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Sarawak Shell Berhad, a subsidiary of Shell, completed the previously announced sale of its stake in two offshore production-sharing contracts (PSC) in the Baram Delta to Petroleum Sarawak Exploration & Production (PSEP). The sale concerns nonoperated interests of 40% in the amended 2011 Baram Delta EOR production-sharing contract (BDO PSC) and 50% in the SK 307 production-sharing contract (SK307 PSC). The remaining interests in both PSCs are held by the operator, Petronas Carigali. Completion of the sale follows regulatory approval from Malaysia Petroleum Management, Petronas as the custodian of national hydrocarbon resources in Malaysia. The transaction has an effective date of 1 January 2023.
Abstract HPHT wells are typically associated with high complexity, technically challenging, long duration, high risk and high NPT as many things could go wrong especially when any of the critical nitty- gritty details are overlooked. The complexity is amplified with high risk of losses in carbonate reservoir with high level of contaminants compounded by the requirement of high mud weight above 17 ppg during monsoon season in an offshore environment. The above sums up the challenges an operator had to manage in a groundbreaking HPHT carbonate appraisal well which had successfully pushed the historical envelope of such well category in Central Luconia area, off the coast of Sarawak where one of the new records of the deepest and hottest carbonate HPHT well had been created. This well took almost 4 months to drill with production testing carried out in a safe and efficient manner whereby more than 4000m of vertical interval was covered by 6 hole sections. With the seamless support from host authority, JV partners and all contractors, the well was successfully delivered within the planned duration and cost, despite the extreme challenges brought about by the COVID-19 pandemic. This paper will share the experience of the entire cycle from pre job engineering/planning, execution, key lesson learnt and optimization plan for future exploitations which includes an appraisal well and followed by more than a dozen of development wells.
Ismail, Hasnol Hady (PETRONAS Research Sdn Bhd) | Lew, Chean Lin (PETRONAS Research Sdn Bhd) | Hasan, Sanatul Salwa (PETRONAS Research Sdn Bhd) | Mohamad Som, Muhd Rapi (PETRONAS Research Sdn Bhd) | Abdul Kadir, Mohd Fauzi (Energy Quest Sdn Bhd) | Ahmad Tajuddin, Mohamad Raisuddin (Energy Quest Sdn Bhd)
Abstract The West Baram Delta (WBD) basin is a structurally complex region with an abundance of hydrocarbon that has been produced and yet to be discovered. Within the basin, there is a drastic increase of sedimentary thickness occurred across the growth fault, contributed to major challenges for the sequence stratihgraphic framework correlation to be established throughout the basin. Understanding the growth fault development in terms of age-based within the region is critical for better accuracy in reservoir correlation, reservoir distribution and structural trap analyses. 3D seismic mega-merge of the West Baram Delta was used to interpret the third order Tejas B (TB) stratigraphic sequences. From the structure maps of the maximum flooding surfaces (MFS) and sequence boundary (SB), thickness maps were generated for the system tracts of the corresponding sequence, mainly the highstand and transgressive system tracts. Then, structural restoration using a method of layer back stripping and fault blocks shifting were conducted to study the depositional and structural evolution of the basin. The Late Miocene to Late Pliocene sequence and structural developments of the basin were mainly controlled by growth faulting activities are divided into seven stages: 1) WBD TB3.1 (~10.6Ma-~8.5Ma), 2) WBD TB3.2 (~8.5Ma-~6.7Ma), 3) WBD TB3.3 (~6.7Ma–~5.6Ma), 4) WBD TB3.4 (~ 5.6Ma-~4.2Ma), 5) WBD TB3.5 (~ 4.2Ma-~3.8Ma) 6) WBD TB3.6 (~3.8Ma-~3.0Ma) and 7) WBD TB3.7 (~3.0Ma-~1.9Ma) sequences. The high sediment supply rate is believed to provide conducive mechanisms for the gravity-induced syn-depositional growth faults to be initiated, which observed from WBD TB3.1 until WBD TB3.4. The growth faults in the basin were developed stage by stage from the south (landward) to the north (basinward) driven by the progradation of shoreface and delta sedimentation. The Northwest-Southeast wrench-induced compression which happened in Pliocene to Quaternary has caused basin inversion in the basin, where the trending of the fold axes is in the Northeast-Southwest orientation. The wrench-induced compression deformation was prominent at the proximal part of the basin, where its deformation extends distally down to the Baram field. The deformation developed the anticlinal features and faulting within this region. The intensity of the wrench-induced deformation decreases basinward, which is the reason why beyond the Baronia field, the deformation is less prominent. The distal part of the basin is mainly controlled by the gravity-induced syn-depositional growth faults tectonic style since the wrenching is not prominent. The seven third-order depositional sequences established as WBD TB3.1 to WBD TB3.7 sequences with a complex growth-faulted structure development in the West Baram Delta give a new insight of understanding the depositional and structural evolution through time which may lead to a better stratigraphic correlation and hydrocarbon trap analyses at the field scale.
