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You are on page 1/ 62

Pe

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io
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The
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of
Te
xa
s
at
A us
tin
Figures
Tables
xi
xxviii Contents
Foreward xxix

in
Preface xxxi
Acknowledgments xxxiii

st
Units of Measurement xxxiv

Au
How to Use This Book xxxvi
Introduction 1

at
The Demand for Oil 1
From Past to Present 2

as
What Does the Future Hold? 4

x
PART 1. Exploration 7

Te
The Authors 8
1.1 Petroleum Geology 9

of
Basic Concepts of Geology 10
Plate Tectonics 11

ity
Folds 15
Faults 18

rs
Life on Earth 21
Categorizing Rocks 22
ve
Accumulations of Petroleum 25
Origin of Petroleum 25
ni

Porosity and Permeability of Oil-Bearing Rocks 27


U

Migration of Petroleum 29
Traps 30
e

Reservoir Fluids 36
Th

Water 37
Oil 37
n-

Natural Gas 38
Distribution of the Fluids 39
io

Reservoir Pressure 39
ns

Normal Pressure 39
Abnormal Pressure 41
te

Summary 42
1.2 Petroleum Exploration 43
Ex

Surface Geographical Studies 43


Aerial Photographs and Satellite Images 43
um

Oil and Gas Seeps 45


Collecting Data 46
Private Company Libraries 46
le

Public Agency Records 46


Databases 46
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Geophysical Surveys 47
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Magnetic and Electromagnetic Surveys 48


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Magnetometer Surveys 48
Magnetotellurics 48
Gravity Surveys 49
Seismic Surveys 50
Ocean Bottom Cable Systems 57

iii
CONTENTS Fundamentals of Petroleum

Reservoir Development Tools 59


Well Logs 59
Sample Logs 62
Drill Stem Test 64

in
Strat Test 64
Stratigraphic Correlation 65

st
Maps 66

Au
Data, Software, and Modeling Technology 69
Summary 73
1.3 Mineral Rights and Leasing 75

at
Leasing of Lands 77
U.S. Federal Government Land 80

as
The First Leases 82
Court Rulings on Oil Migration 83

x
Government Regulations 84

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Ownership in the United States 84
The Language of Leasing 87

of
The Mineral Estate 88
Leasing Privately Owned Lands 90

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Determining Ownership 91
Clearing the Title 93

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Establishing the Contract 94
Provisions of the Lease 94
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Executing a Lease 98
Summary 101
ni
U

PART 2. Drilling 103


The Authors 104
e

2.1 Drilling Operations 107


Th

A New Era in Energy 107


The 1840s 108
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The 1850s 109


The Late 1800s 110
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Other Parts of the World 110


ns

The 1900s and Spindletop 114


The Power of Cable-Tool Drilling 116
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The Success of Rotary Drilling 118


Drilling Today 120
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Oilfield Metallurgy 121


Drilling Personnel and Contracts 127
um

Drilling Systems 131


The Hoisting System 133
The Rotating System 145
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Drilling Assembly 154


The Circulating System 158
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The Power System 164


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Drill Site Procedures 169


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Preparing the Drill Site 169


Rigging Up 172
Spudding In 173
Tripping Out 176
Running Surface Casing 180

iv
Fundamentals of Petroleum CONTENTS

Cementing the Casing 182


Tripping In 184
Controlling Formation Pressure 187
Intermediate Casing 187

in
Expandable Casing 188
Drilling to Final Depth 188

st
Evaluating Formations 188

Au
Complete or Abandon 201
Other Land Operations 202
After Drilling 202

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Offshore Drilling 203
A Look Back 203

as
Modern Offshore Operations 206
Mobile Offshore Drilling Units 206

x
Offshore Drilling Platforms 214

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Controlled Directional Drilling 221
Offshore Directional Wells 223
Onshore Directional Wells 224

of
Other Applications 225
Tools and Techniques 227

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The Use of Mud Density 234
Managed Pressure Drilling and Density 237

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Unconventional Drilling 244
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Steam-Assisted Gravity Drainage 245
Air or Gas Drilling 246
ni
Fishing 248
Freeing Stuck Pipe 248
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Retrieving Twisted-Off Pipe 253


Fishing for Junk 254
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Summary 254
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2.2 Well Control 257


An Out-of-Control Well 257
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First Line of Defense 258


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Wellbore Pressure 260


Summary 268
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2.3 Drilling Safety 269


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Common Hazards 270


Preparing the Drill Site 273
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Installing the Rig 274


Drilling Ahead 276
Blowouts 277
um

Completing the Well 278


Summary 278
le

PART 3. PRODUCTION 279


ro

The Authors 280


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3.1 Production Practices 281


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The Early Days 282


Completion 282
Pumping 283
Storage and Handling 283
Well Completion 284

v
CONTENTS Fundamentals of Petroleum

Production Casing and Liners 284


Completion Types 286
Tubing and Packers 290
The Wellhead 296

in
Initiating Flow 301
Stimulation 302

st
Explosives 302

Au
Hydraulic Fracturing 303
Acidizing 305
Artificial Lift 307

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Beam Pumping 307
Electric Submersible Pumps 309

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Subsurface Hydraulic Pumps 310
Progressing Cavity Pumps 311

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Gas Lift 311

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Plunger Lift 312
Reservoir Drive Mechanisms 313
Depletion Drive 313

of
Water Drive 315
Gravity Drainage 316

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Combination Drives 317
Well Testing 317

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Potential or Production Tests 317
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Bottomhole Pressure Test 318
Improved Recovery Techniques 318
ni
Waterflooding 320
Immiscible Gas Injection 321
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Miscible Gas Injection 321


Chemical Flooding 322
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Thermal Recovery 323


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Surface Handling of Well Fluids 325


Separating Liquids from Gases 326
n-

Removing Free Water 327


Treating Oilfield Emulsions 328
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Types of Emulsion Treaters 330


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Handling Natural Gas 332


Storing Crude Oil 339
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Oil Sampling 341


Measuring and Testing Oil and Gas 342
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LACT Units 344


Gas Sampling 345
Gas Testing 346
um

Gas Metering 346


Well Service and Workover 349
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Service and Workover Equipment 349


Well Servicing and Repair 356
ro

Workover Operations 359


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Summary 363
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3.2 Remote Production 365


Offshore Production Platforms 365
Offshore Completions 368
Offshore Fluid Handling 370
Artic Production 371

vi
Fundamentals of Petroleum CONTENTS

Summary 373
3.3 Production Safety 375
Most Common Hazards 376

in
Controlling Hazards 379
Summary 381

st
Au
PART 4. Transportation and Refining 383
The Authors 384
4.1 Transportation 385

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Early Methods of Transportation 386

as
Wagons and Water 387
Rails and Tank Cars 388

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The First Oil Pipelines 389

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Gas Transmission Pipelines 393
Ships at Sea 395
Tank Trucks 396

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Railway Systems 397
Petroleum Products Transported by Rail 397

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U.S. Government Regulation 399
Tank Car Design and Manufacture 399

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Safety 400
Tank Car Strings and Unit Trains 400
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Motor Transportation 402
Types of Vehicles 402
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Crude Oil Trucks 403


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Refined Products Transport 403


Liquefied Petroleum Gas Transport 405
e

Government Regulation 405


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Marine Transportation 406


Inland Waterways 406
n-

Barges 406
Tugboats 407
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Towboats 407
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Oceangoing Tankers 408


Supertankers 409
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Average-Size Tankers 410


Icebreaking Tankers 411
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Natural Gas Tankers 412


Loading and Offloading Facilities 414
Crude Oil Pipelines 415
um

Field Gathering Systems 417


Pump Station Operation 418
le

Control of Oil Movements 423


Measurement and Quality Assurance 425
ro

Oil Accounting 425


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Products Pipelines 426


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Control of Products Movement 427


Batching 428
Other Types of Liquid Pipelines 429
State and Federal Regulations 429
Regulatory Environment 429

vii
CONTENTS Fundamentals of Petroleum

Natural Gas Pipelines 430


Modern Transmission Systems 430
Conditioning and Compressors 432
Automation 433

in
Odorants 434

st
Pipeline Construction on Land 434
Assembling the Spread 435

Au
Clearing Right-of-way 436
Ditching 438
Stringing Pipe 440

at
Bending Pipe 441
Aligning and Welding Pipe 442

as
Coating and Wrapping Pipe 443
Lowering in and Backfilling 444

x
Specialty and Tie-In Crews 446

Te
Cleanup and Restoration 448
Testing and Commissioning 449

of
Offshore Pipeline Construction 449
Conventional Lay Barges 450

ity
Bury Barges 453
Superbarges 454

rs
Semisubmersible Barges 454
Reel Vessel 454
ve
Economics and Safety 456
Liquefied Natural Gas 458
ni

History of the LNG Industry 458


U

Links of the LNG Chain 462


Baseload LNG Plant 464
e

LNG Receiving Terminals 466


Th

LNG Ships 467


Summary 468
n-

References 469
io

4.2 Refining and Processing 471


The Early Days 473
ns

Structure of Hydrocarbons in Oil and Gas 476


Paraffins 478
te

Isomers 478
Ex

Aromatics 478
Naphthenes 480
Olefins 480
um

Other Elements 480


Refining Crude Oil 481
le

Assays 482
Refining Processes 483
ro

Petrochemicals 507
t

Types of Petrochemicals 507


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A Petrochemical Plant 509


Refining Capacity 515
Products Sales and Distribution 515
Environmental Considerations 516
Summary 518

viii
Fundamentals of Petroleum CONTENTS

4.3 Gas Processing 519


Recovering NGL Mixtures 520
Straight Refrigeration 521
Cryogenic Recovery 522

in
Oil Absorption 524

st
Dry Bed Adsorption 525
Fractionation of NGLs 526

Au
Summary 527

PART 5. The Changing Market 529

at
The Authors 530

as
5.1 Petroleum Economics 531
The Economics of Creating New Supplies 533

x
Business Model Overview 533

Te
Integrated and Independent Energy Companies 536
Investment Decision-Making 539
Prospect Generation and Evaluation 545

of
Summary 562
References 563

ity
5.2 Environmental, Health, and Safety Concerns 565

rs
U.S. Laws and Regulations 566
International Laws and Treaties 570
ve
Exploration and Production Environmental Impacts 571
Closed-Loop Drilling System 571
ni

