JPT Enero 2016
JPT Enero 2016
JPT Enero 2016
Jan16_JPT_Cover.indd 1
JA N UA RY 2 0 1 6 • VO LU M E 6 8 , N U M B E R 1 JOURNAL OF PETROLEUM TECHNOLOGY
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25 TECHNOLOGY UPDATE
Operators are seeking ways to sharply lower the recovery cost per barrel
of oil equivalent (BOE) in unconventional plays. One strategy is to increase
the percentage of refractured wells, as the cost per BOE of refracturing
is substantially lower than that of drilling and completing delineation or
development wells.
An Official Publication of the Society of Petroleum Engineers. Printed in US. Copyright 2016, Society of Petroleum Engineers.
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TECHNOLOGY FOCUS
We give
52 EOR PERFORMANCE AND MODELING you the
Omer Gurpinar, SPE, Technical Director, Schlumberger
ION
VISURAY X-RAY VIS
The complete SPE technical papers featured in this issue are available
free to SPE members for two months at www.spe.org/jpt.
PRODUCTION OPTIMIZATION CONSULTING
LET’S MAKE A
GAME PLAN
Any well type. All forms of lift.
'VMMæFMEPQUJNJ[BUJPO
© 2015 Weatherford. All rights reserved.
Drilling & Formation Evaluation | Well Construction | Completion & Stimulation | Production
AFRICA
Adeyemi Akinlawon,
TECHNICAL DIRECTORS
Adeb Konsult DRILLING AND COMPLETIONS
David Curry, Baker Hughes
CANADIAN
Darcy Spady, Landar Consulting Corp. HEALTH, SAFETY, SECURITY, ENVIRONMENT,
AND SOCIAL RESPONSIBILITY
EASTERN NORTH AMERICA Trey Shaffer, ERM
Bob Garland, Silver Creek Services
MANAGEMENT AND INFORMATION
GULF COAST NORTH AMERICA J.C. Cunha
J. Roger Hite, Inwood Solutions
PRODUCTION AND OPERATIONS
MID-CONTINENT NORTH AMERICA Jennifer Miskimins, Barree & Associates
Michael Tunstall, Halliburton
PROJECTS, FACILITIES, AND CONSTRUCTION
MIDDLE EAST Howard Duhon, GATE, Inc.
Vacant
RESERVOIR DESCRIPTION AND DYNAMICS
NORTH SEA Tom Blasingame, Texas A&M University
Carlos Chalbaud, ENGIE
WORLD CRUDE OIL PRODUCTION1+‡ HENRY HUB GULF COAST NATURAL GAS SPOT PRICE‡
THOUSAND BOPD
6
O PEC 2015 MAR APR MAY JUN
Algeria 1370 1370 1370 1370 5 USD/million Btu
Angola 1820 1830 1840 1850 4
Ecuador 553 548 543 541
3
Iran 3300 3300 3300 3300
Iraq 3825 3861 3975 4325 2
Kuwait* 2650 2650 2550 2550
1
Libya 475 505 430 410
2014
NOV
DEC
2015
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
Nigeria 2420 2520 2170 2220
Qatar 1525 1531 1532 1537
Saudi Arabia* 9940 9940 10140 10240
UAE 2820 2820 2820 2820 WORLD CRUDE OIL PRICES (USD/bbl)‡
Venezuela 2500 2500 2500 2500
TOTAL 33198 33375 33170 33663 MAR APR MAY JUN JUL AUG SEP OCT
Brent 55.89 59.52 64.08 61.48 56.56 46.52 47.62 48.43
THOUSAND BOPD WTI 47.82 54.45 59.27 59.82 50.90 42.87 45.48 46.22
Other 2544 2493 2469 2467 1 Latest available data on www.eia.gov. Italicized numbers indicate data revised by EIA.
2 Includes crude oil, lease condensates, natural gas plant liquids, other hydrocarbons for refinery feedstocks,
Total 44358 44015 43607 43986 refinery gains, alcohol, and liquids produced from nonconventional sources.
Water cut
Fluid flow rate
Pressure
Water cut Temperature
Fluid flow rate
Pressure
Temperature
AFRICA earlier in the year with estimated reserves of 1.5 Tcf of gas resources and 31 million bbl
159 Bcf. PGNiG plans further exploration in of condensate. The field will be operated
Z Eni discovered gas and condensate in the the concession. by Pharaonic Petroleum Company, a joint
Nkala Marine prospect offshore Congo. The venture of BP, the Egyptian Natural Gas
discovery could hold from 250 MMBOE to AUSTRALIA/OCEANIA Holding Company, and Eni.
350 million MMBOE in place, the company
said. In a production test, the Nkala Marine 1 Z InterOil said that logs from the Z The Abu Dhabi National Oil Company is
discovery well in the Marine XII block yielded Antelope-4 sidetrack-1 well in Papua New moving ahead with development projects
more than 10 MMcf/D of gas and condensate. Guinea’s Petroleum Retention License 15 that will increase United Arab Emirates
Delineation drilling is planned. Eni is the (PRL 15) confirm a southern extension of the oil production over the next 2 to 3 years
operator with a 65% interest in the block. gas-bearing dolomite in the Elk-Antelope to 3.5 million B/D from a current level
The remaining shares are held by New Age field. The wireline logs intersected the top of 2.9 million B/D, company Director
(25%) and Societé Nationale des Pétroles du of the reservoir at a point 118 ft higher than General Abdullah Nasser al-Suwaidi said
Congo (SNPC) (10%). the initial Antelope-4 well’s penetration, recently. The projects represent about
and new well data interpretation suggests a USD 35 billion of planned total investment
Z Sonangol and Total will break ground deeper gas/water contact for the field than and will target offshore development, a
on a deepwater oil pumping project that previously thought, the company said. Total shift from the company’s historical onshore
will increase Angola’s production by more is the operator for the PRL 15 joint venture focus. Al-Suwaidi said that the UAE could
than 30,000 B/D. Four multiphase, high- with a 40.1% interest. InterOil (36.5%), Oil not afford to lose global market share by
pressure subsea pumps will be installed Search (22.8%), and minority shareholders curtailing supply.
at the Rosa field in Angola Block 17 that (0.5%) are the other participants.
will enable the recovery of an additional NORTH AMERICA
42 million bbl, Sonangol said. Total is the EUROPE
operator of the block with a 40% interest, Z Magnolia Petroleum is participating
with other interests held by Statoil (23.33%), Z Production has started at Lundin’s Edvard in a 10-well drilling program operated by
ExxonMobil (20%), and BP (16.67%). Grieg field in the Utsira High area of the Continental Resources in the Woodford
Sonangol is the concessionaire. Norwegian North Sea about 110 miles west of formation of south-central Oklahoma.
Stavanger. The field holds estimated proved Drilling began in November and is expected
Z Chevron has begun oil and gas production and probable reserves of 187 million BOE with to conclude in March. Magnolia is hopeful
from the Lianzi Field, a subsea project in a possible increase resulting from a recent that the drilling program will help to balance
3,000 ft of water that is expected to achieve appraisal well, pending year-end company the company’s product mix of 56% oil and
production of 40,000 BOPD. Situated in a reserves certification. Production flows from a 44% gas more evenly.
unitized zone between Congo and Angola, steel-jacket platform in 350 ft of water. Lundin
Lianzi is the first cross-border offshore oil has a 50% interest in the field license with SOUTH AMERICA
development in Central Africa. A 27-mile other interests held by OMV (20%), Statoil
electrically heated subsea production flowline (15%), and Wintershall (15%). Z Petrobras has discovered oil at the Pitu
is the industry’s first at this depth. Chevron North 1 extension well in the Potiguar Basin
is the operator with a 31.25% interest. The Z Palomar Natural Resources and San offshore Brazil. Situated 37 miles off the
field partners include Total (26.75%), Angola Leon Energy have spudded the Rawicz-15 coast of Rio Grande do Norte state in 6,050 ft
Block 14 BV (10%), Eni (10%), Sonangol development well in the Rawicz field of of water, the well was drilled to a final depth
(10%), SNPC (7.5%), and GALP (4.5%). Poland’s southern Permian basin. Operated of 13,780 ft and is the first extension of a 2013
by Palomar, the well will be drilled to a discovery in the Pitu area. Profile analyses
Z Shell said that its Leopard Marin discovery planned total depth of 5,250 ft and undergo and fluid samples were used to prove the
offshore Gabon may be a commercial a full testing program. In May 2015, San Leon latest discovery, which will now undergo
gas field. “Leopard is the first potentially reported the estimated gross field reserves laboratory analysis. Petrobras, the operator,
commercial multi-Tcf [trillion cubic ft] find to be more than 50 Bcf of gas. holds a 40% interest in the concession
in a new gas play, and I think that is very (BM-POT-17). BP (40%) and Petrogal (20%)
exciting for us and for the government MIDDLE EAST hold the remaining interest.
of Gabon,” said Alastair Milne, Shell vice
president of exploration for Sub-Saharan Z BP has signed an agreement with Z Production from the Vaca Muerta shale
Africa, on 29 October at a conference in the Egyptian government to accelerate of Argentina is expected to double by 2018,
Cape Town, South Africa. development of the offshore Atoll gas field, according to a study by Wood Mackenzie.
discovered in the East Nile Delta’s North Yearly production is expected to increase
Damietta offshore concession area in 2015. by 10% in 2016 and grow at a markedly
ASIA
The project’s initial phase will include two higher rate by 2020 as YPF and its joint-
Z Polish oil and gas company PGNiG development wells that will be tied back to venture (JV) partners decrease drilling and
announced the planned December 2015 existing infrastructure, with production to completion costs, the study said. YPF will
startup of gas production at its concession start in 2018. Completion of the first phase likely need to make more JV deals to develop
in Pakistan. The project represents the is expected to spur investment in additional its 6.3-million-acre position in the shale play,
development of a “tight” gas discovery production wells. Atoll holds an estimated Wood Mackenzie concluded. JPT
SM
Always Creating, Always Innovating.
hexion.com/oilfield
//
tively drew a horizontal well. A senior statesman of indepen- //
dent oil and gas companies whose company is a very active op-
erator told me, “I don’t even remember the last vertical well I //
month’s International Petroleum Technology Conference in Doha. Global oil supply John Hudson, Shell
is still increasing faster than demand despite the plunge in oil prices and it will take Morten Iversen, BG Group
a while to reverse that trend, Total Chief Executive Officer (CEO) Patrick Pouyanné Leonard Kalfayan, Hess Corporation
told reporters at the conference, which is organized by SPE and other industry asso- Tom Kelly, FMC Technologies
ciations. “The market is oversupplied and production capacity will continue to grow Gerd Kleemeyer, Shell Global Solutions
because a lot of projects were sanctioned in 2013 and 2014. Many of those projects International BV
will be coming on line this year and in 2017,” he said. “(Total) does not expect a price Thomas Knode, Statoil
recovery in 2016.” Marc Kuck, Eni US Operating
Oil production from the US Gulf of Mexico is currently rising, as many megaprojects Jesse C. Lee, Schlumberger
invested in several years ago are now coming on line. Output from the Gulf of Mexico Silviu Livescu, Baker Hughes
is about 19% higher now than it was a year ago, according to the US Energy Informa-
Shouxiang (Mark) Ma, Saudi Aramco
tion Administration.
John Macpherson, Baker Hughes
ConocoPhillips’ Ryan Lance CEO said at the conference that US production is now
Casey McDonough, Chesapeake Energy
running at about 9.1 million B/D, down from 9.6 million B/D in the first half of last
year. US output will likely decline another 500,000 B/D this year, he said. That may Stephane Menand, DrillScan
not be enough, depending on the amount of oil Iran produces this year and with the Badrul H Mohamed Jan, University of Malaya
world oversupply currently estimated at 2 million B/D. Iranian production could add Lee Morgenthaler, Shell
anywhere from 500,000 B/D to 700,000 B/D to the market in 2016, according to a Michael L. Payne, BP plc
recent estimate from Barclays. Saudi Aramco’s CEO had a more positive view of the Zillur Rahim, Saudi Aramco
world oil market. Amin Nasser said he thought the market would begin to balance this Jon Ruszka, Baker Hughes
year and that his company was continuing to invest in upstream projects to meet future Martin Rylance, GWO Completions
world demand. Engineering
Analysts Tudor, Pickering, Holt and Co. said that oil companies have canceled or Otto L. Santos, Petrobras
delayed final investment decisions on about 150 projects in the past year that would Luigi A. Saputelli, Hess Corporation
have produced 125 billion bbl of oil equivalent. That could leave the world oil-short a few Sally A. Thomas, ConocoPhillips
years from now if global demand continues to rise as expected. JPT
Win Thornton, BP plc
Xiuli Wang, Minerva Engineering
Mike Weatherl, Well Integrity, LLC
Rodney Wetzel, Chevron ETC
Scott Wilson, Ryder Scott Company
Jonathan Wylde, Clariant Oil Services
Pat York, Weatherford International
To contact JPT’s editor, email [email protected].
Modern input
interface and
keywords
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with all third-party
input decks
Chemical EOR
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GUEST EDITORIAL
A recurring theme in the earning state- “For engineering design high temperature and pressure, or the
ments of oil and gas companies in recent behavior of a floating platform during
months is the desire to survive not only teams, (the current a hurricane.
