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Production Engineering

Objectives

Production Engineering Objectives


1. Design and set the parameters for operation
of a well or a system of wells in a safe and
optimized way during the whole well life.

associated with the maximization of the profit or


the production, subject to some constraints.

Maximization of the ultimate profit from an oil


field is achieved by designing a safe cost
effective system that balances rate of
production against costs of production

Production Engineering
Objectives

New
Production
Wells

Design
Optimization

Maximize
Profit

Production Engineering Objectives

2. Follow up the performance of wells that are


already in production in order to determine if
the system is behaving as expected.
Make the appropriate recommendations in order
to safely bring the system to a new optimized
state.

Production Engineering
Objectives
Production
Wells

Monitor Performance

Performance
Deviations

Analyze

Maximize
Profit

Design
Optimization

Problem Detection and


Corrective Actions

Production Engineering
Objectives
In order to accomplish those
objectives the production engineer
must fully understand the nature of an
oil well and must master the
interaction between all other subdisciplines
He must also fully understand the
potential and limitations of artificial lift
techniques

The Producer Oil Well

Oil Well
1.

2.

A production oil well is drilled to provide a


connection between the reservoir and the surface
facilities.
Its main purpose is to allow the fluids stored in the
reservoir to be produced from this original location
up to a point at the surface where they can be
separated, treated, processed, transported and
finally sold.

Oil Well
3.

This concept of oil well includes not only the so


called drilled well but also all other components that
are important for production, such as the reservoir,
perforations, flow lines, artificial lift equipment,
boosting

equipment,

chokes

and

any

other

equipment that might interact with the fluids when


flowing from the reservoir up to the final separator.

Oil Well Examples

Fluid Production
Path of produced fluids

Reservoir
Perforations, gravel pack, etc.
Downhole equipment, casing, tubing.
Downhole artificial lift equipment
Mixed with lift gas or lift fluid
Wellhead, production chokes
Flow lines
Mixed with production from other wells (manifolds)
Separator
Tank or Compressor

Path of produced fluids

Flow in Production System


Compressed
Fluids in the
Reservoir

Porous Media
Perforations

Multiphase Pumpin System

Long Production Flowlines

Production String
Downhole Equipment

Artificial Lifted Well

Restrictions
Surface Flowline

Production
Separator

Surface Equipment
Restrictions

Fluid Production
In each flow segment, the fluids interact
with the production components
Pressure and temperature changes.
Mixing with other fluids
Fluid properties constantly changing

The Driving Force for


Production

Driving Force
The driving force that moves fluids along the
reservoir and production system is the energy
stored in the form of compressed fluids in the
reservoir.
As the fluids move along the system components,
pressure drop occurs. The pressure in the
direction of flow continuously decreases from the
reservoir pressure to the final downstream
pressure value at the separator.

Driving Force

Driving Force
Reservoir

Individual

Pressure

Components

Pr

Pressure,
Temperature and
Composition

Ps
Separation
Pressure

Changes

Pc ( q )

Natural Equilibrium Flowrate

Natural Equilibrium Flowrate


The natural force that moves fluids in the system is
the reservoir pressure.
The reservoir pressure needs to overcome the
pressure drop in each of the components of the
system and allow fluids to enter the separator.
Pressure drop in each production component is a
function of flowrate.
The flowrate value at which a specific well flows
using only the energy stored in the compressed
reservoir fluids is called the natural equilibrium
flowrate.

Equilibrium Flowrate
The flowrate value at which a specific well
flows using only the energy stored in the
compressed reservoir fluids is called
natural equilibrium flowrate.

Pr Ps = Pc ( q)

Changes in Production
with Time

Production changes with


time
As the reservoir is produced its pressure,
(driving force for producing fluids) naturally
declines.
Appearance of a gas phase inside the porous
media also reduces the productivity of the
liquid oil phase.
There are also changes in producing
conditions such as Water-Oil Ratio, Gas-Oil
Ratio, deposition of wax or scale, etc.

Changes in Production
There is a reduction on the ability of the
reservoir to deliver fluids after the perforations
at a sufficient pressure to overcome the
pressure losses through the the production
system.
Therefore, the well seeks a new equilibrium
point of lower flowrate with lower pressure
losses in the reservoir and in the system.

2500

Changes in
Production

Equilibrium Flowrate (bpd)

2000

qe

1500

1000

500

2500
0
0

0.4

0.6

0.8

1.2

Cumulative Production (10^6 barrels)

2000
Equilibrium Flowrate (bpd)

0.2

qe
1500

1000

500

0
0

200

400

600

Time (days)

800

1000

1.4

1.6

Changes in Production
The natural equilibrium flowrate declines
with time
There are situations however, when such
an equilibrium point does not exist any
longer and the well cannot produce
naturally any more and ceases to be a
naturally flowing well and dies.

Changes in Production
We need then to know:
What is the minimum equilibrium flowrate ?
Does the well let you know it will die ?
Can we forecast how long a well will produce
under natural flow conditions ?
Can we detect when a well is approaching the end
of the natural flow conditions life ?

After answering those questions we still have


one left:
Can we improve the ability of a well to produce
fluids ?

Corrective Measures to
Increase Natural Equilibrium
Flowrate

Corrective Measures
In order to modify the natural equilibrium flowrate
decrease that would occur with time we can usually
act in three ways:
1.

The first option is modify the production system to


reduce the pressure drops by changing the
physical configuration of the system after the
perforations:

Open Chokes

Tubing size

Flowline size

Production Layout

Corrective Measures
2. The second option is by increasing the ability of the reservoir
to deliver fluids at higher pressures at the perforations

Water and gas injection in the reservoir

Stimulation techniques

Perforation Density

In both cases the well is still called a naturally flowing


well since the equilibrium flowrate will be determined by
the ability of the reservoir pressure to overcome the
pressure drops in the system

Corrective Measures
3.

The third option is to install specific devices that will


help the reservoir pressure to overcome the
pressure drops in the system after the perforations.
This can be accomplished in two ways:
a. by a systematic injection of lift fluids that will
reduce the gravitational pressure drop in the
system (gas lift)
b. by using a pump to provide the additional
pressure increment to overcome part of the
pressure losses in the system.

Corrective Measures
In this last case we have no more a
naturally flowing well since now the
equilibrium flowrate will be determined
by the ability of the reservoir pressure to
overcome the pressure drops in the
system after the perforations with the
help
of an external source of
horsepower.

Artificial Lift

Artificial Lift
In the beginning of the oil industry it was
recognized that the pressure of fluids inside
the porous media provided the necessary
energy to lift the fluids to the surface.
Techniques that use an external source of
horsepower to help the reservoir in
overcoming the pressures losses in the
production system after the perforations
receive the generic name of Artificial Lift.

Artificial Lift
Artificial lift is the area of petroleum engineering
that studies methods used to promote an
increase in the production rate of flowing wells
or to put wells back into production by using an
external horsepower source to help the reservoir
pressure to overcome the pressure drops in the
system downstream of the perforations.

Artificial Lift Methods

Artificial Lift Methods


There are several artificial lift methods. The
most important ones are:

Beam Pumping
Continuous Gas Lift
Electrical Submersible Pump
Progressive Cavity Pump
Hydraulic Jet Pump
Intermittent Gas Lift
Hydraulic Pump
Plunger Lift
Auto Gas Lift
Other Traditional Methods
Boosting Methods
Etc

Artificial Lift Methods


The definition of Artificial Lift Methods requires the
existence of a external horsepower source. Two
comments must be made regarding plunger lift and auto
gas lift.
Plunger Lift can be operated in 2 modes
Injecting supplemental gas. In this case it fits exactly the definition
of Artificial Lift Method
Without gas injection. In this case, there is no external
horsepower source and plunger lift is considered an enhanced
natural flow

Auto Gas Lift


In auto gas lift the injected lift gas comes from a different
production zone. There is no surface horspeower source. The
external horsepower source is the lift gas zone. This can be
considered as a natural flow of two zones being produced
simultaneously.

