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FOSSIL FUEL AND GEOTHERMAL ENERGY SOURCES FOR LOCAL USE

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FOSSIL FUEL AND GEOTHERMAL ENERGY SOURCES FOR LOCAL USE ( fossil-fuel-and-geothermal-energy-sources-for-local-use )

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Chapter G, Lower Yukon–Kuskokwim Fossil Fuel and Geothermal Energy Sources for Local Use in Alaska samples of this lithology (Smith and others, 1985). It is reasonable to suggest that this rock type may also include sufficient permeability to function as a potential reservoir for petroleum. Most Cretaceous sandstones in the area are tightly cemented and have porosity and permeability below thresholds necessary for conventional oil and gas production (Lyle and others, 1982; Mull and others, 1995). Cenozoic sandstones exposed in the McGrath Quadrangle near Farewell appear tightly cemented, however, laboratory porosity and permeability measurements are not available. Similar age rocks exposed near White Mountain to the west appear loosely cemented and probably include significant porosity and permeability. Again, the stratigraphy of the Cenozoic Holitna basin is unknown. Consequently, it is unknown whether or not these tightly cemented and/ or loosely cemented sandstones are present in the basin. Sandstone is abundant in the offshore Norton basin and samples collected from the Norton Basin COST No. 1 well have average porosities well in excess of 10 percent. However, samples with porosities less than 24 percent tend to have low permeabilities (1 millidarcy or less; Turner and others, 1983), decreasing their potential as conventional hydrocarbon reservoirs. Traps. The Paleozoic Holitna, Mesozoic Yukon– Koyukuk and Kuskokwim, and Cenozoic Holitna basins have all been subjected to one or more episodes of deformation (Decker and others, 1994; Patton and others, 1994; LePain and others, 2003). Complex folds and faults recognized in sedimentary rocks of the Paleozoic Holitna, Mesozoic Yukon–Koyukuk, and Mesozoic Kuskokwim basins suggest that potential structural traps for oil and gas are present in the subsurface of these basins. Complex folding and faulting of the Cenozoic section in the McGrath Quadrangle suggests similar deformation in the fill of the Cenozoic Holitna basin, providing potential for structural traps in that basin as well. Stratigraphic traps associated with pinch-outs of coarse- grained sandstones within shaley and silty horizons are also most likely present in the Mesozoic and Cenozoic basins. Trapping geometries formed by erosional truncation of sandstones beneath major erosion surfaces (unconformities) can also be expected. Low-permeability shales and siltstones are common in Cretaceous and Tertiary successions in the region and are probably capable of sealing hydrocarbons accumulated in traps. Seismic sections across the offshore Norton basin show ample evidence for potential structural and stratigraphic traps, including faulted anticlines and stratigraphic onlap above older basement rocks. Summary of conventional oil and gas resource potential. After reviewing available data, LePain and others (2000) concluded the petroleum potential of the Paleozoic Holitna basin was very low due to the lack of suitable petroleum source rocks. Their conclusion is in general agreement with that of Smith and others (1985) from a study conducted in the early 1980s. Likewise, Mull and others (1995) concluded the petroleum potential of the Bethel basin was low for similar reasons and this conclusion can safely be extrapolated to the portion of the Yukon–Koyukuk and Kuskokwim basins underlying the western part of the region. LePain and others (2003) evaluated the shallow gas potential (coalbed methane—unconventional gas) of the Cenozoic Holitna basin and concluded it was low due to the likely structural complexity of the basin fill. If coal- bearing rocks are present in the Cenozoic Holitna basin at depths below approximately 5,000 feet, the basin could have some conventional gas potential and possibly some liquid hydrocarbon potential (condensate). The area comprising the deepest part of the basin is small and unlikely to support sizable petroleum accumulations. The next logical step in pursuing conventional hydrocarbons in the Cenozoic Holitna basin is to consider acquiring seismic data to image the subsurface structure and stratigraphy. Ultimately, one or more exploration wells will be required to test the conventional oil and gas potential of this basin. The offshore Norton basin includes many of the elements necessary to have a functioning petroleum system. Geochemical samples collected from wells as deep as 9,500 feet in the Norton Sound COST No. 1 are rich enough in organic carbon and have been buried deeply enough to produce hydrocarbons and, in fact, gas shows were present in all eight deep wells drilled in the basin. An economic analysis by the U.S. Minerals Management Service (Reitmeier, 2005), which included numerous assumptions, concluded that an accumulation of at least 40 billion cubic feet of gas, if found within 40 miles of Nome, would be marginally capable of competing with diesel fuel at 2004 prices. Diesel prices are now higher and such a gas discovery would likely be more competitive. This analysis pertains to Nome only, where a sizable population is present and is relatively close to the basin. The many small communities scattered around the Lower Yukon–Kuskokwim Energy Region constitute a small and widely dispersed market that would likely render gas from a source in this basin non-economic for these communities. While Bethel and Aniak are sizable communities, they are most likely too far from the basin to justify exploration there to meet their energy needs alone. Unconventional oil and gas resource potential Coalbed methane. As explained in the discussion of requirements for coalbed methane, shalebed gas, and gas hydrates (see the appropriate summary reports for the requirements for these resource categories), several factors must be considered when evaluating whether a basin has unconventional oil and gas potential. Most importantly, suitable thicknesses of coal of the appropriate rank, or source rocks capable of generating gas must be present in a sedimentary basin. These rocks must then have a suitable geologic history in order to generate petroleum. Lower Yukon–Kuskokwim Page 68

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