Synthetic-Based Drilling Fluid 572


U

Mud Additives from Waste 573


Blowouts 574
e

Spills from Tankers 575


Th

Prevention 576
Cleaning Up the Sea 577
Cleaning Up the Shore 579
n-

Cleaning Up Shallow Waters 580


io

Pipeline and Transportation Environmental Impacts 580


Refining Environmental Impacts 583
ns

Detecting Contaminated Water and Soil 587


Cleaning Contaminated Soil 587
te

From the Environment to the Individual—Health and Safety 590


Ex

Industry Workplace Safety 591


Industry Incidents 591
Reducing Injuries 592
um

Organizing a Safety and Health Program 596


Proper Training 602
Summary 604
le

References 605
ro

5.3 Energy Options and Policy 607


t

Energy Consumption 609


Pe

Energy Challenges 612


Environmental Impact 612
Economic Impact 613
Security Impact 614
Analyst Projections 614

ix
CONTENTS Fundamentals of Petroleum

Energy Attitudes 616


Energy Tradeoffs 618
Question: Paper or Plastic? 618
Balancing Priorities 619

in
Energy Technologies of the Future 620

st
Defining Critical Technologies 620
Green Energy Transition 620

Au
Nontechnical Solutions 631
Summary 632
References 633

at
Appendix 635

as
Index 663

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x
Units of T hroughout the world, two systems of measurement dominate: the
English system and the metric system. Today, the United States is
one of only a few countries that employ the English system.
Measurement The English system uses the pound as the unit of weight, the foot as

in
the unit of length, and the gallon as the unit of capacity. In the English

st
system, for example, 1 foot equals 12 inches, 1 yard equals 36 inches, and
1 mile equals 5,280 feet or 1,760 yards.

Au
The metric system uses the gram as the unit of weight, the metre as
the unit of length, and the litre as the unit of capacity. In the metric sys-

at
tem, 1 metre equals 10 decimetres, 100 centimetres, or 1,000 millimetres.
A kilometre equals 1,000 metres. The metric system, unlike the English

as
system, uses a base of 10; thus, it is easy to convert from one unit to an-
other. To convert from one unit to another in the English system, you must

x
memorize or look up the values.

Te
In the late 1970s, the Eleventh General Conference on Weights and
Measures described and adopted the Systeme International (SI) d’Unites.
Conference participants based the SI system on the metric system and

of
designed it as an international standard of measurement.
The Rotary Drilling Series gives both English and SI units. And be-

ity
cause the SI system employs the British spelling of many of the terms, the

rs
book follows those spelling rules as well. The unit of length, for example,
is metre, not meter. (Note, however, that the unit of weight is gram, not
ve
gramme.)
To aid U.S. readers in making and understanding the conversion
ni

system, we include the table on the next page.


U
e
Th
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xxxiv
English-Units-to-SI-Units Conversion Factors
Quantity Multiply To Obtain
or Property English Units English Units By These SI Units

in
Length, inches (in.) 25.4 millimetres (mm)
depth, 2.54 centimetres (cm)

st
or height feet (ft) 0.3048 metres (m)
yards (yd) 0.9144 metres (m)

Au
miles (mi) 1609.344 metres (m)
1.61 kilometres (km)
Hole and pipe di­ame­ters, bit size inches (in.) 25.4 millimetres (mm)

at
Drilling rate feet per hour (ft/h) 0.3048 metres per hour (m/h)
Weight on bit pounds (lb) 0.445 decanewtons (dN)

as
Nozzle size 32nds of an inch 0.8 millimetres (mm)

x
barrels (bbl) 0.159 cubic metres (m3)
159 litres (L)

Te
gallons per stroke (gal/stroke) 0.00379 cubic metres per stroke (m3/stroke)
ounces (oz) 29.57 millilitres (mL)
Volume cubic inches (in.3) 16.387 cubic centimetres (cm3)

of
cubic feet (ft3) 28.3169 litres (L)
0.0283 cubic metres (m3)
quarts (qt) 0.9464 litres (L)

ity
gallons (gal) 3.7854 litres (L)
gallons (gal) 0.00379 cubic metres (m3)

rs
pounds per barrel (lb/bbl) 2.895 kilograms per cubic metre (kg/m3)
barrels per ton (bbl/tn) 0.175 cubic metres per tonne (m3/t)
ve
gallons per minute (gpm) 0.00379 cubic metres per minute (m3/min)
Pump output gallons per hour (gph) 0.00379 cubic metres per hour (m3/h)
ni
and flow rate barrels per stroke (bbl/stroke) 0.159 cubic metres per stroke (m3/stroke)
barrels per minute (bbl/min) 0.159 cubic metres per minute (m3/min)
U

Pressure pounds per square inch (psi) 6.895 kilopascals (kPa)


0.006895 megapascals (MPa)
e

°F – 32
Th

Temperature degrees Fahrenheit (°F) degrees Celsius (°C)


1.8
Mass (weight) ounces (oz) 28.35 grams (g)
n-

pounds (lb) 453.59 grams (g)


0.4536 kilograms (kg)
io

tons (tn) 0.9072 tonnes (t)


pounds per foot (lb/ft) 1.488 kilograms per metre (kg/m)
ns

Mud weight pounds per gallon (ppg) 119.82 kilograms per cubic me­tre (kg/m3)
pounds per cubic foot (lb/ft3) 16.0 kilograms per cubic me­tre (kg/m3)
te

Pressure gradient pounds per square inch


per foot (psi/ft) 22.621 kilopascals per metre (kPa/m)
Ex

Funnel viscosity seconds per quart (s/qt) 1.057 seconds per litre (s/L)
Yield point pounds per 100 square feet (lb/100 ft ) 0.48
2
pascals (Pa)
um

Gel strength pounds per 100 square feet (lb/100 ft2) 0.48 pascals (Pa)
Filter cake thickness 32nds of an inch 0.8 millimetres (mm)
le

Power horsepower (hp) 0.75 kilowatts (kW)


square inches (in.2) 6.45 square centimetres (cm2)
ro

square feet (ft2) 0.0929 square metres (m2)


Area square yards (yd2) 0.8361 square metres (m2)
t
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square miles (mi2) 2.59 square kilometres (km2)


acre (ac) 0.40 hectare (ha)
Drilling line wear ton-miles (tn•mi) 14.317 megajoules (MJ)
1.459 tonne-kilometres (t•km)
Torque foot-pounds (ft•lb) 1.3558 newton metres (N•m)

xxxv
HOW TO USE
THIS BOOK I t is recommended that this book be read in sequence first to absorb the
full end-to-end story of petroleum, beginning with geology and ending
with alternative energy sources. It can also be used as an ongoing reference
for specific information on topics of interest.

in
• Chapter objectives, callouts, and summaries help highlight ma-

st
jor points for readers.

Au
• Hundreds of color images visually support the text to enhance
learning.
• An index is included for convenience in looking up topics.

at
• Italicized terms are defined in A Dictionary for the Oil and Gas
Industry, 2nd Edition, available as a separate product.

as
• Two reading formats are available for reader preference: print

x
and e-book.

Te
• A separate online assessment is also available to test learning
comprehension. Readers who successfully complete the assess-
ment will receive a Certificate of Completion and Continuing Edu-

of
cation Credits (CEUs) that can be useful career advancement
tools.

ity
• A companion course aligned with this publication is also offered

rs
at the PETEX Houston and West Texas Training Centers and at
client locations upon request.
ve
Reader feedback is welcomed so we can continue to refine this pub-
ni

lication for the benefit of all users. Please contact us with any corrections
U

or revisions necessary for future editions. As always, PETEX strives to


provide quality content to enhance industry workplace performance.
e
Th

Petroleum Extension Service


The University of Texas at Austin
n-

Global Training Solutions Since 1944


www.utexas.edu/ce/petex
io

Phone: 800.687.4132
ns

E-mail: [email protected]
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xxxvi
The Demand for Oil INTRODUCTION

THE DEMAND FOR OIL


Introduction
O il is used in nearly every aspect of life from fuel for cars, trucks,
and planes to plastics, clothing, food additives, and medicines. In

in
fact, it is nearly impossible to find some aspect of modern lives that does

st
not require or depend on oil. Without oil, there would be no global
economy. Modern society cannot function without oil.

Au
On average, every person in the world consumes about 195 gal-
lons (738 litres) of oil per year. In the United States, consumption per

at
person is five times that level, while in China it is about half the world
average. Although oil is used for nearly everything, it is peoples’ need

as
to be mobile and the desire for more freedom of mobility that are the
major forces driving oil demand today. As a result, more than half

x
of oil consumption is used for transportation. Demand in developed

Te
countries is maturing, while economic growth in developing countries
is dependent on oil as transportation systems and wealth grow.

of
The need for oil continues to increase. Demand has been rising
steadily in nearly all regions of the world for the past 25 years. The

ity
demand for oil—the collective needs of the oil industry’s final cus-
tomers—drives all other aspects of the oil industry. These needs have

rs
changed over time and are expected to continue evolving as consumers
ve
and policies change. Changes in oil demand in the short and medium
term (one to five years) are largely determined by price movements,
ni

economic growth, and weather. Over the longer term, demand is


U

determined by end-user investment decisions and government policy.


In the past few years, growth in oil demand has slowed due to
e

the impact of higher prices, and volume demand has fallen in 2008
Th

and 2009 due to the effects of the global economic recession. But as
n-

economies around the world recover, so will oil demand. The rate of
growth and the characteristics of demand are likely to change in the
io

post-economic recovery.
ns

Shares of Global Demand


te

Fuel Type Regional Oil Demand Sector Oil Demand


Ex

Coal 26% North America 30% Residential/Commercial 12%


um

Oil 37% South America 7% Industry 8%



Gas 23% Europe 20% Feedstock 8%
le


Hydro 6% Eurasia 5% Transportation 52%
ro

Nuclear 6% Middle East 7% Power Generation 7%


t
Pe


Renewable 1% Asia 28% Misc. 12%
Africa 4%

Copyright © The University of Texas at Austin—PETEX 1


INTRODUCTION Fundamentals of Petroleum

in
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Global oil demand—key drivers
ni
U

From Past to Present The history of global oil demand can be divided into three distinct eras:
e

• Pre-1973: Driven by both economic and population growth,


Th

world oil demand grew quickly. Rapid industrialization and in-


creasing populations with rising personal incomes combined
n-

with cheap abundant oil resulted in a steady rise in global oil


demand. The relationships between economic growth, popula-
io

tion growth, and oil demand growth were relatively stable.


ns

• 1973 to 1980: These years were a transition period from the


pre-1973 era of cheap oil to a political and price environment
te

characterized by high oil prices, a prevailing view that prices


Ex

would continue to rise (to safeguard against running out of oil),


and policies that would move major economics away from oil.
um
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a po str
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w d e s e n a
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and a l pe oil p d rel low, r i se, risk
m n g n t
de tio sin a ces ces ya
rld nsi nd ri dem il pri pri uppl
Wo Tra a Oil O Oil S

Pre-1973 1973–1980 Mid-1980s–2005 2005

2 Copyright © The University of Texas at Austin—PETEX


The Demand for Oil INTRODUCTION

• Mid-1980s to present: Since the early to middle 1980s, oil


demand had been in a period of relative stability. Oil prices
were low and global economic growth was strong. However,
the relationships had changed from previous periods. Trends

in
for oil demand per person were flat, and oil demand per dollar

st
of Gross Domestic Product (GDP) fell at a steady rate during

Au
this period.