Artificial Lift - Uses


In Oil Wells
Boost production
Put wells back into production
Stabilize production

In gas wells or CBM wells


To remove condensate or water from wells

Pumping Unit

Beam Pump

Prime Mover
Polished Rod
Suffing Box

Tubing
Sucker Rods

Pump

Beam Pump
Pumping
Unit
Prime
Mover

Polished Rod
Suffing Box

Tubing
Sucker
Rods

Pump

Familiar to engineers and


operators
Simple design
Low capital investment for
low production at shallow
to medium depths.
High investment for high
flowrates in deep wells.
Allow very low fluid levels
(low bottom hole flowing
pressure).
Adaptable to scale and
corrosion problems
Limitation with casing size.
Adaptable to automation.
Not suitable for crooked
holes

Continuous Gas Lift


Injection Choke
Christmas Tree

Unloading Valve
Gas Lift Mandrel
Tubing

Operating Valve
Packer

Continuous Gas Lift


Christmas
Tree

Injection
Choke

Unloading Valve
Gas Lift
Mandrel
Tubing

Operating Valve
Packer

Low investment for deep


wells.
Most efficient for high GLR.
Low operating costs for
sand production.
Flexible.
Adaptable to crooked holes.
Capable of producing very
high flowrates
Requires a source of high
pressure gas.
Can not achieve very low
botton
hole
flowing
pressures.
Casing and lines must
withstand gas pressure

Primary Transformer

Switchboard

Wellhead and
electric
mandrel

Tubing
Round Cable
Packer
Pump
Separator
Protector
Flat Cable
Motor

Electrical
Submersible
Pump

ESP
Primary
Transformer
Switchboard
Wellhead
and
electric
mandrel

Tubing
Round Cable
Packer
Pump
Separator
Protector
Flat Cable
Motor

Can produce very high


flowrates from shallow to
medium depths.
Low investment costs for
shallow depths.
Adaptable to automation.
Casing size is not critical for
high flowrates.
Electrical cable design is the
weakest link.
Needs a VSD to be flexible.
Requires a stable source of
electricity.
Big problems with scale.
Requires
workover
to
remove unit.

Progressing Cavity Pump


Transformer
Polished Rod
Control
Panel

Electric Motor
Christmas Tree

Tubing
Rods

Downhole PCP
Gas Anchor
Anchor

Transformer
Control Panel
Motor

Hydraulic Jet Pump


Power Fluid Treatment
Valve
Christmas Tree

Tubing

Downhole Pump
Standing Valve

Intermittent Gas Lift


Intermitor
Christimas Tree
Pressure Gas

Open
Closed

Tubing
Unloading Valve
Valve Mandrel

Operating Valve
Packer
Check Valve

Artificial Lift - Objective


The main objective is to use and manage artificial
lift techniques to increase the profitability.
Ultimate goals

Maximum Profit Not maximum hydrocarbon production


Maximum Profit Not minimum operational costs
Maximum Profit Not minimum capital investment
Maximum Profit Not minimum equipment failure or
down time.

Maximum Profit under a safe operation and


environmentally sound manner

Artificial Lift - Management

The management of artificial lift is a continuous


process divided in 5 steps:
1. Selection of Artificial Lift Method
2. Evaluation of production conditions to define well
equipment, production levels, failure-control and
monitoring strategy to protect well equipment.
3. Monitoring of production data
4. Monitoring of equipment performance
5. Evaluation of production equipment failure

Artificial Lift - Management


2 Artificial Lift Equipment
1 Artificial Lift Method
Selection

Operational Conditions
Failure Control
Monitoring Strategy

Design and Selection

Monitoring and Evaluation


3 Monitoring Production Data
4 Monitoring Equipment Performance
5 Evaluation of Equipment Failure

1 - Artificial Lift Management

The monitoring and evaluation phase may


result in a new design and selection phase.
Change artificial lift method

Example continuous gas lift intermittent gas lift

Change artificial lift method equipment type.

Example install a downhole separator

Change equipment protection

Example corrosion or scale inhibitor

Change operational conditions

Example change flow rates

1 - Artificial Lift Method


As we will see there are several
artificial lift methods.
Each
method
has
its
own
characteristics.
The best method is a balance of the
method
capabilities,
restrictions,
production flowrates, investment and
operational costs with the objective of
maximizing profit or maximizing the
expected profit.

1- Artificial Lift Method

The number of the viable options and the


relative advantages or disadvantages of
methods for a specific application depends
strongly on two factors:
Well Type

Onshore
Offshore
Dry completion
Satellite well

Extremely Harsh Conditions (Artic, desert, etc)

Existing Infrastructure

Remote well
New well in a new field
New well in a existing field
Existing well in a existing field

1- Artificial Lift Method


The best method usually:
Is not the one with higher flowrates
Is not the one with higher efficiency
Which efficiency ?

Is not the one with smaller down time


Is not the one with lower investment costs
Is not the one with lower operational costs
Is not the one with less failures

The best method is the method that


maximizes profit.

1- Artificial Lift Method

Production conditions and constraints change


in time.
The best artificial lift method is a function of
prevailing production conditions.
The best artificial lift method usually:
Is not the one that maximizes profit today
Is not the one that maximizes profit in a future
condition.

The best artificial lift method is the one that


maximizes ultimate profit.

1- Artificial Lift Method

Usually maximization of ultimate profit is


obtained by using different artificial lift
methods at different times during the life of a
well.
The lift-changing capability advantages and
costs must be properly considered.
We must also know when those changes
should take place.
Example of Artificial Lift Changes

Continuous gas lift Intermittent gas lift


Beam pumping Electrical Submersible Pump
Continuous gas lift Electrical Submersible Pump
Etc...

1- Artificial Lift Method


In very few cases, a combination of
artificial lift methods may be the best
choice.
Proper evaluation of the benefits and
also of the complexity of the system
must be done.
Example of Artificial Lift Combinations
Gas lift and Electrical Submersible Pump
Jet Pump and Electrical Submersible Pump
Etc...

1- Artificial Lift Method

The proper selection of artificial lift system depends on


several other disciplines such as drilling, completion,
reservoir management, production layout, automation,
etc....
Artificial lift should be considered since the beginning
of the field development plan when reservoir, drilling,
completion and production decisions are being made.
All known constraints, production conditions and
future changes must be properly addressed.
This process requires good communication and
interaction between all correlated disciplines.

2- Method Design, Operational Settings,


Failure Control and Monitoring Strategy

After selecting one or more methods for a


certain application, the next phase involves:
Determination of operational settings (setting
depth, flowrates, horsepower, etc...)
Specification of well equipment and component
parts.
Definition of Failure Control mechanisms.
Definition of monitoring strategy to be adopted.

2- Method Design and Operating Settings

Several Production Characteristics affects this


phase.

Bottomhole Temperature
Solids Production
Gas Production
Corrosive fluids
Scale Problems
Stability
Changes in production conditions with time
Casing condition
Etc...

Why So Many Options ?

Artificial Lift Methods


There are several artificial lift methods. The
most important ones are:

Beam Pumping
Continuous Gas Lift
Electrical Submersible Pump
Progressive Cavity Pump
Hydraulic Jet Pump
Intermittent Gas Lift
Hydraulic Pump
Plunger Lift
Auto Gas Lift
Other Traditional Methods
Boosting Methods

Artificial Lift Methods


Selection

Artificial Lift Methods


The selection of the artificial lift method for a certain
application is based on the results of a technical and
economical analysis.
For each application, certain methods will have a better
performance than others.
Usually in real cases, the characteristics of each method
and the production conditions will limit the possible
choices.
The proper economic analysis needs to take into
consideration not only the performance of the method
(flowrates and horsepower), but also the capital and
operational costs associated with it as well as realistic
considerations on the reliability and operation of the
method.

Factors Affecting the Selection of


Artificial Lift Methods

Artificial Lift Methods


Factors to be considered:

Flowrates (reservoir pressure and productivity index)


GLR and WC behavior
API and viscosity
Depth of well and temperature
Condition of casing
Type of well (vertical or directional)
Sand production, wax, emulsion corrosion and scale
conditions
Type and quality of energy available
Environment and environmental issues
Personnel training and experience
Capital investment and operational costs
Reliability
Data quality and uncertainty
Existing Infrastructure
Etc....

Artificial Lift Methods


Example of Attribute Table
Parameter
Sand
Wax
High GOR
High Flowrates
Low Flowrates
Depth
Flexibility

Rod Pump
Fair
Poor
Poor
Poor
Excellent
Fair
Fair

ESP
Fair
Good
Poor
Excellent
Fair
Fair
Fair

What is good, fair, poor and excellent ?


Do we have the same scale to compare methods?
Do we use the same scales ?

Gas Lift
Excellent
Poor
Excellent
Good
Fair
Excellent
Excellent

Artificial Lift Methods Attribute Tables


The information on those tables should be used as a
guideline in selecting a method for a specific application.
It is very hard to find an average attribute value for a
certain application
Most of the times the following factors override the
information on the tables.
Location

Onshore
Offshore
Artic
Etc..

Existing Infrastructure

Remote well
New well in a new field
New well in a existing field
Existing well

Artificial Lift Methods Attribute Tables

The
method
selection
sometimes
becomes a personal decision. Operators,
service companies, product manufacturer
may have some preferences not usually
justified by a technical analysis.

Artificial Lift Methods Attribute Tables

Several attribute tables are available in the


literature.

Brown, Clegg-Bucaram-Hein, Neely, etc...

