Attachment_1_-_Statement_of_Work.pdf

Paradox Valley Unit Injection Well Failure Mode Evaluation Statement of Work

1. Introduction & Background

1.1. The U.S. Bureau of Reclamation’s (Reclamation) Paradox Valley Unit (PVU) is a component of the Colorado River Basin Salinity Control Program, a multi-project effort to control the salinity of water delivered to users in the United States and Mexico. The PVU is located in western Colorado, approximately 60 miles southwest of Grand Junction.

1.2. The PVU uses a field of shallow brine extraction wells to divert highly saline groundwater that would otherwise flow into the Dolores River, a tributary of the Colorado River. The extracted brine is transported via pipeline and injected into the Paradox Salinity Control Well No. 1 (Injection Well), a 16,000-foot-deep Class V disposal well located at the edge of Paradox Valley. The well was completed in 1988, and long-term injection operations began in 1996. This process has resulted in the disposal of an average of 100,000 tons of salt annually from 1996 through 2018, and recently approximately 65,000 tons per year.

1.3. The disposal well is permitted to operate at surface pressures up to 5,350 pounds per square inch (psi), corresponding to downhole pressures of approximately 12,000 psi, which exceeds the fracture closure pressure of the injection formation. The well was originally designed and permitted with a maximum allowable surface injection pressure (MASIP) of 5,000 psi; however, this limit was later increased to 5,350 psi in response to rising operating pressures. In addition, injection rates have been progressively reduced, and various injection strategies have been implemented to manage pressures and minimize risk from induced seismicity.

1.4. In March 2019, a magnitude (Mw) 4.5 earthquake occurred approximately 1.6 km southwest of the injection well, prompting a shutdown in accordance with Reclamation protocol. The injection well remained largely shut in from March 2019 to June 2022 to allow for detailed analysis of the event, aftershocks, and future seismic risk.

1.5. Injection resumed in June 2022 for a six-month test at a reduced rate to evaluate well performance and seismic response following the prolonged shutdown. Based on the results Reclamation elected to continue injection at the reduced rate for additional testing. Injection will continue until seismic risk mitigation strategies are developed and a determination is made regarding future well operations, or unfavorable conditions are observed.

1.6. Reclamation has previously determined that the well may be approaching the end of its operational life. A thorough evaluation of potential failure modes associated with injection operations is necessary. The results of this evaluation and recommendations are intended to support Reclamation’s planning and operational decision making for PVU operations.

2. Objective

2.2.1 The objective of this contract is for a Contractor to identify, evaluate and document potential risks and indicators of failure associated with the Injection Well. The Contractor’s assessment shall address the following:Identify potential failure modes affecting both subsurface and surface components.

2.2.2 Evaluate single source-point, multi-source point, and catastrophic failures that could compromise well integrity or operations, leading to a permanent loss of injection capability.

2.2.3 Identify and describe methods, tools and datasets that could be used to evaluate identified potential failure modes.

2.2.4 Define indicators and mechanisms for recognizing the onset of well failure.

2.2.5 Provide recommendations for monitoring, testing, and diagnostic methods that can be used to detect early warning signs of well integrity issues and predict impending failure.

3. Scope & Services to be performed

3.1 The Contractor shall perform a review of all project documentation provided by Reclamation to develop an understanding of the Injection Well, including surface and subsurface systems, subsystems, and associated components. The review shall consider original design, current condition, data trends, historical operations, relevant activities, and previously identified issues.

3.2 The Contractor shall identify and evaluate potential failure modes (i.e., the mechanisms by which failure may occur) for the surface system, the subsurface system, and reservoir system, to include single-point, multiple-point, cascading, and catastrophic failures. At a minimum, the Contractor shall consider system injection pressures and rates, mechanical pressure limitations of the well, mechanical integrity of well system components (including surface pumps, manifolds, transfer lines and controls, the wellhead, subsurface casing, tubing, and packers), geomechanical conditions, and reservoir capacity and characteristics.

3.3 The Contractor shall identify the operational indicators, or evidence that may be indicative of actual or impending well system failure such as observable changes, monitor system reporting, loss of pressure, injection performance degradation, or other anomalous operating conditions.

3.4 The Contractor shall identify detection methods and procedures for operational inspections, monitoring, diagnostic testing, and analysis that may be used to detect developing conditions indicative of well-system mechanical or operational integrity loss and/or impending mechanical or operational failure.

3.5 The Contractor shall recommend the data to be collected, key performance indicators (KPIs), operational quality control techniques, and best available technologies (BATs) to support effective inspection, monitoring, testing, analysis, and proactive management of the injection well. The contractor shall also identify how ongoing system monitoring will benefit operational performance and objectives.