Over the last 25 years, oil’s importance to the global economy

at
has been gradually declining:
• Oil use per dollar of GDP has declined at a steady rate, re-

as
gardless of the rate of economic growth.

x
• Oil use per person worldwide has been stable for 25 years—

Te
between 190 and 200 gallons (719 and 757 litres) per person
per year. While rising in some emerging markets, use per per-
son has begun to decline in some major markets such as Japan

of
and Germany.

ity
Regardless of the various changes in oil consumption from one
country to another or the rate of economic growth in emerging markets
compared to developed economies, the stability in per-capita consump-
rs
ve
tion of oil indicates that on average, world oil demand growth is largely
driven by population growth. In some emerging market countries,
ni

combined population growth and economic growth are causing oil


U

demand to rise, while demand is maturing and even falling in some


developed countries. However, worldwide, the amount of oil needed
e

to create $1,000 of economic growth has been declining steadily since


Th

the mid-1980s. In other words, the global economy is becoming more


efficient in its use of oil, at a rate of about 1.5% per year. In 2010, it
n-

takes about 19 gallons (72 litres) of oil to create $1,000 of economic


io

output. By comparison, it took nearly 40 gallons (151 litres) for the


ns

same economic output in the early 1970s.


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h rat h fall i e ncy b l e, a dard


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m a m a re a b ic i
De De Inc Glo Eff

2008 2009 2010 2010–2025

Copyright © The University of Texas at Austin—PETEX 3


INTRODUCTION Fundamentals of Petroleum

From the early 1980s to about 2005, the price of oil on average
was the price needed to work off the spare capacity in the system. This
price level encouraged a rise in consumption and, at the same time,
discouraged growth in oil production. During this period, events such

in
as hurricanes, cold weather, wars, and accidents that typically impact oil

st
markets had an impact on prices, but these effects were hardly noticed by

Au
consumers—at least not in a way that would alter demand patterns in any
sustainable manner. Despite relatively low prices and strong economic
growth, global oil demand grew at the same rate as population growth.

at
By 2005, the spare capacity of OPEC—the Organization of Pe-
troleum Exporting Countries—and consequently, the spare capacity

as
of the industry, was essentially zero. Very quickly, oil prices increased

x
to levels unthinkable just a short time before. As demand increased or

Te
supply was suddenly perceived to be at risk, prices kept rising. There
was no more spare capacity to bring online to meet market demand. As
a result, prices shifted to reflect the price level needed to slow down or

of
reduce oil demand. Events, such as hurricanes and political developments,

ity
had significant impact on spot (immediate) prices and consumer prices.
The years 2008 and 2009 might well be one of the rare major turn-

rs
ing points in the history of oil demand. By 2008, signs of the impact
ve
of high oil prices on demand were beginning to materialize. Countries
that subsidized consumer oil prices were raising prices, thereby causing
ni

demand growth rates to slow. U.S. consumers began to reduce gasoline


U

consumption and air travel. By 2008, global oil demand growth had
slowed to zero, and demand in 2009 fell 2.4 %—the largest fall in oil
e

demand since 1980—as a result of the global economic recession and


Th

very high oil prices in 2008.


n-

What Does the As happened in the late 1970s and early 1980s, the oil industry is
io

Future Hold? experiencing a once-in-a-generation level of change in demand for


ns

its products. The global energy picture and that of the United States
are being reshaped by prices and politics to a degree not seen since
te

the 1970s. Oil’s recent past is unprecedented. Numerous events and


Ex

developments have occurred in a relatively short period of time.


Some individual factors will have significant implications for future
um

oil demand, and taken collectively, impacts could have long-term


implications unlike anything experienced in the past. Some examples
of recent events and government actions are:
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• Hurricanes that severely disrupt U.S. refinery production.


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• Oil prices rising to $140 per barrel, causing U.S. retail gasoline
t

prices to exceed $4 per gallon for much of the summer of 2008.


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• Vehicle efficiency standards that passed in several of the world’s


major oil markets, including the United States, the European
Union, Japan, and China, which are set to take effect over the
next 10 to 15 years.

4 Copyright © The University of Texas at Austin—PETEX


The Demand for Oil INTRODUCTION

• Biofuel mandates and targets that displace oil from transpor-


tation fuels by 20% or more in the United States, India, the
European Union, and Brazil, which are to be established by
2020. Several other countries have much smaller requirements.

in
• Regulations that reduce carbon emissions and have further im-

st
plications for oil use.

Au
It could be that oil demand is entering a new, fourth era. Over the
next decade and beyond, oil use per dollar of GDP is likely to decline at

at
a faster rate than during the past 25 years, and oil use per capita could
begin to decline. As occurred in the 1970s, over the past few years,

as
governments around the world have begun to enact policies to reduce
oil demand. Around the world, major oil importing countries are ad-

x
Te
justing their energy and environmental policies to guide countries to
lower energy intensity, economic growth, and greater energy security.
These actions are driven by two major forces: a concern that oil prices

of
will return to the extreme levels of 2006 to 2008 and damage economic
recovery and growth, and the need to reduce greenhouse gas emissions

ity
to address global warming.

rs
For the first time since the beginning of the oil age, the cost of
consuming oil might be higher that the economic benefit of its use.
ve
Governments around the world now agree that global climate change
ni
poses a real threat to mankind and must be addressed urgently. With
transportation the largest single source of carbon dioxide emissions in
U

the United States and second only to coal worldwide, reducing carbon
e

emissions from transportation is a critical component in the effort to


Th

reduce greenhouse gas emissions. Reducing greenhouse gas emissions


from oil means using less oil, either through higher efficiency or by
n-

using substitutes such as biofuels. Countries worldwide are doing both.


Efforts to reduce oil demand through legislation are now un-
io

precedented in the history of oil use. Government initiatives are also


ns

supported by tax incentives and mandates that help ensure goals are
met. In addition, as these changes gradually begin to impact overall oil
te

demand in the oil-consuming countries of Japan, China, India, Brazil,


Ex

and the United States, other countries might adopt similar measures,
putting additional pressure on oil use around the world.
um

Pre-1973 1973-1980 Mid-1980s to 2010 2010 and Beyond


le

Increasing populations Growth in global demand Oil demand stabilizing Unprecedented change
ro

Rapid industrialization Rising oil prices Declining oil prices Global recession
t
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Rising personal incomes Economic movement Strong economic growth Impactful policies and
from oil events
Abundant cheap oil Perceived supply shortage Emerging energy A new era of oil
alternatives

Copyright © The University of Texas at Austin—PETEX 5


INTRODUCTION Fundamentals of Petroleum

Past experience is critical in helping us to form the basis for future


decisions and plans. The oil industry has an abundance of data and in-
formation with which to analyze past oil demand and give insights about
the future. But a key question of analysts today remains. Even with good

in
data and analysis available, is the past a good indicator of the future of oil

st
and energy demand? This and other questions will be discussed in the

Au
chapters that follow. While future oil demand growth is much less certain
now than at nearly any time in the past 25 years, the oil industry and the
study of energy markets promises to be more exciting and challenging

at
than it has been in at least a generation.

x as
Te
of
ity
Kevin J. Lindemer

rs
Independent Energy Research
Consultant
ve
Kevin J. Lindemer, LLC
ni

Kevin Lindemer has over twenty-five


U

years of experience in the oil and downstream petroleum


industries and is an expert on the global oil industry.
e

He specializes in downstream refining and marketing


Th

operations and has worked on consulting and research


projects in the energy, biofuels, and downstream oil
n-

business worldwide. He holds an MS in Agricultural and


Applied Economics and a BS in Plant Pathology with
io

emphasis in economics and chemistry.


ns
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Ex
um
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6 Copyright © The University of Texas at Austin—PETEX


Pe
tro
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PART 1
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Th
e
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Exploration

ni
ve
rs
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of
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xas
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Au
st
in
The Authors
GEOLOGY MINERAL RIGHTS AND

in
Christopher Zahm LEASING

st
Bureau of Economic Geology Dan McCue
The University of Texas at Austin Director of Land Management

Au
Christopher Zahm is a leading expert Calera Corporation
in fractured reservoir characteriza- Dan McCue is Director of Land

at
tion, including the interpretation Management for Calera Corpora-
of structural folds and faults in seismic. He works with tion of Los Gatos, California. Additionally, since 1995,
both outcrops and subsurface data to build 3D geologic

as
McCue has been an instructor at the PETEX Houston
models used by the petroleum industry. Zahm teaches Training Center teaching Aspects of Leasing and Joint
Petroleum Basin Evaluation and conducts research at

x
Venture Partnerships, both onshore the United States
the University’s Reservoir Characterization Research

Te
and along the Outer Continental Shelf. 
Laboratory. His research focuses on predicting the Prior to Calera, McCue served Spinnaker Explora-
distribution of faults and fractures in the subsurface to tion Company as Senior Landman. From 1998 to 2007,

of
understand how these features influence fluid flow within McCue was responsible for Spinnaker’s lease acquisi-
petroleum reservoirs. Zahm’s career includes key former tions, negotiating commercial deals, drafting operating,
positions at ConocoPhillips, iReservoir, Colorado School

ity
farmout, and production handling agreements, and
of Mines, and as a consultant to several independent oil coordinating all competitor analysis for federal lease

rs
and gas companies. He holds a BSC in Geology and sales in both shelf and deepwater Gulf of Mexico.  
Geophysics from the University of Wisconsin, an MS Following the sale of Spinnaker Exploration to
ve
in Geology from The University of Texas at Austin, and Norske Hydro, McCue joined newly formed Beryl Oil
a PhD in Geology from the Colorado School of Mines. and Gas LP as Vice President of Land in 2007. There
ni

he was responsible for creating Beryl’s Land Department


U

for the integration of newly acquired Gulf of Mexico


EXPLORATION assets. In 2009, Beryl was sold to Dynamic Offshore
e

Resources.
Christi Gell
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McCue has a B.B.A. in Petroleum Land Manage-


Global Business Development, ment from The University of Texas at Austin. He then
Earth Modeling spent 18 years with Amoco Production Company 
n-

Landmark Graphics, Halliburton as a Senior Land Negotiator, assigned to various regions


io

Christi Gell develops and executes of the United States including Alaska.
sales and growth strategy for De-
ns

cisionSpace® Earth Modeling. She has also developed


and commercialized multi-disciplinary workflow across
te

product lines for Halliburton’s VeristimSM Service.