Jimenez Soto, Grisel (Centre for Subsurface Imaging, Institute of Hydrocarbon Recovery, Universiti Teknologi PETRONAS) | Abdul Latiff, Abdul Halim (Centre for Subsurface Imaging, Institute of Hydrocarbon Recovery, Universiti Teknologi PETRONAS) | Ben Habel, Wael (Schlumberger Wta Malaysia Sdn Bhd.) | Poppelreiter, Michael (CNPC International Ltd.)
Abstract A crucial role that significantly affects carbonate field development for hydrocarbon and carbon sequestration (CCS) projects is reducing uncertainty in rock type prediction. The carbonate reservoirs in Central Luconia Province, Malaysia, are significant economic worldwide reservoirs and are currently considered excellent candidates for Carbon Storage containers. The nature of these carbonate rock properties is visible and notably distinguishable at the core scale. To characterize significant petrophysical and geological factors of the distribution of the rock properties in the E11 carbonate build-up, this work proposes a sequence of processes (workflow) for obtaining spatial information about the organization using Kohonen Self-organizing maps. This work highlights the significant geological and petrophysical constraints on the distribution of rock properties in the E11 field. Using self-organizing maps, the predicted rock types were propagated among wells with no core available. Using this workflow, multiscale data is categorized according to "patterns". The phases include Phase 1: Detailed core description, Phase 2: Microscope sections description, Phase 3: Well logs analysis, Phase 4: Well logs analysis, and Phase 4: Self-organizing maps using IPSOM module in Techlog software. Considering the stratigraphic organization, juxtaposition, and proportions, the anticipated rock type closely resembles the rock types identified by core description manually. The results allow a comprehensive understanding of flow behavior in carbonate tight and reservoir rock types.
Masoudi, Rahim (PETRONAS) | Nayak, Satyabrata (PETRONAS) | Panting, Alexander (PETRONAS) | B M Diah, M Amri (PETRONAS) | Samsuri, Muhammad Nazam (PETRONAS) | Ismail, Ts. Hijreen Bt (PETRONAS) | Hoesni, M Jamaal (Beicip-Franlab Asia) | Razak, M Shafiq (Beicip-Franlab Asia) | Ahmad, Nur Asyikin (Beicip-Franlab Asia)
Abstract High CO2 encountered in various wells throughout Sarawak basin have always been area of concern for both exploration and development. As the contaminants negatively impact economic value as well as hinders our commitment toward net zero carbon, understanding the source of these requires critical and urgent attention. This paper presents an integrated basin scale petroleum system modelling approach to understand source, generation, and distribution of CO2 in Sarawak offshore. A regional scale CO2 Model in Sarawak Basin is constructed covering West Luconia, Central Luconia, Tatau, and Balingian area. A comprehensive Petroleum System Model is generated integrating geophysical, geological and well data to predict concentration and risk of CO2 in Sarawak Basin. The model incorporates contribution from both organic and inorganic CO2 sources to understand generation and charge evolution histories.
Sarawak Shell Berhad, a subsidiary of Shell, has agreed to sell its stake in two offshore production-sharing contracts (PSC) in the Baram Delta to Petroleum Sarawak Exploration & Production for 475 million. The remaining interests in both PSCs are held by the operator Petronas. In addition to the 475 million base price, payments of up to 50 million between 2023 to 2024 are contingent on commodity prices. The transaction has an effective date of 1 January 2023 and is targeted to be completed in early 2023. The deal is subject to completion of conditions which include, among others, regulatory approval to be obtained from Petronas. Shell retains a strong presence in Malaysia's upstream, gas-to-liquids, downstream, and business services sectors.
Malaysia's state-owned Petronas and its global partners drilled twice as many exploration wells in 2022 as in the year previous, scoring a 60% success rate as the southeast Asian country accelerates expansion of its offshore gas resources to support its growth as an exporter of liquefied natural gas (LNG). In reporting year-end results, Petronas said its 2022 exploration campaign had discovered 10 new hydrocarbon prospects: eight off the coast of Sarawak, and one each off the coasts of Sabah and Peninsular Malaysia. Out of awards made in Malaysia's 2022 licensing round, 16 wells were completed with two more in progress at year end. That was double the activity in 2021, Petronas Senior Vice President of Malaysia Petroleum Management (MPM), Mohamed Firouz Asnan, noted in a press release. "Most of the discoveries can be quickly monetized at a lower cost given their proximity to the extensive network of existing infrastructure," Firouz Asnan commented in a news release.
