Natural Gas Pipeline

COST REPORT FOR VERNAL, UTAH

David Romrell | Math 1210 | April 22, 2016

Initial Analysis:
The U.S. Interior Secretary has recently approved drilling of a natural gas well
near Vernal, Utah. Do to the proximity of this well to both BLM (Bureau of land
management) land, and private property; our first estimates regarding the cost for the
pipeline to carry the gas from the well to the refinery was low. Throughout this report
there will be a few options of routes to consider determined by price and environmental
impact.

Route 1.
BLM Ground

16 miles

BLM Ground

8 mile

Private Land

40 miles - BLM Ground

Running the pipeline from the well east through the BLM mountains, around the
private land, then south to the refinery. This route is 48 miles long, and would include an
extra cost of $4,500,000 to run the pipe through the mountain. This option also includes
an environmental impact report that costs an additional $600,000 and would delay the
project by 8 months. During those 8 months, payroll would amount to $100,000 a month.

C(x) =48(480,000) +4,500,000+600,000+8(100,000) = $28,940,000

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Route 2.
BLM Ground

16 miles

BLM Ground

8 mile

Private land

40 miles - BLM Ground

This route avoids drilling through the mountain and the environmental costs,
however, this route goes through 64 miles of BLM land.

C(x) = 64($480,000) = $30,720,000

Route 3.
BLM Ground

16 miles

BLM Ground

8 mile

Private land

40 miles - BLM Ground

This route is technically the shortest distance, a straight shot from the well through
private land directly to the refinery. However, for every mile of pipeline across private
owned land will acquire an additional $ 360,000 per mile.

C(x) = 16^2 + 32^2 = c^2

c = 35.8 miles

35.8(840,000) = $30,052,753

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Route 4.
BLM Ground

16 miles

BLM Ground

8 mile

Private land

40 miles - BLM Ground

This route combines crossing private land directly south then directly east towards
the refinery. This route runs 16 miles through private land and 32 miles through BLM
land.

C(x) = 16(840,000) + 32(480,000) = $28,800,000

Route 5.
BLM Ground

16 miles

BLM Ground

8 mile

16

Private land

19.5

X
11.14 miles

20.86 miles

40 miles - BLM Ground

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This equation will help us find the optimal route for the pipeline, using a mixture of
private land and BLM land.
() = 162 + (32 )2
= 840,000162 + (32 )2
( ) = 840,000162 + (32 )2 + 480,000
1

840,000(256 + (32 )2 )2 + 480,000

( ) = 420,000 (256 + (32 )2 )2 (2(32 )) + 480,000

( ) =

420,000(2(32))

+ 480,000

256+(32)2

840,000(32)

+ 480,000 = 0

256+(32)2
840,000(32)

= 480,000

256+(32)2

840,000(32)
480,000256+(32)2
7(32)

=1

=1

4256+(32)2
72 (32)2

42 (256+(32)2)

= 12

492
4,096+162

=1

492 = 4,096 + 162

332 = 4,096
=

4,096
33
4,096

32 =
=

4,096
33

4,096

33

33

+ 32

+ 32

43.14 (this value doesnt work)

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4,096
33

+ 32

20.86
2
4,096

(
4,096

480,000(

33

33

4,096
+ 32) = 840,000162 + (32 ( 33 + 32)) +

+ 32)
4,096

33

+ 32) = $26,389,528.28
2

= 162 + (32 (

4,096
33

+ 32))

19.5
=

11.14
16

34.75
11.14

= 180 cos 1 19.45

124.94
Cost = $26,389,528

Chart Title
32000000
31000000
30000000
29000000
28000000

27000000
26000000
25000000
24000000
cost
Route 1

Route 2

Route 3

Route 4

Route 5

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Best route:
According to the calculations, the best route is 19.5 miles of pipeline on private
land, and 20.86 miles to the refinery. The first route through the mountain is close in cost,
however, if drilling through a mountain can be avoided, you must consider this.
Unknown factors and risks could arise from the mountain path, and we must minimize
our impact on the environment.

Reflection:
In technical fields, calculus seems to be very useful. Some of the topics usually
left to best guess can actually be figured out through calculus techniques such as,
optimization, unknown distances and volumes. Having the tools to look at these problems
and know there is a solution is a great way to look at the world. My interests are in
mechanical engineering, specifically, creating strong materials and strong designs that
can be put to the test in an extreme sport setting. I believe calculus can help me achieve
this goal.

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