Gell has worked in Houston and Kuala Lumpur as the
Ex

geological and geophysical technologies lead for the


Asia Pacific Region and also in Halliburton’s Produc-
um

tion Enhancement product line. She began her career


as an exploration geologist at Marathon Oil Company
before joining Landmark Graphics of Halliburton in
le

2000. She cofounded Halliburton’s Young Profession-


als in Energy group and published an paper in 2008 on
ro

young professionals in the oil and gas industry, published


t

by the Society of Petroleum Engineers. She is active in


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several industry organizations, including serving on the


membership committee of the American Association of
Petroleum Geologists. She holds an M.S. in Geology
from the University of Houston and a B.S. in Geology
from The University of Texas at Austin.

8
Petroleum Geology EXPLORATION

1.1
In this chapter:
• The basic concepts of geology
• The origin of petroleum
Petroleum

in
• Types of rock and their formations

st
• The importance of porosity and permeability
Geology

Au
• How reservoir pressure influences flow

at
T he science of geology deals with the origin, history, and physical

as
structure of the Earth and its life, as recorded in rocks. An under-
standing of the basic principles of geology is essential to the petroleum

x
industry, because most petroleum is found in underground formations

Te
made of rock.
Geologists try to answer such questions as: How old is the Earth?

of
Where did the Earth come from? What is the Earth made of? And how
has the Earth changed through time? Geologists study the evidence of

ity
events occurring millions of years ago, such as earthquakes, volcanoes, and
drifting continents and relate these to similar events happening today. They

rs
look for evidence of the locations of ancient rivers, deltas, beaches, and
ve
oceans and try to decipher how these features shifted position with time.
They also research the composition of rocks in the Earth’s crust. In their
ni

intensive analysis of the Earth, geologists also draw on information from


U

many other sciences, such as astronomy, chemistry, physics, and biology.


The petroleum geologist is primarily concerned with rocks that
e

contain oil and gas, particularly rocks that contain enough petroleum
Th

to be commercially valuable. The company that drills for oil wants


n-

a reasonable chance of making a profit on its eventual sale, factoring


in market price, the amount of recoverable petroleum, the expected
io

production rate, and the cost of drilling and producing the well.
ns

Therefore, petroleum geologists actually have two jobs:


• They reconstruct the geologic history of an area to find
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likely locations for petroleum accumulations.


Ex

• They find one of these locations and evaluate it to deter-


mine whether it contains enough petroleum to be commer-
um

cially productive.

Among the general population, there is a common misconception of


le

oil reservoirs. Many people think that an oil reservoir is a large, subter-
ranean cave filled with oil or a buried river flowing with crude oil from
ro

bank to bank. Nothing could be further from the truth. Yet it is easy to
t
Pe

understand how such ideas come about. Even experienced oilfield work-
ers often refer to a reservoir as an oil pool. And because many cities store
their drinking water in ponds or lakes also called reservoirs, this term
adds to the confusion. In reality, a petroleum reservoir is a rock formation
that holds oil and gas, somewhat like a sponge holds water.

Copyright © The University of Texas at Austin—PETEX 9


Petroleum Exploration EXPLORATION

1.2
In this chapter:
• Collecting data using survey tools and databases
• The evolution of seismic surveys and interpretation
Petroleum

in
• Types of well logs and core samples

st
• Contour maps and digital computer models
Exploration

Au
at
I n the past, exploring for petroleum was a matter of good luck and
guesswork. Drilling near oil or natural gas seeps where hydrocarbons

as
were present on the surface was the most successful hydrocarbon-

x
finding method in the early days of oil exploration. Today, petroleum

Te
explorationists use sophisticated technologies and scientific principles
and guidelines to find oil and gas. An explorationist is a person with
extensive geological training whose job it is to search for new sources

of
of hydrocarbons.
Surface and subsurface geological studies drive the discovery of oil

ity
and gas. Seismic data, well log data, aerial photographs, satellite images,

rs
gravity and magnetic data, and other geological data provide informa-
tion that help determine where to drill an exploratory well. Specialists
ve
examine rock fragments and core samples brought up while drilling
ni
the exploratory well and run special tools into the hole to get more
information about the formations underground. Examining, correlat-
U

ing, and interpreting this information make it possible for petroleum


e

explorationists to accurately locate subsurface structures that might


Th

contain hydrocarbon accumulations worth exploiting.


n-
io

In relatively unexplored areas, petroleum explorationists study the SURFACE


ns

topography—the natural and manmade features on the surface of the GEOGRAPHICAL


te

land—to derive a conclusion about the character of underground


formations and structures largely from what appears on the surface.
STUDIES
Ex
um

Before choosing a site to study, geologists might contend with an un- Aerial Photographs
explored area covering tens of thousands of square miles or kilometres. and Satellite Images
le

To narrow this vast territory down to regions small enough for detailed
ro

surface and subsurface analyses, geologists might use a combination


of aerial and satellite imaging. A series of landscape features that seem
t
Pe

unrelated or insignificant to a ground observer might be interpreted


quite differently when seen from the air or on a satellite image.
Previously, aerial photography was the only way to examine the
land from the air. Aerial photography had some serious disadvantages.

Copyright © The University of Texas at Austin—PETEX 43


Mineral Rights and Leasing EXPLORATION

1.3
In this chapter:
• Ownership of mineral resources
• Leasing laws and procedures both onshore and offshore
Mineral

in
• Private land rights in the United States

st
• Lease contract terms and provisions
Rights and

Au
• Executing a lease and managing agreements

Leasing

at
B

as
efore a petroleum company can develop oil or gas reserves, it must
acquire the legal rights to explore, drill, and produce on the site.

x
Acquiring rights differs from country to country. In most oil-producing

Te
nations, mineral resources are owned by the national government and
petroleum corporations must negotiate with government representa-

of
tives to secure contracts for mineral development. The complexity, cost,
and, in some cases, instability of these arrangements can be significant.

ity
Governments worldwide frequently section their lands into smaller
areas called licenses, or leases. Governments regularly offer licenses or

rs
leases to oil companies on certain terms so the companies may begin
ve
exploring, developing, and producing oil and gas located under the
land. The terms and conditions of these licenses vary widely around the
ni

globe (fig. 1-3.1). When the licensing process is government-centered,


U

it can be very bureaucratic and cause delays in parts of the process that
can take years to resolve.
e

In most countries, governments or government rulers own all rights


Th

to minerals in the land or under waters (fig. 1-3.2). In other words,


the state or national governments own all mineral rights including
n-

petroleum. Companies with the capital and expertise will negotiate


io

contracts with representatives of the government. Frequently, the host


ns

country retains controlling interest throughout exploration and devel-


opment. The agreements between a host country and the petroleum
te

companies, many of which are also state or nationally owned, can be


extremely complex.
Ex

For example, in the United Kingdom, the Queen has rights to


extract minerals from all lands in the country, including those located
um

offshore. This means that owners of surface land–whether land under


a house or farmland–have no rights regarding mineral ownership.
le

Although much of the land and mineral wealth belong to state and
federal governments in the United States, vast amounts of land—about
ro

two-thirds of U.S. onshore territory—belong to private individuals.


t

This means that companies wanting to exploit domestic oil and gas
Pe

reserves must acquire the rights to do so from private citizens. The


legal instrument used to transfer these rights from both private and
public ownership to a petroleum company is an oil and gas lease, which
is another form of a license.

Copyright © The University of Texas at Austin—PETEX 75


Pe
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PART 2
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103
Au
st
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The Authors
DRILLING METALLURGY

in
Fred Florence John Hadjioannou

st
Product Champion for Drilling Laboratory Director,
Automation and Optimization EPI Testing Group

Au
National Oilwell Varco Engineering Partners, Inc.
Fred Florence has over 30 years John Hadjioannou specializes in

at
of industry experience including forensic engineering and failure
managing deepwater semisubmersibles, jackup rigs, and analysis. As a mechanical engineer, Hadijoannou oversees
drillships for land, slim-hole, and helicopter operations. laboratory activities for a broad range of testing, from

as
He currently leads a team to ensure machine controls are metallurgical and mechanical testing to failure analysis
compatible with each other and with newly developed and corrosion testing. His expertise covers micro and

x
drilling models. Prior to joining NOV, Florence worked macro fractography to ascertain failure modes and cor-

Te
for Sedco-Forex, now Transocean, where he held various rosion mechanisms that cause failures of metals and coat-
positions in engineering and operations. He is a member ings. He has key experience using engineering analyses,

of
of the Society of Petroleum Engineers and serves on the such as finite element analysis, to design products and
steering committee of the new Drilling Systems Automa- parts when investigating failures. Hadjioannou holds a

ity
tion Technical Section formed to promote an industry- B.S.M.E. from Southern Methodist University and is a
wide effort to develop and implement automation tools to member of American Society of Mechanical Engineers,

rs
improve drilling processes. He holds a B.S. in Electrical American Society of Metals International, and American
Engineering from Southern Methodist University, an Society for Testing and Materials International. Had-
ve
M.A. in International Management, and an M.B.A. in jioannou also serves as an instructor for the Petroleum
Marketing from the University of Texas at Dallas. Extension Service (PETEX) Houston Training Center
ni

where he teaches a course on pipeline mainline materials


of construction.
U

MWD AND LWD


e

John Rasmus Adam Cook


Th

Advisor, Reservoir Characterization Mechanical Engineer,


Schlumberger EPI Testing Group
n-

John Rasmus specializes in Sch- Engineering Partners, Inc.


io

lumberger’s logging while drilling Adam Cook is a mechanical engineer


(LWD) product line. His current trained in forensic engineering, finite
ns

duties include field and client support of LWD inter- element analysis and solid modeling
pretation, resistivity and nuclear interpretation support, for design and failure analysis. He has experience in the
te

and special projects. He has held various interpretation use of scanning electron microscope to evaluate fracture
development positions, developing new and innovative
Ex

morphologies. At EPI, Cook provides support to principle


interpretation techniques for secondary porosity in engineers in forensic and metallurgical projects. Prior to
carbonates, geosteering of horizontal wells, geopressure his current position, he served as a certified Operations
um

quantification in undercompacted shales, and downhole Engineer for Mission Control Emergency Power Plant
motor optimization. Rasmus holds a B.S. in Mechanical at National Aeronautic Space Administration Johnson
Engineering from Iowa State University, and an M.S. in Space Center. He holds a B.S. in Mechanical Engineer-
le

Petroleum Engineering from the University of Houston. ing from the University of Kentucky and is a member
He is a member of the Society of Petrophysicists and Well
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of the American Society of Mechanical Engineers, the


Log Analysts, Society of Petroleum Engineers, American American Society of Materials, and the American Institute
t

Association of Petroleum Geologists. In addition, he is of Aeronautics and Astronautics.