“lower (prices) for longer,” but to use market) is an opportunity The importance of simulation is evi-
the current market downturn, and the dent in three specific examples: two
resulting urgency, as an opportunity to to review practices and from the recent CD-adapco Oil, Gas, and
reshape organizations to ensure that learn from others who Chemical Computational Fluid Dynam-
they are stronger and better able to ics (CFD) Conference, and one from out-
thrive in the years ahead. Clearly, the have used downturns side our industry.
industry needs to reduce costs and con- to reshape processes
tinue to innovate without compromis- Fluid control valve (FCV) design by
ing safety, but how? In other industry through simulation while Schlumberger. At the CD-adapco con-
crunches, such as that experienced by cutting development time ference, Reda Bouamra of Schlumberger
automotive manufacturers in 2008–09, shared the company’s work designing
simulation played a key role in helping and costs.” downhole FCVs. Scale deposition is a
to reduce engineering design costs and significant flow assurance challenge
lead times, while allowing manufactur- as it can reduce production, is cost-
ers to continue to deliver new and inno- Key to this has been the rapid ly to remediate, and can cause FCVs to
vative solutions. improvement in computer hardware jam, so Schlumberger’s objective was
While each company’s view on how to and software technology, as well as to develop an FCV that was less sus-
tackle this new paradigm will differ, for innovative licensing models that enable, ceptible to scale. Its integrated CFD-
many it will be to continue the day job rather than penalize, the use of high- experimental design process helped the
(deliver quality and innovative products performance computing and cloud solu- company achieve this, while reducing
and solutions), but at reduced devel- tions. Through the development of cloud engineering lead times and costs.
opment time and cost, without com- computing, engineers now have ready Schlumberger used CFD to design
promising safety. First principles-based and cost-effective access to computer a testing program, ensuring it was as
engineering simulation tools will be a resources that would have been unimag- close to real well conditions as pos-
key enabler, as companies will increas- inable a decade ago. These improve- sible, and focused on the scenarios of
ingly rely on simulation-based design ments allow engineers to increase the most interest. It was able to validate
exploration. The initial driver will number of design and operating con- CFD methods, enabling confident use of
be to reduce engineering costs and ditions evaluated, and to move beyond CFD to explore conditions and designs
time, but companies will also ben- the physical test to simulate real-world not tested.
efit from simulation as an innova- conditions at full scale, such as subsea One of the major benefits of simu-
tion enabler. separators with real process fluids at lation is the ease with which, having
created the initial validated model,
alternative designs or scenarios can be
Alex Read is the director, business development, oil & gas, for evaluated. This, plus the detailed infor-
CD-adapco, the largest privately held CFD-focused provider of
mation provided, enables engineers to
computer-aided engineering software. In 14 years at CD-adapco,
he has worked as a project engineer, led the customer support
come up with and efficiently test new,
team for northern Europe, and helped found CD-adapco’s innovative solutions.
operations in Houston and São Paulo, where he led both the sales The industry’s move toward standard-
and technical teams. Read now leads the company’s global ized solutions, reusable across multi-
activities in the oil and gas industry, focusing on helping oil and ple projects, introduces the need to
gas firms succeed through simulation. verify equipment performance across
*Mark of Schlumberger; the INTERSECT simulator is a joint product collaboration of Schlumberger, Chevron, and Total.
Copyright © 2016 Schlumberger. All rights reserved. 15-IS-89001
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SPE HFTC,
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TECHNOLOGY APPLICATIONS
Seminole Services announced the com- greater applications. The increase in reli-
mercialization of its first product, ability stemmed, at least in part, from
the Powerscrew Liner System, a new greater success reaming the liner to
expandable-liner hanger that is set setting depth. The higher reliability of
with torsional energy from the topdrive expandables is perhaps a consequence of
(Fig. 1). The Louisiana-based compa- greater flow area at the liner top and the
ny began development on the tool and lack of external setting devices. This has
associated equipment in the fall of 2012. led to many new developments in drilling
Rooted in solid mechanics and materi- with liners (DWL).
al science, the company provides engi- Nevertheless, expandable-liner hang-
neered wellbore solutions to explora- ers continue to suffer from potential
tion and production companies actively leak paths associated with high hydrau-
engaged in drilling oil and gas wells. lic pressure sourced at the mud pumps.
In the evolution of liner hangers, The hydraulic pressure provides ener-
mechanically set systems were devel- gy to the running tool necessary in
oped first. While many operators believe setting the liner top. In most expand-
mechanical systems are more robust and able systems, pressure pushes the roll-
provide superior sealing integrity when er/expansion cones/sleeve through a
compared with hydraulically set hang- metal-formed tubular by use of a mul-
ers, older mechanical systems typically titude of pressurized connections and
lack reliability, especially in applications fluid ports. By contrast, the torsion-
requiring longer liners in deviated well- ally set system combines the latest in
bores. In large part, this is because of the metal-forming technology along with
risks associated with reaming a mechan- the best features of mechanically set sys-
ical hanger to setting depth. Reliability tems. The result is a setting process that
rates were increased with the introduc- does not require high hydraulic pres- Fig. 2—MLR mandrel.
tion of hydraulically set hangers, which sures and eliminates the risks associated
allowed a greater range of applications. with reaming the liner to setting depth mandrel provides microupsets, increas-
However, the newer setting method suf- and DWL. ing the post-formed collapse resistance
fers from its own limitations, such as of the set liner top. Also, helical stretch
flow-area restrictions, compatibility Novel Features. In addition to torque as forming has less friction and therefore
with drilling-fluid additives, and a mul- the primary method of energy transfer, requires less force to forge a metallic
titude of potential leak paths. other novel features of the tool include tubular downhole. The tool incorporates
With the advent of expandable-liner a patent-pending helical stretch meth- a high-strength (drop) ball-activated
hangers, further increases in setting reli- od of metal forming using a multilead single-use clutch that disengages the
ability were achieved along with even rifling (MLR) mandrel (Fig. 2). The MLR running tool from the liner upon reach-
A A
join the best — welcome to the world’s leading trade fair for the tube
industry! Those who wish to find comprehensive information about the
latest innovations in tubes and pipes, manufacturing, processing machinery
and tube accessories need look no further. It can all be found here at the
world’s most important exhibition — the meeting point for international
experts, specialists and global market leaders. Special focal point at
Tube 2016: Plastic tubes. A special area is reserved for them, because the
question of materials is becoming more and more important.
www.messe-duesseldorf.de
JPT • JANUARY 2016
Powerscrew Seng Loads rates can be as high as 40% for con-
12,000
ventional hanger systems, so reliabil-
ity is an industry goal. The increase in
expandable-liner systems used in
10,000
the GOM is an indication that metal-
forming technology is being adapted for
the most-challenging wells and will only
Topdrive Torque (-lbf)
8,000
continue to increase in market share,
given increased competition. Finally, of
6,000
particular interest is the lesson that run-
ning a production liner with a reliable
hanger system, rather than employing a
4,000 long tapered string, could be the differ-
ence between a successful completion
and a problem. The benefits associated
2,000 with running a liner with a hanger sys-
tem include the following:
◗ A rotating liner hanger improves the
0 chances of a good cement bond.
◗ The presence of a liner-top packer
Military Time adds a barrier to annular flow near
the bottom of the well.
Fig. 4—Topdrive torque while setting the Powerscrew in Lucy 6G.
◗ The arrangement allows for the
omission of the differential fill tube,
retrieved from the well (Fig. 4). With a potential failure mechanism for
success on the first run came the real- the float collar.
ization that the setting torque needed to ◗ The negative test is potentially
be lowered. This issue was resolved by simpler to conduct and interpret.
working with our planetary-gear vendor, ◗ The well is better configured to
Creative Motion Control (CMC). CMC control and repair a leak in the
was able to customize a solution spe- liner by leaving the well filled with
cific for our unique downhole applica- drilling mud to a greater depth and
tion and was able to reduce the setting by placing the drillpipe at a greater
torque by 50%. In addition to the suc- depth in the well during the test.
cess with the running tool, a torsionally
set 7⅝-in. liner top was qualified under In summary, the Powerscrew elimi-
extreme well conditions at Oiltool Engi- nates potential leak paths while setting
neering Services (OES) in Willis, Texas with torsional energy from the topdrive
(Fig. 5). The set liner top was able to or rotary. This new liner hanger uses a
withstand the maximum load capacity patent-pending MLR mandrel that forms
of OES’s hydraulic ram at 500,000 lbf, the liner top (through helical stretch)
simulating liner weight. Also, 4,000- with greater post-formed collapse resis-
psi differential hydraulic pressure and tance than that of a typical expandable
3,000-psi differential gas pressure were tubular. These unique characteristics
maintained continuously from below are complemented by other exceptional
the set system without the benefit of features, such as a high-strength run-
cement. Finally, under combined load, ning tool, high hanging capacity, and
the set liner top withstood 300,000-lbf impressive pressure containment and
load and 3,000-psi hydraulic pressure at zonal isolation with packers and cement-
300°F, reaching a project milestone. ing accessories. The tool has been rig-
orously tested both in the field and in
Wide Appeal. While Seminole’s target the laboratory and has shown respect-
market is the Gulf of Mexico (GOM), able results. Finally, though somewhat
the technology can be used in any land underused, expandable-liner hang-
Fig. 5—Liner top being set at 300°F or offshore application where reliabil- ers have proved themselves in the
for further laboratory testing. ity is of paramount importance. Failure most-demanding applications. JPT
A challenging commodity price envi- tured wells in a portfolio. Typically, the influence of the various components of
ronment has forced operators to seek cost per BOE of refracturing is sub- the process.
methods for sharply lowering recovery stantially lower than that of drilling While operators sometimes seek ini-
cost per barrel of oil equivalent (BOE) in and completing delineation or develop- tially to “fix our poor performer,” after
unconventional plays. ment wells. due diligence (or an unsuccessful field
Some reduced costs have resulted from Recently, the development and trial), they usually look at more statisti-
the overcapacity of global services. Other implementation of effective stimula- cally reasonable alternatives. Some oper-
reductions have resulted from declining tion diversion techniques and great- ators consider the best candidates to be
industry activity, which has increased er focus on candidate screening have those with the highest original initial pro-
the availability of personnel and led to narrowed the window of uncertainty duction and with potential to improve,
a renewed focus on maximizing drilling in executing refracturing operations while others claim the best are those with
and completion (D&C) process efficiency. in horizontal wells. These improve- improvement potential and the highest
A portion of the recovery cost reduc- ments have reduced the economic risk estimated ultimate recovery (EUR).
tion has resulted directly from incre- of these operations and created further Additionally, some express interest in
mental technical innovations and pro- incentive to shift portfolio strategies properties with the highest decline rates.
cess improvements that were difficult toward refracturing. When used to the exclusion of other
to achieve when operators and service Taking advantage of refracturing factors, these approaches will some-
companies were concerned chiefly with opportunities in a portfolio involves times result in commercially success-
D&C execution. four steps. ful production profiles. However, more
Older processes were designed to max- 1. Screen the best candidate proper- often than not, the results are erratic
imize early production, whereas a num- ties, based on reservoir quality and the and unpredictable.
ber of newer technologies focus on max- potential to exceed the original comple- The preferred method described in
imizing net present value (NPV). High tion quality. this article has been developed with input
NPV is most often achieved by reducing 2. Design the optimal refracture treat- from numerous sources and represents
uncertainty and manipulating the cost ment to place new conductive fractures a cross section of industry thinking. It
portion of the NPV equation, especially where desired and reconnect existing includes the participation of operators,
when the commodity price and/or dis- ones. service providers, and various sources of
count rate is uncontrollable. 3. Execute the refracture treatment capital funding.
D&C portfolios have primarily con- for coverage of all selected lateral areas, Refracture candidate selection involves
tained a mix of delineation wells and using the latest processes, techniques, geostatistics and fundamental physics. A
development wells. Delineation wells and materials. clear relationship exists between com-
have a higher cost per BOE but a higher 4. Diagnose the refracture perfor- mercial success and both reservoir qual-
potential for accelerating reserve recov- mance and optimize the refracture design ity and the potential of refracturing to
ery. Development wells have a lower cost for analogous properties, using state-of- increase the total exposed fracture sur-
per BOE but a lower potential for accel- the-art diagnostic tools. face area.
erating recovery. This mix of wells is This article primarily discusses the In its simplest form, reservoir quality
appropriate for periods when margins candidate selection process. is generally proportional to kh, where k
are high enough to cover the associat- is the effective permeability to the dom-
ed D&C costs. However, the loss of such Screening Candidate Properties inant reservoir fluid and h is the height
margins in a low-price environment has The impact of refracture candidate of the exposed propped fracture in the
prompted adjustments to lower the aver- selection on the overall commercial suc- productive reservoir column. Often, kh
age cost per BOE. cess of a project is well known. How- is not known in a given acreage posi-
One strategy for lowering that cost ever, there is considerable disagree- tion because k is not easy to evaluate or
is to increase the percentage of refrac- ment in the industry about the relative measure. For matrix flow in an ultralow-
2,000,000
1,500,000
1,000,000
100
Actual
Predicted
500,000
Actual cumulative
Predicted cumulative
10 0
0 1,000 2,000 3,000 4,000 5,000 6,000
Producing Days
Fig. 1—A decline-curve analysis based on actual production, assuming no refracturing on day 1,509.
permeability target, the Darcy equation 1,000-ft, lateral length, bbl of fluid per The refracturing candidate selection
is applied: ft, and lbm of proppant per ft generally process revolves around balancing prop-
remained within a small window of varia- erties with better reservoir quality and
Q=−kA(∆P) . . . . . . . . . . . . . . . . . . .(1) tion in a given legacy time frame. those with the most potential for increas-
µL This lack of variation in a particular ing A and decreasing L. Reservoir qual-
where Q is production rate, A is the total play or acreage position essentially treats ity can be determined by rigorous geo-
exposed surface area, ∆P is the pressure A and L as constants and allows the use of logical and geophysical interpretation, or
drop from a given reservoir grid block decline-curve analysis as a tool to quali- classical decline-curve analysis if A and L
in three-dimensional (3D) space to the tatively compare the relative formation both have a small window of variability.
