Alawad Book

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This book is dedicated to my parents, wife and kids for their


patience, understanding and encouragement which made

the completion of this book possible.

Musaed N. J. Al-
Al-Awad
ii

PREFACE

We can not see alternative fuels playing a substantial role in the short or medium terms,
oil and natural gas will continue playing an essential part in the world's energy needs.

Oil and natural gas touch our lives in numerous ways every day. Together, they
supply more than 65% of the world's energy. They fuel cars, heat homes, cook food, and
generate the electricity that powers our daily lives.

Petroleum and natural gas engineering is the application of the basic sciences to the
development, recovery and processing of oil and gas fields.

As its name suggests, this book provides readers with introductory information on oil and
natural gas industry and engineering. It was written primarily to students at the university
level, whose contribution will be crucial to the energy industry for continuing ability to
supply the world.

This book also is an essential reference for non-engineering petroleum industry technical
and non-technical professionals. It addresses several petroleum and natural gas
engineering issues including principals of oil and gas generation, exploration techniques,
reserves estimation, field development, production optimization, reservoir management,
the aspects of well drilling and completing, oil refining, oil and gas transportation, oil
spill, and basic oil and gas economics. Additionally, the essential units and conversion
factors were discussed in a simplified manner.

It must be said that, this book has distilled many years of experience and knowledge from
numerous sources worldwide as well as the long experience of the author.

Special thanks for the Research Center at College of Engineering in King Saud
University, Riyadh, Saudi Arabia for the provided financial support required to initiate
this work.

Thanks are extended to my professors, colleagues, and students for their valuable
suggestions, comments and encouragement.
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TABLE OF CONTENTS
Preface, ii
Table of Contents, iii
List of Tables, ix
List of Figures, xi

CHAPTER ONE: Background and Objectives, 1


1.1 Introduction, 1
1.2 Objectives, 2

CHAPTER TWO: History of Oil and Natural Gas, 3


2.1 Introduction, 3
2.2 The Arabian Tectonic Plate, 3
2.3 History of Oil and Natural Gas in Saudi Arabia, 6
2.4 Oil and Natural Gas Reserves, 6
2.5 Crude Oil Types, 7

CHAPTER THREE: Origin and Geology of Petroleum Reservoirs, 14


3.1 Introduction, 14
3.2 Origin of Petroleum, 14
3.2.1 Organic Origin Theory, 15
3.2.2 Inorganic Origin Theory, 15
3.3 Geology of Petroleum Reservoirs, 15
3.4 Types of Rocks, 16
3.5 Petroleum Accumulation and Segregation, 16
3.6 Petroleum Accumulation Requirements, 17
3.6.1 Source Rock, 17
3.6.2 Reservoir Rock, 17
3.6.3 Geological structures (Traps), 17
3.7 Types of Reservoir Traps, 18
3.7.1 Structural Traps, 18
3.7.2 Stratigraphic Traps, 18
3.7.3 Complex (Combination) Traps, 19
3.8 Reservoir Energy Mechanisms, 19
3.9 Improved Drive Mechanisms, 23

CHAPTER FOUR: Petroleum Exploration Techniques, 24


4.1 Introduction, 24
4.2 Exploration Techniques, 24
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4.2.1 Aerial Surveying, 24


4.2.2 Satellite Surveying, 24
4.2.3 Geological Exploration, 24
4.2.4 Geochemical Exploration, 25
4.2.5 Geophysical Exploration, 25
4.2.6 Electrical Exploration, 27
4.2.7 Drilling Exploration, 27
4.3 Contour Maps, 29
4.4 Basis of Petroleum Field Development, 30

CHAPTER FIVE: Chemistry of Petroleum, 31


5.1 Introduction, 31
5.2 Types of Chemical Compounds in Petroleum, 32
5.2.1 The Chain Aliphatic Hydrocarbons Series, 32
5.2.1.1 The Paraffin Saturated Hydrocarbons, 32
5.2.1.2 The Unsaturated Hydrocarbons, 32
5.2.2 The Naphthene Cyclic Hydrocarbons Series, 33
5.2.3 The Aromatics Cyclic Hydrocarbons Series, 34
5.3 Naming of Hydrocarbons, 34
5.4 The Importance of Hydrocarbons and its Derivatives, 34
5.5 Petrochemical Industries, 34

CHAPTER SIX: Petroleum Well Drilling Engineering, 36


6.1 Introduction, 36
6.2 Drilling Technology, 37
6.2.1 Cable Tool Drilling Method, 37
6.2.2 Rotary Drilling Method, 38
6.3 Basic Rotary Drilling Rig Components, 39
6.3.1 The Derrick, 39
6.3.2 Hoisting System, 39
6.3.3 Rotating System , 40
6.3.4 Mud Circulation System, 40
6.3.5 Pressure Controlling System, 40
6.4 Basic Functions of Drilling Fluid, 40
6.5 Typed of Drilling Fluids, 40
6.6 Optimum Drilling Fluids Density Design, 41
6.7 Casing-Bit Design, 41
6.8 Wellheads, Chocks, and Subsurface Safety Valve, 42
6.9 Petroleum Well Cementing Job, 44
6.10 Petroleum Well Completion, 44
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6.11 Perforating, 45
6.12 Cores and Coring Techniques, 45
6.13 Offshore Drilling, 46
6.14 Drilling Operations Management, 46
6.15 Petroleum Well Drilling Cost, 47
6.16 Measurement While Drilling, 47