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a registered professional petroleum engineer in Texas as


well as a registered professional geoscientist.

104
CONTROLLED SAGD
DIRECTIONAL DRILLING Jerry Haston
João Luiz Vieira Drilling Engineer
Independent Drilling Consultant

in
Global Product Champion for
Drilling Tools Jerry Haston has more than 35 years

st
Sperry Drilling Services, of experience in all aspects of drilling

Au
Halliburton and completion activities including
João Luiz Vieira is responsible for introducing and mud engineering, drilling engineering, training, well
marketing performance-drilling technology, including control, supervision, and management in the United

at
promoting a new vertical drilling tool, V-Pilot, and the States and globally. In 1977, Haston started his consult-
mud motor-powered rotary steerable Geo-Pilot GXT. ing business, providing well-site supervision, preparing

as
He managed directional drilling efforts for 18 years in well plans, and writing and teaching training courses.
northeast Brazil and in the Campos Basin in Macae. He began his career with Seis-Tech Exploration and

x
Vieira came to Houston in 2005 as Business Develop- was assigned to Alaska. He then worked as a mud log-

Te
ment Manager for the Latin America Region in charge ger for drilling operations in south Texas before joining
of introducing new technologies in the region. He has Sun Oil Company as a geologist locating new drill sites
an M.S. in Mechanical Engineering from the Univer- in west Texas. Haston later became a field engineer for

of
sidade Federal do Espirito Santo and received training Dresser Industries serving Magcobar in the U.S. Rocky
at Petrobras Corporate University in Salvadorl. He Mountains. His roles grew to include management, op-

ity
authored the book, Controlled Directional Drilling, erations, training, and technical writing. He has a B.S.
2nd edition, published by PETEX, and has coauthored in Geology from the University of Oklahoma and is an

rs
a book on directional drilling in Brazil. In addition, active member of the Society of Petroleum Engineers.
Vieira has contributed to numerous papers and articles Haston also teaches classes on drilling technology for
ve
on directional drilling technologies and is a seasoned PETEX at its Houston Training Center and for PETEX
instructor, delivering classes on directional drilling to programs at client sites.
ni

corporate personnel worldwide.


U

FISHING
e

MUD DENSITY Dale Arceneaux


Th

Bill Rehm Fishing Tool


Independent Drilling Consultant Senior Tech Representative
n-

Far East Energy Energy Fishing and Rental Services


io

Bill Rehm’s expertise focuses on is- Dale Arceneaux has over 45 years of
experience working in the oil industry
ns

sues surrounding well pressure and


improving safety in drilling well specializing in fishing and downhole intervention. He
has held key positions at Tri-State Oil Tools, Wilson
te

control. He began his career at Dresser Industries de-


veloping well control and pressure measurement from Downhole, Petro-Hamco-Enterra/Weatherford, QTS
Ex

electric logs. He wrote the first manual on well control Fishing and Rental, Deltide Fishing and Rental, and Key
accepted by the U.S. Minerals Management Service, and Energy. He instructs classes on fishing technologies for
throughout his career, has contributed to some of the most PETEX at the Houston Training Center.
um

significant technological advancements in recent history


including the development of directional drilling, coiled
tubing, underbalanced drilling, and high-pressure drill-
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ing operations. Rehm was honored in 2009 as recipient


ro

of the Legends in Drilling Award presented by the Journal


of Petroleum Technology. He has authored several books,
t
Pe

including Practical Underbalanced Drilling and Workover,


published by PETEX, and has contributed content to other
PETEX drilling publications. He is a current member of the
PETEX Advisory Board.

105
WELL CONTROL DRILLING SAFETY
Steve Vorenkamp Jim Johnstone
Training Director President and Co-founder
Wild Well Control, Inc. Contek Solutions LLC

in
Vorenkamp has 35 years of oil in- Jim Johnstone, a 30-year veteran of

st
dustry experience specializing in the oil and gas business, has worked

Au
pressure detection and target drilling. with various companies to implement
He currently directs training for Wild Well Control, management systems and set up exemplary safety pro-
Inc., a well-established, globally recognized well control grams. He has led process hazard reviews, implemented

at
company whose training division operates schools for the behavioral-based training programs, conducted safety
International Association of Drilling Contractors and training, led safety compliance initiatives and investi-

as
the American Petroleum Institute. Vorenkamp’s exten- gated incidents. Johnstone began his career with ARCO
sive background includes previous positions serving as (now BP) and later became responsible for all its process

x
Manager of WCS Houston for Cudd Pressure Control, safety and support of environmental health and safety

Te
President and COO of The Superior Logging Company, regulatory compliance for worldwide operations. He
Inc.; owner of VOSCON Inc., a directional consulting has participated in numerous technical committees and
company, and the Dallas District Manager for Schlum- authored technical content, including safety publications

of
berger. He holds a B.A. in Business Management from for the American Petroleum Institute. He holds a B.S. in
Tulane University at New Orleans and a B.S. in Earth Mechanical Engineering from Washington State Univer-

ity
Science from the University of New Orleans. Voren- sity and a Certified Safety Professional certificate from
kamp also instructs classes on well control for PETEX the Board of Certified Safety Professionals. Johnstone

rs
at the Houston Training Center and is a member of the is a member of the Society of Petroleum Engineers,
PETEX Advisory Board. American Society of Safety Engineers, and American
ve
Society of Mechanical Engineers.
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106
Drilling Operations DRILLING

2.1
In this chapter:
• Early drilling methods and operations
• Drilling contracts and drilling personnel
Drilling

in
• Rotary drilling systems

st
• Routine drilling operations
Operations

Au
• New drilling technologies
• Offshore drilling units and special operations

at
• Uses, tools, and techniques of directional drilling

as
• Fishing, retrieving, and repairing pipe
• Unconventional drilling methods

x
Te
of
O nce the exploration geologists and geophysicists have obtained
and analyzed data for the prospective site, the landman has se-

ity
cured a lease, and drilling permits and other preliminary papers are in
order, the company turns its attention to drilling. To understand the

rs
complex science and art of drilling for oil and gas, it is important to
ve
take a look back at the history of drilling for oil, beginning at the start
of the Industrial Revolution.
ni
U
e
Th

In the 1800s, workers wanted a better way to illuminate their homes A NEW ERA
when they returned from labor in factories. In response to this de- IN ENERGY
n-

mand, companies began making oil lamps that burned sperm whale
oil, which provided a clean, nearly odorless flame that emitted bright
io

light. Unfortunately, the high demand for whale oil resulted in scarcity
ns

and near extinction of the whales sacrificed to produce it. Whale oil
became so costly that only the wealthy could afford it. An affordable
te

and plentiful replacement for whale oil became necessary. At the same
Ex

time, factories also demanded reliable lighting as well as good quality


lubricants to run steam-powered machines to keep industry churning.
Fortunately, an oily substance was noticed seeping from the ground at
um

locations around the world, and the energy landscape changed.


le
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Copyright © The University of Texas at Austin—PETEX 107


Well Control DRILLING

2.2
In this chapter:
• Definition of well control
• Crewmember roles in controlling a well
Well

in
• Significance of wellbore pressure

st
• Process of shutting in a well
Control

Au
• Early detection signs and warnings

at
W

as
ell control has been a critical component of operational aware-
ness in oilfields for as long as wells have been drilled. A common

x
example of a well that is out of control is Colonel Drake’s historic well

Te
in Titusville, Pennsylvania, drilled in 1859. The explosion of oil at
the surface of this well is classified as an unscheduled event. Today, such

of
events are relatively rare and can be prevented due to proper planning,
training, and communication.

ity
rs
A well is out of control when reservoir gas or fluids are flowing in a AN OUT-OF-CONTROL
ve
way that cannot be regulated or stopped. A well in an underbalanced WELL
condition can cause an unrecognized influx of either gas or fluids—or
ni

both—that has reached critical limits, beyond what normal operations


U

can handle or contain (see section on The Use of Mud Density in Part
2, Chapter 2.1: Drilling Operations). This type of situation can cause
e

a dramatic release to the surface, called a blowout, and present serious Figure 2-2.1. A blowout and resulting
Th

dangers to workers and resources (fig. 2-2.1). fire at Greenhill Well in Timbalier
Bay, Louisiana
n-
Source: National Oceanic and Atmospheric Administration (NOAA)

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Copyright © The University of Texas at Austin—PETEX 257


Drilling Safety DRILLING

2.3
In this chapter:
• Common drilling hazards
• Preparing the site for drilling
Drilling

in
• Risks associated with drilling operations

st
• Safety as the highest priority
Safety

Au
at
D rilling rigs contain many hazards (fig. 2-3.1). The very nature of

as
rotating machinery—engines, pumps, drawworks—and electrical
equipment, confined spaces, chemicals, elevated work surfaces, and ex-

x
treme noise creates serious hazards for workers. Of particular concern

Te
is the high pressure associated with circulating drilling mud. Workers
must always be on guard for changing situations, particularly those

of
that might lead to a blowout (discussed in Chapter 2.2. Well Control).
Offshore rigs present additional hazards due to the harsh and remote

ity
aspects of deepwater marine environments.