They were developed as a aid in comparing


each artificial lift method for each production
characteristic.
They contain a dynamic information and
should
be
updated
to
reflect
new
developments or limitations of the technology
The attributes can be classified into 3 types:
1. Design Considerations and Overall Comparisons
2. Normal Operating Conditions
3. Artificial Lift Considerations

Artificial Lift Methods Attribute


Tables

Clegg, J.D., Bucaram, S. M., Hein, N. W. Jr. New Recommendations and


Comparisons for Selecting Artificial Lift Methods, SPE 24834 - 1992.

Table I Artificial Lift Design Considerations and Overall Comparisons

Attribute

Sucker Rod
Pumping

Progressing Cavity
Pumping

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Competitive with
sucker-rod pump.
Cost increases with
high horsepower

Well equipment
costs low but lines
and compression
costs may be high.
Central
compression
system reduces
cost per well.

Same as
continuous flow
gas lift.

Very low; only low


cost well
equipment if no
compressor
required.

Capital Cost

Low to Moderate:
increases with
depth and larger
units.

Low: increases
with depth and
larger rates.

Relatively low
capital cost if
commercial electric
power available

Varies but often


competitive with
rod pumps.
Multiple well,
central systems
reduce cost per
well but is more
complicated

Downhole
Equipment

Reasonably good
rod design and
operating practices
needed. Data bank
of rod and pump
failures beneficial.
Good selection,
operating, and
repair practices
need for rod and
pumps.

Good design and


operating practices
needed. May have
problems with
selection of
appropriate stator
elastomer.

Requires proper
cable in addition to
motor, pumps,
seals, etc. Good
design plus good
operating practice
essential.

Proper pump sizing


and operating
practices essential.
Requires powerfluid conductor.
Free pump and
closed power-fluid
option.

Requires computer
design programs
for sizing. Tolerant
of moderate solids
in power fluids. No
moving parts in
pumps: long
service life; simple
repair procedures

Good valve design


and spacing
essential.
Moderate cost for
well equipment
(valves and
mandrels). Choice
of retrievable or
conventional
valves.

Unload to bottom
with gas lift valves;
consider chamber
for high PI and low
BHP wells

Operating practices
have to be tailored
to each well for
optimization. Some
problem with
sticking plungers.

Excellent: may
exceed rod pumps
for ideal cases.
Reported system
efficiency 50% to
70%. More
operating data
needed.

Good for high rate


wells but
decreases
significantly for
<1000 BFPD.
Typically total
system efficiency
is about 50% for
high rate well, but
for <1000 B/D,
efficiency typically
is < 40%.

Fair to good: not as


good as rod
pumping owing to
GLR, friction, and
pump wear.
Efficiencies range
from 30% to 40%
with GLR>100;
may be higher with
lower GLR.

Fair to poor.
Maximum
efficiency only
30%. Heavily
influenced by
power fluid plus
production
gradient. Typical
operating
efficiencies of 10%
to 20%.

Fair: increase for


wells that require
small injection
GLRs. Low for
wells requiring high
GLRs. Typical
efficiencies of 20%
but range from 5%
to 30%.

Poor: normally
requires a high
injection gas
volume/barrel fluid.
Typical lift
efficiency is 5% to
10%; improved
with plungers.

Excellent for
flowing wells. No
input energy
required because it
uses the energy of
the well. Good
even when small
supplementary gas
is added.

Fair: can alter


speed. Hydraulic
unit provides
additional flexibility
but at added cost.

Poor: pumps
usually run at a
fixed speed.
Requires careful
sizing. VSD
provides more
flexibility but added
costs. Time cycling
normally avoided.
Must size pump
properly.

Good/excellent:
Can vary power
fluid rate and
speed of downhole
pump. Numerous
pump sizes and
pump/engine ratios
adapt to production
and depth needs.

Good to excellent:
power fluid rate
and pressure
adjusts the
production rate and
lift capacity.
Selection of throat
and nozzle sizes
extend range of
volume and
capacity.

Excellent: gas
injection rate varied
to changes rates.
Tubing needs to be
sized correctly.

Good: must adjust


injection time and
cycles frequently.

Good for low


volume wells. Can
adjust injection
time and
frequency.

Efficiency

Flexibility

Excellent total
system efficiency.
Full pump fillage
efficiency typical
about 50 to 60%
feasible, if well is
not over pumped.

Excellent: can after


stroke speed and
length , plunger
size, and run time
to control
production rate.

Table I Artificial Lift Design Considerations and Overall Comparisons

Attribute

Sucker Rod
Pumping

Miscellaneous
Problems

Stuffing box
leakage may be a
messy and a
potential hazard.
(Antipollution
stuffing boxes are
available)

Operating Cost

Very low for


shallow to medium
depth (<7500 ft)
land locations with
low production
(<400 BFPD)

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

May have limited


service in some
areas. Because
this is a newer
method, field
knowledge and
experience are
limited.

Requires a highly
reliable electric
power system.
Method sensitive to
rate changes.

Power fluid solids


control essential.
Need 15 ppm of 15
microns particle
size maximum to
avoid excessive
engine wear. Must
add surfactant to a
water power fluid
for lubricity. Triplex
plunger leakage
control required.

More tolerant of
power fluid solids;
200 ppm of 25
micron particles
acceptable.
Diluents may be
added if required.
Power water (fresh,
produced, or
seawater)
acceptable.

A highly reliable
compressor with
95% run time
required. Gas must
be dehydrated
properly to avoid
gas freezing.

Labor intensive to
keep fine tuned;
otherwise, poor
performance.
Maintaining steady
gas flow often
causes injection
gas measurement
and operating
problems.

Plunger hangup or
sticking may be a
major problem.

Potentially low, but


short run life on
stator frequently
reported.

Varies: if
horsepower is high,
energy costs are
high. High pulling
costs result from
short run life. Often
repair costs are
high.

Often higher than


rod pumps even for
free systems. Short
run life increases
total operating
costs.

Higher power cost


owing to
horsepower
requirement. Low
pump maintenance
cost typical with
properly sized
throat and nozzle.

Well costs low.


Compression costs
vary depending on
fuel and
compressor
maintenance. Key
is to inject as
deeply as possible
with optimum GLR

Same as
continuous flow
gas lift.

Usually very low.

Varies: excellent
for ideal lift cases;
poor for problems
areas. Very
sensitive to
operating
temperatures and
electrical
malfunctions.

Good with a
correctly designed
and operated
system. Problems
of changing well
conditions reduce
downhole pump
reliability. Frequent
downtime results
from operational
problems.

Good with proper


throat and nozzle
sizing for the
operating
conditions. Must
avoid operating in
cavitation range of
jet throat; related to
pump intake
pressure. More
problems if
pressures > 4000
psig.

Excellent if
compression
system properly
designed and
maintained.

Excellent if there is
an adequate
supply of gas and
an adequate low
pressure storage
volume for injection
gas. System must
be designed for the
unsteady gas flow
rates.

Good if well
production is
stable.

Fair: some trade in


value. Poor open
market values.

Fair market for


triplex pumps;
good value for
wellsite system that
can be moved
easily.

Good: easily
moved. Some
trade in value. Fair
market for triplex
pumps.

Fair: some market


for good used
compressors and
some trade in
value for mandrels
and valves.

Fair: some trade in


value. Poor open
market value

Fair. Some trade in


value. Poor open
market value.

Progressing Cavity
Pumping

Reliability

Excellent: run time


efficiency >95% if
good operating
practices are
followed and if
corrosion, wax,
asphaltenes,
solids, deviations,
etc. are controlled.

Good: normally
over pumping and
lack of experience
decreases run
time.

Salvage Value

Excellent: easily
moved and good
market for used
equipment

Fair/poor: easily
moved and some
current market for
used equipment.

Table I Artificial Lift Design Considerations and Overall Comparisons

Attribute

System (Total)

Usage/Outlook

Sucker Rod
Pumping

Straightforward
and basic
procedures to
design, install, and
operate following
API specifications
and recommended
practices. Each
well is an individual
system.

Excellent: used on
about 85% of U.S.
artificial-lift wells.
The normal
standard artificiallift method.

Progressing Cavity
Pumping

Simple to install
and operate.
Limited proven
design, installation,
and operating
specifications and
procedures. Each
well is an individual
system.

Limited to relatively
shallow wells with
low rates. Used on
less than 0.5% of
U.S. lifted wells.
Used primarily on
gas-well
dewatering.

Electrical
Submersible
Pumping

Fairly simple to
design but requires
good rate data.
System not
forgiving. Follow
API recommended
practices in design,
testing, and
operation. Typically
each well is an
individual
producing using a
common electric
system.