CHAPTER SEVEN: Oil and Natural Gas Reservoirs Rocks Properties, 51


7.1 Introduction, 51
7.2 Porosity, 51
7.2.1 Absolute Porosity, 51
7.2.2 Effective Porosity, 51
7.2.3 Primary Porosity, 51
7.2.4 Secondary Porosity, 52
7.2.5 Induced Porosity, 52
7.3 Measurement of Porosity, 52
7.3.1 Measurement of Bulk Volume, 53
7.3.2 Measurement of Grain Volume, 55
7.4 Permeability, 56
7.4.1 Measurement of Absolute Permeability, 56
7.4.2 Measurement of Effective Permeability, 57
7.4.3 Measurement of Relative Permeability, 58
7.5 Reservoir Fluids Saturations, 58
7.6 Reservoir Pressure Distribution, 58
7.8 Darcy Law for Linear Flow, 60
7.9 Darcy Law for Radial Flow, 60
7.9 Gas Permeability, 60
7.10 Permeability of Combination of Layers, 60

CHAPTER EIGHT: Oil and Natural Gas Reserves Estimation, 62


8.1 Introduction, 62
8.2 Types of Reserves, 62
8.3 Reserves Estimation Techniques, 63
8.2.1 Material Balance Method, 63
8.2.2 Production Decline Method, 63
8.2.3 Volumetric Method, 63
8.4 Evaluation of Reserves Estimation Parameters, 64
8.5 Estimation of Oil and Gas Reserves Depletion, 66
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CHAPTER NINE: Petroleum Production and Formation Evaluation, 68


9.1 Introduction, 68
9.2 Components of the Production System, 68
9.3 Production Equations, 69
9.4 Formation Damage and Skin Factor, 69
9.5 Artificial Lift, 69
9.6 Remedial Well Work, 70
9.7 Processing of Produced Fluids, 71
9.8 Formation Evaluation Techniques, 71

CHAPTER TEN: Natural Gas Properties, 74


10.1 Introduction, 74
10.2 Natural Gas Types, 74
10.3 Natural Gas Volume Calculation, 75
10.4 The General Gas Law, 75
10.5 Evaluation of Gas Deviation Factor, 76

CHAPTER ELEVEN: Storage and Transportation of Petroleum, 80


11.1 Introduction, 80
11.2 Strategic Storage of Petroleum, 80
11.3 Liquefied Natural Gas Transportation, 81
11.4 Petroleum Transportation Methods, 81
11.4.1 Sea Tankers, 81
11.4.2 Pipelines, 82
11.4.3 Railways, 82
11.4.4 Tank Truck, 82
11.5 Evaluation of Petroleum Transportation Methods, 83

CHAPTER TWELVE: Offshore Pollution by Petroleum, 84


12.1 Introduction, 84
12.2 Behavior of Oil Spill in Marine Environments, 84
12.3 Effects of Oil Spills, 86
12.4 Major Classification of Oil Spill, 86
12.4.1 Offshore Oil Production Spill, 86
12.4.2 Oil Transport Spill, 86
12.4.3 Oil Refining Spill, 86
12.5 Oil Pollution Treatment Techniques, 86
12.5.1 Skimming Treatment Process, 87
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12.5.2 Adsorption Treatment Process, 87


12.5.3 Chemical Treatment Process, 87
12.5.4 Bacterial Treatment Process, 87
12.5.5 Burning Treatment Process, 87
12.6 Pollution Control and Treatment Capabilities in Saudi Arabia, 87
12.7 Waste Management, 87
12.8 Well Abandonment, 89
12.9 Some of the Major Global Marine Oil Spills, 89
12.10 Oil Spill Response in Saudi Arabia, 90

CHAPTER THIRTEEN: Basics of Petroleum Refining, 91


13.1 Introduction, 91
13.2 Refining Process, 91
13.2.1 The Separation Process, 91
13.2.2 The Conversion Process, 92
13.2.3 The Treatment Process, 92
13.3 The Main Refinery Products, 92
13.4 Petrochemical Products, 94
13.5 Jubail and Yanbu Industrial Complexes, 94

CHAPTER FOURTEEN: Basics of Petroleum Economics, 95


14.1 Introduction, 95
14.2 Organization of Petroleum Exporting Countries (OPEC), 95
14.3 Organization of Arab Petroleum Exporting Countries (OAPEC), 96
14.4 International Energy Agency (IEA), 97
14.5 History of Oil Prices, 97
14.6 Forms of Petroleum and Minerals Ownerships, 98
14.7 Types of Petroleum Well Drilling Contracts, 98
14.8 Reservoir Development Practices, 99
14.9 Principles of Engineering Economics, 99
14.9.1 Net Present Value, 100
14.9.2 Payout Time, 101
14.10 Reservoir Management Economics, 101
14.11 Cost-Per-Drilled Foot Analysis, 101
14.12 Oil Pricing Methods, 103
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14.13 Equivalent Oil Barrel Price, 103

CHAPTER FIFTEEN: Units and Conversion Factors, 104


15.1 Introduction, 104
15.2 Basic symbols in Petroleum Engineering, 105
15.3 Linear Interpolation, 105
15.4 Conversion Factors, 106
15.4.1 Equations Balancing, 106
15.4.2 Basic Conversion Factors, 107
15.5 Measurement of Oil and Natural Gas Volumes, 110

PETROLEUM GLOSSARY TERMS, 111

REFERENCES, 116

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