3.6 The Contractor shall identify methods and propose metrics for assessing the risk associated with well system failure modes, including the likelihood of occurrence and the potential consequences to mechanical integrity, injection capacity, repairability, regulatory compliance, and service life. The Contractor shall describe how these metrics will be applied to evaluate, prioritize, and communicate risks associated with identified failure modes.

3.7 The Contractor shall prepare a draft and final report detailing the investigations, analyses, conclusions, and recommendations described in Sections 3.1 through 3.6.

The report shall include a general relative ranking for implementing recommendations based on preliminary professional opinions about the recommendation’s operational benefit and cost of implementation. The government will provide written comments on the draft report within 14 calendar days of receipt of the draft report, and the contractor shall address those comments in the final report.

3.8 The Contractor shall be available to participate in bi-weekly (a minimum of twice per month as may be directed by Reclamation) progress meetings with Reclamation via teleconference at a mutually agreed time.

3.9 All work shall be performed under the direct supervision of a registered professional engineer, and all delivered copies of the final written report shall bear the original signature and stamp of the supervising engineer.

4. Personnel Qualifications

4.1 The contractor shall identify and provide resumes for the Project Manager and all key technical personnel assigned to perform work under this Statement of Work. All studies, evaluations, analyses, and recommendations required under this Statement of Work shall be performed by qualified personnel with demonstrated experience in the design, drilling, completion, operation, and testing of deep brine disposal wells operating at high injection pressures. The contractor shall provide personnel with expertise in petroleum engineering; structural/petroleum geology and geomechanics; and reservoir and injection well analysis sufficient to evaluate well integrity, operational performance, subsurface conditions, and potential failure mechanisms associated with the PVU injection well. Each resume shall document education, professional qualifications, and demonstrate a minimum of ten (10) years of relevant industry experience in the area of expertise applicable to the individual’s assigned role.

4.2 Required experience shall include deep injection well design and operation; casing and tubing integrity evaluation; mechanical integrity testing, geomechanical evaluation, injectivity and injection pressure analysis, reservoir capacity evaluation, long-term formation response related to high-pressure brine disposal operations, evaluation of surface and subsurface physical plant systems, fatal flaw and failure mode analyses, physical plant and operations risk assessment, and quality control methods and procedures. Documented experience in deep disposal well projects within the Paradox Basin or similar geologic settings is preferred.

5. Government Furnished Materials

All available relevant project documentation will be provided to the contractor by Reclamation in electronic format. Documentation will include site injection daily data, and site injection history; specific gravity, annulus pressure and differential maintenance, injectate analysis, geochemical analysis, wireline documentation, seismic data, and previous pressure/flow modeling results.

6. Period of Performance The anticipated Period of Performance (POP) is 1/20/2027 through 4/30/2027.

7. Schedule of Deliverables All work must be completed within 100 Calendar Days from Date of Award.

Item Deliverable Date Due

Item 1 Teleconference Kick-off meeting with Reclamation to review project objectives, schedule, available data and data requirements

7 calendar days after award

Item 2 Provide a schedule for completion of the work described in Section 3.

10 calendar days after award

Item 3 Draft report in electronic format, including all figures, drawings, and attachments.

60 calendar days after award.

Item 4 Teleconference meetings twice per month as directed by Reclamation staff to discuss progress, a teleconference meeting approximately 75 days after contract award to discuss Reclamation comments on the draft report, and a final teleconference meeting approximately 90 days after contract award to discuss the final report and answer Reclamation staff questions regarding recommendations and

7- 100 calendar days after award.

conclusions.

Item 5 Final report in electronic format, including all figures, drawings, and attachments.

100 calendar days after award.

8. Deliverables

8.1. Schedule for completion of section 3.1 through 3.6.

8.2. Draft report in electronic format, including attachments. The draft report shall be in PDF and MS Word format. Data attachments shall be provided in compressed ZIP format. The documents must be unlocked so that the government can make electronic comments within the documents.

8.3. Final report. Provide:

8.3.1. An electronic copy with all attachments. Data attachments shall be provided in compressed ZIP format. The final documents shall be unlocked.

9. Acceptance and Quality Assurance

The contractor shall prepare and submit a draft report for Reclamation’s review within 60 calendar days of award. Reclamation will provide written comments on the draft report within 14 calendar days of receipt of the draft report from the contractor. The contractor shall address all comments and remedy any identified deficiencies in the report and submit a final report to Reclamation within 100 calendar days after contract award.

10. Technical Point of Contact: Reece Carpenter, 970-248-0637, rkcarpenter@usbr.gov

11. Contracting Officer’s Representative: Kim Weimer, 970-859-7214, kweimer@usbr.gov.

mailto:rkcarpenter@usbr.gov mailto:kweimer@usbr.gov.