An excellent high
rate artificial lift
system. Best suited
for <200 F and
>1000 BFPD rates.
Most often used on
high water cuts
wells. Used on
about 4% of U.S.
lifted wells.

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Computer design
program typically
used for design.
Basic operating
procedures needed
for downhole pump
and wellsite unit.
Free pump easily
retrieved for onsite
repair or
replacement.
Downhole jet often
requires trial and
error to arrive at
best/optimum jet

An adequate
volume, highpressure, dry, noncorrosive and clean
gas supply source
is needed
throughout the
entire life. System
approach needed.
Low backpressure
beneficial. Good
data needed for
valve design and
spacing. API
specifications and
design/operating
recommended
practices should be
followed.

Simple manual or
computer design
typically used. Free
pump easily
retrieved for
servicing.
Individual well unit
very flexible but
extra cost. Central
plant more
complex; usually
results in test and
treatment
problems.

Same as
continuous flow.

Individual well or
system. Simple to
design, install, and
operate. Require
adjusting and
plunger
maintenance.

Good for higher


volume wells
requiring flexible
operation. System
will tolerate wide
depth ranges, high
temperatures,
corrosive fluids,
high GOR, and
significant sand
production. Used
on <1% of U.S.
lifted wells.
Sometimes used to
test wells that will
not flow offshore

Often used as
default artificial-lift
well system.
Flexible operation;
wide rate range;
suitable for
relatively deep,
high volume, high
temperature,
deviated oil wells.
Used on <2% of
U.S. lifted wells

Good, flexible highrate artificial-lift


system for wells
with high
bottomhole
pressures. Most
like a flowing well.
Used on about
10% of U.S. lifted
wells, mostly
offshore.

Often used as a
default artificial lift
method in lieu of
sucker rod pumps.
Also a default for
low bottomhole
pressure wells on
continuous gas lift..
Used in < 1% of
U.S. wells

Essentially a low
liquid rate, high
GLR lift method.
Can be used for
extending flow life
or improving
efficiency. Ample
gas volume and/or
pressure needed
for successful
operation. Used on
<1% of U.S. wells

Table II Normal Operating Considerations

Attribute

Sucker Rod
Pumping

Casing Size limits

Problems only in
high rate wells
requiring large
plunger pumps.
Small casing sizes
(4.5 and 5,5 in.)
may limit free gas
separation

Depth Limits

Good: rods or
structure may limit
rate at depth.
Effectively, about
500 B/D at 7000 ft
and 150 B/D at
15000 ft.

Progressing Cavity
Pumping

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Normally no
problem for 4.5 in.
casing and larger,
but gas separation
may be limited.

Casing size will


limit use of large
motors and pumps.
Avoid 4.5 in. casing
and smaller.
Reduced
performance inside
5.5 in. casing,
depending on
depth and rate.

Lager casing
required for parallel
free or closed
systems. Small
casing (4,5 and 5.5
in.) may result in
excessive friction
losses and limits
producing rate.

Small casing size


often limits
producing rate
owing to high
(unacceptable)
friction losses.
Larger casing may
be required if dual
strings run.

The use of 4.5 and


5.5 in. casing with
2 in. nominal tubing
normally limits rate
to <1000 B/D. For
rates >5000 B/D
use >7 in. casing
and >3.5 in. tubing
needed.

Small casing (4.5


and 5.5 in.)
normally is not a
problem for this
relatively low
volume lift.

Small casing
suitable for this low
volume lift. Annulus
must have
adequate gas
storage volume.

Usually limited to
motor horsepower
or temperature.
Practical depth
about 10000 ft.

Excellent: limited
by power-fluid
pressure (5000
psig) or
horsepower. Low
volume/high lift
head pumps
operating at depths
to 17000 ft.

Excellent: similar
limits as
reciprocating
pump. Practical
depth of 20000 ft.

Controlled by
system injection
pressure and fluid
rates. Typically for
1000 B/D with 2.5
in. nominal tubing,
1440 psig lift
system, and 1000
GLR, has an
injection depth of
about 10000 ft.

Usually limited by
fallback; few wells
>10000 ft.

Typically <10000 ft.

Poor to fair: >350


psig to 5000 ft with
low GLR. Typical
design target is
25% submergence.

Poor: restricted by
the gradient of the
gas-lifted fluid.
Typically moderate
rate is limited to
about 100 psi/1000
ft injected depth.
Thus, the
backpressure on
10000 ft. well may
be >1000 psig

Fair when used


without chambers.
PIP>250 psig for
10000 ft. well. PIP
of <250 psig
feasible at 10000
ft.

Good: bottomhole
pressures <150
psig at 10000 ft. for
low rate, high GLR
wells.

Same as hydraulic
reciprocating
pumps.

Low at the well but


noisy compressor.

Same as
continuous gas lift.

Low

Same as hydraulic
reciprocating
pumps.

Good low profile,


but must provide
for
compressor.Safety
precautions must
be taken for high
pressure gas lines

Same as
continuous gas lift.

Good

Poor: limited to
relatively shallow
depths, possibly
5000 ft.

Intake Capabilities

Excellent: <25 psig


feasible provided
adequate
displacement and
gas venting.
Typically about 50
to 100 psig.

Good: <100 psig


provided adequate
displacement and
gas venting.

Fair: if little free


gas (i.e. >250 psig
pump intake
pressure). Poor if
pump must handle
>5% free gas.

Fair: not as good


as rod pumping.
Intake pressure
<100 psig usually
results in frequent
pumps repair. Free
gas reduces
efficiency and
service life.

Noise Level

Fair: moderately
high for urban
areas.

Good: surface
prime mover
provides the only
noise.

Excellent: low
noise. Often
preferred in urban
areas if production
rate is high.

Good: well noise


low. Wellsite
power-fluid units
can be sound
proofed.

Obtrusiveness

Size and operation


are drawback in
populated and
farming areas.
Special low profile
units are available.

Good: low profile


surface equipment.

Good: low profile


but requires
transformer bank.
Transformer may
cause problems in
urban areas.

Fair to good:
wellhead
equipment has low
profile. Requires
surface treating
and high pressure
pumping
equipment

Table II Normal Operating Considerations

Attribute

Sucker Rod
Pumping

Prime Mover
Flexibility

Good: both
engines or motors
can be used easily
(motors more
applicable and
flexible).

Surveillance

Excellent: can be
easily analyzed
based on well test,
fluid levels, etc.
Analysis improved
by use of
dynamometers and
computers.

Testing

Time cycle and


Pump-off Controller
Application

Good: well testing


is simple few
problems using
standard available
equipment and
procedures.

Excellent if well
can be pumped off.

Progressing Cavity
Pumping

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Good: both
engines or motors
can be used.

Fair: requires a
good power source
without spikes or
interruptions.
Higher voltages
can reduce I2R
losses.

Excellent: prime
mover can be
electric motor, gas,
or diesel fired
engines or motors.

Same as hydraulic
reciprocating
pumps.

Good: engines,
turbines, or motors
can be used for
compression.

Same as
continuous gas lift.

None normally
required.

Fair: electrical
checks but special
equipment needed
otherwise

Good/fair:
downhole pump
performance can
be analyzed from
surface power-fluid
and pressure,
speed, and
producing rate.
Bottomhole
pressure obtained
with free pumps

Same as hydraulic
reciprocating
pumps.

Good/excellent:
can be analyzed
easily. Bottomhole
pressure and
production log
surveys easily
obtained.
Optimization and
computer control
being attempted

Fair: complicated
by standing valve
and fallback.

Good: depends on
good well tests and
well pressure chart

Good: simple with


few problems. High
water cut and high
rate wells may
require a freewater knock-out.

Fair: well testing


with standard
individual well units
presents few
problems. Well
testing with a
central system
more complex:
requires accurate
power fluid
measurements

Same as hydraulic
reciprocating
pumps. Three
stage production
test can be
conducted by
adjusting
production step
rates, pressured
recorder in place to
monitor intake
pressure

Fair: well testing


complicated by
injection gas
volume/rate.
Formation GLR
obtained by
subtracting total
produced gas from
injected gas. Gas
measurement
errors common

Poor: well testing


complicated by
injection gas
volume/rate.
Measurement of
both input and
outflow gas a
problem.
Intermittent can
cause operating
problems with
separators.

Well testing simple


with few problems

Poor: soft start and


improved
seals/protectors
recommended.

Poor: possible but


not normally used.
Usually controlled
only by
displacement
checks, pump-off
control not
developed

Poor: does not


appear applicable
owing to intake
pressure
requirement higher
than pump-off

Not applicable.

Poor: cycle must


be periodically
adjusted. Labor
intensive.

Time Cycle is
necessary for
efficient operation.
Pump Off is not
applicable.

Fair: analysis
based on
production and
fluid levels only.
Dynamometers
and pump-off cards
not possible to use.