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Figure 2-3.1. Drilling rigs present


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potential hazards for all workers


on site. Every worker must be
thoroughly trained in the specific
skills and requirements of their job
to ensure safe operations.

Copyright © The University of Texas at Austin—PETEX 269


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PART 3
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Production

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The Authors
PRODUCTION PRACTICES PRODUCTION SAFETY

in
Paul Bommer Jim Johnstone

st
Senior Lecturer, Petroleum and President and Co-founder
Geosystems Engineering Contek Solutions LLC

Au
The University of Texas at Austin Jim Johnstone, a 30-year veteran of
Paul Bommer, university instructor the oil and gas business, has worked

at
and co-owner of Bommer Engi- with various companies to implement
neering Company, has spent over 25 years in industry management systems and set up exemplary safety pro-
as an oil and gas operator and consultant in Texas and grams. He has led process hazard reviews, implemented

as
other parts of the United States. A third-generation oil behavioral-based training programs, conducted safety
man, Bommer joined the faculty of The University of training, led safety compliance initiatives and investi-

x
Texas at Austin in 2004 and teaches courses in drilling, gated incidents. Johnstone began his career with ARCO

Te
production, artificial lift, and facilities. His many years (now BP) and later became responsible for all its process
in private practice involved specializing in drilling and safety and support of environmental health and safety

of
production operations and oil and gas appraisals. Bom- regulatory compliance for worldwide operations. He
mer has published articles on solution mining, beam has participated in numerous technical committees and

ity
pump design, and well log analysis. He is the author of authored technical content, including safety publications
the best-selling book, Primer of Oilwell Drilling, 7th for the American Petroleum Institute. He holds a B.S. in

rs
edition, published by PETEX. He has served as an in- Mechanical Engineering from Washington State Univer-
structor in petroleum-related courses at The University sity and a Certified Safety Professional certificate from
ve
of Texas at Austin, the University of Houston at Victoria, the Board of Certified Safety Professionals. Johnstone
and at Bee County Community College. Bommer is a is a member of the Society of Petroleum Engineers,
ni

Registered Professional Engineer in the State of Texas, American Society of Safety Engineers, and American
a member of the Society of Petroleum Engineers and Society of Mechanical Engineers.
U

the American Petroleum Institute, and a member of the


e

PETEX Advisory Board. He received his B.S., M.S., and


Ph.D. degrees in Petroleum Engineering, all from The
Th

University of Texas at Austin.


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280
Production Practices PRODUCTION

3.1
In this chapter:
• Completing the well for production to begin
• Wellhead equipment that controls fluid flow
Production

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• Fluid pressure and initiating flow

st
• Artificial methods of lifting fluids
Practices

Au
• Mechanisms that drive fluids from the reservoir
• Methods of handling well fluids on the surface

at
• Well servicing and workover operations

xas
I

Te
n the petroleum industry, production is the phase of operation that
deals with bringing well fluids to the surface and preparing them for
transport to the refinery or processing plant. Production begins after

of
drilling is finished and the borehole is carefully evaluated and determined
to be economically productive. On the other hand, a borehole judged

ity
to be economically unproductive is plugged and abandoned.

rs
Production is a combination of these operations:
• Preparing the borehole for production
ve
• Bringing fluids to the surface
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• Separating into oil, gas, and water streams that are measured
U

for quantity and quality


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For boreholes drilled to economically productive reservoirs, the first


Th

step is to complete the well—that is, to perform operations necessary to


start the well fluids flowing to the surface. Routine maintenance opera-
n-

tions are expected. Servicing such as replacing worn or malfunctioning


io

equipment is standard during the well’s producing life. Later, more


extensive repairs, known as workovers, might be necessary to maintain
ns

the flow of oil and gas.


te

Well fluids, usually a mixture of oil, gas, and water, must be


separated when they reach the surface. Water must be disposed of and
Ex

equipment installed to treat, measure, and test the oil and gas before
transporting them from the well site.
um

Detailed discussions on these concepts follow in this order: comple-


tion, fluid flow, reservoir drive mechanisms, improved recovery, surface
le

handling, well servicing, and remote production environments.


ro
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Copyright © The University of Texas at Austin—PETEX 281


Remote Production PRODUCTION

3.2
In this chapter:
• Producing wells offshore
• Completing wells in deep waters
Remote

in
• Special fluid-handling requirements

st
• Submerged production systems
Production

Au
• Permafrost considerations

at
H ydrocarbons produced from offshore and Arctic wells require the

as
same general types of completions and surface separation and
handling as land wells. The main differences are due to the remote-

x
ness of the locations and the special challenges of the environments.

Te
of
If the ocean water depth is shallow enough to allow construction of a OFFSHORE

ity
drilling platform, and if one or more development wells are drilled and PRODUCTION

rs
production takes over as the main activity then the drilling platform
will also become a production platform (fig. 3-2.1). The operator
PLATFORMS
ve
sometimes removes the drilling rig or allows it to remain on the plat-
form to service the producing wells. Some platforms are designed so
ni

that a mobile offshore jackup drilling rig can set up over the platform
U

to drill and complete a well through the platform or through a single


e

well caisson (fig. 3-2.2)


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Courtesy of Hibernia Management and Development Company Ltd.

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Figure. 3-2.1. This self-contained


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platform, the Hibernia, houses all the


Pe

drilling and production equipment and


facilities for the crew. The Hibernia is
located off the coast of Newfoundland
and is the world’s largest oil platform in
terms of weight.

Copyright © The University of Texas at Austin—PETEX 365


Production Safety PRODUCITON

3.3
In this chapter:
• Safety in all aspects of the production process
• Hazards that commonly occur in production
Production

in
• Factors in monitoring process conditions

st
• Common production hazards
Safety

Au
at
P roduction safety encompasses a wide variety of jobs and functions

as
spanning from when the well is first brought into production to
when the well is abandoned and the facilities are removed. Production

x
workers need to understand how to work safely when conducting vari-

Te
ous jobs on a production site (fig. 3-3.1). During the course of each
day, production workers are frequently called upon to drive to a well

of
site or production facility, diagnose equipment or well problems, make
repairs to wells and equipment, adjust process settings, and ensure that

ity
safety equipment is working properly. Each task has its own inherent
safety hazards and particular safety requirements.

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Figure 3-3.1. Production worker controlling flow of fluids with valve

Copyright © The University of Texas at Austin—PETEX 375


Pe
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PART 4

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and Refining

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Transportation

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The Authors
TRANSPORTATION/ REFINING AND GAS

in
PIPELINES PROCESSING

st
Larry Bennington Stephen Long
Owner and Pipeline Consultant Technology Advisor

Au
Milepost Consulting Valero Energy Corporation
Larry Bennington has over 35 years of Stephen Long has 35 years of ex-

at
experience dealing with all aspects of perience in the refining and petro-
pipelining. He currently provides consulting services to chemical industry working in operating, engineering, and

as
the pipeline and related industries in areas of operations, consulting companies and as an independent contractor.
maintenance, engineering, construction, planning, regu- He is currently Technology Advisor in Strategic Sourcing
for Valero Energy Corporation in San Antonio, Texas.

x
latory compliance and litigation support. His expertise

Te
includes pipeline operations, maintenance, planning, Prior to Valero, Long served the refining and petro-
project engineering, technical services, and engineering chemical industry as an independent consultant associated
services including construction management, right-of- with several company expansion projects. He spent 18

of
way, and records management. He has held key positions years devoted to the operating side of the industry as a
at Amoco Pipeline Company and American Oil Company refinery process engineer, plant process engineer, techni-

ity
and is a Registered Professional Engineer. Bennington cal manager, operations manager, and refinery manager.
holds a B.S.C.E. in Civil Engineering and an M.B.A. His operations experience included virtually all types of

rs
from Kansas State University. He is a current pipeline refinery units.
instructor at the PETEX Houston Training Center and Long’s background includes several years with Stone
ve
for special PETEX programs at client locations. and Webster focused on technology and process activities.
In 2001, Long became President and Director of Energy
ni

Management Corporation in Houston, Texas, providing


operations and maintenance services for a small niche
U

LIQUEFIED NATURAL GAS


refinery overseas. He served as General Director and an
Stanley Huang
e

owner of Azov Oil Company from 2002 to 2004.


LNG Process Engineer
Th

Chevron Corporation
Stanley Huang specializes in cryo-
n-

genic applications, particularly in


io

liquefied natural gas and gas process-


ing. For nearly 15 years, he has worked on numerous
ns

projects devoted to LNG baseload plants and receiving


terminals and has contributed to process and technol-
te

ogy improvements through more than 20 publications


Ex

and corporate reports. Before joining Chevron, Huang


worked for IPSI (an affiliate of Bechtel) and KBR. He
began his career with Exxon Research and Engineering
um

Company and later joined D.B. Robinson and Associ-


ates in Canada. An expert in thermodynamics, Huang
has given seminars on thermodynamic applications and,
le

in recent years, has presented on gas processing and


ro

the LNG industry at meetings of the Association of


Chinese American Professionals and at the Universities
t

of Houston and Wyoming. He also instructs classes on


Pe

LNG processes at the PETEX Houston Training Center.


Huang received a B.S. from National Taiwan University
and an M.S. and a Ph.D. in Chemical Engineering and
an M.S. in Physics from Purdue University.

384
Transportation TRANSPORTATION AND REFINING

4.1
In this chapter:
• Transportation in the early days
• Ground modes of transport
Transportation

in
• Marine transportation for oil and natural gas

st
• Pipeline infrastructure and operations

Au
• Liquefied natural gas shipping and offloading

at
T ransporting and distributing petroleum products and natural gas

as
from oilfields to refining and processing plants requires a com-
plex transportation system (fig. 4-1.1). Tank trucks, rail cars, marine

x
transportation, and crude oil, products, and gas transmission pipelines

Te
each have an important role in the oil and gas transportation industry.
Crude oil was first transported in wooden barrels carried by horse-

of
drawn wagons to nearby streams. As consumer demand for petroleum
grew, so did the methods of transportation. Today, millions of barrels

ity
of crude oil, gasoline, fuel oils, and other petroleum products, along
with billions of cubic feet of natural gas, are moved daily from the

rs
wellhead to refineries. They are also moved from refineries to product
ve
terminals, from one refinery to another, from offshore to onshore, and
from continent to continent to reach consumers.
ni
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Th
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Photo by Mark Toigo. Courtesy of www.seefloridago.com


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Figure 4-1.1. The transportation industry is responsible for moving millions of barrels of crude oil daily across land and
water to reach processing facilities and consumers.

