Napalowski, Ralf (BHP Billiton) | Loro, Richard (BHP Billiton) | Anderson, Calan Jay (BHP Billiton) | Andresen, Christian Andre (ResMan AS) | Dyrli, Anne Dalager (ResMan AS) | Nyhavn, Fridtjof (ResMan AS)
This paper describes the interventionless approach that was successfully executed during the Pyrenees early production phase to identify the timing and location of water breakthrough. Chemical inflow tracers were installed in key production wells within the lower completion along the horizontal production sections. Results from this work have supported the reservoir simulation history matching process and confirmed the performance of the inflow control devices (ICDs). These data in conjunction with the real time rate information from subsea multiphase meters has allowed proactive reservoir and production management that has contributed to the early identification of additional infill opportunities.
Producing and delivering North West Australia (NWA) deepwater gas reserves to LNG plants poses unique challenges. These include extreme metocean conditions, unique geotechnical conditions, long distances to infrastructure and high reliability/availability requirement of supply for LNG plants. A wet or dry tree local floating host platform will be required in most cases. Whereas semisubmersible, TLP, Spar and floating LNG (FLNG) platform designs all have the attributes to be a host facility, none has been installed in this region to date.
This paper will address important technical, commercial and regulatory factors that drive the selection of a suitable floating host platform to develop these deepwater gas fields off NWA. Linkages between key reservoir and fluid characteristics and surface facility requirements will be established. A focus will be on the unique influence of regional drivers and site characteristics including metocean and geotechnical conditions, water depths and remoteness of these fields.
There have been 17 FPSOs producing oil in Australian waters. These facilities have been chosen because of the remoteness of the fields and the lack of pipeline and process infrastructure. Storing oil on the FPSO for offloading and shipping from the fields becomes an obvious solution. Semisubmersible, TLP or Spar platforms show little advantage in such developments.
For deepwater gas developments, the product has to be processed, compressed and piped to shore for liquefaction. As host processing facilities, Semisubmersible, TLP and Spar platforms have clear advantages over FPSOs because of their superior motion performance in the harsh Australian metocean environment and other benefits such as facilitating drilling, dry tree completion and well services. FPSOs or FSOs may be applied for storage of associated oil and condensates. For marginal and remote gas field developments, an LNG FPSO (FLNG) may be an attractive option as it eliminates long pipelines and land-based liquefaction plants.
As discussed by Dorgant and Stingl (2005), a deepwater field development life cycle following discovery usually involves five distinct phases, Figure 1. The "select?? phase occurs after a discovery has been appraised sufficiently to further evaluate it for development. It consists of evaluating multiple development concepts and scenarios and selecting the one that will most likely achieve the identified commercial and strategic goals. Selecting a floating platform and its functions for a deepwater development is an important subset of the select phase and the overall field development planning.
The process of field development planning involves a complex iterative interaction of its key elements (subsurface, drilling and completions, surface facilities) subject to regional and site constraints (D'Souza, 2009). The objective is to select a development plan that satisfies an operator's commercial, risk and strategic requirements. It entails developing a robust and integrated reservoir depletion plan with compatible facility options. The selection occurs while uncertainty in critical variables that determine commercial success (well performance, reserves) is high. One of the challenges is to select a development plan that manages downside reservoir risk (considering the very large capital expense involved) while having the flexibility to capture its upside potential.
Demand for natural gas is increasing more rapidly than anticipated in Far East markets because (1) China has modified its policies in order to increase reliance on gas, in part to mitigate the growth in its coal consumption (which now stand at almost half of world coal production), (2) Japan has announced its intention to eventually shutdown its nuclear power industry, and (3) India, which currently has more than 400 million people without electricity, desires to accelerate electrification. This analysis investigates the potential role of stranded gas from Central Asia, Russia, Southeast Asia, and Australia in meeting Asia's future demand for gas imports. It initially surveys the discovered or known gas in stranded gas accumulations in Central Asia, Russia, Australia, Indonesia, and Malaysia. It then examines the primary gas import markets of China, India, Japan, and South Korea by describing energy use, gas demand trends, and domestic gas supplies to establish boundaries that encompass the wide variation in gas import demands in these markets during the two decades following 2020.