Good: well testing


simple with few
problems.

Poor: avoid
shutdown in high
viscosity/sand
producers.

Table III Artificial Lift Considerations

Attribute

Sucker Rod
Pumping

Corrosion/scale
handling ability

Good to excellent:
batch treating
inhibitor down
annulus used
frequently for both
corrosion and scale
control.

Crooked/deviated
holes

Fair: increased
load and wear
problems. High
angle deviated
holes (>70
degrees) and
horizontal wells are
being produced.
Some success in
pumping 15
degrees/100 ft.
using rod guides.

Duals application

Fair: parallel 2 x 2
in. low rate duals
feasible inside 7 in.
casing. Duals
inside 5.5 in.
casing currently not
in favor. Gas is a
problem from lower
zone. Increased
mechanical
problems

Gas handling ability

Good if can vent


and use natural
gas anchor with
properly designed
pump. Poor if must
pump >50% free
gas.

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Good: batch
treating inhibitor
down annulus
feasible

Fair: batch treating


inhibitor only to
intake unless
shroud is used.

Good/excellent:
batch or
continuous treating
inhibitor can be
circulated with
power fluid for
effective control.

Good/excellent:
inhibitor with power
fluid mixes with
produced fluid at
entry of jet pump
throat. Batch treat
down annulus
feasible.

Good: inhibitor in
the injection gas
and/or batch
inhibiting down
tubing feasible.
Steps must be
taken to avoid
corrosion in
injection gas lines.

Same as
continuous flow

Fair: normal
production cycle
must be interrupted
to batch treat to
well.

Poor to fair:
increased load and
wear problems.
Currently, very few
known installations.

Good: few
problems. Limited
experience in
horizontal wells.
Require long radius
wellbore bends to
get through.

Excellent. If tubing
can be run in the
well, pump
normally will pass
through the tubing.
Free pump
retrieved without
pulling the tubing.
Feasible operation
in horizontal wells.

Excellent: short jet


pump can pass
through doglegs up
to 24 degree/100
ft. in 2 in. nominal
tubing. Same
conditions as
hydraulic
reciprocating
pump.

Excellent: few
wireline problems
up to 70 degree
deviation for
wireline retrievable
valves

Same as
continuous flow

Excellent.

No known
installations. Larger
casing would be
needed. Possible
run and pull
problems.

Fair: three string


nonvented
applications have
been made with
complete isolation
of production and
power fluid from
each zone. Limited
to low GLR and
moderate rates.

Same as hydraulic
reciprocating pump
except can
possibly handle
higher GLR but at
reduced efficiency

Fair: dual gas lift


common but good
operating of dual
gas lift complicated
and inefficient
resulting in
reduced rates.
Parallel 2x2 in.
nominal tubing
inside 7 in. casing
and 3x3 in. tubing
inside 9 5/8 in.
casing feasible

Same as
continuous flow

No known
installations.

Poor for free gas


(i.e. > 5%) through
pump. Rotary gas
separators helpful
if solids not
produced.

Good/fair:
concentric fixed
pump or parallel
free permits gas
venting with
suitable downhole
gas separator
below pump intake.
Casing free pump
limited to low GOR.

Similar to hydraulic
reciprocating
pump. Free gas
reduces efficiency
but helps lift. Vent
free gas if possible.
Use a gas anchor

Excellent:
produced gas
reduces need for
injection gas

Same as
continuous flow

Excellent.

Progressing Cavity
Pumping

No known
installations.

Poor if must pump


any free gas.

Table III Artificial Lift Considerations

Attribute

Sucker Rod
Pumping

Offshore
application

Poor: must design


for unit size,
weight, and pulling
unit space. Most
wells are deviated
and typically
produce sand.

Progressing Cavity
Pumping

Poor: may have


some special
application
offshore. However,
pulling unit needed.

Paraffin handling
capability

Fair/good: hot
water/oil treating
and/or use of
scrapers possible,
but increase
operating problems
and costs.

Fair: tubing may


need treatment.
Rod scrapers not
used. Possible to
unseat pump and
circulate hot fluids.

Slim hole
completions (2 7/8
in. production
casing string)

Feasible for low


rates (<100 B/D)
and low GOR
(<250). Typically
are used with 1.5
in. nominal tubing.

Feasible if low
rates, low GOR,
and shallow depths
but no known
installations.

Solids/sand
handling ability

Poor/Fair: for low


viscosity (<10 cp.)
production.
Improved
performance for
high viscosity
(>200 cp.) cases.
May be able to
handle up to 0.1%
sand with special
pumps.

Excellent: up to
50% sand with high
viscosity (>200 cp.)
crude. Decreases
to <10% sand for
water producers

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Good: must
provide electrical
power and service
pulling unit.

Fair: feasible
operation in highly
deviated wells.
Requires deck
space for treating
tanks and pumps.
Water power fluid
can be used.
Power oil a
fire/safety problem

Good: produced
water or sea water
may be used as
power fluid with
well site type
system or power
fluid separation
before production
treating system

Excellent: most
common method if
adequate injection
gas available

Poor in wells
needing sand
control. Use of
standing valve
risky. Heading
causes operating
problems

Excellent for
correct application.

Fair: hot water/oil


treatments,
mechanical cutting,
batch inhibition
possible.

Good/excellent:
circulate heat to
downhole pump to
minimize buildup.
Mechanical cutting
and inhibition
possible. Soluble
plugs available.
Free pumps can
be surfaced on a
schedule

Same as hydraulic
reciprocating pump

Good: mechanical
cutting sometimes
required. Injection
gas may aggravate
an existing problem

Same as
continuous flow

Excellent: cuts
paraffin and
removes small
deposits

No known
installation.

Possible but may


have high friction
losses or gas
problems. Suitable
for low rates and
low GOR

Same as hydraulic
reciprocating pump

Feasible but can


be troublesome
and inefficient.

Same as
continuous flow

Good: similar to
casing lift but must
have adequate
formation gas.

Poor: requires
<200 ppm. Solids.
Improved wear
resistant materials
available at
premium cost

Poor: requires <10


ppm solids power
fluids for good run
life. Also produced
fluids must have
low solids (<200
ppm of 15 micron
particles) for
reasonable life.
Use fresh water
injection for salt
buildup problems.

Fair/good: jet
pumps are
operating with 3%
sand in produced
fluid. Power fluid to
jet pump can
tolerate 200 ppm of
25 micron particle
size. Fresh water
treatment for salt
buildup possible

Excellent: limit is
inflow and surface
problems. Typical
limit is 0.1 % sand
for inflow and
outflow problems.

Fair: standing valve


may cause
problems.

Sand can stick


plunger; however,
plunger wipes
tubing clean

Table III Artificial Lift Considerations

Sucker Rod
Pumping

Progressing Cavity
Pumping

Electrical
Submersible
Pumping

Hydraulic
Reciprocating
Pumping

Hydraulic Jet
Systems

Continuous Gas
Lift

Intermittent Gas
Lift

Plunger Lift

Temperature
limitation

Excellent: currently
used in thermal
operations (550 F.)

Fair: limited to
stator elastomer.
At present normally
bellow 250 F.

Limited to <250 F
for standard and
<325 F with special
motors and cable

Excellent: standard
materials to 300 F
and to 500 F
feasible with
special materials

Excellent: possible
to operate to 500 F
with special
materials

Excellent; typical
maximum of about
350 F. Need to
known
temperatures to
design bellows
charged valves.

Same as
continuous flow

Excellent.

High viscosity fluid


handling
capabilities

Good for <200 cp.


Fluids and low
rates (400 B/D).
Rod fall problems
for high rates.
Higher rates may
require diluent to
lower viscosity

Excellent for high


viscosity fluids with
no stator/rotor
problems.

Fair: limited to
about 200 cp.
Increases
horsepower and
reduces head.
Potential solution is
to use core flow
with 20% water

Good: >8 API


production with
<500 cp possible.
Power fluids can
be used to dilute
low gravity
production.

Good/excellent:
production with up
to 800 cp possible.
Power oil of >24
API and <50 cp or
water power fluid
reduces friction
losses

Fair: few problems


for >16 API or
below 20 cp
viscosity. Excellent
for high water cut
lift even with high
viscosity oil

Same as
continuous flow

Normally not
applicable.

Poor: restricted to
relatively small
rates. Possibly
2000 B/D from
2000 ft. and 200
B/D from 5000 ft.

Excellent: limited
by needed
horsepower and
can be restricted
by casing size. In
5.5 in. casing size,
can produce 4000
B/D from 4000 ft.
with 240
horsepower.
Tandem motors
can be used but
will increase costs

Excellent: up to
15000 B/D with
adequate flowing
bottomhole
pressure, tubular
size, and
horsepower

Excellent:
restricted by tubing
size and injection
gas rate and depth.
Depending on
reservoir pressure
and PI, with 4 in.
nominal tubing
rates of 5000 B/D
from 10000 ft
feasible with 1440
psig injection gas
and GLR of 1000.