Copyright © The University of Texas at Austin—PETEX 385


Refining and Processing TRANSPORTATION AND REFINING

4.2
In this chapter:
• Structure of hydrocarbons in oil and gas
• Distillation and cracking processes
Refining and

in
• Hydrotreating and blending fuels

st
• Petrochemical plant and processes
Processing

Au
• Product marketing, sales, and distribution

at
C ollected crude oil and natural gas are of little use in their raw state.

as
Their value lies in what is created from them—fuels, lubricating
oils, waxes, asphalt, and petrochemicals.

x
To passersby, crude oil refineries and natural gas plants look like

Te
a strange conglomeration of towers and walls and a maze of pipes and
tanks (fig. 4-2.1). In reality, a refinery is an organized and coordinated

of
arrangement of equipment that separates the components in crude oil
and gas and produces physical and chemical changes in them. These

ity
changes create salable products of the quality and quantity consumers
want. Crude oil refineries and natural gas plants also include facilities
to store crude oil and products and maintain equipment.
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Courtesy of Valero Corporation


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Figure 4-2.1. A refinery is an organized and coordinated arrangement of processes (called units) linked together with miles
of pipe carrying crude oil in and products out. Pictured: Valero Corporation’s Jean Gaulin Refinery in Quebec, Canada, has
a capacity of 215,000 barrels per day.

Copyright © The University of Texas at Austin—PETEX 471


Gas Processing TRANSPORTATION AND REFINING

4.3
In this chapter:
• Functions of gas processing plants
• Natural gas liquids and cryogenic recovery
Gas

in
• Absorption and adsorption processes

st
• Fractionation to produce salable products
Processing

Au
A

at
s late as the 1930s, natural gas leaving the wellhead had to reach
a market nearby or else be burned off, or flared. Huge amounts

as
of natural gas have been flared in the United States. Flaring is still a
common practice in remotely located oilfields when gas cannot be

x
reinjected into the reservoir for gas lift or used locally as fuel. With

Te
the advent of gas pipelines (commonly called transmission lines), gas
transport trucks, and field processing facilities for gas, gas production

of
in the United States and elsewhere has become an industry in itself.
Natural gas straight from the well is processed in the field. The

ity
processing includes the removal of water, impurities, and excess hy-
drocarbon liquids as required by the sales contract. It also includes

rs
the control of delivery pressure. When it is economical to gather the
ve
gas from several wells to a central point, an operator may build a gas
processing plant to do the same work as separate facilities next to each
ni

well would do. Often, these gas plants dehydrate the gas and remove
U

hydrogen sulfide. In addition, they generally separate hydrocarbon


mixtures or individual hydrocarbons from natural gas and recover
e

sulfur and carbon dioxide.


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In general, the larger the gas processing plant, the more economical
n-

it is to operate (fig. 4-3.1). However, large plants must be near fields


that provide large volumes of natural gas. In recent years, manufactur-
io

ers have developed portable skid-mounted plants to provide efficient,


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relatively inexpensive gas processing for smaller fields.


In addition, refineries have facilities to process the gases result-
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ing from crude oil distillation, cracking, and reforming. Refinery gas
Ex

processing provides fuel gas (methane, ethane, and ethylene) to power


refinery operations. Refineries also separate individual natural gas liquids
(NGLs), which may be used to make fuel products or may be sent to
um

an alkylation unit for further processing.


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Copyright © The University of Texas at Austin—PETEX 519


Pe
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PART 5
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The Changing Market

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The Authors
ECONOMICS ENERGY OPTIONS

in
Rick Bobigian Michael Webber

st
President and Chief Executive Instructor and Associate Center
Black Pool Energy Director

Au
Rick Bobigian is President and Chief The University of Texas at Austin
Executive of Black Pool Energy GP Michael Webber is Associate Director

at
LLC, the general partner of Black of the Center for International Energy
Pool Energy LP. He is also a founder and member of its and Environmental Policy, Co-Director of the Clean
Board of Managers. Prior to Black Pool, Bobigian man- Energy Incubator, and Assistant Professor of Mechanical

as
aged business functions for Osprey Petroleum Company, Engineering at The University of Texas at Austin. He is
a firm engaged in the search for oil and gas offshore along on the Board of Advisors of Scientific American and has

x
the Texas Shelf. He was a founder, Executive Vice Presi- authored more than 125 articles, columns, and book chap-

Te
dent, and member of the Board of Directors of Osprey. ters. He has given more than 150 lectures, speeches, and
Before Osprey Petroleum, Bobigian engaged in the oil invited talks in the last few years, including testimony for

of
and gas business using various special-purpose entities a U.S. Senate hearing, keynotes for scientific conferences,
to invest in both upstream and midstream assets. He is and lectures at the United Nations. Michael holds four

ity
Chair of the PETEX Advisory Board and a long-time patents and is an originator of the Pecan Street Project,
instructor of petroleum economics for PETEX at the a multi-institutional public-private partnership in Austin

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Houston Training Center. Bobigian earned a B.S. in Geo- to create the smart electricity and water utilities of the
logic Engineering from the Colorado School of Mines. future. He earned B.A. and B.S. degrees in Liberal Arts
ve
and Aerospace Engineering from UT-Austin and a M.S.
and Ph.D. degrees in Mechanical Engineering from
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ENVIRONMENTAL Stanford University.


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CONCERNS
Joe Ibanez
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INDUSTRY SAFETY
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Chief Executive Officer


SAGE Environmental Consulting Jim Johnstone
President and Co-founder
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Joe Ibanez has nearly 15 years of


Contek Solutions
experience in the environmental
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field. He is currently a partner and key principal at Sage Jim Johnstone, a 30-year veteran of
Environmental Consulting, LP. His broad experience the oil and gas business, has worked
ns

covers hazardous waste and water issues, focusing on with various companies to implement
Clean Air Act regulations. Ibanez has worked extensively management systems and set up exemplary safety pro-
te

with all sectors of the oil and gas industry in preparing grams. He has led process hazard reviews, implemented
Ex

and negotiating complex permitting projects. He has behavioral-based training programs, conducted safety
completed environmental audits and helped multiple training, led safety compliance initiatives and investi-
facilities implement environmental management systems. gated incidents. Johnstone began his career with ARCO
um

This experience has enabled him to directly interface with (now BP) and later became responsible for all its process
industry and local, state, and federal agencies (such as the safety and support of environmental health and safety
Texas Commission on Environmental Quality and EPA regulatory compliance for worldwide operations. He
le

Region 6) to solve technical and regulatory problems.  has participated in numerous technical committees and
ro

Along with participating in technical reviews and authored technical content, including safety publications
regulatory negotiations on projects, Ibanez participates in for the American Petroleum Institute. He holds a B.S. in
t

providing leadership and strategic planning for Sage and Mechanical Engineering from Washington State Univer-
Pe

helped develop and implement a company-wide perfor- sity and a Certified Safety Professional certificate from
mance measurement system focused on generating and the Board of Certified Safety Professionals. Johnstone
managing sustainable growth. Ibanez has a Chemical En- is a member of the Society of Petroleum Engineers,
gineering degree from The University of Texas at Austin. American Society of Safety Engineers, and American
Society of Mechanical Engineers.

530
Petroleum Economics THE CHANGING MARKET

5.1
In this chapter:
• Supply chain businesses that create new supplies of oil and gas
• Supply creation companies and how they operate
Petroleum

in
• Factors in investment decision-making

st
• Calculating rates of return to evaluate prospects
Economics

Au
• Predicting future commodity prices

at
C onventional supplies of crude oil and natural gas are, by definition,

as
extracted from reservoirs in the sedimentary rocks by means of
wells drilled and equipped to flow or lift raw materials to the surface.

x
Upon reaching the surface, these raw materials are partially processed

Te
at the well site to remove contaminates such as saltwater and poisonous
and inert gases and solids. Next, these partially processed raw materials

of
are transported from the well site via pipeline, barge, ship, or truck to
a refiner for crude oil or a natural gas processing facility for natural gas

ity
(figs. 5-1.1 and 5-1.2). These raw materials are converted into finished
and semi-finished products to be sold and consumed.

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Figure 5-1.1. Crude oil refinery

Copyright © The University of Texas at Austin—PETEX 531


Environmental, Health, and Safety Concerns THE CHANGING MARKET

5.2
In this chapter:
• Laws and regulations to protect human health and the envi-
ronment
Environmental,

in
• Exploration and production waste disposal

st
• Cleanup methods for blowouts and spills
Health, and

Au
• Refining processes that minimize environmental impact
• Equipment and controls to promote workplace safety Safety Concerns

at
as
P etroleum products are everywhere. Many of the common house-

x
hold items we use every day contain petroleum. Unfortunately, the

Te
recovery, transport, processing, and use of petroleum are fraught with
potential hazards to human health and the Earth’s ecology. For example,
exploration, drilling, and production use toxic chemicals that can pollute

of
the air, water, and ground to yield a product that might be very useful

ity
but is also poisonous to most living things. Producing and transporting
petroleum products pose risks of fire, explosions, and pollution. Similarly,

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refining it produces still more noxious chemicals that must be changed
into harmless compounds or disposed of in harmless ways (fig. 5-2.1).
ve
For these reasons and because of its size and importance to the
ni
economy, the petroleum industry is subject to much criticism. Various
environmental groups monitor the industry and publicize dangers and
U

potential dangers they find or suspect. Oil companies face a great public
e

relations challenge in regard to their adverse impact to the environment.


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Figure 5-2.1. Recovery, transport, processing, and use of petroleum have


potential hazards to human health and the Earth’s ecology.