Then the cost of developing and delivering gas through overland pipelines from selected stranded gas fields in Central Asia and Russia to China is examined. Analysis shows that for the Shanghai market in China, the costs of developing and delivering Russia's stranded gas from the petroleum provinces of eastern Siberia are competitive with costs estimated for stranded gas from Central Asia. However, for the Western Siberian Basin, delivered gas costs are at least 3 US dollars per thousand cubic feet (USD/Mcf) higher than delivered gas from Central Asia.
The extraction and transport costs to a liquefaction plant for gas from stranded gas fields located in Australia, Indonesia, Malaysia, and the basins of eastern Siberia are then evaluated. The resource cost functions presented show development and extraction costs as a function of the volume of stranded gas developed for each country. The analysis demonstrates that, although the Russian fields in areas of eastern Siberia are large with relatively low extraction costs, distances to a potential liquefaction plant at Vladivostok make them initially the high cost suppliers of the liquefied natural gas (LNG) market. For the LNG markets examined, Australia and Malaysia are initially the lowest cost suppliers. For the Shanghai market, a comparison of the cost of supplying gas by pipeline with the cost of supplying LNG shows that the pipeline costs from areas of eastern Siberia and Central Asia are generally lower than delivered cost of gas as LNG from the LNG supply sources considered.
In May 2011 Shell announced its commitment to the development of a Floating Liquefied Natural Gas (FLNG) concept by taking the Financial Investment Decision on the Prelude FLNG Project. Prelude is located in Australian offshore waters, approximately 475 km north-northeast of Broome and 825 km west of Darwin, and will be Shell's and possibly the world's first FLNG development. FLNG offers a number of environmental advantages over traditional onshore LNG developments. This paper describes some of these and the associated environmental permitting/approval conditions for the project.
In late 2011 the Queensland State Government of Australia declared the Cooper Creek Basin in South West Queensland to be a Wild River Area under the Wild River Act 2005. The Wild River Area covers a significant proportion of Santos' current tenements and future development interests in the area.
The Wild Rivers Declaration is a highly prescriptive regulatory regime that sets out significant restrictions which would detrimentally impact on existing operations and future oil and gas development opportunities, including emerging coal seam and shale gas prospects in the proposed declaration area. It includes general prohibitions on certain activities across extensive areas of channel country and the imposition of setbacks for activities in proximity to watercourses.
The issue first arose in late 2010 when the Queensland Government indicated its intent to declare the Cooper Creek Basin as a Wild River through its issue of a Declaration Proposal. During the 12 month consultation period that followed, Santos engaged with the Queensland Government regulators and Ministers to assist the Government to make a Wild Rivers Declaration that achieves a balance between protecting the natural values of the Cooper Creek and allowing the continuation of the sustainable development of the petroleum resources within the Cooper and Eromanga Basins.
The paper will provide insight into Santos' experience in taking a lead role in responding to the significant new legislative regime proposed by Government. Key insights include the need for industry tobe proactive and take a role in educating the Government on the industry's operations andthe changes required to ensure compliance with the new regulatory requirements. It will also discuss broadlythe challenges associated with the changing regulatory environment including the role that politics can play and observes that we should continue to expect a ‘Wild' ride whenparticipating in thelegislative developmentprocess.
The significance of the Declaration is that the restrictions for petroleum activities imposed in the Cooper Creek Basin Wild Rivers Declaration may be imposed upon all Wild Rivers areas in Queensland. In addition, other Australian state governments are watching the implementation of Wild Rivers' legislation in Queensland and are considering the need for similar regulatory regimes in their jurisdictions.
Conference review - No abstract available.
