The Oudna Field is located approximately 80 km. offshore Tunisia (Figure 1). Successful application and optimization of an artificial lift system for this field required a considerable amount of evaluation prior to implementation, in order to take into consideration three specific features of the prospect:
After extensive study of the various artificial lift alternatives available, the decision was made to install the first sub-sea hydraulic jet pump system, capable of producing 25,000 bpd, because it afforded the following advantages:
In this paper the authors explain the need for a long life system, the reasons for selecting jet pumps, the considerations in the design of the jet pump, its installation and operation. The process used for the optimization of the jet pumping system is discussed.
Initial field economics on Oudna was carried out based on a $27 / BBL pricing. With this oil price, under any circumstances the Field was likely to be Marginal. Although confidence existed that the Oudna reservoir modeling was sound this in turn had indicated that both reservoir pressure support and an artificial lift production mechanism would be required to keep oil production levels to that required.
Given that the field is in 270m of water and around 80km from shore then both the Production Handling and Artificial Lift options were going to be limited.
BP's digital oilfield initiative, the Field of the Future Technology Flagship, has been developing and deploying distinctive operational capabilities since it's inception in 2005. This paper describes the growing track record of value delivery, achieved through pace and scale deployment. These capabilities, which continue to be developed, support a relentless drive for continuous improvement in our asset operations, aiming at delivery of significant production (100mboed BPnet) and reserve (1bnbbl) targets by 2017. We report significant progress toward meeting these targets and highlight new key lessons from our growing body of experience.
The Field of the Future concept is now a routine part of how BP builds projects and operates fields across much of our portfolio. It impacts a significant and growing proportion of net production and routinely supports >80% of our top 100 wells. A range of monitoring, analytical, optimization and collaborative solutions are applied according to asset needs and value opportunities.
The in-house solutions have delivered over a third of the production target so far - ahead of plan. When integrated with general bought-in solutions, base infrastructure and collaboration benefits, we are routinely adding more than 50mboed gross production per annum.
The Paper presents examples of the variety of capability, technology and solution applications that have underpinned this continuing successful value delivery.
Key to this success has been:
Areas of continuing challenge include:
Looking forward, the common challenge all operators face is firmly on making it an industry-wide reality, and to fully embed "intelligent energy?? in all that we build and operate.
BP's ISIS technology (Integrated Subsurface Information System) is changing the way BP manages reservoirs through the provision of multi-disciplinary analysis and visualisation of real-time integrated dynamic surveillance data, information and knowledge processes. The technology enables faster and integrated operational decision making, provides continuous real-time access to all digitally acquired sensor data in a well or on the platform, on a 24/7 basis, alerting users to production events which require their attention and can be acted upon. The tools developed by the ISIS Technology Program turn the vision of a real-time data pipeline into a reality by providing an innovative solution for remote visualization of information. The technology provides a robust environment for the transfer of data from the point of acquisition to the point of decision-making.
ISIS and the parallel facilities/operations project entitled D2D (data to desk) use common systems for real-time data management and visualisation. While these developments serve the distinct discipline needs of the subsurface and facilities/operations communities in terms of computational processes, there is a single collaborative system sharing technology of mutual benefit to all communities.
The ISIS system is being deployed across BP's operations as a key element of BP's FIELD OF THE FUTURE programme (1). Initial installation has been completed in seven operational assets across BP that has proven the capabilities and business benefit of the technology. Installation of the technology has been the catalyst for changing the way the field teams approach surveillance; these changes are being enhanced through use of adaptive change projects with the field teams which are changing the way BP operates its fields.
The near total dependence of the world's economy on oil, gas and mining has translated over time, to increased revenue for resource rich countries, as the world continues to depend on them for the supply of these natural resources and even for a very long time to come. This ordinarily should translate to improvement in the standard of living in these countries, but the structural deficiencies in the regulatory and economic framework in these countries provide a leeway for corruption and lack of transparency over revenues accruing from these resources, leaving in their trail poverty, hunger, conflicts, wars, human right abuses, stagnated development and a decimated populace, all in the midst of abundant revenue from the natural resources.
The fact however that the consequences of lack of resource revenue transparency may in the long run have a cataclysmic effect on the rest of the world especially in the form of refuges (arising from conflict over the control of these resources), threat to energy security (through disruption of production activities and the consequent unsustainable operating environment for energy industries) calls for urgent remedial measures.