“nearest superhighway” (i.e., a propped permeability from one completion to Identifying opportunities to improve A or
fracture), µ is the reservoir fluid viscosity, another. The general form of the rate vs. L depends on examining the stimulation
and L is the distance to the same “near- time equation and completion practice at the time of
est superhighway” (i.e., fracture spacing). the original completion and comparing it
(dq/dt)/q=−Dqn . . . . . . . . . . . . . . . . (2)
A and L are the only variables that can with the current industry understanding
be effectively controlled by adjusting the is often applied as the more specific non- and practice.
stimulation material volume, as well as linear hyperbolic decline Situations of interest include the
the fracture initiation location and distri- following:
qt=qi (1+nDit)–1/n . . . . . . . . . . . . . . . (3)
bution, and are often related to the stim- 1. The most common scenario is low
ulation practices in place at the time the where n is the hyperbolic exponent and total exposed fracture surface area A
well was completed. Therefore, methods Di is the hyperbolic first-year decline and high distance L, most often associ-
to increase A and decrease L become a rate. Classical decline-curve analysis is ated with wide fracture spacing along
means to recover additional reserves that not a rigorous method to isolate or deter- the lateral. The refracture potential then
would not otherwise be accessed in a rea- mine k or kh, but under certain circum- is dependent on the ability to discourage
sonable time frame. stances, it is a proxy for comparing k the flow of stimulation fluids and prop-
The industry learning curve has pro- when A, L, and h are relatively consistent pants into the lowest-pressure reservoir
gressed in a stepwise manner so that it is across a group of properties. If Di is low, volumes and divert the flow to newly
possible to assume that the regional val- properties where A can be significant- induced fractures along the lateral.
ues of A and L are relatively constant dur- ly increased (and/or L decreased) infer 2. Often, the original exposed frac-
ing any historical time period. Though that k can be comparatively higher. These ture surface area is low because of an
localized differences exist in completion properties can become top candidates insufficient pumped volume per stage.
practices, parameters such as stages per for refracturing. This is generally addressed by perform-
1,500,000
100 1,000,000
Actual
Predicted
500,000
Predicted cumulative
10 0
0 1,000 2,000 3,000 4,000 5,000 6,000
Producing Days
Fig. 2—A decline-curve analysis based on actual production, beginning at the time of refracturing.
ing treatments with increased volumes associated with asymmetric fracturing fractures sparsely spaced along the lat-
of fluid and proppant and diverting, as from the stimulation of offset develop- eral during the original completion. Not
appropriate. ment wells. There is additional commer- only was the well located in an acreage
3. Sometimes, the total exposed frac- cial benefit if the delineation well hap- section thought to be above average, the
ture surface area A is low because of pens to fit into category 1 or 2. decline constant was slightly lower than
Stokes’ law considerations: 6. A number of miscellaneous scenari- the average of those of peer properties.
os could provide opportunities for refrac- These factors suggested the presence of
2g(ρp−ρf )R2 . . . . . . . . . . . . . . . (4) turing. They are relatively rare and should a reservoir with reasonable kh, despite a
Vs=
9µ be approached with caution, especially in 15-year EUR figure of only 2.2 Bcf.
where Vs is the maximum proppant set- light of the numerous candidates that Approximately 4 years after the origi-
tling rate in a given fluid, (ρp−ρf ) is the easily fit into categories 1 and 2. These nal completion, a retreatment program
density differential between the prop- might include a) a repairable wellbore was pumped with additional clusters
pant and fluid, R is the radius of a typi- with a mechanical problem, b) crushed and multiple cycles separated by diver-
cal proppant grain, g is the gravitational proppant, or c) scenarios where extreme sion material. The incremental cumu-
constant, and µ is the apparent viscosity scaling, asphaltene, or paraffin deposi- lative production for the remaining
of the carrier fluid. If the proppant set- tion have been positively identified. 11 years of the original 15-year period
tling rate is high, then the total exposed Locating and defining a series of increased by 2.5 Bcf, and the refractur-
surface area A can be greatly reduced, refracturing candidates with the high- ing operation was a clear commercial
especially above the lateral elevation. est potential for commercial success success, with a payout of approximately
4. Occasionally, the exposed fracture also requires due diligence regarding 2 years (Fig. 2).
surface area A is low because of the the mechanical integrity of the wellbore
large average proppant diameter and an and wellhead. In some cases, additional Conclusions
inability to prop the narrower fractures. action over and above the simple exam- The candidate selection process involves
The solution involves pumping a refrac- ination of records may be required and understanding reservoir quality, original
turing treatment with smaller-average- may involve operations such as pressure stimulation effectiveness, and the poten-
diameter proppants and simultaneously testing, bond logging, or isolating por- tial to access additional reserves. The sta-
attempting to improve on either catego- tions of a given wellbore. tistical success of refracturing a group of
ry 1 or 2. ultralow-permeability horizontal wells
5. Often, an older delineation (parent) Case History depends on a rigorous candidate selec-
horizontal wellbore is refractured as a Fig. 1 illustrates the production from tion process, robust stimulation design,
protective measure against lost reserves a Marcellus lateral that produced from and expert operational execution. JPT
With the world’s fifth-largest estimated Saudi Aramco has so nearly double the total organic content
shale gas reserves, there is great potential of the Eagle Ford while the lower tier is
for Saudi Arabia to replicate North Amer- far committed at least about the same. A pilot well drilled in
ica’s unconventional growth. Saudi Aram- the Tuqaiq Mountain formation had an
co’s unconventional program became
USD 10 billion to its average 30-day initial production rate of
operational in 2013 and the company has unconventional exploration 3 MMscf/D of gas and 1,800 B/D of oil.
been working with major service compa- In addition to core samples and
nies, including Halliburton and Schlum- program and is actively openhole logs, sonic logging tools and
berger, to develop the reserves. recruiting experienced diagnostic fracture injection testing
The primary driver is the country’s are being used to make key determina-
pressing need to find new supplies of unconventional experts tions about each formation’s permea-
gas to replace the domestically produced bility, pore pressure, and in-situ stress
crude oil used to generate most of its
from North America to state. Using this information, comple-
electric needs, demand that can reach as join its ranks. tion engineers are placing as many as
high as 900,000 B/D in summer. Anoth- 16 fracture stages along the laterals.
er major aim is to use unconventional gas to 8,000 ft. The shale is considered to be They are placing the stages only in the
to bolster the country’s growing petro- relatively shallow and is the source rock areas that appear to have the best pro-
chemical industry. for conventional gas fields in the area. duction characteristics and are avoid-
Ali Almomen, an unconventional gas The gas produced from this area will sup- ing areas with poor reservoir quality.
production engineer at Saudi Aramco, port a major mining project still under Based on production logs, Almomen
said the company has completed the construction and a new power plant. said this strategy has resulted in 95%
exploration and appraisal phases of its The other two plays are in the eastern of the perforation clusters contrib-
derisking strategy and is in the middle province and located along the periphery uting to production in some of the
of various pilot stages. He provided an of the Ghawar oil field, the largest con- best cases.
overview of the company’s progress at ventional oil field in the world. These two The company’s plans include using
the recent SPE Annual Technical Confer- areas will benefit from their proximity microseismic surveys and chemical trac-
ence and Exhibition in Houston. “We are to existing infrastructure and the large ers to better characterize fracture net-
trying to fine-tune the technology, try- amount of geological data already col- works and to determine how cluster stag-
ing to reduce the cost, and improve the lected from the development of Ghawar. es are contributing to production. The
[estimated ultimate recoveries] further,” The play located to the south of Gha- company is also investigating technolo-
he said. war is a deep tight sandstone formation gies to overcome the challenges involved
To accelerate the effort, the nation- where five appraisal gas wells have been with hydraulic fracturing in the middle
al oil company has so far committed at drilled so far. Sitting just east of Ghawar of the Arabian Desert. “We are experi-
least USD 10 billion to its unconvention- is the third play where Saudi Aramco menting with local sand and we’re doing
al exploration program and is actively is targeting a tight carbonate formation some research on water management,
recruiting experienced unconvention- called the Tuwaiq Mountain—the source testing, and trying to create a decent frac
al experts from North America to join rock for the giant oil field. The company fluid using sewage water, seawater, and
its ranks. believes this field is comparable in many other fluids,” said Almomen.
The company’s unconventional ambi- respects to the Eagle Ford Shale in Texas. He added that once the company
tions are focused on three different areas “Sometimes, it is better than the Eagle reaches the development phase, it will
in Saudi Arabia. The first is located in the Ford in terms of the permeability and continue work on driving down costs
northern part of the country. The target porosity,” Almomen said. and adopt factory-mode drilling tech-
formation is called the Qusaibia Hot Shale The Tuwaiq Mountain formation is niques pioneered by shale producers in
and is found at a depth between 6,000 ft split into two tiers. The upper tier has the US and Canada.
S
eismic surveys are created using noise on sea life is likely to gradually lead guns add to the noise from cruise ships,
bursts of acoustic energy that are to increasing limits on seismic surveys, freighters, and workboats, among other
referred to as “marine sound, or where noise regulation is already a costly things, in complex industrialized areas
noise, depending on your perspective.” fact of life. of the ocean, said Hatch, who cochaired
With that thought, John Young, direc- “A big concern is that regulators will the NOAA working group that developed
tor of the sound business line for CSA make it more difficult to use impulsive tools to map the many sources of under-
Ocean Sciences, introduced a recent sources in many areas,” said Rune Teng- water noise created by human activity.
panel discussion that included seismic hamn, vice president geoscience and This long-term program to bet-
innovators working on new sound sourc- engineering for PGS, which is one of ter understand background noise in US
es designed to produce better subsurface three companies chosen by the JIP to waters is not related to NOAA’s effort to
images as well as scientists and regula- develop an alternative. “This is the main revise a key measure of the effect of noise
tors concerned about the environmental driver for using marine vibrators.” on the hearing ability of marine animals.
impact of that noise. At that session and Regulations, based on laws passed The noise study, though, is an example
others at the recent annual meeting of decades ago when whales were the main of the growing number of large, wide-
the Society of Exploration Geophysicists concern, are evolving to protect a grow- areas data sets being created by envi-
(SEG), there was discussion about mul- ing range of marine life from outside ronmental researchers. Over time, more
tiple ways to move away from the intense noise sources. The US National Ocean- data matter because permits are based
pulses of acoustic energy produced by air ic and Atmospheric Administration’s on detailed estimates of the number of
guns. The industry standard emits both (NOAA) regulations are based on multi- animals affected and the noise they expe-
useful sound for seismic imaging and ple mandates designed to protect marine rience. Different databases can lead to
higher-frequency noise that dissipates in life and places such as fishing grounds. different outcomes and new models for
the ground. Leila Hatch, a marine ecologist for Stell- determining the impact of noise during a
One sign that this talk may lead to wagen Bank National Marine Sanctu- permit review.
alternatives to air guns for marine seis- ary, said the goal is to expand protection The US Bureau of Ocean and Energy
mic is a joint industry project by three “beyond species to an ecosystem level.” Management (BOEM) is currently writ-
major oil companies backing a new gen- The regulatory pressure is push- ing an environmental impact statement
eration of offshore seismic sound sources ing new air gun designs that narrow the covering seismic surveys in the Gulf of
designed to reduce noise and improve the sound frequencies emitted. They have Mexico and has asked NOAA to consider
seismic signal. also inspired lower-intensity survey rule changes based on that report. This is
Their goal is to “de-risk” vibrator ideas, such as the “popcorn method” likely to change the regulatory approach
technology, said Mike Jenkerson, geo- from BP. This approach could signifi- taken in the Gulf of Mexico to align it
physical advisor for marine seismic cantly reduce the peak energy of air gun more with the Arctic and Atlantic oceans,
at ExxonMobil, who represented the arrays, which are normally fired in uni- said Sarah Courbis, principal scientist at
Marine Vibrator Joint Industry Project son, by setting each gun off in succession, Smultea Sciences, an environmental con-
(JIP) at the conference. The JIP managed like corn popping. sulting firm.
by Texas A&M University is supporting Dolphin Geophysical supports an air This may cause problems for some
development and testing to determine if gun designed by the man who invent- companies seeking permits for wide-area
there is an alternative to air guns that is ed it, Stephen Chelminski, who says his surveys. The method used to estimate
effective and reliable even with a smaller new design can send out more useful fre- the number of animals affected by sound
acoustic signal. quencies with less environmental impact. could result in totals that appear high
The signal is the critical difference Shuki Ronen, external and collaborative based on standards permitting activi-
between sounds created using controlled research manager for Dolphin Geophysi- ty that has a “negligible impact” and
vibrations and air guns, which are called cal, said the seismic company is looking affects only “small numbers” of animals,
impulsive sound sources and create loud, for better seismic sources because, “We said Courbis.
sharp booms as a large volume of air is do have regulators looking at us and ask- “In large-scale seismic projects, small
emitted. Marine science and regulato- ing what we are doing.” numbers can be a confusing metric to
ry experts on the SEG panel indicated “Noise does represent a 21st century evaluate, and NOAA has had difficulty
that research on the impact of subsea environmental problem,” Hatch said. Air with lawsuits associated with negligible
Multiple Options
Marine vibrator work goes back decades,
to sonar system projects, providing a
technical foundation for seismic system
development.
Tenghamn was among those working
on vibrators back in the 1980s, several
employers before he was hired by PGS.
A diagram explaining how the device
works, which appeared in a recent pre-
sentation, is nearly identical to one that
appeared in a PGS publication in 2005.
