SPE UTT SC TECHNICAL SESSION #4

THE LIFE OF AN OIL & GAS

FIELD
Where Will You Fit In?
PRESENTED BY:
SURESH BALRAJ B.Sc. Petroleum Engineering, Year 4 Point Lisas Campus

Wednesday 11th March, 2009

OBJECTIVES
Life stages of an oil and gas field Chronological order of work performed in each stage Disciplines involved in each stage and their functions

Reservoir parameters determined during the stages

Keep you awake

METHODOLOGY

INTRODUCTION

EXPLORATION

DECOMMISSIONING

TRINIDAD & TOBAGO RESERVES

APPRAISAL COMPETENCIES

DEVELOPMENT OIL vs GAS TRINIDAD ACTIVITIES CONCLUSION

PRODUCTION

INTRODUCTION
Field - Area consisting of single/multiple reservoirs all grouped on or related to same individual geological structural feature &/or stratigraphic condition

INTRODUCTION
Field - Group of producing oil & gas &/or injection wells - Wells may produce from several reservoirs at different depths

FIELD A

D-1
FIELD B

FIELD C

D-2 ST1
FIELD D

D-3 ST3 XX

TRINIDAD & TOBAGO

Trinidad Trinidad & Tobago & Tobago Concessions Fields (May(April 2007)2008)

RESERVES
SPE/WPC/AAPG Resource Classification

(P90)

(P90 + P50)

(P90 + P50 + P10)

January 1, 2008. Source: CIA, BP GLOBAL

PROVED Trinidad

GAS, TCF 16.95

R/P RATIO 12.3

OIL, MMSTB 728.3

R/P RATIO 14.1

World

6,194.192543

60.3

1,332,000

41.6

TRINIDAD ACTIVITIES
Exploration & Appraisal (08) Block 5C (Canadian Superior),
22, 1A & 1B (PetroCanada), Block 3B (Anadarko), Starfish (BG Trinidad & Tobago) Bid Round (Q408) Blocks 4B, 5D, NCMA 3,4, 5. TDAA Average Production (December 08) Oil (107,205 STB), Gas (3,675.95

MMSCF/D)

OIL vs GAS
OIL
Oil Spot Market

GAS
DCQ Contracts

Artificial Lift Produced and Stored 80 MMSTB Uneconomic

Global price BS&W Oil Tankers/Bunkers IOR

Compression/Recycling Produced on Local Demand 0.5 TSCF Uneconomic

Region/Contracted Price Calorific Value (Wobbe Index) Pipeline Transport Specified Abandonment Pressure

EXPLORATION
Discover Hydrocarbons

EVALUATE FORMATION & QUANTIFY AMOUNT OF HC NEAR WELL

PETROPHYSICS

Drill Exploration Wells Well Planning Costing & Contracting Equipment Selection DIRECT INDIRECT Drilling Systems & INFORMATION

Cores

Rig Selection

Site Preparation

Sidewall Samples
DRILLING & OPERATIONS Formation ENGINEERING

Identify Drillable Prospects Troubleshooting Drilling Problems Evaluate Prospects Logging While Drilling Logs Porosity

Wireline Logs

Drilling Technique

Casing Plan & Cementing

Lithology

Mudlogs

Define Exploration Play Areas Seismic EFFICIENTLY Hydrocarbon DRILL & TEST WELLS & SAFELY Saturation Develop Play Concepts Pressure Samples Net Reservoir Thickness Global Basin Analysis

Fluid Samples

Permeability

GEOLOGY & GEOPHYSICS

SELECT CONCESSION

SELECT LOCATION

FIND NEW HYDROCARBONS

APPRAISAL
Evaluate Discovery for Commercial Development
Geological Logging Coring Fluid

Well Test

Production

IDENTIFY DEVELOPMENT OPTIONS & PREDICT RECOVERY

RESERVOIR ENGINEERING

DESIGN WELL COMPLETIONS &/OR ARTIFICIAL LIFT SYSTEMS

PRODUCTION TECHNOLOGY

CHECK WHETHER VENTURE IS ECONOMICALLY JUSTIFIED

ECONOMICS

G+G & RESERVOIR ENGINEERING

Number of Wells, Types of Wells, Locations Wells, Production Rates INTERPRET & EXTRAPOLATE WELLof DATA TO Well DESCRIBE RESERVOIR

