. The experts from developing and developed economies of APEC area will be invited to attend the meeting to review the project report. Based on the experts’ comments, the project team will modify and polish the final report accordingly.

Output:
A project research report.
A peer review meeting.

5) Nov 2017 - Dec 2017, international workshop.

Task 10: The project team will hold an international workshop on Best Practice Guidance of Effective Coalbed Methane Recovery Technologies for APEC Developing Economies, and five experts will be invited as speakers for the workshop. The 1.5-days workshop consists of one day meeting and half day on-site visit. Eight attendees from APEC travel eligible economies, such as Indonesia, Russia, Vietnam, and etc will be funded.

Great attention will be paid to capacity building of APEC developing economies. A specific discussion section will be designed in the first day meeting to give active participants more opportunities communicate with experts. After the meeting, participants will be organized to visit key laboratory, university or major CBM enterprise in Beijing, the visit will be in interactive form which address capacity building for participants from APEC developing economies.

Outputs: Contracts with relevant companies on holding the workshop

A name list of experts who attend the meeting
A name list of participants who attend the on-site visit
A workshop minute

Risks

In the course of on-site investigation, technical, economic and geological data will be needed from coalbe methane companies, which normally may refuse in an active manner. However, as China Coal Information Institute has maintained close contact with worldwide enterprises in this area for a long time, the chance that they will refuse to do so will be very small.

Besides, there is possibility that more travel expenses and subsidies will be used than estimated as numerous field investigations will be conducted by the project team. In such cases, the extra expense will be covered by the institute itself.

Monitoring and Evaluation

The final project report will go through peer review among industry experts to make sure it meets the high standards of APEC project.

Feedbacks about the assessment tool will be collected from the CBM companies. Female researchers will constitute part of the project team.

Peer review of the final project report and feedbacks of the assessment tool will be collected as pre-designed electronic version through e-mail.

Opinions from peer review and feedbacks will be considered for revisions to guarantee the project is successful.

At the end, the number of downloads of the electronic final project report is a good indicator for the project influence.

Linkages

Engagement: The project team will keep in close contact with experts of APEC Expert Group on Clean Fossil Energy ( EGCFE) , take full advantage of their existing resources and avoid duplication of their activities in the project. Other organizations such as International Energy Agency (IEA) and Global Methane Initiative (GMI) will be invited to provide expert consulting services. They are also welcome to send representatives to attend the international workshop. 

Previous work: APEC has not conducted similar projects before. But two previous APEC funded projects on unconventional gas have laid the groundwork for this CBM project. The two projects are project EWG12 of year 2011 (APEC Unconventional Gas Census) and EWG16 of year 2011 (APEC Unconventional Gas Expert Workshop).

APEC Unconventional Gas Census (EWG12 of year 2011) finished by Asia Pacific Energy Research Center provided resources investigations of unconventional gas including Coalbed Methane for APEC economies. Quantities of CBM resources by economy were estimated, which indicate the CBM development potential of each APEC economies. This project will build on the work of previous energy resource census, and explore selection guidelines of most effective technologies for recovery of these CBM resources. 

APEC’s comparative advantage: APEC support fund is the best funding resource for this project as it meets the APEC strategic goal and workplan of Energy Working Group forum. Many APEC developing economies like Indonesia, Vietnam and Mexico are rich in CBM reserves. But due to lack of appropriate recovery technology, their utilization of this energy resource remains low. The outputs of the project will provide valuable guidelines for CBM development in APEC developing economies. Thus, the project will help to improve the development of low carbon technology and alternative energy sources, and integrate emerging and cutting edge technologies that will significantly improve our energy utilization and optimize the use of existing energy assets and capital investments in the region. Besides, in the APEC region economies with advanced CBM recovery technology include United States, China, Japan, Canada, Australia and etc. These economies will also favor from technology exchange and transfer.

Sustainability

After the end of this project, it will continuously have positive impact to the beneficiaries.

After project completion, related companies and agencies from APEC developing economies can download the electronic version of the final project report and the assessment tool for free.

Project Overseer of the project is vice president of China Coal Information Institute, which is the organizer of International Symposium on CBM/CMM and Shale Gas in China. This APEC project will be promoted at the next symposium to attract worldwide attention for CBM development in APEC developing economies. Representatives of these APEC developing economies will also be invited to attend the symposium and share the progress of CBM development in their economies.