A big difference now is the PGS device is
one of three with development support
from the Marine Vibrator JIP.
The three companies that founded the
JIP in 2010 represent a critical element
that has been missing for those develop-
ing marine vibrators—customer demand
for an alternative to the air gun. The JIP
chose three companies to develop marine
vibrators: PGS; Applied Physical Science
(APS), which is part of aerospace and
defense company General Dynamics; and
Teledyne Webb Research. They were cho-
sen from among 36 initially contacted by
the JIP, which is managed by the Texas
A&M Engineering Experiment Station.
The APS and PGS devices use electro-
magnetic force to create sound by mov-
ing metal parts. The APS device activates
a piston that vibrates a metal endcap, and
the PGS device vibrates a spring that acti-
vates an outer shell. The Teledyne design
produces a controlled sound by com-
pressing an air bubble inside a cylinder.
While the devices vary in patent-
The signal created by an experimental marine vibrator creates a growing
protected ways, all use precise, elec- pattern of waves. The controlled acoustic energy from the device by Teledyne
tric control systems to create “coherent Webb Research appears to push the water up before gravity pulls it back.
sound.” The controlled output of a vibra- Photos courtesy of Teledyne Webb Research.
Inside the PGS device (right) is a system where a magnetic coil vibrates a spring, activating an outer shell creating two
resonating sources of sound within a limited spectrum. Images courtesy of PGS.
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The marine vibrator from Teledyne Webb Research is lowered into a test pool at the Woods Hole Oceanagraphic
Institution. The vibrator signal is produced by applying pressure to two gas bubbles in the rubber-covered resonators
at the ends of the device, producing a chirp sound. Photo courtesy of Teledyne Webb Research.
in meeting its objective of demonstrat- dards set a minimum service time be- nym: a NUT. Despite the acronym,
ing the viability of the marine vibrator tween maintenance. Pramik said the agency is supportive,
technology,” Jenkerson said. The goal is The three companies involved in the and the permitting process is not much
to complete the project in 3 to 4 years. JIP are not the only ones working on more difficult than that required for a
APS is moving toward testing a full- new sound sources. Another made by traditional survey.
scale model of its design. “A quarter- Geokinetics was recently tested in the
scale model of our device has been suc- Gulf of Mexico. “We were very successful Less Impact
cessfully demonstrated and a full-scale at getting back all the energy intended Before launching the marine vibrator
version will be fabricated and test- to put in the ground, so it was working,” project, the JIP commissioned an exten-
ed in 2016,” said Jim McConnell, APS’ said Bill Pramik, vice president of acqui- sive environmental review to see if a
chief engineer. sition technology at Geokinetics. vibrator would present less risk than an
This competition is not designed to Full-scale survey work will require air gun. It was done by the E&P Sound
pick a winner. The JIP hopes the effort arrays of 10 or more units that fit into and Marine Life Program, whose 100
results in multiple competing marine current survey systems. “I doubt anyone backers include the companies in the
vibrators. Competition could help ensure (developing a marine vibrator) will have Marine Vibrator JIP.
that there is a financially attractive alter- an array ready in 2 years,” he said. The program’s 2011 study, based on
native to air guns, which are relatively The tests in US waters require a per- information available at the time, con-
inexpensive and reliable. mit under rules for new and unusu- cluded that lower peak volume and con-
To ensure that marine vibrators al technology, said Chad Vaughan, a trolled signals “should, in most respects,
can stand up to hard use common on BOEM geologist. He said the permit is have less environmental impact than sur-
a long seismic shoot, the JIP’s stan- commonly referred to using the acro- veys using air gun arrays.”
The oil bust is forcing change, which “It is very hard for any locations that were not your first choice,
is often difficult and sometimes for and maybe take a sub-engineering posi-
the better. professional in the industry tion to get started.”
Another major round of layoffs hit to lose his or her job,” said One piece of advice offered to gradu-
exploration and production workers late ates, as well as professionals in the field, is
last year, as companies came to the pain- J.C. Cunha, SPE’s technical that they should not limit their options by
ful conclusion that a recovery is not com- director for Management sticking to one category, such as uncon-
ing any time soon. The cost pressures ventional engineering, said Tom Blasin-
behind those cuts are also a force for more and Information, adding, game, the technical director for Reservoir
positive changes in the industry, such as “These people are capable Description and Dynamics. For exam-
simplified project designs, revised com- ple, innovations used in unconventional
pletion designs, and the application of of doing a lot of other developments could be valuable for com-
unconventional innovations to conven- things. They will not sit panies developing conventional fields.
tional exploration and production. “There will be a critical need for those
The seven technical directors on the and wait 2 to 3 years when who can cross-pollinate ideas, concepts,
SPE Board of Directors are concerned the industry begins to look and practices across the different reser-
about the long-term impact of this voir domains,” he said.
wrenching period. They addressed the for them.” There is also powerful economic moti-
issue during a panel discussion on “Man- vation for completion engineers to stop
aging the Future Impact of Current Cost said David Curry, the technical director and take a look at their current meth-
Cutting” at the 2015 SPE Annual Tech- representing Drilling and Completions. ods, and for operators to scale back com-
nical Conference and Exhibition. And it Rather than focusing on the number of plex project designs. The goal needs to
was on their minds as they talked about days it takes to drill, the industry should be “a design that is as simple as it can be
the industry’s future for this article. design and build wells to maximize prof- that accomplishes your objective,” said
One danger they cite is that money itable output. Howard Duhon, the director for Projects,
saved now by reducing the number of “We need to have closer alignment of Facilities, and Construction.
experienced petroleum engineers could everyone making the wells,” he said. “We In this period, faster information
have financial consequences later in the are still not consistently at a point where uptake is a competitive necessity for pro-
form of more expensive wells that are all the contracts around well construction fessionals in this business. “A lot of them
less productive, or shortages of skilled encourage and reward that cooperation.” are losing jobs and want to get rehired.
professionals. The number of college graduates being A lot want to improve their skills so they
“It is very hard for any professional in hired by oil and gas firms is down at a will be more valuable to their company,”
the industry to lose his or her job,” said time when enrollment in many petro- said Jennifer Miskimins, the director for
J.C. Cunha, SPE’s technical director for leum engineering programs is still near Production and Operations.
Management and Information, adding, record levels. The days have passed when The downturn has affected many of
“These people are capable of doing a lot a petroleum engineering degree prom- SPE’s member volunteers. Budgets for
of other things. They will not sit and wait ised a high-paying job. Dan Hill, the training, travel, and conferences are lim-
2 to 3 years when the industry begins to director for Academia, said graduates ited, and job cuts have hit some sec-
look for them.” now have to adjust to find work. tors hard. Those with jobs are busier
The industry is cutting expenses, but “We are telling students that the easy and have had more demands placed on
lasting productivity will depend on how times are over,” he said. “You have to them, cutting their time to volunteer.
it measures costs. “We have to make work at it to get a job, like students in any “But some people have been laid off and
sure that the drive to cut costs doesn’t other discipline. You will need to knock are volunteering (more). They are step-
impact the cost-effectiveness of wells,” on doors, be willing to go to geographic ping up because they have more time
In 2001, Shell began globalization of Competence management was clear- competencies. Staff in these
competence management with the ly presenting several challenges, ten- positions design, implement, or
implementation of its SAP human sions, and dilemmas. In short, leader- maintain barriers established
resources information technology (IT) ship knew the approach was missing the for managing major accident
platform. Hoping to capitalize on this IT mark against an increasingly dynamic risks or are line leaders in
investment, Shell’s various disciplines internal and external environment. organizations with these risks.
and functions began enthusiastic efforts
to create competence frameworks and Framing the Opportunity During the early stage of the project,
job competency profiles that could be Leadership was intent on successfully there was plenty of skepticism across
managed within a single repository. challenging longstanding approaches to the organization that the project could
The following decade of organic growth competence management and applied a achieve a profound change in Shell’s
resulted in a proliferation of compe- project management methodology typi- entrenched processes. The challenge of
tence frameworks that blanketed the cally reserved for capital projects. The defining a new global solution was exac-
organization. Complexity, inconsisten- project commenced in 2010 with an erbated by issues related to stakeholder
cy, and redundancy were some of the “opportunity identification” phase and control, perceived regrets, and individ-
unintended consequences of leverag- the subsequent framing of the oppor- ual bias. It was clear that many stake-
ing a global IT platform without tightly tunity. By the time the project go/no go holders had vested interests in main-
managing the overarching competence decision gate was reached, the project’s taining the competence management
management practices. decision review board, which consist- practices they had built. Additionally,
When Shell reviewed its compe- ed of several of Shell’s top executives, since competence management prac-
tence management infrastructure in had a clear picture of the prize as well tices touched everyone in the organi-
early 2010, pockets of excellence sur- as the challenges and global impacts of zation, most had strong opinions and
faced. Unfortunately, for most areas the a project of this scale. With a “go” deci- believed they spoke from a position
value of competence management was sion reached, Shell was now on its way of expertise based on the highs and
crumbling under the weight of over- to developing a new solution for compe- lows of their own experience. From the
engineered deployments. Capturing tence management aimed at delivering start, there was an appreciation that
large volumes of data on employees’ tangible outcomes: change would not be easy and would
competencies was deceptively attrac- ◗ Simplify and strengthen the require significant energy to win over
tive and comforting to management as relevance and value of the the hearts and minds of a global com-
well as those in the organization tasked individual development process. munity on a very personal and emo-
with managing workforce capability. ◗ Define and win acceptance tive topic.
However, these data did not necessar- for a pragmatic, common,
ily translate to valid or reliable informa- risk-based approach to Creating a Strategy
tion at an aggregate level for a variety allow business directors to Shell’s competence management strat-
of reasons, most notably due to incon- demonstrate that health, safety, egy created a clear distinction between
sistencies associated with assessments. security, and environment competence development and compe-
As the repository grew, managing ever- (HSSE)-critical positions have tence assurance. Ambiguity evolved
changing individual competence data been identified and filled over time between these two concepts
proved cumbersome and problematic. by people with the requisite in large part from the ways competen-
cies were managed in the organiza-
tion’s IT system. Regardless, whether
Brent A. Kedzierski is learning manager for Shell Upstream Americas. He holds an MA a competency was needed to manage
degree in human resource management from Marymount University and a BS degree major accident risk or to simply sup-
in training and communications from Indiana University of Pennsylvania.
port effective job performance, the pro-
cess of assessing, storing, tracking, and presented no need to be managed with Shifting mental models relative to
reporting competencies was essentially the same rigor as competencies criti- competence development and assur-
the same. Competencies were assigned cal to major accident risk management. ance was difficult for many in the orga-
based on job competency profiles or From a human performance perspec- nization. Employees were accustomed
HSSE-critical position requirements tive, lack of a developmental competen- to seeing their competencies in the IT
and self-assessed with manager review cy could affect value creation but did not system and having control to self-assess
and approval. The exception to this was present risk in the execution of safety- with manager approval. Self-assessment
in operational areas where competen- critical activities. with managerial approval was viewed
cies for assurance were managed at the
local site level using a variety of assess-
ment methods that were later leveraged
as internal best practices. Fig. 1 shows Focused only on highest risk
an example of competencies in the IT positions, task s, or roles
tracking system. Competence
Fig. 2 illustrates how Shell now dis- assurance Using a consistent approach
across Shell
tinguishes competence assurance and
development. The solution was based on
the belief that not all risks are equal and
only a subset of competencies and roles
in Shell required assurance. The major-
ity of competencies across the organi- Focused on development for
staff
zation were developmental in nature. Competence development
These non-assured or developmen- Using a simplified and
tal competencies were viewed as com- streamlined approach
petencies that contribute to individu-
al performance and are important to
the organization’s overall capability, but Fig. 2—Distinctions between assurance and development.
as a valid, practical, and long-standing Competence Assurance management positions responsible for
approach for managing all the compe- Solution defining or delivering risk management
tencies stored in the IT system. How- The strategic intent behind the new for major accident risks. The interme-
ever, this approach was insufficient competence assurance solution was to diate population includes Shell’s tech-
for the more rigorous assurance stan- create a clear framework for target- nical authorities who are designated
dards that were established and over- ing people who manage major accident experts charged with safeguarding the
complicated for the more individualized risk and need competence assurance. integrity of technical decisions in areas
development strategy. Each solution was designed in line with with the potential for major accident
To simplify competence develop- the company’s risk assessment matrix risks. The largest assured population
ment and sustain a heavier invest- (Fig. 3), which defines thresholds for covers frontline barrier management
ment in assurance, the complexity of the likelihood and impact of any poten- staff. These are staff in operational posi-
the existing landscape needed to be tial risk. The competence assurance tions that directly implement or main-
reduced. In response to this challenge, solutions seek to address any circum- tain barriers to major accident risks
all disciplines and functions conduct- stance where a lack of competence with- (Fig. 4).
ed a holistic review of their compe- in a clearly defined workforce popula- Once assurance populations were
tence management infrastructure. tion has the potential to affect major defined, each associated role was
Reviews were conducted in accor- accident risk management. reviewed against the applicable com-
dance with new guidelines that were The assurance solution with the petence framework (e.g., well engi-
based on consultation with external smallest population covers HSSE- neering, production operations) and/or
thought leaders as well as internal and critical leaders. Relevant employees are risk-based activity. Competencies and
external best practices. The exercise defined as senior line management in activities with the potential to impact
resulted in a 75% reduction in com- organizations with major accident risk targeted risk management levels were
petencies and job competency profiles responsibilities. The “leader” group flagged for assurance and assigned to
across Shell. also includes operations or technical individuals. Assessment protocols that
**
LEADERS
*
TECHNICAL
AUTHORITIES
FRONTLINE BARRIER
Group Risk Assessment Matrix (RAM) MANAGEMENT
specified how competence would be SMEs were provided access to internal cases attempted to serve as a guide for
assessed were then designed based on and external assessment experts as need- the development needs of hundreds of
consultation with internal and exter- ed to ensure quality. The new assurance staff. The relevance of the job competen-
nal assessment experts. The aim was to protocols and supporting infrastructure cy profile to the actual job that an indi-
achieve a level of rigor in the assurance represented a material improvement vidual performed was often a stretch.
processes such that results delivered over the more subjective practices used The development conversation today
“competent and can show it” outcomes. in the past. focuses on the manager and employee
The cornerstones of the assessment working together to co-create an indi-
protocols were: Competence Development vidual development plan, focusing on
◗ Clearly defined populations. Solution the key competence development areas
Focusing competence assurance The strategic intent behind the new required for the current role with an eye
strictly on the highest-risk competence development solution was toward future roles. This is a significant
positions and competencies as simplicity and employee value. The shift improvement from the past as employ-
documented in Shell’s HSSE control was in moving away from reviewing an ees had so many assigned competen-
framework extensive list of tick boxes in an IT sys- cies that it was difficult to determine
◗ Qualified assessors. Requiring tem to promoting a deeper and more where to focus and what to prioritize for
the use of trained and qualified individualized conversation between development. Now employees refer to a
assessors the employee and his/her line manager simplified job competency profile as a
◗ Valid and reliable assessments. based on simplified competence materi- reference and the focus is on what the
Requiring the use of structured al. Using the tick boxes as the foundation employee and manager believe is most
assessments to ensure “skill” level of the annual development process made relevant for the employee’s development
proficiency the annual review exercise an admin- and growth.