The Publish What You Pay (PWYP) campaign which requires oil, gas and mining companies to publish net payments made to governments as a condition for being listed on international stock exchanges and financial markets were criticised as being contrary to the twin concept of National Sovereignty and Permanent Sovereignty over natural resources, including confidentiality clauses existing in most concession agreements.
The authoritative nature of some of these governments also constitutes a problem for the energy industries who risk losing their competitive edge to others for disclosing what the pay. This paper reviews the above issues with a view to finding solutions to the problems and suggesting ways by which the issue of revenue transparency can be achieved.
The last few years have witnessed a tremendous clamour for revenue transparency in the natural resource sector of developing countries, especially in relation to activities in the oil, gas and mining sectors of the economy. This clamour for revenue transparency is driven by the reality of corruption and the poor economic conditions in these countries, despite the huge revenue that flow into government's coffers from these resources. Resource rich countries seem to have become synonymous with corruption, as illustrated in a study by Transparency International which clearly demonstrates that corruption is more endemic in oil rich countries. The Transparency International Perception Index for 2004 shows that oil-rich Angola, Azerbaijan, Chad, Ecuador, Indonesia, Iran, Iraq, Kazakhstan, Libya, Nigeria, Russia, Sudan, Venezuela and Yemen, scored very high points on corruption and very low points on transparency.1 The story is almost the same in most other resource rich countries. According to Peter Eigen of Transparency International, “in these countries, public contracting in the oil sector is plagued by revenues vanishing into the pockets of western oil executives, middlemen and local officials.”2
Innovative technical advances are now enabling operators to consider development of fields previously identified as uneconomic or marginal.However such projects can still fail to progress since development using a traditional engineering, procurement and construct (EPC) approach does not always meet the required targets for economics, risk and timescale necessary for approval to proceed.
In this paper the author will detail how the use of fit-for-purpose production facilities mobilised on a leased, operated and maintained basis now offers an alternative approach to the provision of a field production solution.This approach enables operators to limit their initial set-up and infrastructure costs at the front end of a project, to gather additional information on the performance and productivity of their wells and to make a more informed decision on the future of the field.As a result, operators can keep both their project and capital risk exposure to a minimum.
By achieving this production on a fast-track basis, revenue from the sale of produced well fluids is generated early.Combined with the low initial cost and lower capital risk of this approach, the economic viability of progressing an asset to full scale production is further enhanced.Based on this sequential investment model, a real option analysis of the overall field development plan can therefore make a project viable, even if the overall project net present value (NPV) appears marginal using more traditional methods.
In conclusion the paper will present technical solutions for the various field evaluation and production stages of a full field development utilising the leased facility approach, associated commercial models and case studies for recently completed projects.
An opportunity to reduce surveillance costs and to improve surveillance results was identified within Shell Oil Company's Production Department by implementing a modern production data handling system. The existing data handling system was not being used effectively for production surveillance because it was based on old technology and it was cumbersome to use.
The Interactive Surveillance Information System (ISIS) project was designed to provide operating and engineering staff with access to the mainframe data base without the need to learn sophisticated computer programming skills. ISIS couples an SQL mainframe data base with an interface program which runs on a PC called PCIS--PC Interface to SQL. The primary objective of the project was to develop a data handling system that would make the production surveillance data "more useable."
With ISIS a person can describe the data that he or she wants using a series of menus from PCIS. PCIS translates this description of the data into the necessary SQL code, and sends instructions to the mainframe computer. Once the data is retrieved, it can be printed or plotted or it can be transmitted back to the PC for use in other programs such as a spreadsheet or a local data base.
Data is the lifeblood of surveillance engineering. To be useful, it must be in a form where it can be sorted, searched, manipulated and plotted. And, of course, the data must be accurate and consistent.
The existing production data handling system within Shell was not being used effectively for production surveillance because it was based on old technology and was cumbersome to use. In addition, it was not readily compatible with developing technology such as new personal computer spreadsheet and data base programs. As a result, an opportunity to reduce surveillance costs (and at the same time to improve surveillance results) was identified.
For better surveillance, what was needed was a data base system that was easy to use and that provided interactive responses to data queries. In addition the system needed to provide for such requisites as ease of changing and customizing data queries, ease of adding new data to the data base, and of course, compatibility with other data handling software.