Li, Zhigang (Offshore Oil Engineering Co. Ltd.) | He, Ning (Offshore Oil Engineering Co. Ltd.) | Duan, Menglan (Offshore Oil/Gas Research Center, China University of Petroleum) | Wang, Yingying (Offshore Oil/Gas Research Center, China University of Petroleum) | Dong, Yanhui (Offshore Oil/Gas Research Center, China University of Petroleum)
This paper summarises original development work implemented by Ocean Resourceinto a new type of Unmanned Production Buoy facility, the Sea Producer. Thiswork, which is both comprehensive and wide-ranging, covers the use ofautonomous buoy technology to develop various offshore oil and gas productionscenarios which would otherwise be uneconomic or indeed impossible. Recentlythis technology has received considerable interest as it represents, for somesmaller developments, possibly the only sensible and economic way forward. Thedesign concept is flexible and has applications well beyond simple production.Ocean is carrying out on-going development work into the use of the concept forcarbon sequestration allied to enhanced oil recovery. This novel developmentwill provide an initiating technology for offshore carbon sequestration againat hitherto highly economic costs. The detail of this is, however, beyond thescope of this paper.
Ocean Resource has developed and pioneered the concept of remote offshore oilor gas production from an unmanned production buoy over a period of 20 yearsand is the only company with specific experience and expertise in this complexarea. Ocean has designed, built, operated and maintained its own high stabilitybuoy systems and has completed a number of buoy designs for working buoysystems in use with Apache, Mossgas Pty, Exxon-Mobil and others for oil relatedoperations. More recently Ocean Resource has been responsible for the design ofa 5MW Power Buoy for CNR International UK Ltd (Canadian Natural Resources).Unfortunately Monitor Oil PLC, the principle constructor, went into liquidationprior to completion of the project but it is envisaged that this unit, which is95% complete will shortly be redeployed on another field. The Power Buoylocated at Dundee is subject to an option agreement for this purpose.
Ocean Resource's low cost autonomous buoy systems represent a game-changingtechnology that will enable the economic development of hitherto unexploitableor stranded oil and gas reserves. The technology is generally branded as SeaCommander where it relates to field control buoys (a developed product) and SeaProducer where it relates to production.
Sea Producer enables a step-change in offshore development expenditure loweringcapital costs at the start of project together with greatly reduced operationalcosts leading to low "through-life" costs for standalone, step-out developmentsor early production scenarios. Furthermore the relatively minimal nature of theoffshore facilities comprising the buoy and storage system leads to rapiddeployment and hence faster income and profit return to any offshoreproject.
The unique autonomous buoy technology has been developed by Ocean Resource overa period of 20 years and is an evolution of existing systems first deploed inthe 1980's. It is therefore both mature and proven. It can be used for sub-seaoil and gas field control, remote pigging, multi-phase pumping, chemicalinjection, subsea production support and remote flaring.
This paper presents an overview of wet gas multiphase metering and a new meterdesign to meet future offshore challenges. The design introduces new microwaveelectronics, transmission as well as resonance measurements, a salinitymeasurement system, reduced PVT dependence and a new HP/HT design.
Building on the success of wet gas metering in accuracy and reliability, thenew meter increases operators' ability to detect the onset of formation waterproduction and accurately measure flow rates where an increasing amount ofliquid and water is present in the flow (due to gas wells produced over a widerrange of process conditions).
The new meter design will have an increased importance for subsea tiebacksapplications. While today's wet gas meters are well suited for subsea tiebacks,current subsea developments require longer horizontal production pipelines,where accurate and sensitive measurement of water is crucial to ensure flowassurance and maintain maximum production capacity of the pipeline.
Furthermore, the restrictive and remote nature of subsea fields means that thecosts for subsea interventions and periodic fluid sampling (PVT) are high. Thenew meter is more robust to changes in PVT (fluid composition) and reduces theneed for frequent fluid sampling.
The paper will describe the development and technology choices of the newinstrument and how it will meet future subsea field demands.
It will explain how the new microwave electronics provides more stable andaccurate measurements; how transmission and resonance measurements extend theoperating range to 80-100% GVF and 0-100% WLR; how two complementarytechnologies - a salinity probe for liquid film measurements at low GVF andFormation Water Detection Function software for droplets measurements at highGVF, provide the first complete salinity measurement system in wet gasapplications.
The paper will also show how multivariate analysis and new measurements enablethe meter to compensate automatically for changes in produced fluidcomposition.
The paper will be highly significant to oil and gas operators looking toincrease flow assurance and oil & gas production from wet gas fields andmeet the growing offshore challenges of varying process conditions,intervention costs, and subsea tie-backs.