◗ Monitoring and control. Tracking istrative activity, which detracted from
results (competent or not yet the quality of a personalized conversa- Business Results to Date
competent) in one IT system with tion. The former process was based on The competence management project
companywide reporting capability the employee self-assessing in the sys- spanned a 5-year period beginning in
tem followed by the line manager receiv- 2010 and achieved all the goals defined
Once assurance protocols were in ing an electronic notification prompting during the opportunity framing process
place, subject matter experts (SMEs) them to validate the employee’s self- within the timeline shown in Fig. 5.
were trained in assessment development assessment. The tick boxes were based The project was by no means easy.
and tasked with developing assessments. on job competency profiles that in some Every design decision involving people
Efforts to increase recovery factors in icantly more successful compared with Limited design capability, smaller num-
all types of oil reservoirs keep increas- the older ones from 1980s. ber of field tests, and lack of monitoring
ing, regardless of the fluctuations in oil Mitigating declining pressures in the and control were the reasons most EOR
prices. It is a historical fact that, when 1970s and 1980s was basically handled projects did not perform in the past. All
oil price drops, industry’s focus turns by injection of water with simple vertical those issues are history now.
to produce/recover more oil where the injectors with limited design. Now, com- Over the last year, irrespective of the
oil is already found. In my career, this is panies think about low-salinity (LoSal) inclement times in our industry, funda-
the sixth oil-price crush I have seen, and options every time pressure maintenance mental sciences, EOR physics, numeri-
the same behavioral change is happening with water is considered. Alternative- cal modeling, monitoring and control-
again. The only difference between now ly, companies can design reliable water- ling capabilities, and EOR chemicals all
and my first experience, in the 1980s, is alternating-gas (WAG) -injection schemes demonstrated advancements. Ironically,
that the need for enhanced-oil-recovery by placing the right-trajectory wells in fast exploitation of the unconventional
(EOR) applications today is a must, not the right locations of heterogeneous res- liquids is considered to be one of the key
a luxury. Luckily, activity in the world of ervoir systems, which were already illu- reasons for the drop in oil prices; there
EOR is continuing and for the better. minated sufficiently with advanced res- are efforts to identify EOR potential for
Recovery-optimization efforts of the ervoir characterization. Placing in-situ those reservoirs. The efforts consist of
national oil companies are expanding sensors and digital feedback mechanisms advancements in reservoir characteriza-
with larger and well-designed EOR pilots enables companies to optimize the new tion suitable to those unique reservoir
and even with offshore chemical EOR recovery process significantly. To start systems, smarter fracturing fluids, and
projects. It is worth mentioning here that with, instead of just going with pressure EOR pilots.
the EOR experience gathered by the inter- maintenance, smart EOR screening sys- As a result of the continuing momen-
national oil companies and service com- tems that might have already been used tum in EOR efforts, many excellent tech-
panies over the decades is definitely find- may be more promising EOR options. nical papers were developed and, once
ing its way to provide a stable foundation Accessibility to fast EOR pilots suitable again, selecting only a few was rather
to those new EOR projects. Additionally, for the heterogeneity of the reservoir difficult. The following pages provide
new EOR projects are getting the benefit could be used, and the decision for field some insights on how EOR is being test-
of the significant enhancements in res- expansion takes place much faster and ed for “tight/light” reservoirs, CO2/LoSal
ervoir characterization and evaluation, more reliably than it did in the 1980s. WAG experimentation, and giant-field
flow physics, EOR chemicals, modeling More-reliable modeling capabilities, cou- EOR applications. JPT
capabilities, conformance capabilities, pled with cloud computing, are providing
and monitoring and control systems. All an environment in which refining EOR
those are happening; therefore, it is safe decisions in the presence of the uncer- Recommended additional reading
to say the new EOR projects will be signif- tainties of the reservoirs is now possible. at OnePetro: www.onepetro.org.
SPE 173322 A Four-Phase-Flow Model
To Simulate Chemical EOR With Gas
Omer Gurpinar, SPE, is the technical director of enhanced oil by Mohammad Lotfollahi, The University
recovery for Schlumberger. He leads Schlumberger in development of Texas at Austin, et al.
of technologies and services to help improve recovery factors in oil SPE 174648 Novel Visualization of
fields. Gurpinar has more than 35 years of industry experience in Chemical EOR Flooding Using a Lab-on-
various aspects of numerical reservoir modeling, with specific a-Chip Setup Supported by an Extensive
focus on naturally fractured reservoirs, reservoir optimization, and Rheological Characterization by J. Wegner,
EOR. He has contributed to recovery optimization for numerous oil Clausthal University of Technology, et al.
and gas fields globally. Since joining Schlumberger in 1998, SPE 173205 Reduced-Order Models
Gurpinar has served as the vice president or technical director in various segments. He for Rapid EOR Simulation in Fractured
holds BS and MS degrees in petroleum engineering. Gurpinar is a member of the JPT Carbonate Reservoirs by S. Agada,
Editorial Committee. Heriot-Watt University, et al.
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
(%)
8
imately 25%. The effect of IFT on re-
6
sidual oil saturation and oil relative
4
permeability was considered in the
2
gas-EOR-process simulations.
0 During the simulations, CO2 in-
0 0.04 0.08 0.12 0.16 0.2 0.24 0.28 0.32
jection was started after the pre-EOR
Effective Porosity
waterflood. The injector was given a
maximum-bottomhole-pressure (BHP)
Fig. 1—Porosity distribution in the fine-grid simulation model.
limit of 3,700 psia. An incremental oil re-
covery of approximately 13% over water-
flood was estimated after 581 days of
CO2 injection.
The CO2 injection was estimated to re-
duce oil saturation of the reservoir that is
Oil saturation was in contact with the injected CO2. Because
reduced to low value
(2 to 5%) in the of reservoir heterogeneity and poor mo-
SP-flooded zone. bility control, the vertical sweep of the
CO2 flood appears to be inferior to that of
the chemical SP flood.
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
X-ray generator
Gas
Core-holder
confining-pressure
pump
Injection
pump
Downstream dead
volume flush pump
Densimeter
Production pumps
sensors with different working ranges component description was used in the find a vector of eight coefficients only
is set between the inlet and outlet of the simulation, using the Peng-Robinson (the α-factors model requires a table of
core holder to measure differential pres- equation of state. The matching method- 64 coefficients). The task can be per-
sure across the core with high resolution. ology is as follows: formed easily with an assisted-history-
Injection rate was set to 2 cm3/h, cor- 1. Find a set of relative permeability matching tool.
responding to a front velocity of 0.3 m/d and capillary pressure curves to fit oil,
and a capillary number of less than 10–6, water, and gas production at reservoir Applicability of the SDTEC
which describes flow behavior far from conditions. Method to the Modeling
the wells. The experiment consisted of a 2. Find residual oil to vaporization and of Condensate Recovery
continuous injection of brine followed by coefficients to fit in-situ oil saturation, oil by Gas Cycling
a continuous injection of gas. Each injec- production at standard conditions, and When a gas/condensate reservoir is de-
tion phase followed the same protocol: individual-component production rate. pleted below the dewpoint, a valuable
Start injection at 2 cm3/h and wait for 3. Check whether reservoir-condition liquid phase called retrograde conden-
stabilization in production and pressure production and differential pressure are sate forms; a standard recovery practice
drop (i.e., no further saturation changes); matched properly. If not, find a modified consists of cycling dry gas so that, in ad-
raise rate to 4 cm3/h until steady state is set of relative permeability and capillary dition to (partially or wholly) maintain-
reached and then to 8 cm3/h to eliminate pressure curves and go to Step 2. ing pressure, liquid components may
capillary end effects; and, finally, mea- This methodology is iterative but con- be produced as vapor. The problem is
sure permeability of injected phase with verges very quickly. Two iterations were analogous to that of oil recovery by gas
Darcy’s law by decreasing the rate step sufficient to history match the experi- injection, except that quasicomplete re-
by step. ment successfully. covery is often observed in coreflood
All tested methods can provide a good experiments after sufficient pore vol-
History Matching. History matching match of the average in-situ oil satura- umes (PVs) have been injected. When
of the experiment was performed with tion; however, only the SDTEC model and the experiment duration is too short,
IHRRS on a 2D model with fine verti- another investigated model (α-factors it can usually still be matched to simu-
cal gridding to resolve gravity segrega- model) are able to match the evolution lation by use of the thermodynamic-
tion accurately and a horizontal block of the molar fractions of the different equilibrium assumption, provided that
spacing matching the longitudinal dis- produced cuts properly. The SDTEC ap- important physical parameters such as
persivity; gas fingering has not been ob- proach gives results very similar to those hydrodynamic dispersion are taken into
served during the simulations. An eight- of the α-factors model, while needing to account appropriately.
UNIVERSITY OF REGINA
Shale Plays Development
Three Tenure-Track Positions Available
Optimization www.amros.us
Applications are invited for one tenure-track Assistant/Associate Professor
position, one tenure-track Lecturer position and one tenure-track Lab
Instructor position at the University of Regina. Details on these positions
can be found at http://www.uregina.ca/hr/careers.
Amros Corporation uses standard
The preferred candidates for the professorial positions (Assistant/
open-hole log data to calculate a
Associate Professor, or Lecturer) should have the education, ability and production profile that shows where
enthusiasm to teach undergraduate and graduate courses in Petroleum
Systems Engineering, in the areas such as reservoir engineering, reservoir recoverable oil is located, where to
simulation, well testing, formation evaluation, drilling engineering,
production engineering, enhanced oil recovery, heavy oil recovery, and
frack vertical wells and where to drill
other fundamental and applied subjects of petroleum systems engineering. and frack horizontal wells.
The preferred candidates for Lab Instructor position should have the
qualifications to teach undergraduate lab courses in Petroleum Systems
Engineering. The successful candidate should have the appropriate
credentials for registration as a Professional Engineer in the Province In the Permian Basin Amros
of Saskatchewan, Canada, and will have a Ph.D. degree in Engineering
(M.A.Sc. or Ph.D. Engineering degree for the Lecturer and Lab-Instructor
Technology reduces the cost of
positions) with a preference for a graduate degree in Petroleum Engineering fracking up to 50% while increasing
or a closely related discipline. A demonstrated commitment to teaching and
research are required. Industrial experience is particularly valued. well production at least 20% with an
All qualified candidates are encouraged to apply; however, Canadians and average of 900% rate of return.
permanent residents will be given priority.
The University of Regina is committed to achieving a representative
workforce, and qualified diversity group members are encouraged to self
FRACK LESS – PRODUCE MORE
identify on their applications.