A new data base system for production data was developed within Shell's Production Department to provide a modern and effective data manipulation tool for production surveillance. This system was called ISIS, Interactive Surveillance Information System. Prior to the development of ISIS, most of Shell's production data was being stored in a RAMIS data base that was developed in the early 1970's. Preparing a retrieval from this data base required rather sophisticated programming skills and thus a large professional programming staff was required to support the system. To make matters worse, a number of different private data base systems were being built in many locations to solve local data handling problems.
The primary objective of the ISIS project was to develop a data handling system that would make the production surveillance data "more useable."
From the early fifties, several authors and companies have made significant efforts in the field of bottom hole assemblies modelization.
This work has resulted in considerable improvements in drilling practices such as the use of pendulum and packed-hole assemblies.
Nonetheless, heuristics and empirism remain the rule as far as directional drilling is concerned.
Part one of this paper establishes the necessary link between theory and practice, missing so far, by the use of computer models and data bases together with real-time follow-up of vertical and deviated drilling operations.
The scientific criteria used to optimize the design of rotary drill strings are presented. Their theoretical and practical bases are underlined.
Concepts of BHA's relative rigidity, BHA efficiency related to ROP and hole curvature are developed and quantified.
Part two underlines the practical usefulness of such concepts for the control of vertical and deviated hole paths and ROP optimization. It is illustrated by four examples:
6" hole drilling in Montmirall field onshore cluster
12 1/4" phase in ISIS field offshore TUNISIA.
17 1/2" lock-up phase in ABK field offshore drilling.
12 1/4" motor kick offs offshore INDONESIA.
According to W.B. Bradley: â??The mmajor advantage of drillstring mechanics computer programs lies in their ability to quickly analyse drillstrings composed of a wide range of components . . . In addition, such programs are capable of handling problems with boreholes of changing diameters such as washouts and changing borehole directions(1)
Several individuals and companies have developed computer programs which probably fulfill the Bradley's statement.
Some programs reach a high level of sophistication.
They take into account rotation and vibration of the drillstring and are highly performant in terms of computation time and presentation of the results.
However all the reported programs typically provide the same outputs:
Side forces at the bit and at the BHA hole contacts
Tilt angles at the bit
Critical vibration frequencies (dynamical models only).
These outputs need to be interpretated to be of practical use.
The theoretical effort does not stop when the drillstring mechanics computer program is completed. In fact it starts at this very moment.
Relatively simple mechanical analysis and good interpretation may lead to considerable improvements in drilling practices.
Among the good examples is the use of pendulum and packed hole assemblies which became widely spread standard in the industry according to the work of Lubinsky, Woods, Hoch, Walker and others (2,3).
In previous papers (4,5,6,7) we have introduced the â??BHA2â?¿ and â??BHA3â?¿ programs developed by TOTAL. CFP's R&D department.
In this paper, we try to emphasize the theoretical interpretative aspect of the two dimensional model as well as its practical use. We also introduce the BHA data base developed in the department and its practical use for BHA selection.
American Institute of Mining, Metallurgical, and Petroleum Engineers, Inc.
Three dynamically positioned drilling vessels have now been in operation during several years to fulfill offshore petroleum exploration tasks on a worldwide basis.
Among them are the sisterships "PELICAN" and "HAVDRILL" aboard which the drilling management is provided by FORAMER S.A. of Sevres, France. These are the only two units which have been originally built without any conventional mooring system nor any re-entry guide lines.
Both units have accumulated a combined four-year experience in widely scattered areas ranging from Labrador to Angola. A very large number of data covering the floater behaviour and the resulting operational efficiencies have been gathered and analyzed. They include the environmental conditions; their influence on the unit motions and the positioning over the drilling well; the consequences for the actual activity; the various operational procedures; the economical factors and the procedures; the economical factors and the resulting ability to predict and prepare future tasks.
On the basis of this information it has also been possible to improve the design of future PELICAN-type units capable of drilling in much greater waterdepths (three are now being built under FORAMER engineering) and to extend the same concept to larger ships and other types of floating units.
The existing dynamically positioned vessels have now fully proved the reliability of anchorless drilling units by safely and efficiently completing their assignments - among which the successful "PELICAN" campaign offshore Labrador during the summer of 1973 has been the most significant demonstration to the entire petroleum exploration industry.