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In this work, the life cycle economic and environmental optimization of shale gas supply chain network design and operations is addressed. The proposed model covers the well-to-wire life cycle of electricity generated from shale gas, consisting of a number of stages including freshwater acquisition, shale well drilling, hydraulic fracturing and completion, shale gas production, wastewater management, shale gas processing, electricity generation as well as transportation and storage. A functional-unit based life cycle optimization problem for a cooperative shale gas supply chain is formulated as a multiobjective nonconvex mixed-integer nonlinear programming (MINLP) problem. The resulting Pareto-optimal frontier reveals the trade-off between the economic and environmental objectives. A case study based on Marcellus shale play shows that the greenhouse gas emission of electricity generated from shale gas ranges from 433 to 499 kg CO(2)e/MWh, and the levelized cost of electricity ranges from $69 to $91/MWh. A global optimization algorithm is also presented to improve computational efficiency.

acs sustainable chemistry and engineering

Shale Gas Supply Chain Design and Operations toward Better Economic and Life Cycle Environmental Performance: MINLP Model and Global Optimization Algorithm