50
T he Bakken is one of the most
prolific plays in North America,
but, even with the deployment
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
E nhanced-oil-recovery (EOR)
performance may be assessed
quantitatively through a variety of
that analysis to gain insight into the sub-
sequent measurement-program design
and interpretation.
cause convergence is often much faster
than for the initial run. The process of
optimizing under uncertainty will lead to
metrics. Because formation and fluid a set of parameters that provide the opti-
properties are often poorly characterized, Optimization Under mum of the objective function (F).
however, performance predictions Uncertainty and GSA
of EOR processes are uncertain. The Optimization Algorithms. The optimi- Mean-Variance Approach and Effi-
authors present a method to reduce zation scheme of choice for this study was cient Frontier. The objective function
such uncertainty in EOR performance the radial basis function (RBF), a rapid for optimization under uncertainty may
adaptively while identifying an optimal and robust proxy scheme based on a trust take any desired units. After execution
operational strategy for a given tolerance region but validated against the underly- of an optimization run (with one or more
to risk. The proposed approach allows ing simulation model. This scheme has risk-aversion factors), one may be able to
one to reduce uncertainty progressively been proved to be well-suited for optimi- construct an “efficient frontier.”
in the predicted performance of an zation problems involving very expensive A set of solutions to the optimization
iteratively optimized EOR strategy by objective functions because it can fur- problem can be plotted in coordinates,
systematic reduction of uncertainty in nish good gains rapidly once trained with where optimal points corresponding to
identified properties of the reservoir. N+1 model realizations (where N is the predefined values of λ will form an ef-
number of control parameters). ficient frontier (Fig. 1). The slope of the
Introduction The common features in the afore- objective-function values on the frontier
Classic approaches to optimization mentioned optimization schemes are is representative of the penalty accept-
under uncertainty use a mean-variance their suitability for expensive simulation- ed by the decision maker for accepting a
approach. However, they do not pro- based objective functions and their prov- certain degree of risk. By running the op-
vide necessary insight into the underly- en track record of robustness, a critical timization separately for different user-
ing nature of the uncertainties inherent element in any optimization-scheme se- defined values of λ (each requiring a sepa-
in the optimized model. More impor- lection. Genetic- or evolutionary-based rate optimization run), one may plot the
tantly, they do not provide any specific solvers may be advertised as “global,” standard deviation σ on the x-axis and the
quantitative guidance on reducing such but one needs to question how such a mean µ on the y-axis to construct the con-
uncertainty, which is necessary from an claim may be validated when the objec- vex hull of optima—the efficient frontier.
operational point of view. This issue is tive function is very expensive to com- If one assumes normality in outcomes,
addressed in this study directly by com- pute. RBF and artificial-neural-network then one can assign a confidence to a spe-
bining global sensitivity analysis (GSA) schemes may not promise “global” min- cific optimum located on the frontier.
with optimization under uncertainty, in ima, but they do promise good solution The efficient frontier should be down-
an adaptive work flow, for systematic improvement, which is perfectly accept- ward sloping from right to left (Fig. 1).
uncertainty reduction of the optimized able considering the nature of the under- The top right point represents the op-
model prediction. Application of GSA to lying objective function. Furthermore, if timum value obtained from a run with
address various problems arising in the one initiates a second optimization run λ=0.0. This would represent a risk-
industry has been discussed in a num- by use of the best results from the previ- neutral policy. For λ=0.0, one effectively
ber of studies. However, these studies fo- ous optimization run as starting values, optimizes only for the mean, F=µ. The
cused mainly on quantifying uncertainty further upside potential may be obtained decision maker is, therefore, willing to
for specific physical quantities and using without excessively long run times be- accept that the mean value of the asset
will have a 50% probability of being re-
alized, with everything else being equal.
This article, written by JPT Technology Editor Chris Carpenter, contains highlights
As the value of risk aversion is in-
of paper SPE 173295, “Method for Adaptive Optimization of EOR Performance Under creased (i.e., λ>0), a lower µ is inevi-
Uncertainty,” by N. Chugunov, T.S. Ramakrishnan, A. Lukyanov, and W.J. Bailey, table. Note, however, that in practice, a
Schlumberger, and D. Wilkinson, Efficient Solutions, prepared for the 2015 SPE smooth convex efficient frontier is not
Reservoir Simulation Symposium, Houston, 23–25 February. The paper has not been always achievable. This may be because
peer reviewed. of the nature of the underlying model or
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
H
Point λ Percentile cantly because of reduced injectivity at
A 0.0 50.00% increasing polymer concentrations. Re-
B 0.5 69.14%
C 1.0 84.13% sults of GSA further support this argu-
D 1.5 93.32% ment, indicating that uncertainty in the
E 2.0 97.72%
F 2.5 99.34% shear-thinning model is the most signifi-
G 3.0 99.86% cant contributor to overall uncertainty in
H 4.0 99.99%
Standard Deviation, σ
oil recovery in this model. It is important
to reiterate that each point on the effi-
cient frontier is a statistical representa-
Fig. 1—Example of an efficient frontier constructed from multiple optimization
tion of a set of model realizations for a
runs of F=µ−λσ for eight different values of λ. Thus, the frontier of optima (the
convex hull) is constructed from the eight separate optimization runs. These given solution vector of control parame-
points are labeled A through H, representing the optimum value of each run ters α. It is instructive to examine this set
for the value of λ specified. For each point (requiring N simulations) there of model realizations in more detail. One
exists a unique set of control parameters λ so the results have operational
meaning. The confidence values for each value of λ are shown in the insert
way to do this is by generating probability
table (assuming a normal distribution of outcomes). Any point located under maps, where each grid cell of the reservoir
the efficient frontier is suboptimal; only the points on the efficient frontier is represented by a probability of a given
itself (as labeled) should be considered for operational purposes. Different physical property to exceed a predefined
colors and marker shapes of the points correspond to different values of λ. The
empty region above the efficient frontier is unfeasible given the state of the
threshold value. Probability maps can pro-
current model inputs and uncertainties. If one (partially) resolved some or all vide important insights into the perfor-
of these uncertainties, then the efficient frontier will likely shift to the left. mance of the reservoir and can allow one
to focus on a particular physical process
because the algorithm found a local op- ability distribution functions for each un- and its effects on overall performance of
timum. In the latter case, good practice certain parameter βi. the reservoir in terms of sweep efficiency.
is to initiate another, second optimiza- 2. Perform optimization under uncer- In general, after reducing the range of
tion run, initializing this new run with tainty [max F(α), where F=µ(α)−λσ(α)], the uncertain parameters identified by
the best values obtained from the previ- to determine the relevant points on the GSA, a shift of the efficient frontier to the
ous run as starting points. This will, it is efficient frontier for various values of λ. left is expected. However, the opposite
hoped, enable the optimizer to “jump” 3. For a given point on the efficient effect is also possible when the local vari-
out of the local minimum and find a bet- frontier (defined by the prescribed value ance of values in the physical quantity of
ter (presumably global) optimum. of λ and corresponding values of control interest in the updated (reduced) range
From an operational perspective, the parameters αλ), calculate GSA sensitivity of the uncertain parameter is higher than
goal is to reduce this risk while retain- indices with the function Y(β)=y(αλ,β) that observed in the initial range. Even
ing (as much as possible) the level of 4. Rank uncertain parameters β ac- for this exceptional case, the authors
expected performance (represented by cording to their value of S1. argue that the approach described pro-
µ). To reduce the uncertainty, one needs 5. Obtain additional, targeted, mea- vides an iterative and accurate estimate
to understand where it is coming from. surements to reduce uncertainty of those of the risk/reward profile for a given EOR
Therefore, a quantitative link between parameters, β, with high values of the scenario and allows one to avoid costly
uncertainties in input parameters (β) and first-order sensitivity index (S1) and re- mistakes that would result in an under-
uncertainty in the output is desirable. define their probability-distribution performing reservoir.
This is accomplished by use of GSA on the functions accordingly. It is important to reiterate two main out-
basis of variance decomposition. A dis- 6. Optional: keep fixed parameters β comes of GSA. First-order effects quantita-
cussion of GSA and its execution is pro- with low values of total effects (ST) (less tively identify the input parameters con-
vided in the complete paper. than 0.05) in order to reduce the dimen- tributing the most to the uncertainty of
sionality of the optimization problem. the performance metric. Often overlooked,
Optimization Work Flow 7. Repeat Steps 2 through 6 until an ac- but arguably equally important, are the
A summary of the proposed generalized ceptable level of risk/reward is achieved total effects, where parameters with ST
work flow is shown in Fig. 2 of the com- or until the decision is made that the values below a predefined threshold may
plete paper. The main steps include desired level of performance cannot be be excluded from subsequent analysis,
1. Define control variables (α) and un- achieved with the acceptable level of risk. thereby reducing effective dimensionality
certain parameters (β). If feasible, define An illustrative example of the work of the problem and decreasing the compu-
ranges for control variables. Define prob- flow is provided in the complete paper. tational cost of the analysis. JPT
In last year’s Technology Focus concern- In light of the challenging through precisely addressing isolation,
ing mature fields, I highlighted safety, diversion, and placement, for example.
well integrity, and digital technology as environment our industry The last point is about achieving
the three enablers for achieving sustain- is facing, I would suggest investment returns and, at the same
able returns. In light of the challeng- time, exceeding corporate environmen-
ing environment our industry is facing,
that JPT readers become tal responsibility. It seems unlikely that
I would suggest that JPT readers become familiar with refracturing we can have our cake and eat it, too. How-
familiar with refracturing techniques, techniques, technology/ ever, I have witnessed enough examples
technology/methodology that improves (mostly outside of our industry) to realize
efficiency, and opportunities that achieve methodology that that this certainly can be achieved. The
positive financial impact and exceed improves efficiency, and journey will not be easy. Some examples
environmental responsibility. take more than 15 years of persistence
First of all, the surge in unconvention-
opportunities that achieve and investment to become established. I
al completions over the last decade has positive financial impact sincerely encourage JPT readers to incor-
created ample candidates for hydraulic and exceed environmental porate this aspect into their professional
refracturing. With the proper implemen- responsibility and continue to challenge
tation of new and improved techniques, responsibility. themselves and their teams.
followed by diligent economic analysis, In this editorial, I talked about refrac-
refracturing has been demonstrated to turing, efficiency, and environmental
be a viable alternative to the more expen- ogy that precisely and effectively locates responsibility. Therefore, I have selected
sive endeavor of drilling and completing the remaining oil in mature reservoirs. In several papers on these topics to share
new wells. There are numerous informa- addition to identifying potential oppor- with you. We all know 2016 will be a
tive and enlightening SPE publications on tunities, it also serves to derisk project challenging year for our industry; how-
this topic. investment and allows key decisions to ever, I am sure this is the driving force
Speaking of technology and method- be made in a timely manner. that we need to take our industry to the
ology that improves efficiency, these are The other example is a stimulation next level. JPT
the technologies that will be embraced technique that is designed to deliver
and adopted quickly by the industry, pinpoint accuracy. These are technolo-
especially in this challenging environ- gy enablers that, when combined, could Recommended additional reading
ment. One of the examples is a methodol- significantly improve well performance at OnePetro: www.onepetro.org.
IPTC 17718 Successful Restimulation of
Western Siberian Oil Fields With Channel
Jesse Lee, SPE, is chemistry technology manager at Fracturing Technique by Alexey Yudin,
Schlumberger. He holds a PhD degree in chemistry from Yale Schlumberger, et al.
University and conducted post-doctoral research at the
SPE 173340 Refracturing in Eagle Ford
Massachusetts Institute of Technology. Lee joined Schlumberger and Bakken To Increase Reserves and
in 1997 in Tulsa as a development engineer, focused on the Generate Incremental NPV—Field Study
development of polymer-based fracturing fluids. During 2000– by YagnaDeepika Oruganti, Baker Hughes,
10, he managed new-product development at Schlumberger et al.
product centers in Sugar Land, Texas, and Clamart, France. At
SPE 173601 Reduced Emissions and
Schlumberger, Lee is responsible for developing technical collaborations and Increased Production Through Gas
managing relationships with external chemical companies. He is a member of the JPT Compressors: Pilot Case in Colombia by
Editorial Committee. J.C.M. Escobar-Remolina, Ecopetrol, et al.
T he surge in unconventional
completions has created a
substantial accumulation of previously
antimony-124. The tracers are pumped
primarily throughout the proppant-
laden portion of the stimulation. A spec-
represent recovery of the well’s newly
displaced fracturing fluid instead of fluid
from an offset. To determine effective
hydraulically fractured wells that are tral gamma ray logging tool is run to drainage areas and optimized well spac-
candidates for hydraulic refracturing. identify near-wellbore proppant place- ings adequately in both initial and refrac-
Completion diagnostics are a valuable ment of each individual tracer. The prop- ture completions, it is critical to evalu-
tool in determining the most cost- pant tracers are ceramic beads, typically ate the magnitude, duration, and type of
effective stimulation and completion 40/70 mesh. The specific isotopes fall communication observed.
parameters, part of the refracturing in a sweet-spot of half-lives that make Fluid-tracer technology has been used
optimization process. Refracturing them ideal for this application. Through extensively in new completions to pro-
allows the operator to capitalize on the years, production-log data have file fracturing-fluid and hydrocarbon re-
this continuous improvement in shown an excellent correlation with coveries, and it is often used to quanti-
stimulation design. It also provides near-wellbore proppant placement, and fy interwell communication. Its use as a
an excellent opportunity to add this same strong correlation exists with refracturing diagnostic tool is relatively
incremental production. traced refracturing. new and primarily focuses on determin-
In initial fracturing operations, ing the created refracturing geometry
Introduction proppant-tracing technology can be very and the effective drainage area. When run
The primary purpose of refracturing is useful in addressing the questions of un- in conjunction with proppant tracers, it
to increase production from an exist- stimulated perforation clusters, prop- allows a time-lapse image of any offset
ing wellbore through stimulation of new pant coverage across the lateral, and “fracture hits.”
rock and the re-establishing of conduc- cluster and stage spacing. It can also Hydrocarbon tracers in conjunc-
tive pathways between the reservoir and be used to highlight possible fracture- tion with proppant and fluid tracers
wellbore. This paper analyzes diagnos- geometry changes by looking at the near- can play a critical role in addressing
tic results for a variety of wells in re- wellbore signature (transverse or lon- these offset-communication questions.
stimulated formations around the coun- gitudinal) of the three distinct tracers. They offer the opportunity to obtain
try (data for all 69 wells restimulated in For multiwell projects, proppant tracers a direct measurement of the commu-
11 formations are provided in the com- can be an excellent tool to measure offset nication and of the type of overall hy-
plete paper). This analysis process il- proppant communication directly. drocarbon drainage area that is being
lustrates that all formations are unique developed (e.g., how much of the re-
and need to be evaluated independently. Offset-Communication Analysis. Re- serves are being shared).