DEVELOPMENT
Planning

DESIGN & CONSTRUCT FACILITIES

ENGINEERING

SELECT MOST PROFITABLE DEVELOPMENT OPTION

ECONOMICS

ESTIMATE FACILITIES COST

ENGINEERING

DEVELOPMENT
Execution
G&G, RESERVOIR & DRILLING ENGINEERING, PETROPHYSICS

PLAN & EVALUATE WELLS

UPDATE RESERVOIR MODEL IF REQUIRED

DRILLING & OPERATIONS ENGINEERING

DRILL & COMPLETE WELLS SAFELY & EFFICIENTLY

PRODUCTION
Produce Hydrocarbons

RESERVOIR ENGINEERING

MONITOR RESERVOIR PERFORMANCE

IDENTIFY MEANS TO IMPROVE RECOVERY

PRODUCTION TECHNOLOGY

OPTIMISE PRODUCTION PEFORMANCE

ADVISE ON CHEMICAL ASPECTS OF PRODUCTION

OPERATE & MAINTAIN WELLS & SURFACE FACILITIES

PRODUCTION OPERATIONS

DECOMMISSIONING
Planning, approval, implementing removal of oil/gas installations when no longer needed for their current purpose Wells abandoned - Isolation - Containment of over-pressured zones - Aquifer protection - Removal of wellhead equipment Pipelines - Circulated clean - Filled with water/cement - Cutup/reeled Land Facilities - Hazardous compounds removed, scrapped - Cellars, drilling pads, access roads & buildings removed - Environmental restoration Offshore Facilities - Substructures: Recycled/disposal onshore/deepwater disposal/toppling on site/artificial reefs - Topsides: Onshore recycling/refurbishment for re-use

PARAMETERS
CLASSIFICATION Seismic DATA Structure, stratigraphy, faults, bed thickness, fluids, interwell heterogeneity. Depositional environment, diagenesis, lithology, structure, faults, & fractures. Depth, lithology, thickness, porosity, fluid saturation, fluid contacts, & wellto-well correlations. Depth, lithology, thickness, porosity, permeability & residual fluid saturation. Relative permeability, capillary pressure, pore compressibility, grain size & pore size distribution. Formation volume factors, compressibilities, viscocities, gas solubilities, chemical compositions, phase behavior & specific gravities. Reservoir pressure, effective permeability-thickness, stratification, reservoir continuity, presence of fractures/faults, productivity & injectivity indices & residual oil & gas saturation. Oil, water & gas production rates. Cumulative production, gas & water injection rates & cumulative injections. Injection & production profiles. ACQUISITION TIMING Exploration. RESPONSIBILITY Seismologists & Geophysicists. Geological Exploration, discovery & development. Drilling. Exploration & Development Geologists. Geologists, Petrophysicists, & Reservoir Engineers. Geologists, Drilling and Reservoir Engineers & Laboratory Analysts. Geologists, Drilling and Reservoir Engineers & Laboratory Analysts. Reservoir Engineers & Laboratory Analysts.

Logging

Routine Coring

Drilling.

SCAL

Drilling.

Fluid

Discovery, delineation, development & production.

Well Test

Discovery, delineation, development, production & injection.

Reservoir & Production Engineers.

Production/Injection

Production & Injection.

Production & Reservoir Engineers.

COMPETENCY MATRIX
http://www.spe.org/spe-app/spe/career/cert_comp/competency.htm

Set of tools used in determining minimum aptitude levels for Petroleum Engineers Structured to assess minimal competency levels required at various stages of Engineers career Used to establish future Industry Standards Breadth - Basic knowledge common to all areas of Petroleum Engineering

needed by each Engineer to demonstrate minimum competency after

four to six years of practical experience Depth - Knowledge needed by Petroleum Engineers to demonstrate minimum competency within their primary area of practice after four to six years of practical experience Petroleum Engineering Sub-Disciplines - Drilling, Formation Evaluation, Production, Reservoir

COMPETENCY MATRIX
General Knowledge/Skill Task Understand & apply geoscience principles Design a directional well path Minimum Competence Breadth Understand geoscience principles (e.g. fracture gradients, wellbore stability, pore pressure prediction) Understand relationship between difficulty & lateral displacement Minimum Competence Depth Understand and apply geoscience principles within sub-discipline Select appropriate kickoff points, build rates, angles & bottom hole assemblies Above Minimum Competence Apply geoscience principles across sub-disciplines

Optimize directional program & casing design to avoid key seating. Evaluate casing wear & develop designs to mitigate problem Be able to depth-shift and normalize in complex lithology, multiwell field Able to design the appropriate wellbore configuration for surface conditions such as subsea or deep water operations or high pressure Using core and RFT data, integrate reservoir performance and well tests

Determine formation properties (porosity, saturation, net pay) from well logs Nodal Analysis

Determine properties from log readings in clean sands

Determine properties from log readings in both clean and shaly sands. State most common water saturation models Able to design the appropriate wellbore configuration given initial and projected reservoir inflow performance

Awareness that the optimum producing configuration is a function of initial reservoir inflow performance

Perform reservoir characterization.

Understand how routine core analysis is used to identify net pay and fluid contacts.

Apply routine core analysis to identify net pay and determine contacts. Evaluate vertical sweep efficiency from core

REFERENCES
Dung, T.Q. (Undated). Petroleum Engineering Disciplines Introduction to the
Petroleum Industry. Faculty of Geology and Petroleum Engineering, Ho Chi Minh City University of Technology. Jahn, F., Cook, M. & Graham, M. (2008). Hydrocarbon Exploration and Production 2nd Ed. TRACS International Consultancy Ltd., Aberdeen, U.K. Elsevier, U.K. Guidelines for the Evaluation of Petroleum Reserves and Resources (2001). SPE/WPC/AAPG. Society of Petroleum Engineers Ministry of Energy and Energy Industries, Trinidad. Geological Society of Trinidad and Tobago (GSTT). UTT, Pt. Lisas Campus.

The University of Trinidad and Tobago SPE Student Chapter