Moving into 2023, perhaps it will be safe to say that the era of the low-carbon energy mix has begun as the primary energy production landscape is changing fast. Until now, fossils fuels have dominated, and may still for the next few years dominate, the energy mix; however, a shift is taking place that will gain momentum, driven by global efforts toward addressing climate-change challenges and the large cost to human health caused by fossil fuels. Several cleaner energy solutions such as renewables are expanding global footprints. Some of these mix options require wells similar to those for oil and gas but with convoluted integrity challenges. This means that in the future, well integrity will become even more important and will continue to be part of the energy-mix solution. It is time to double down on how we, as part of the energy-mix industry, understand the many aspects of well integrity. Repurposing of existing oil and gas wells for carbon storage driven by cost optimization currently is under discussion in many parts of the world. While this makes sense commercially, it is critical to assess the in-situ state and, more importantly, the suitability of the existing flow-wet well barriers’ metallurgy for repurposing because failure conditions and risk envelopes change. A holistic review of flow-wet material conformance for repurposing is currently a subject of low focus, but due diligence on a case-by-case basis is imperative lest these wells present well-integrity issues with consequences when operational. As the well-integrity role grows, well surveillance and complete monitoring with artificial intelligence also will play a crucial role in the journey ahead. Recommended additional reading at OnePetro: www.onepetro.org. IPTC 21472 Features, Events, and Processes-Based Model Development for Assessing Well-Integrity Risk Related to CO2 Storage in Central Luconia Gas Fields in Sarawak by Parimal A. Patil, Petronas, et al.
_ This article, written by JPT Technology Editor Chris Carpenter, contains highlights of paper SPE 206156, “Importance of Three-Way Coupled Modeling for Carbon-Dioxide Sequestration in a Depleted Reservoir,” by Prasanna Chidambaram, SPE, Pankaj K. Tiwari, SPE, and Parimal A. Patil, SPE, Petronas, et al. The paper has not been peer reviewed. _ Three major depleted gas reservoirs in the Central Luconia field offshore Sarawak, Malaysia, are being evaluated for future carbon-dioxide (CO2) storage. A three-way coupled modeling approach that integrates dynamic, geochemistry, and geomechanics models is used to obtain the cumulative effect of all three changes. This integrated model provides a more-accurate estimate of CO2 storage capacity, caprock-integrity evaluation, CO2-plume migration path, and volume of CO2 stored through different mechanisms. Background The CO2 storage sites being evaluated are depleted gas reservoirs that have been in production for a few decades. At the end of their producing life, they have the potential to be converted into CO2 storage sites. The Central Luconia sedimentary basin is in a seismic-free zone with limited faults and consists of shale interbedded with high-sand-content sediment, making it ideal for CO2 storage. These reservoirs provide the required geological characteristics and volume needed to ensure long-term CO2 storage in a safe and economical way. The depleted gas reservoirs have an in-place volume of approximately 1.5–3 Tscf. Their thickness ranges from 100 to 150 m, with a porosity of 15–32% and permeability of 10–1600 md. These fields are believed to be supported by a regional aquifer several thousand feet thick. Large seafloor subsidence has been observed in these reservoirs. Storage-Capacity Estimation Storage capacity of a depleted hydrocarbon reservoir is affected by several factors including voidage created; aquifer influx and efflux during the production and CO2-injection phases, respectively; maximum injection pressure; rock compressibility; and geochemical effects. Depending on which of these factors are prominent in the storage reservoir, CO2-storage capacity may be estimated using a simple material-balance model or may require a more-complex approach to capture these effects. Use of the Three-Way Coupled Model Injected CO2 is anticipated to react with reservoir rock, leading to either dissolution of reservoir rock or precipitation of solids that are products of the geochemical reactions, causing a net change in porosity and permeability. With regard to geomechanical effects, uplift is anticipated to occur during CO2 injection. The degree to which subsidence is reversed depends on whether compaction of the reservoir is fully elastic or if plastic deformation has occurred. During production, reduction in porosity and permeability has occurred because of subsidence. Conventional or stand-alone reservoir simulation does not capture geochemical and geomechanical effects. Hence, it is critical to use an integrated model that captures the effects of dynamic, geochemical, and geomechanical changes caused by CO2 injection in order to evaluate suitability of the reservoir for long-term CO2 storage. A three-way coupled modeling approach that integrates dynamic, geochemistry, and geomechanics models provides a more-accurate estimate of CO2 storage capacity, along with estimation of subsidence. In three-way coupled modeling, the dynamic model is at the center, which passes input parameters to the geochemical and geomechanical models. Once it receives updated porosity and permeability values back from the geochemical and geomechanical models, the dynamic model incorporates these changes before proceeding to the next simulation timestep.