Poor: limited by
cycle volume and
number of possible
injection cycles.
Typically about 200
B/D from 10000 ft.
with <250 psig
pump intake
pressure

Poor: limited by
number of cycles.
Possibly 200 B/D
from 10000 ft.

Fair: >200 B/D


from 4000 ft

Fair: limited by
heading and
slippage. Avoid
unstable flow
range. Typically
lower limit is 200
B/D for 2 in. tubing
without heading;
400 B/D for 2.5 in.
and 700 B/D for 3
in tubing.

Good: limited by
efficiency and
economic limit.
Typically to 4
bbl/cycle with up to
48 cycles/day

Excellent: for low


flow rates of 1 to 2
B/D with high GLR.

Attribute

High volume lift


capabilities

Low volume lift


capabilities

Fair: restricted to
shallow depths
using large
plungers.
Maximum rate
about 4000 B/D
from 1000 ft. and
1000 B/D from
5000 ft

Excellent: most
commonly used
methods for wells
producing <100
B/D

Excellent for <100


B/D shallow wells
that do not pump
off.

Generally poor:
lower efficiencies
and high operating
costs for <400 B/D

Good: limited by
tubular and
horsepower.
Typically 3000 B/D
from 4000 ft and
1000 B/D from
10000 ft with 3500
psig system.

Fair: not as good


as rod pumping.
Typically 100 to
300 B/D from 4000
to 10000 ft. >75
B/D from 12000 ft
possible

Artificial Lift Methods Attribute Tables


After selection of potential choices, a
careful, realistic and detailed design of the
system must be made.
This phase is extremely important, since a
poor or neglected design may ruin the
advantages of a certain option resulting in
a very bad performance for a otherwise
excellent choice.

Artificial Lift Methods Attribute Tables


After designing the appropriate candidates, a
final realistic economic analysis will indicate the
bestchoice.
Maximization of ultimate profit is the goal.
The economic analysis requires
Investment costs and Salvage values
Operational costs
Artificial Lift system performance
Production Forecast
Failure rate estimate under the expected operating conditions

Oil, gas and energy prices and method flexibility


Etc...

Our Objective
Our objective

Is not to maximize production


Is not to minimize operational costs
Is not to minimize investment costs
Is not to minimize downtime

Our objective
Is to maximize profit through an intelligent
management of operational and investment costs. A
well designed system will balance costs, production
and reliability under the various physical, economical
environmental, human and technical constraints.

We are in the business of producing profit


through oil, gas and water production.

Investment Costs

The investment costs for a artificial lift


method for a certain application are
function of:
Flowrate
Lifting depth
Setting depth

Investment Costs
The investment costs can then be calculated for certain applications.
Usually the investment cost should not be the only criteria for
selecting a artificial lift method.
There are several references comparing artificial lift investment costs.
Generally those costs can not be generalized due to:

Availability of equipment and manufacturer


Importation issues
Production characteristics
Number of wells considered
Methods available to other neighbor wells
Competition and Technology Evolution
Etc

It is though an interesting idea to have your own set of updated


investment costs for certain applications.
They are very useful for showing general investment costs trends.
They are also very useful as a quick investment costs reference for
economic analysis of alternatives.

Investment Costs AN EXAMPLE


The following tables and graphs are based on:
Johnson, L. D.: Here are Guidelines for Picking an Artificial Lift
Method - The Oil and Gas Journal, August 26, 1968.

Investment Costs
Rod Pumping Investment Costs (US$)
Lift Depth (ft)

Flowrate
(bpd)

2000

3000

4000

5000

6000

7000

100

6345

8675

11235

13595

16520

19930

200

7455

10115

12845

16000

19770

21640

300

8635

11935

14410

18760

22050

25480

400

9865

13630

17370

22210

26570

28480

500

10720

15870

19160

25990

32850

600

11840

18380

22990

31150

700

12950

20210

25290

800

15700

20400

28710

900

16190

20620

1000

16590

23220

1100

17690

26180

Investment Costs
Hydraulic Pumping Investment Costs (US$)
Lift Depth (ft)

Flowrate
(bpd)

2000

3000

4000

5000

6000

7000

100

12240

13860

15480

17100

18720

20340

200

13140

14750

16360

17920

19540

21160

300

13650

15270

16890

18510

20130

21750

400

14830

16450

18070

19690

21310

22930

500

15820

17440

19060

20680

22300

23920

600

15820

17440

19060

20680

22300

23920

700

17380

19300

21220

23140

25060

26980

800

19610

21530

23450

25370

27290

29210

900

23190

25510

27830

30150

32470

34790

1000

23930

26250

28570

30890

33210

35130

1100

25935

28350

30770

33190

35610

37830

Investment Costs
Electrical Submersible Pumping Investment Costs (US$)
Lift Depth (ft)

Flowrate
(bpd)

2000

3000

4000

5000

6000

7000

400

12170

12170

12170

12170

12170

12170

600

15650

15650

15650

15650

15650

15650

800

18900

18900

18900

18900

18900

18900

1000

22740

22740

22740

22740

22740

22740

1200

26470

26470

26470

26470

26470

26470

Beam Pumping
35000
Lift Depth (ft)

7000 6000

Investment Cost (US$)

30000

5000
4000

25000

3000

20000

2000

15000
10000
5000
0
0

200

400

600
Flowrate (bpd)

800

1000

1200

Hydraulic Pumping
40000

Investment Cost (US$)

35000
30000
25000
7000

20000

5000

15000

3000
2000

10000

Lift Depth (ft)


5000
0
0

200

400

600
Flowrate (bpd)

800

1000

1200

Electrical Submersible Pumping


45000

Investment Cost (US$)

40000
Lift Depth (ft)

35000

7000

30000

6000

25000

5000

20000

4000
3000

15000

2000

10000
5000
0
0

200

400

600
Flowrate (bpd)

800

1000

1200

Regions of Minimum Investment


Lift Depth = 5000 ft
40000

Artificial Lift Method

Investment Cost (US$)

35000
30000
25000
Electrical Submersible Pump

20000
Hydraulic Pumping

15000
Beam Pumping

10000
5000
0
0

200

400

600
Flowrate (bpd)

800

1000

1200

Regions of Minimum Investment

Investment Cost (US$)

Beam - Hydraulic - Electrical Submersible


Pumping
40000

7000

35000

6000

30000

5000

25000

4000

20000

3000

15000

2000

10000

Lift Depth (ft)

5000
0
0

200

400

600
Flowrate (bpd)

800

1000

1200

Minimum Investment Regions


Not necessarily Application Window
7000
Hydraulic Pumping

Lift Depth (ft)

6000

5000

4000
Beam Pumping

Electrical Submersible Pumping

3000

2000
0

200

400

600
Flowrate (bpd)

800

1000

1200

Operational Costs
The operational costs should also be considered
when selecting an artificial lift method.
Usually the operational cost should not be the only
criteria for selecting a artificial lift method. The
operational cost should be an imput to the economical
analysis to be performed.
Operational cost is consituted by three terms:
Fixed Costs
Costs that do not depend on the production but occur on a
regular basis

Variable Costs
Costs that are directly related with the production levels and
occur on a regular basis

Workover Costs
Costs that are related with failure of the system or components
of the system and occur at certain points in time.

Operational Costs

C = C fixed + Cv (q ) + Cworkover
C

= Daily Operational Cost

Cfixed

= Fixed Operational Cost

Cv(q)

= Variable Operational Cost

Cworkover

= Workover Cost

Variable Operational Costs


The variable operational costs consist of the costs to lift, treat,
produce, discard, export all the produced fluids.
We can break it down into each specific fluid variable
operational cost.
Another component of the operational cost consist of the cost of
energy used to help producing the fluids from the bottom of the
well to the surface (lift cost).