What works well in one area often does cent studies have shown that early inter-
not apply in other areas because of reser- well communication does not necessarily The Refracturing Process
voir differences along with pressure and correspond to long-term communication. Candidate Selection. Developing a
temperature variances. Surface-pressure and water-production master list of available wellbores and
changes are two observed indicators of then grading or ranking candidates by
Diagnostics offset communication. Though a pres- key criteria can improve overall proj-
Proppant Tracers. The primary diag- sure response in an offset well is an in- ect economics significantly. One of the
nostic technique discussed in this paper dication of fracture pressure communi- best criteria to use initially is any large
is proppant tracing, using three dis- cation, it does not definitively indicate unstimulated area identified by original
tinct low-level gamma-emitting trac- a well-connected fracture system. Simi- completion diagnostics.
ers: iridium-192, scandium-46, and larly, increases in water production can It is important to have a strategy in
place to test and confirm (diagnostically)
conceptual ideas early in the refractur-
This article, written by JPT Technology Editor Chris Carpenter, contains highlights ing program. This will allow operators
of paper SPE 174979, “Refracturing—Diagnostics Provide a Second Chance To Get It to accelerate the optimization process
Right,” by R.S. Leonard, SPE, C.P. Moore, SPE, R.A. Woodroof, SPE, and C.W. Senters, and ultimately gain sufficient knowl-
SPE, Core Laboratories, prepared for the 2015 SPE Annual Technical Conference and edge to “get it right the second time.”
Exhibition, Houston, 28–30 September. The paper has not been peer reviewed. One past mistake was restimulating an
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
was observed. The lower volume in the An integrated methodology suitable 2. Estimating the potential reserves
model was found to be attributed to a for the identification of remaining- or (LTRO-2)
skewed porosity distribution owing to bypassed-oil opportunities in waterdrive In LTRO-1, the study focuses on
nonavailability of porosity logs in some reservoirs was developed and applied understanding and performing the
of the key wells. An exponential function in the work flow. The study was car- reservoir-level performance review and
from the porosity vs. gamma ray correla- ried out for each of the reservoir units. well-by-well performance reviews; in-
tion was used for generating pseudopo- Reservoir-performance review was first tegrating well-perforation and -log
rosity logs. Porosity modeling was im- carried out with material-balance and analysis; and leveraging available re-
proved by including the pseudoporosity average-fluid-contact-movement calcu- cent openhole logs and cased-hole
logs, which resulted in better control in lations to understand the drive mech- logs, water diagnostic plots, material-
porosity distribution. anism and estimate the potential cur- balance analysis, well-performance-
rent contacts. Together with animation stick plots, and bubble-map analysis
Rationale of LTRO Approach of production data on maps, a good view (Fig. 1).
A fit-for-purpose static model was ad- of the production aquifer-influx progres- LTRO-2 includes efforts to estimate
opted, followed by an integrated classical sion with time was obtained, enabling possible initial rates from analog wells
methodology to locate the remaining oil initial identification of potential remain- and productivity-index studies, decline-
and to estimate potential reserves. ing oil. Well-performance data were used curve analysis, ultimate-recovery statis-
A new static model that encompass- to evaluate the most likely current fluid tical analysis, density-map volumetric
es the three major groups of reser- contacts and location of remaining-oil analysis, and target ranking and priori-
voirs (Shallow, Main, and Deep), cover- opportunities. The inferred fluid con- tization (the work flow is illustrated in
ing more than 6,000 ft of rock column, tacts were calibrated with fluid contents Fig. 7 of the complete paper).
has been built with the revised struc- observed in recent openhole logs and There are a number of key assump-
ture, contacts, and petrophysical prop- cased-hole logs. tions made in the study. The first is
erties. This “Mega Model” is kept sim- that of production allocation. The
ple and coarse, with an average cell LTRO Methodologies commingled-production and estimated-
height of approximately 10 ft, while the and Work Flow ultimate-recovery (EUR) data were allo-
petrophysical properties were popu- The main methodologies of this work can cated to subreservoirs. The subreservoir
lated through normal kriging. Hence, be subdivided into two major categories: well is then used to estimate the poten-
no facies modeling was involved in this 1. Locating the potential drainage loca- tial ultimate drainage radius. This leads
work flow. tions (LTRO-1) to another key assumption: EUR drain-
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
“plug” of high-concentration proppant 5.0 bbl/min, achieving the same forma- centrations, so a change was made to
in a viscous gel is left within the wellbore. tion pressure response as observed previ- use 1.5 lbm/gal of 30/60-mesh proppant,
The CT is then lowered to the next perfo- ously. The fracture rate was increased to which resulted in a positive increase.
rating position while reverse cleaning (or 21.2 bbl/min with a wellhead pressure of After the sweep, the trend was stable
vacuuming) the sand plug (Fig. 1e), and 6,530 psi. The treatment was pumped ac- until reaching 2.6 lbm/gal of 20/40-mesh
the process repeats (Figs. 1f and 1g). cording to the program but ended sud- proppant at the formation, resulting in
denly because of increasing pressure and a screenout. After the screenout, prop-
Well Operation. Initially, in the lower screenout. The CT pressure (pseudodead pant was reverse circulated (requiring 2
section of the well, there were problems string) showed a negative trend during hours) and a pressure test (positive) was
with the abrasive-jet perforations (had to pumping of the pad and the first concen- performed on the sand plug to help en-
be repeated or new ones added) and with trations, then a flat pressure response sure isolation of this second stage.
the stimulation treatments (screenout). was observed while pumping 1 lbm/gal of Results for Zones 3 and 4 are provided
This led to a series of changes in the frac- 30/60-mesh proppant. An abrupt pres- in the complete paper, as are final results
turing treatment, to allow adjustments sure increase was observed when 2.5 lbm/ for the 12 stimulation treatments.
to well and formation conditions. These gal of 20/40-mesh proppant hit the per-
modifications allowed the development foration and caused a screenout. After the Conclusions
of the lower part of the well during the screenout, reverse circulating the prop- ◗ The use of a cased-hole-logging
rest of the operations without problems. pant was conducted (requiring 2 hours), methodology (pulsed neutron plus
and two successful pressure tests on the neural network) in old wells with
Initial Operation—CT. By use of CT, sand plug were performed to help ensure little openhole-log information
the BHA was run into the well. Once the isolation of the first fracturing stage. allowed synthetic curves to be
reaching the bottom, the depth of the generated that could be used
mechanical plug (2605 m) was checked. Zone 2. Abrasive Perforation. With the to perform a more consistent
Then, the well fluid was changed to oil CT at depth and repeating the same se- interpretation of the VM formation.
to activate the swell packer. The CT sys- quence as described for Zone 1, a break- ◗ The isolation element (swell packer)
tem’s depth was adjusted because of the down was observed at 6,120-psi pres- used was an existing technology
plug-depth measurement. Then, the BHA sure. During pumping of the stimulation adapted for a new application.
was positioned at the depth for the first treatment (preacid pad), high pressure ◗ The completion technique
abrasive perforation. was observed, which made it impossible [hydrajet-assisted fracturing (HJAF)
to achieve the designed flow rate. It was process] required a total of 7 days
Zone 1. Abrasive Perforation. With CT decided to create a new perforation at (1 day for assembly, 1 day for final
at depth, an annular backpressure of 2547 m, but batch pumping of HCl was re- cleanup, and 5 days to complete 12
2,000 psi was applied. Pumping began moved from the process. Once a displace- fracturing stages).
from the CT at a rate of 2.6 bbl/min ment volume of 900 gal was in the annular ◗ The VM formation can be stimulated
and a pressure of 8,574 psi (abrasive space created by the abrasive perforation, using pinpoint techniques by
perforation), pumping 1,600 gal of lin- the annulus was closed and breakdown adapting fracturing treatments to
ear gel with a total of 16 sacks of sand pressure (5,881 psi) was observed. this technology.
(1.0 lbm/gal). Then, approximately Stimulation. First-stage alterations ◗ Previous perforation/sand-plug
300 gal of 15% hydrochloric acid (HCl) were introduced in the pumping sched- completions (Wells A, B, and C)
was pumped. When the HCl reached the ule. Pumping began at an annular flow used an initial flow rate of 1.8
BHA, the annulus was closed and flow rate of 24.3 bbl/min and 7,350-psi well- to 2.3 bbl/min per hole; Well
was decreased to 1.0 bbl/min. Break- head pressure. A sweep of clean fluid was D, completed using the HJAF
down was observed at 5,482 psi (clear pumped between the two sizes of prop- technique, used a rate of 4 to
connectivity to the well formation). pant, and the treatment ended suddenly 12 bbl/min per hole, which is a
Stimulation. Pumping began through (screenout). The CT pressure (pseudo- higher value and imparts greater
the annulus to create hydraulic frac- dead string) showed a slightly negative energy to initiate and propagate
tures, starting with a preacid pad at trend during the pad and the first con- the hydraulic fracture. JPT
Well Integrity
Otto Luiz Alcantara Santos, SPE, Master Technical Adviser, Petrobras
The tragic blowout of Macondo has Undoubtedly, significant been making contributions, elaborat-
triggered many technical and manage- ing and revising well-integrity-related
rial developments in the field of well
progress has been made standards (such as NORSOK D-010 and
integrity since its occurrence in April in enhancing safety during ISO 16530-2). Many operator companies
2010. Acting as a catalyzer since all phases of the well life (including mine) and drilling contrac-
then, this event has demanded from tors have been reviewing and updating
all industry players a huge amount cycle, mainly in the areas their well-integrity procedures and prac-
of effort to mitigate the risk of well- of well-control equipment tices, especially those related to deep-
integrity problems. water operations.
Originally, these efforts were aimed at and reliability, subsea well Concerning well-control training and
deepwater drilling in the Gulf of Mexico, control and containment, competency assurance, following the
but, with time, they were disseminated recommendation of Report 476 of the
documentation, training
throughout the oil industry, where well International Association of Oil and Gas
integrity is a must. Undoubtedly, signifi- and competency assurance, Producers, the certifying bodies execut-
cant progress has been made in enhanc- and well-integrity ed changes in the contents of the courses
ing safety during all phases of the well to stress important subjects such as bar-
life cycle, mainly in the areas of well- management systems rier management, risk management, well
control equipment and reliability, subsea and processes. influx detection, and immediate response
well control and containment, documen- and to adapt the training to well opera-
tation, training and competency assur- One of the first actions in response to tion, rig category, and responsibility of
ance, and well-integrity management the blowout was the formation of four the people involved with all types of oper-
systems and processes. joint-industry taskforces. Two of them ations. Thus, the crew members are now
Here, I address important headway provided recommendations on operating trained and assessed better according to
made in two areas in which I have been procedures and equipment that result- their roles on the rigs. More class hours
deeply involved during my profession- ed in the revision of some American are now dedicated to simulator exercises.
al career, mainly after Macondo: well- Petroleum Institute standards and the Arguably, this move is making the well-
integrity documentation and well-control development of new ones. Some other control-certification systems more reli-
training and competency assurance. standardization organizations also have able and more standardized among all
training institutions. JPT
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
Fig. 1—Temporary and permanent hookup configurations for the Annulus D overpressure-protection system.
wells was plugged. Attempts were not On-Site Installation. A 30-in. saddle adapter was then installed on the flange,
made to remove these plugs because of clamp was rigged up on the conductor ensuring proper access to the ¼-in. test
the possibility of trapped gas pressure. A along with the hot-tap unit. A pressure port. A pressure test was performed. The
procedure was developed to remove the test was conducted successfully. The 2-in. hot-tap assembly was then installed on
plugs safely while maintaining control of solid plug was drilled out with a ¾-in. the packoff adaptor, and pressure was
any trapped annulus pressure. This pro- drill in a controlled manner. The trapped tested to 1,500 psi. After the test, pres-
cedure also included installation of ad- pressure was bled off safely. The hot- sure of 1,000 psi was maintained. A
ditional outlet equipment to monitor and tap unit and the saddle clamp were then sudden drop in the pressure would in-
control annulus pressure. rigged down. The 2-in. solid plug was re- dicate a successful plug-removal opera-
moved from the flange easily. A 2×½-in. tion. The ½-in. plugs were removed,
Drilling of 2-in. Solid Plugs. A method reducer and needle valve and a pressure and the trapped pressures were bled off
was developed to drill the 2-in. plugs safe- gauge were installed. successfully. The hot-tap assembly and
ly by use of a manual hot-tap unit and to the packoff adaptor were rigged down.
bleed down the trapped pressure. A risk Removal of ½-in. Hex Plugs From the A pressure-bleedoff and -monitoring
assessment was conducted while prepar- 6-in. Flange of the Starter Head. An- manifold consisting of a needle valve,
ing the procedure. Though attempts to other procedure was developed to re- two bleed-off caps, and a pressure gauge
bleed off Annulus D pressures in other move the ½-in. hex plugs safely from was installed.