Besides, the number of downloads of the electronic final project report is a good indicator for the project influence.

Project Overseers

Dr. Liu Wenge, vice president of China Coal Information Institute, is the project overseer that will be responsible for hiring of contractors.

Dr. Liu Wenge, Professorate Senior Engineer, got Ph.D. degree of Safety Technology and Engineering from the China University of Mining and Technologies (Beijing). He has worked over 16 years in coal mine safety, CBM/CMM, and is a specialist of outstanding contributions awarded by the State Council of P. R. China. As a coal and coal mine methane experts, he has been in charge and participated in multiple “Tenth-five Year” Science and Technology Tackling Projects, “Eleventh-five Year” Science and Technology Supporting Project, and China key S&T projects. He was responsible for multiple key projects which is of ministry level. . He also leads two research projects supported by Natural Science Foundation of China. He has won six provincial or ministerial scientific awards, published more than ten monographs and over 30 academic papers, and gotten one patent of invention. He works as a project specialist of China for World Bank, Asian Development Bank, International Energy Agency, and has finished over ten international cooperation research projects, including Jincheng 120MW Coal Mine Methane Power Project entrusted by Asian Development Bank, Greenhouse Gas Recovery from Coal Mines and Coalbeds for Conversion to Energy which is a European Union project, Further Promotion of M2M in Coal Sector of China and Technical Assessment of Coal Mine Gas Recovery and Utilization in China funded by USEPA, Study on Policy Framework for AMM Recovery and Utilization in China and Feasibility Study of Pilot Project on AMM Development and Policy Recommendation for AMM Recovery and Utilization in China which is cooperated between China and the UK, and multiple projects of Clean Development Mechanism Fund.

Cost Efficiency

Not Applicable.

Drawdown Timetable

Not Applicable.

Direct Labour

Translator’s fees are needed because some of the technology documents are only available in Chinese. To promote the dissemination of project outputs in APEC developing economies, Chinese-English translation efforts are unavoidable. 

Short-term clerical fees cover the workshop logistical and organization. 

The duties of the contractor mainly include:

- Collect and study  mature CBM well types and fracturing technologies;

- On-site investigation of CBM related geological conditions for APEC developing economy;

-  Develop assessment tool for CBM recovery technology selection;

-  Study the CBM recovery technology selection guidance. 

In order to achieve the objectives of the Projects and guarantee the project to smoothly carry out, a strong professional team will be built, and a detailed plan will be made by the contractor. 

The research team will include about 10 researchers. All of the researchers are from the same contractor. The total hours are about 700 hours.

Waivers

Not Applicable.

Are there any supporting document attached?

No 
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Version HistoryVersion History

Project No.

Project Title

Project Status

Publication (if any)

Fund Account

Sub-fund

Project Year

Project Session

APEC Funding

Co-funding Amount

Total Project Value

Sponsoring Forum

Topics

Committee

Other Fora Involved

Other Non-APEC Stakeholders Involved

Proposing Economy(ies)

Co-Sponsoring Economies

Expected Start Date

Expected Completion Date

Project Proponent Name 1

Job Title 1

Organization 1

Postal Address 1

Telephone 1

Fax 1

Email 1

Project Proponent Name 2

Job Title 2

Organization 2

Postal Address 2

Telephone 2

Fax 2

Email 2

Declaration

Project Summary

Relevance

Objectives

Alignment

TILF/ASF Justification

Beneficiaries and Outputs

Dissemination

Gender

Work Plan

Risks

Monitoring and Evaluation

Linkages

Sustainability

Project Overseers

Cost Efficiency

Drawdown Timetable

Direct Labour

Waivers

Are there any supporting document attached?

hdFldAdmin

Project Number

Previous Fora

Secretariat Comments

Reprogramming Notes

Consolidated QAF

Endorsement By Fora

PD Sign Off

Batch

Forum Priority

Committee Ranking Category

Committee Priority

PDM Priority

Priority Within Funding Category

Monitoring Report Received

Completion Report Received

PMU Field 1

PMU Field 2

PMU Field 3

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