Cv = Co qo + Cw qw + C g qg + Chp HP

Variable Operational Costs


Each individual fluid production is associated with
the oil production. The energy consumption is also
associated with the oil production

Cv = Co qo + Cw WOR p (qo ) qo + C g GOR p (qo ) qo + C hp HP ( qo )

WORp

= Production Water Oil Ratio

GORp

= Production Gas Oil Ratio

Variable Operational Costs


Cv = (C o + C w WOR p (qo ) + C g GOR p (qo ) ) qo + C hp HP (qo )
The right hand side can be lumped into a equivalent
production operational cost

Cv = Coe ( qo ) qo + Chp HP( qo )


Coe = Co + Cw WOR p ( qo ) + C g GOR p (qo )

Optimum Production Flowrate


During normal production, the daily income from the
well can be written as:

S = (So + S g GORp ( qo ) ) qo
S

= Daily Operational Income

So

= Oil Sale Price

Sg

= Gas Sale Price

Optimum Production Flowrate


Or using a equivalent oil sale price:

S = Soe ( qo ) qo
S oe (qo ) = So + S g GOR p ( qo )

Optimum Production Flowrate


The total operational cost then can be written as:

C = C fixed + C workover + Coe (qo ) qo + Chp HP ( qo )


During normal production, the daily profit from the
well can be written as:

P = S C
P = S oe (qo ) qo C fixed C workover Coe ( qo ) qo Chp HP ( qo )

Optimum Production Flowrate

P = S oe ( qo ) Coe ( qo ) qo C fixed Cworkover C hp HP ( qo )


Simplifying the notation:

P = Poe ( qo ) qo C fixed Cworkover Chp HP (qo )


P ( qo ) = S ( qo ) C ( q o )
e
o

e
o

e
o

Optimum Production Flowrate


The maximum daily profit will occur when:

dP
=0
dqo
dHP ( qo )
dP dPoe ( qo )
e
=
qo + Po ( qo ) C hp
=0
dqo
dqo
dqo

Optimum Production Flowrate


The optimum production flowrate is the solution
to the following equation:

dPoe
qo
+ Poe
dHP
dqo
=
dqo
Chp
The relationship between the HP and the well
equilibrium flowrate qo is extremly important to
determine the optimum profit flowrate. The
relationship between the equilibrium flowrate and
the horsepower consumption is called Artificial Lift
Method Performance Curve.

Artificial Lift Performance Curve


The Artificial Lift Method Performance Curve can be
obtained through a nodal analysis of the system.
1600

Equilibrium Flowrate -

1400
1200

dPoe (qo )
qo
+ Poe (qo )
dHP( qo )
dqo
=
dqo
Chp

1000
800
600

400

Maximum Profit

nf
e

200
0
0

200

400

600

Horsepower

800

1000

Artificial Lift Performance


A artificial lift system should be designed to operate at the
optimum profit flowrate.
The optimum profit flowrate is function of:
Artificial Lift Method Characteristics and specific design
Reservoir Inflow Performance and Production Characteristics
Fluids sale prices, operational costs and energy costs

When determining the method performance curve, all


restricitions must be considered in order to obtain a realistic
curve describing the application envelope of the method. As
a result the performance curve may not be complete as
shown in the last picture
The performance curve may be limited by factors such as:
Minimum flowrate to achieve stable production conditions.
Maximum or minimum conditions for operation of the system or
components of the system.
Equipments installed

Artificial Lift Performance Curve


1000
Design Point

Oil Flowrate (bpd)

800
Gas Fraction = 15%

600

Maximum Motor HP

400
VSD Operating Envelope

200
Minimum Stable Flowrate

0
0

100

200

300

Horsepower (HP)

400

500

Artificial Lift Performance


Another important characteristics that helps to select an
artificial lift method is the method flexibility around the
design flowrate on the method performance curve. This
will help to evaluate the effects of:
Changes in the method performance due to changes in the
economical parameters
Changes in the method performance due to uncertainties in the
design data
Changes in the method performance due to changes in
production conditions with time.

Artificial Lift Performance


The flexibility of the method is a function of the
equipment installed to provide flowrate control. The type
of control equipment installed may also change the
method performance curve.
Flowrate control can be obtained by:
Changing surface equipment operating parameters

Choke Size
VSD Frequency
Gas Injection Pressure
Stroke length and SPM
Etc

Changing sub-surface equipment.


Oriffice of Gas Lift Valve
Etc

Sometimes extension of a method flexibility is only


accomplished by a complete redesign of the system and
a complete workover job.

Artificial Lift Performance Curve


1000
Design Point

Oil Flowrate (bpd)

800
Gas Fraction = 15%

600
Choke Control Operating Envelope

400

Pump Minimum Operating Flowrate without a VSD

200
Minimum Stable Flowrate

0
0

100

200

300

Horsepower (HP)

400

500

Artificial Lift Performance Curve


Maximum Motor HP or Pump Range

1000
Design Point

Oil Flowrate (bpd)

800

600
P
or

Np

400

200
Minimum Stable or Pump Range Flowrate

0
0

100

200

300

Horsepower (HP)

400

500

Artificial Lift Performance


The performance curves behavior with
cumulative production is an extremly powerful
analysis tool. We can predict:
Method performance during a certain depletion period
Method performance taking into consideration all
conditions and limitations imposed or intrinsic to the
system or method.
Method flexibility in following the best economic
production flowrate during the depletion period.
Method flexibility and its impact on the economics
during the production period.

Artificial Lift Performance


The performance curve enables the determination of the
best (maximum daily profit) production strategy
(equilibrium flowrate and horsepower) to be used as a
function of depletion for a certain design reflecting actual
production conditions and limitations.
Depending on the method flexibility and the performance
curve limitations, the optimum prodcution strategy may
conincide or not with the optimum production flowrate.

Artificial Lift Performance


The relationship between the equilibrium
flowrate
and
cumulative
production
is
fundamental for an accurate production forecast
of the system.

dN p
qe ( N p )

= dt

Artificial Lift Performance


Solution of this ODE will enable us to determine:

N p (t )

qe (t )

We can then estimate the cumulative production present


value from:

dN

pv
p

= dN p (t ) e

in
t
k

= q (t ) e

in
t
k

dt

If a forecast for oil sale and production costs is known we can also calculate the
economic present value for the system

Artificial Lift Performance


The procedure outlined enables the determination of the
optimum operating parameters for a certain artificial lift
method design.
For a certain design, the procedure will yield the
production strategy that will maximize daily profit under
the system conditions and restrictions.
The procedure will optimize the present value for
operating the well under a certain design.
The procedure will not globally optimize present value due
to:
Method flexibility and performance curves limitations due not allow
a certain design to produce at the best economical flowrate
possible. Optimum economical flowrate is outside the production
envelope for that design.
For different depletion stages different designs will yield different
performance curves.
The system will eventually fail and a well intervention will be
required to put the system back into a safe operating condition

Artificial Lift Performance


1000
Production Strategy

Oil Flowrate (bpd)

800

Production Envelope

600

400
Optimum Economical Flowrate

200
System Failure

0
0

100

200

300

Horsepower (HP)

400

500

Artificial Lift Performance


We are interested in obtaining the method
performance curve that maximizes present
value for a certain method. Usually during a
certain period of time we may redesign the
method because:
Production conditions may have changed so much
that a new design will yield a much better
performance curve and having well workover for
efficiency reasons may be the best economic choice
The system may have failed and since a well
workover is required the system can be redesigned.

Artificial Lift Performance


Each artificial lift method or artificial lift
method application scenario will have:
Different expected lifes
Different duration and costs associated with a
complete workover job.
Different costs and options associated with a
simpler intervention to improve efficiency.
Different waiting line times.
Different changes in performance with
depletion

Artificial Lift Performance - Example


No Failure 100% Performance Efficiency Design

50000000
45000000

Nominal Profit (US$)

40000000
Waiting Time

35000000
30000000

Failure

25000000
20000000
MTBF 720 Days

15000000

Workover Time 30 Days

10000000

Workover

5000000

Waiting Time 120 Days

Design Efficiency

0
0

500

1000

1500

2000
Time (days)

2500

3000

3500

4000

Artificial Lift Performance


All those effects are important to determine
for each scenario:
Total life span
Number of design changes during life span
Best design strategy for each period

Artificial Lift Performance - Example


Workover Time - Waiting Time - Workover Cost System Efficiency

No Failure 100% Performance Efficiency Design

50000000
45000000

Expected Failure Interval - days

Nominal Profit (US$)

40000000
35000000

720

30000000
25000000
20000000

360

15000000
10000000
5000000

180

0
0

500

1000

1500

2000
Time (days)

2500

3000

3500

4000

Optimum Flowrate and Artificial Lift Performance Curve


The Artificial Lift Method Performance Curve can be
obtained through a nodal analysis of the system.
1600

Equilibrium Flowrate -

1400
1200

dPoe (qo )
qo
+ Poe (qo )
dHP( qo )
dqo
=
dqo
Chp

1000
800
600

400

Maximum Profit

nf
e

200
0
0

200

400

600

Horsepower

800

1000

Optimum Flowrate and Artificial Lift Performance Curve


The Performance curve is obtained through a Nodal
Analysis that considers the actual performance of the
production system including the Artificial Lift Method
(OPR), the reservoir performance (IPR) and
production characteristics such as GOR and WC.
All points of the Performance curve represent a
possible actual production condition. The production
condition can be controlled by setting some of the
operational parameters of the artificial lift method.
Those parameters can be gas injection rate, VSD
frequency, pump speed and spm, etc

Optimum Flowrate and Artificial Lift


Performance Curve
The Performance curve can be used to:
Determine the best operating condition
when the system and the reservoir
performance and production characteristics
are known. This is usually the approach to
optimize production conditions.
Design a artificial lift method to be installed
in a well when the reservoir performance
and production characteristics are known.