wells were successful, there was an uncer- the 6-in. flange of the starter head and to
tainty concerning whether the trapped bleed down the trapped pressure safely Permanent Arrangement
Annulus D pressures in these wells could with a manual hot-tap unit. A risk assess- for Annulus D
be bled off completely. If bleeding off ment was performed while preparing the Overpressure Protection
pressure was unsuccessful, there was a procedure. In the event of unsuccess- A permanent overpressure-protection
possibility that the purpose-built hot-tap ful removal of the plug or unsuccessful system is designed with the operating
saddle, packoff, and ball valve would have blowdown of trapped pressure, the pro- philosophy that the Annulus D pres-
to remain as part of the wellhead assem- cedure incorporated a contingency plan sure can be monitored and depressur-
bly. This would allow an access point to to leave the purpose-built hot-tap pack- ized remotely through manual inter-
pump into the annulus if required. The off and low-torque valve in place as a vention. Annulus D is now connected
second risk identified was potential dam- part of the wellhead assembly. to the flare system through a dedicated
age to the inner casing (18⅝ in.) while Workshop Trials. The packoff of the line. The bleed-off line from the 2-in.-
drilling the 2-in. plug. A mitigation action hot-tap unit was designed to seal on the flange side on Annulus D incorporates
was in place to avoid such an occurrence. outer face of the 6-in. flange. As with the a manual bleed valve for manual con-
Workshop Trials. The packoff of the plug-drilling job, a stack-up test was con- trol and a pressure-relief valve (PRV) for
hot-tap unit was designed to seal on the ducted in the shop before mobilizing the overpressure protection. A PT is hooked
outer face of the threadolet. A stack- equipment. A pressure test was conduct- up to the existing needle valve on the
up test was conducted in the shop be- ed up to 2,500 psi in the workshop. 6-in.-flange side. The changes in the an-
fore mobilizing the equipment. To avoid On-Site Installation. Using a stan- nulus hookup configuration conducted
potential damage to the inner casing dard hot-bolting technique, the exist- on-site are shown in Fig. 1. With the pres-
(18⅝ in.) while drilling the 2-in. plug, the ing ¾-in. studs were replaced one by ent setup, Annulus D pressure is moni-
exact drilling depth was defined. one with ¾×9-in.-long studs. A packoff tored remotely. JPT
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For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
Before After
The HiBrine-XL™ fluid system is specifically designed for hydraulic Let’s talk today.
fracturing treatments using high TDS produced or flow-back waters to
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Decommissioning is a focus item for level of transparency now by operator can enable the supply
the newly formed Oil & Gas Authori- sharing asset-specific information chain through early sharing of asset
ty (OGA) in the UK. The OGA Corpo- (i.e., facility drawings or well details and flexibility in contracting
rate Plan (www.gov.uk/government/ schematics), condition, and COP. and delivery.
consultations/oga-corporate-plan-draft ◗ Start early in planning (5–7 years
-for-consultation) provides an interest- before COP) to identify and Industry—Be Realistic
ing view of decommissioning as seen actualize possible cost savings. This ◗ Decommissioning must be
through a North Sea lens. With the cur- is a strategic enabler for the supply focused on delivering the right
rent low-oil-price environment, the cost chain; they need information and scope, no more. Cost reductions
of decommissioning is seen as a key driv- early access to the project. can be achieved equally through
er for the ongoing economic viability of ◗ Keep things simple. Be flexible. performance or by selecting the
the basin. Decommissioning is not a first-oil right scope. Decommissioning
What does “good” look like for decom- schedule-driven project. Operators should never be seen as a
missioning in the North Sea? Like the need to approach decommissioning replacement for capital-project
Gulf of Mexico? Probably not exactly; as a demolition project vs. a activity. Industry must continually
however, many lessons learned by the capital or brownfield project. Step strive for low-cost delivery year
operator community, supply chain, and back and let a knowledgeable, after year.
industry can be considered and adopted empowered supply chain deliver. ◗ Contracting must consider
for the basin. Here are a few thoughts on appropriate ownership of risks,
what “good” might look like. Supply Chain—Be Strategic both during the project and in
◗ The supply chain should provide perpetuity.
Operators—Be Transparent integrated solutions relative to ◗ Industry should share performance
◗ Operators should share their today’s portfolio of projects. The and scope data, warts and all.
view of timing and key drivers for supply chain should have “skin Without a creditable baseline,
timing change for the run up to in the game” with remuneration industry has nothing by which to set
cessation of production (COP). The coupled to performance. realistic market expectations or to
Oil & Gas UK Decommissioning ◗ The supply chain sees the broader performance-manage continuous
Insight report is a good generic market view, whereas the operator improvement. JPT
starter (oilandgasuk.co.uk/ view can be somewhat myopic.
decommissioninginsight.cfm). Use this view to bundle and
Operators can shift to the next campaign work programs. The Recommended additional reading
at OnePetro: www.onepetro.org.
SPE 173693 Coiled Tubing Completes
Win Thornton, SPE, is is vice president of decommissioning, global Unique High-Pressure Well Abandonments
projects organization, at BP. He has more than 35 years of in Remote Alaskan Field by Brendon Webb,
experience in offshore construction and decommissioning projects Schlumberger, et al.
working as an operator for BP, Chevron, and Oxy; as a contractor SPE 173694 P&A on a Deepwater
from Brown & Root and WorleyParsons; and as a consultant for Compliant-Tower Asset Using Hydraulic
Winmar and TST. Thornton holds a BS degree from the Georgia Workover (HOW): Addressing the
Institute of Technology and an MS degree from the University of Challenges for Successful Execution
Houston. His recent work includes offshore decommissioning and by Ralph R. Sinno, Halliburton, et al.
reuse projects in the Gulf of Mexico, west Africa, California, Alaska, southeast Asia, and SPE 175426 Preparation for Cost-
South America. Thornton has championed the environmentally sound and cost- Effective Decommissioning and
effective disposal of obsolete platforms through placement in state-sanctioned “Rigs Abandonment of Subsea Pipelines
to Reefs” programs. He is a member of the JPT Editorial Committee. by Julie Burke, Intecsea, et al.
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
Case Studies From Production Specialists From Across North America, Including: March 22-23, 2016 - Houston, Texas
M Follow us @UnconventOilGas
www.artificial-lift-congress-north-america.com Organized By:
6th Annual
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For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
211/19-3 211/19-6
Redundant Removed
PL 115 16-in. Oil Export
Murchison to Dunlin A PL 124 Disused
Bundle Water Injection
PL 123 Disused Bundle
Early Production
211/19-2
Umbilical
The Murchison project provided a sim- would be required, primarily because of ed to crushing. The procedure was con-
ilar challenge, with the tie-in point on the the weight creating more capstan fric- ducted for undiluted cement, which was
cellar (lower) deck of the platform, ne- tion. This ultralight-footprint approach designed for use in this project, and for
cessitating that all equipment other than is made possible by new materials and a second sample that was diluted by 25%
the reel be moved by hand from the lay- allows significant downsizing of equip- with water. The compressive-strength
down area to the rig-up location. ment, therefore reducing costs, stresses readings for both samples were in excess
The equipment was designed with very on pipework, and necessary platform re- of what was required by the operator and
high portability in mind, allowing for sources (e.g., space, beds, and diesel). showed only a 15% reduction in compres-
deployment in these scenarios. Typi- The equipment was lowered to the sive strength for the diluted sample.
cal coiled-tubing injectors, for example, cellar-deck laydown area and then manu-
weigh up to 6000 kg, with miniatur- ally rolled to rig-up location. The coiled- Result
ized coil injectors weighing 1500 kg. The composite-pipe reel followed and was The lines were jetted throughout their
modular injectors used for this technol- permanently sited in the laydown area. entire length, allowing a rapid cleanup to
ogy weigh approximately 200 kg each. The tubing passed from there through less than 40 mg/L. The time from start
Furthermore, the system is designed to a gooseneck to allow the correct orien- of rig up to P1 flowline reaching required
be deployed on a horizontal plane, allow- tation to the injectors and blowout pre- cleanliness and being cemented was 52
ing for easy rig up without lifting support. venter. After the pipe passed through hours, while P2 was cleaned and cement-
However, the lightweight nature of the the pressure-control system, a 5,000-psi ed 24 hours later. Within P1, approxi-
system is possible only because of the flexible lubricator was used to con- mately 796 m of cement was set, while
innovative composite pipe used to per- nect to the hot-tap tie-in point a further 730 m of cement was set within P2. Both
form the operation. At 0.25 lbm/ft in 25 m away (past 90° of bends to pass the lines were pressure tested to ensure that
water, it is approximately five times more superstructure). a robust cement seal was in place before
buoyant than steel coiled tubing (steel After the tie-in point, a 90° elbow sent the equipment was rigged down.
coiled tubing has buoyancy of 1.4 lbm/ft), the riser subsea, where it passed through
and, with a minimum bend radius of another 45°, followed by another 90° be- Conclusion
36 in., it does not yield like steel pipe fore running across the seabed to 862 m. In less than 1 week, two pipelines were
as it passes each bend. The combina- A specially built jetting head, complete cleaned to a standard of less than
tion of low residual bending stiffness with knuckle joint and dual backpressure 40 mg/L of oil in waste and were sealed
and high buoyancy allowed the pipe to valves, was used to clean up the pipeline with an expanding cement. This support-
be pushed to 863 m, passing through before a 0.74-in. cement nozzle was de- ed the expectation by the operator that
more than 360° of bends within the first ployed for the pumping of the cement. The a miniaturized coiled-tubing system for
150 m and with a snubbing force of ap- expandable cement was subject to a rigor- platform-based decommissioning would
proximately 200 kg. Modeling for steel ous testing procedure before its use. In be more cost effective than conventional
coiled tubing of equivalent size would in- the test, cubes of the cement were placed methods for decommissioning the flow-
dicate that a snubbing force of 3000 kg in a compression testing unit and subject- lines discussed within this paper. JPT
For a limited time, the complete paper is free to SPE members at www.spe.org/jpt.
ROBERT DRUMMOND, SPE, has been ap- president of Venture Oil and Gas, and chairman of Omni Oil and
pointed as a class III director to the board of Gas. His experience includes generating geological prospects
directors of Key Energy Services. He was ap- and drilling funds, acquiring oil and gas leases and producing
pointed president and chief operating offi- properties, mergers, and supervising drilling and completion of
cer of the company in June. Before that, wells. Johnson attended the University of Texas at Austin major-
Drummond worked for Schlumberger for 31 ing in geology and petroleum land management. He is a mem-
years, where he began his career. He has ber of Texas Independent Producers and Royalty Owners, Inde-
held several senior management positions in business develop- pendent Petroleum Association of America, and Louisiana Oil
ment and operations and was president of North America at the and Gas Association.
time of his departure to Key Energy. He serves as a member of
the executive committee of the National Ocean Industries Asso- FRANCIS NEILL, SPE, has been appointed
ciation and the advisory board of Petroleum Equipment and chief executive officer (CEO) at Ziebel. Be-
Services Association. Drummond holds a BS in petroleum engi- fore this, he was the CEO of EV. He has sev-
neering from the University of Alabama. eral years of experience in the well interven-
tion and subsea sectors. He has been CEO of
GORDON JOHNSON, SPE, has been ap- Gravitec Downhole Instruments, managing
pointed to the board of directors of West director of Brinker, marketing and technol-
Texas Resources. He is the president of Bay- ogy director/casedhole director for Expro, deputy managing di-
side Corp. Johnson has experience working rector/subsea control systems general manager for Kvaerner
for majors and independent oil companies Oilfield Products, and compensation and benefits manager for
in Texas, New Mexico, Oklahoma, Montana, Schlumberger. Neill holds a BSc degree in civil engineering from
North Dakota, and Louisiana and has been the University of Bristol.
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the improvement in mobility during Economic Evaluation. While models likely placed across this clearly stimu-
WAG injection. show technical potential for surfactant lated length reaching farther afield than
flooding to increase ultimate recovery just near the wellbore.
Summary of EOR Pilot Simulations. in the Bakken, the economic viability of
Five processes were simulated with the surfactant flooding must also be consid- Farthest Reach. In the log images, large
pilot-scale simulation model: water- ered. An economic-sensitivity study that intervals that lack tracer deeper than the
flood, polymer flood, continuous CO2 examines three economic scenarios is clearly stimulated length can be followed
flood, CO2 WAG injection, and chemical presented. The optimistic scenario as- by clearly stimulated clusters. Farthest
SP flood. The results indicate that the sumes relatively high oil prices and low reach is an attempt to incorporate these
chemical SP flood performs the best in operational and capital costs, while the deep treated clusters that are not part of
terms of the estimated oil-recovery fac- pessimistic scenario assumes the op- the clearly stimulated length. Thirteen
tor. The CO2 WAG process performs bet- posite. In the optimistic case, a credit of 41 wells that had multiple proppant
ter than the continuous CO2 flood, and is given for the reduced water-disposal tracers pumped exhibit a farthest reach
the waterflood was estimated to per- costs that would otherwise be incurred. 100 ft or more beyond their clearly stim-
form poorly, with an oil-recovery fac- All three models assume the same ulated length.
tor of approximately 25%. The poly- water-injection and oil-recovery pro- Basin case histories for the Barnett
mer flood was estimated to yield an files used in the medium-adsorption case Shale, Haynesville, and Eagle Ford forma-
additional oil recovery of approxi- with the base-case fracture half-lengths tions are provided in the complete paper.
mately 17% over waterflood. The re- of 1,400 ft. Both the base-case scenario
sults suggest that heterogeneity in the and the optimistic economic scenario Summary
SAMA reservoir is one of the key fac- show very favorable economics from The overall refracturing success rate in
tors affecting oil recovery. To realize both a return-on-investment and a rate- these 43 horizontal wells was 65%, and
high oil recovery from the SAMA reser- of-return perspective. In the pessimistic only six wells showed minimal incre-
voir, displacement processes including scenario, with sustained low oil prices, mental reserves from the refracturing.
injection-fluid mobility control are rec- high chemical costs, high operational and Within the analyzed basins, significant
ommended. The EOR pilot-scale simula- capital costs, and no credit for reduced variability in both performance met-
tion results suggest that both CO2 WAG water-disposal costs, the economics are rics and diagnostic attributes is seen.
and chemical SP processes could im- not favorable. The likelihood of operating All of the formations had proppant trac-
prove oil recovery from the SAMA reser- a surfactant flood in the Bakken in that ers showing preferential treatment of
voir significantly. JPT environment, however, is very low. JPT the heel. JPT