[Federal Register: December 2, 2002 (Volume 67, Number 231)]
[Notices]
[Page 71543-71544]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr02de02-68]
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DEPARTMENT OF ENERGY
National Energy Technology Laboratory; Notice of Availability of
a Financial Assistance Solicitation
AGENCY: National Energy Technology Laboratory, Department of Energy
(DOE).
ACTION: Notice of Availability of a Financial Assistance Solicitation.
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SUMMARY: Notice is hereby given of the intent to issue Financial
Assistance Solicitation No. DE-PS26-03NT15391 entitled ``Advanced and
Key Oilfield Technologies for Independents.'' The Department of Energy
(DOE) National Energy Technology Laboratory (NETL), on behalf of its
National Petroleum Technology Office (NPTO), seeks applications for
cost-shared development and demonstration projects using advanced and
key oilfield technologies in the United States. The proposed project
should address a technical risk that results in the technology's full
acceptance by the independents. The goal is to provide technical
solutions to issues that are limiting domestic on-shore or off-shore
oil exploration and production by independent oil producing companies
while providing the same or higher levels of environmental protection
expected under the law. Applications will either address: (1) Existing
Fields or (2) Exploration.
DATES: The solicitation will be available on the DOE/NETL's Internet
address at http://www.netl.doe.gov/business and on the ``Industry
Interactive Procurement System'' (IIPS) Web page located at http://e-center.doe.gov
on or about December 10, 2002.
FOR FURTHER INFORMATION CONTACT: Keith R. Miles, U.S. Department of
Energy, National Energy Technology Laboratory, P.O. Box 10940, MS 921-
107, Pittsburgh, PA 15236, E-mail Address: miles@netl.doe.gov,
Telephone Number: 412-386-5984.
SUPPLEMENTARY INFORMATION: The goals of the Department of Energy's
Fossil Energy Oil Program are derived from the National need for
increased oil production as a part of the national security,
requirements for Federal Lands stewardship, and increased protection of
the environment. The Oil Reservoir Life Extension Program supports
those goals. In addition, the program supports the National Energy
Policy goals to increase domestic oil exploration through continued
partnership with public and private entities and to promote enhanced
oil recovery from existing wells through new technology. By providing
demonstrations of new technologies and approaches that improve oil
recovery and increase reserves the oil program will increase the
domestic oil supply. The Department of Energy Oil Program has, through
funding by Congress focused on the needs of the Nation's independent
oil producers. The Administration also addressed the needs of the
independent oil producer in the National Energy Policy when they
recognized that, ``Small independent businesses account for 50-65% of
domestic petroleum and natural gas production in the lower 48 states.''
Independent producers have rapidly moved operations into regions that
were traditionally explored and operated by the major oil companies.
Recently many of the Nation's independent producers placed in the ranks
of the top 20 producing companies in the United States. They currently
maintain 63% of the oil reserves and 62% of the oil production. They
control 50% of the gas reserves and 52% of the gas production. This
program builds on the successful reservoir field demonstrations in the
Research with Independents program by expanding the research and
demonstration opportunities for independent producers to more complex,
higher risk projects. Projects selected would be mid-term projects that
could impact Independent production capabilities and thus have a
potential for significant impact on domestic production and proved
reserves, thereby increasing energy security and supply. Mid-term
projects should have results in 5-10 years. The projects should
encourage other independents to adopt the use of advanced and key
technologies that prove successful in the future exploration and
development of domestic reserves.
Projects do not need to be limited to one area of operations. They
may address multiple technologies such as exploration, drilling and
completion, well stimulation, enhanced oil recovery or other
operational issues. The proposed project must however address the
identified problems in such a way that evaluation of the success or
failure can occur and the reasons can be attributed clearly to the
technology.
The two areas of interest for this solicitation are:
Area of Interest 1--Existing Fields--The projects in this area will
promote the goals of the National Energy Policy to use new technology
to promote enhanced oil and gas recovery in established areas of
production. It addresses the technical risk associated with developing,
testing and deploying an advanced or key technology under actual field
conditions. This program provides the connection between the laboratory
and the oilfield and applications are expected to provide documentation
of the need for this technology and the problem that it will address.
The program allows continued development of a technology to create
evolutionary improvements in performance and then the demonstration of
such improvements in actual field conditions.
Area of Interest 2--Exploration--The projects in this area target
the National Energy Policy goal of advancing exploration methodologies
and technologies through the partnership with the independent producers
conducting exploration. The DOE will partner with independent producers
and others in an effort to push the limits of standard exploration
technologies and to improve them. Applications are expected to describe
the overall exploration problem and propose the technical solution to
the identified problem. They should address the need of the independent
producer with regard to a region and show that the project provides
such a solution to the problem or problems.
DOE anticipates awarding approximately four (4) or five (5)
financial assistance (i.e., Cooperative Agreements) with a project
performance period no less than three years in length and no more than
five years in length. Approximately $7.0 million of DOE funding is
planned over a 3-year period for this solicitation. The proposed
projects will contain a field demonstration and as such under the
Energy Policy Act of 1992 a minimum of 50% cost share of the total
estimated project cost is required. The maximum DOE share of an award
will be $2000K.
This competitive solicitation is open to any business, educational
institution or state agency and is for the benefit of domestic
independent producers. Moreover, for the purposes of this solicitation,
an Independent operator shall be a non-integrated company which
receives most of its revenue from crude oil or natural gas production
at the wellhead. Independents are exclusively in the exploration and
production segment of the industry with no retail outlets, marketing or
refining operations. Applications submitted by
[[Page 71544]]
or on behalf of (1) another Federal agency; (2) a Federally Funded
Research and Development Center sponsored by another Federal agency; or
(3) a Department of Energy (DOE) Management Operating (M&O) contractor
will not be eligible for award under this solicitation. However, an
application that includes performance of a portion of the work by a DOE
M&O contractor will be evaluated and may be considered for award
subject to the provisions to be set forth in Program Solicitation DE-
PS26-03NT15391.
(Note: The limit on participation by an M&O contractor for an
individual project under this solicitation cannot exceed 25% of the
total project cost).
Once released, the solicitation will be available for downloading
from the IIPS Internet page. At this Internet site you will also be
able to register with IIPS, enabling you to submit an application. If
you need technical assistance in registering or for any other IIPS
function, call the IIPS Help Desk at (800) 683-0751 or E-mail the Help
Desk personnel at IIPS_HelpDesk@e-center.doe.gov. The solicitation
will only be made available in IIPS, no hard (paper) copies of the
solicitation and related documents will be made available.
Prospective applicants who would like to be notified as soon as the
solicitation is available should subscribe to the Business Alert
Mailing List at http://www.netl.doe.gov/business. Once you subscribe,
you will receive an announcement by E-mail that the solicitation has
been released to the public. Telephone requests, written requests, E-
mail requests, or facsimile requests for a copy of the solicitation
package will not be accepted and/or honored. Applications must be
prepared and submitted in accordance with the instructions and forms
contained in the solicitation. The actual solicitation document will
allow for requests for explanation and/or interpretation.
Issued in Pittsburgh, PA on November 22, 2002.
Dale A. Siciliano,
Director, Acquisition and Assistance Division.
[FR Doc. 02-30408 Filed 11-29-02; 8:45 am]
BILLING CODE 6450-01-P