Optimum Flowrate and Artificial Lift Performance Curve

The Performance curve also illustrates an


important problem.
Production forecast should be conducted to
reflect the future reservoir behavior as well as
the future operating conditions of the
production and artificial lift system.
This problem can only be solved in an
integrated way, since production operating
conditions will depend on future reservoir
behavior and reservoir behavior will depend
on production history which is of course
controlled by production operating conditions.

Optimum Flowrate and Artificial Lift Performance Curve


Usually this problem is solved by a Nodal Analysis
The Nodal Analysis is conducted using OPR curves
that reflect the production system and artificial lift
behavior and a reservoir simulator to reflect the
reservoir performance and production characteristics.
As we have seen, there are several equilibrium
conditions between the OPRs and the reservoir
behavior that are reflected by the artificial lift
performance curve for a certain level of reservoir
depletion.
The correct equilibrium point should reflect the actual
conditions to be used during the operation of the well.
The well should be operated as close as possible to
the optimum economical flowrate.

Optimum Flowrate and Artificial Lift Performance Curve

This provides a criteria for the reservoir


simulator to select the best operating flowrate
from all the possible values from the OPRs.
The optimum production flowrate is given by:
e
o

dP
e
qo
+ Po
dHP
dqo
=
dqo
Chp

Optimum Flowrate and Artificial Lift Performance Curve

When the IPR is not known, the left hand side


can be written as:
dHP HP HP dPwf
=
+
dqo
qo Pwf dqo

The optimum production flowrate is given then


by:
dPoe
qo
+ Poe
HP HP dPwf
dqo
+
=
qo Pwf dqo
C hp

Optimum Flowrate and Artificial Lift Performance Curve

The criteria for the optimum flowrate is:


Reservoir
Behavior

dPoe
qo
+ Poe
HP HP dPwf
dqo
+
=
qo Pwf dqo
C hp

Production System
Behavior

Economics and
Production Conditions

Managing Production
Managing the production characteristics
of each individual well can also have
dramatic effects on the economic
results.
Example
347 Wells
qo 10 - 20 bpd
qw 0 - 176 bpd

Managing Production
30000

Oil Production (bpd)

25000
20000
15000
10000
5000
0
0

5000

10000

15000

20000

Water Production (bpd)

25000

30000

Managing Production
If we can really isolate and identify the
fixed, variable and energy cost we can
optimize a pool of wells responding to
changes in the oil price.

P + C f = So qo Co qo Cw qw Chp HP
So = 15 US$/stb
Co = 4.9 US$/stb
Cw = 4.9 US$/stb
Chp = 1 US$/(HP day)
HP = 0.1 HP/stb (water or oil)

Managing Production
Profit + Fixed Cost (US$/d)

160000
140000
120000
100000
80000
60000
40000
20000
0
0

5000

10000

15000

20000

Oil Production (bpd)

25000

30000

Managing Production
So = 11 US$/stb
Co = 4.9 US$/stb
Cw = 4.9 US$/stb
Chp = 1 US$/(HP day)
HP = 0.1 HP/stb (water or oil)

Managing Production
Profit + Fixed Cost (US$/d)

80000
70000
60000
50000
40000
30000
20000
10000
0
0

5000

10000

15000

20000

Oil Production (bpd)

25000

30000

Managing Production
160000
Profit + Fixed Cost (US$/d)

15 US$/stb
140000
120000
100000
80000
60000

11 US$/stb
40000
20000
0
0

5000

10000

15000

20000

Oil Production (bpd)

25000

30000

Interesting Data
Energy Source

Energy Content or
Equivalence (BTU)

Ton of coal (907.2 kg)

21,400,000

Barrel of Crude

5,800,000

HP day

61,066

KWh of Electricity

3,412

Cubic Feet of Natural Gas

1,027

1 barrel*psi = 1.0389 BTU

Energy Content Equivalence


BTU

Ton of coal
(907.2 kg)

Barrel of
Crude

HP day

KWh of
Electricity

Cubic Feet of
Natural Gas

Ton of coal
(907.2 kg)

21,400,000

3.7

350

6272

20837

Barrel of
Crude

5,800,000

95

1700

5647

HP day

61,066

18

60

KWh of
Electricity

3,412

3.3

Cubic Feet of
Natural Gas

1,027

1 barrel*psi = 1.0389 BTU


1 bpd*psi is equivalent to 1.79 10-7 barrels of oil / day

References
1.

Brown, K. E.: Overview of Artificial Lift Systems, SPE 9979, 1982.

2.

Brown, K. E.: The Technology of Artificial Lift Methods, Vol. II-B, Chapter
9, Pennwell Books, Tulsa, OK, 1979.

3.

Bucaram, S. M. & Patterson, J. C. Managing Artificial Lift, JPT April 1994,


SPE 26212.

4.

Bucaram, S. M., Sullivan, J. H. A Data Gathering and Processing System to


Optimize Production Operations, Journal of Petroleum Technology,
February 1972.

5.

Bucaram, S. M., Yeary, B. J. A Data Gathering and Processing System to


Optimize Production Operations: A 14-Year Overview, Journal of Petroleum
Technology, April 1987.

6.

Clegg, J.D., Bucaram, S. M., Hein, N. W. Jr. New Recommendations and


Comparisons for Selecting Artificial Lift Methods, SPE 24834 - 1992.

References
7.

Clegg, J.D., Bucaram, S. M., Hein, N. W. Jr. Recommendations and


Comparisons for Selecting Artificial Lift Methods, JPT December 1993.

8.

Clegg, J. D., High Rate Artificial Lift, SPE 17638, Journal of Petroleum
Technology, March 1988.

9.

Corteville, J., Hoffmann, F., Valentin, E. Activation des Puits: Critres de


Slection des Procds. Revue de Linstitut Franais du Ptrole, Vol. 41,
NO. 6, November 1986.

10. Duke, S.: Artificial Lift Which Method Best Fits your Needs ?,
Southwestern Petroleum Short Course 1981.
11. Fleshman, R., Lekic, H. O., Artificial Lift for High Volume Production
1999.
12. Jacobs, E. G. Artificial Lift in the Montrose Field, North Sea, SPE 15869
1986.
13. Johnson, L. D. Here are Guidelines for Picking an Artificial Lift Method,
The Oil and Gas Journal, August 1968.

References
14. Kahali, K., Rai, R., Mukerjie, R. K. Artificial Lift Methods for Marginal
Fields, SPE 21696 1991.
15. Lea, J. F., Winkler, H. W. New and Expected Developments in Artificial Lift,
SPE 27990 1994.
16. Lea, J. F., Adisoemarta, P. S., Nickens, H. V. Artificial Lift for Horizontal
Wells, ETCE/OMAE 2000 Joint Conference Energy for the New
Millenium, February 14-17, 2000 New Orleans, LA.
17. Lea, J. F., Cox, J. C., Adisoemarta, P. S. Artificial Lift for Slim Holes, SPE
63042 2000.
18. Naguib, M. A., Shaheen, S. E., Bayoumi, E., Eman, N. A. Review of
Artificial Lift in Egypt, SPE 64508 2000.
19. Naguib, M. A., Bayoumi, A., Battrawy, A. Guideline of Artificial Lift Selection
for Mature Field, SPE 64428 2000.
20. Neely, A. B.:A. B. Neely Discusses Artificial Lift Techniques, Uses and
Developments. Journal of Petroleum Technology September 1980.

References
21. Neely, A. B., Gbison, F., Clegg, J., Capps, B., Wilson, P. Selection of
Artificial Lift Method, SPE 10337 1981.
22. Renfu, W., Xlankan, C. Artificial Lift Techniques in China, SPE 14866
1986.
23. Saputelli, L. Combined Artificial Lift System An Innovative Approach,
SPE 39041 1997.
24. Stair, C. D., Artificial Lift Design for the Deepwater Gulf of Mexico, SPE
48933 1998.
25. Valentin, E. P., Hoffmann, F. C. OPUS: An Expert Advisor for Artificial Lift,
SPE 18184 1988.
26. William B., Gargord, D. W.: High Capacity Artificial Lift Alternatives in the
Offshore Environment. European Offshore Petroleum Conference and
Exhibition 1978 SPE 8070.
27. Lessons in Well Servicing and Workover Artificial Lift Methods Lesson 5
The University of Texas at Austin 1971.

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