Copyright © The University of Texas at Austin—PETEX 565


Energy Options and Policy THE CHANGING MARKET

5.3
In this chapter:
• Petroleum and other energy sources
• Challenges and priorities
Energy

in
• Critical technologies of the future

st
• Nontechnical solutions
Options and

Au
Policy

at
P etroleum is only one source of energy. People and countries care
about energy because it is relevant to many sectors across societ-

as
ies. Many sources are used to supply that energy. The world uses a

x
mix of oil, coal, natural gas, nuclear, and other alternatives, in order of

Te
decreasing magnitude. The world’s use of fuels includes slightly less oil
and slightly more traditional biomass, such as wood or cow dung, than
the United States, but other than that has a similar mix. In the United

of
States, petroleum is the leading fuel source, followed by natural gas,

ity
coal, nuclear, hydropower, and other renewable energy (fig. 5-3.1).
A British thermal unit (Btu) is equal to the energy of about one

rs
standard kitchen match. In 2004, the United States reportedly used
ve
one billion million Btus a year. A quad is 1 quadrillion Btus, or 1 × 1015
Btus. In 2004 alone, total energy use was approximately 445 quad for
ni
the world’s consumption and 100 quad for consumption in the United The information presented in this
States. Since then, global consumption has increased to approximately chapter reflects the viewpoints of the
U

500 quad in 2008, while consumption in the United States has stayed author and is based on his extensive
e

about the same. research and professional experience.


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Source: U.S. Department of Energy, Energy


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Information Administration
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Figure 5-3.1. The global (left and middle) and United States (right) energy mix is diverse, although fossil fuels satisfy more
than 80% of the world’s primary energy resources.

Copyright © The University of Texas at Austin—PETEX 607


Fundamentals of Petroleum INDEX

abnormal pressure, 39, 41


absolute ownership, 88
absorption, 334, 520
antisludge agents, 306
aquifer, 315
Arctic Princess, 412
Index
abstract, 93 Arctic production, 371–372

in
accident investigation, 599 Arctic submersibles, 207
acetic acid, 306 aromatic petrochemicals, 508

st
acid fracturing, 305 aromatics, 478

Au
acid gases, 336 artificial lift
acidizing beam pumping, 307–309
about, 302, 305 electric submersible pumps, 309

at
additives, 306 gas lift, 311
carbonate acidizing, 305 plunge lift, 312
progressive cavity pumps, 311

as
perforating acid, 306
sandstone acidizing, 305 subsurface hydraulic pumps, 310
asphalt-base crude oil, 482

x
acid stimulation, 302
asphalt tanks, 404

Te
acoustic logs, 62
acquired federal land, 80 assays, 482
act of nature or God, 96 assignment clause, 96
Association of American Railroads

of
additives, 306, 573
(AAR), 397
administrative controls, 594
atmospheric distillation, 488–490

ity
adsorption, 334, 520
atomic diameters, 623
adsorption process, 337
automatic tank gauge, 340

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adsorption tower, 335
automation, 144, 433
aerated mud, 247
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auxiliary equipment, 356
aerial photographs and satellite
average sample, 342
images, 43–45
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azimuth thrusters, 411
affidavits, 93
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air drilling, 246


back end, 435
air guns, 57
backfilling, 394, 445
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air liquefaction, 458


back off, 250
Th

air pollutants, 566


backoff connector, 250, 251
air quality, 517, 584–586
back-pressure regulator, 326
adjustable choke, 298
n-

ballast, 395
Alaska, 79, 575
ballasting, 207
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Alaska pipeline, 372


ball sealers, 306
aligning and welding pipe, 442–443
ns

barges, 406
aliphatic petrochemicals, 508
barium sulfate (barite), 260
alkaline flooding, 323
barrel, 283
te

alkylation, 495–496
base maps, 66
American Association of Professional
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basement rock, 48
Landmen, 77, 101
basic sediment and water (BS&W), 340
American Petroleum Institute (API)
basins, 16, 17
um

standards, 442
batching, 428
amortization, 544
Bauger gravity map, 66
analyst projections, 614–617
bayonet, 248
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anchor lines, 452


beam lift, 309
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angular nonconformity, 35 beam pumping, 307–309


annual cash flow, 540 beam pumping equipment, 307,
t

annular pressure, 197


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356–358
annular preventers, 262 bending mandrel, 441
annulus, 285 bending pipe, 441
anomalies, 48 bending shoe attachment, 441
anticlinal traps, 30, 31, 32–33 bent housing, 229
anticlines, 15, 16 benzene, 478

665
INDEX Fundamentals of Petroleum

berms, 449 bubblers, 335 cessation of production statement, 96


berths, 416 bubbling the gas, 335 cetane number, 499
best case outcome, 547 build rate, 222 checklist inspection, 598
bid proposals and specifications bullheading, 241 chemical absorption, 336

in
combination agreement, 130–131 bullhead method, 264 chemical flooding, 322–323
daywork contracts, 130 bull wheel, 283 chemical hazards, 378

st
footage contracts, 129 bund walls, 466 chemical treatment, 329
turnkey contract, 130

Au
Bureau of Land Management (BLM), chemistry considerations, 124
Big Inch, 391, 394 81, 101 choke, 298
biodegradation, 589–590 Bureau of Ocean Energy Management, choke manifold, 264, 265
bioenergy, 619

at
Regulation and Enforcement christmas tree, 298
biofacies maps, 67 (BOEMRE), 81, 568
circulating equipment, 159–162
biofuels, 517 Burma (Myanmar), 111

as
circulating system
biomass, 607 bury barges, 449, 453 about, 158
biostatigraphy, 65 business cycle, 563

x
circulating equipment, 159–162
bits business model overview

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drilling fluid compensation,
diamond bits, 157 about, 533 162–163
hybrid bits, 157 downstream business units, 535 classifications, 482
roller cone bits, 156 midstream business units, 534

of
Claus process, 504
blending and using additives revenue, 535
Clean Air Act, 566
about, 504 upstream business units, 534

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diesel fuel, 506 cleaning contaminated soil
butadiene, 480, 508
furnace and residual fuel oils, 506 biodegradation, 589
butane, 337, 478 mechanical methods, 587–588

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gasoline, 505 butylene, 480 passive methods, 590
blinding, 380
ve
byproducts, 495 recycling, 590
blind rams, 263
cleaning up shallow waters, 580
blocks and drilling line, 137–140 cable-tool drilling, 116–117
ni
cleaning up the sea, 577–578
blooey line, 246 caloric value, 466 cleaning up the shore, 579
U

blowout preventers (BOPs), 261 Canadian supplies, 416 cleanup and restoration, 448
blowouts, 259, 270, 277, 574–575 caprock, 32 Clean Water Act, 567
e

boil-off gas (BOG) facilities, 466 cap welders, 442 clearing the title, 91
Th

boil-off temperature, 487 carbonate acidizing, 305 closed-loop drilling system, 571
bonus, 87, 94 carbon capture and sequestration, closed system, 400
boom, 440, 577
n-

622–624 cloud-point temperature, 331


booster substation, 420 carrier bar, 307 clump weights, 218
io

borehole, 281 carrier rigs, 351 coalesce, 329


bottle sampling, 341 cascade refrigeration, 524
ns

coating and wrapping pipe, 443–444


bottle test, 329 cased and perforated completion, codes and standards, 593
bottle-type submersibles, 207 287–288
te

coiled tubing units, 301, 353–354


bottomhole assembly, 229 case law, 88 coke, 493
Ex

bottomhole assembly vibrations, 198 cash flow, 541, 544 coking, 494
bottomhole pressure, 238 cash flow model, 539 cold production, 245
bottomhole pressure test, 318 casing and production liner repair, 362 combination agreement, 130–131
um

bottoms, 491 casinghead, 298 combination drives, 317


bow thrusters, 407 catalyst, 492 combination traps, 36
bradenhead, 298 catalytic (cat) cracking, 492–493
le

commercial reserves, 221


braided electric line, 351 catalytic reforming, 497–498 commodity price selection, 558–560
ro

braided steel line, 351 caught in or between injury, 270


common hazards, 270–272
breakout tanks, 427 caustic flooding, 323
common law, 88
t

breaks, 446 celluosic sources, 629


Pe

companion plant, 514


Brent (crude oil index), 534 cementing the casing, 182–184 complete or abandon decision,
bridle, 307 cement plug, 361 201–202
BTUs (British thermal units), 334, 607 cement retainer, 362 completion, 282
BTX recovery, 500 centrifugal units, 432 completion and equipment cost
bubble caps, 488 centrifuge test, 343 estimate, 545

666
Fundamentals of Petroleum INDEX

completion rig, 286 cost of goods sold (COGS), 542 data collection, 46
completion technology, 282 costs, 540 data recording, 348
completion types cracking days away from work frequency, 600
cased and perforated completion, catalytic cracking, 492–493 daywork contracts, 130

in
287–288 hydrocracking, 494 deadweight tonnage, 395
open hole completion, 286–287 thermal cracking, 493–494 dead well, 264

st
tubingless completion, 289 creating new supplies, 537–538 deasphalting, 499

Au
compliant platforms critical technologies, 620 deballasting, 207
about, 217 cross-conveyance, 95 decanes, 337, 478
guyed-tower platforms, 218 cross-country crude oil pipelines, 391 Deepwater Horizon, 574
spar platforms, 220

at
cross sections, 68 dehydrating, 334–335
tension-leg platforms, 219
crude oil (crude), 472, 476, 481–506 dehydration and desalting, 501
Composite System (CS1), 413

as
crude oil index, 534 dehydrogenation, 512
compressed air energy storage
crude oil pipelines dekatherms, 346
(CAES), 622
about, 415–416

x
compressor stations, 432 delay rental, 87
control of oil movements, 423–424

Te
computer technology, 69 demand for oil
pump station operation, 418–422
concentrating solar power, 627 about, 1
crude oil refining processes, 481 future of, 4–6
concrete coated pipe, 444

of
crude oil storage, 339–340 history of, 2–4
conditioning and compressors, 432 crude oil trucks, 403 demulsifier, 329
conductor pipe, 170, 284 crude oil trunklines, 389–391

ity
density, 199
confined space entry, 380 crust, 10 deoiled wax, 499
coning, 223 crustal plates, 12–14

rs
Department of Energy (DOE), 429
consideration, 87, 94 cryogenic liquefaction unit, 464 Department of the Interior (DOI), 81
ve
contact metamorphism, 23 cryogenic recovery Department of Transportation
contaminant removal, 336–337 about, 522 (DOT), 399
ni
continental crust, 12 cascade refrigeration, 524 depleting pressure reservoir, 557
continental plates, 14 expander processing, 522–523
depletion, 543
U

continuous development clause, 96 cryogenics, 522


depletion, depreciation, and
continuous steam injection, 323 cryogenic tankers, 412 amortization (DD&A), 540, 543
e

contour maps, 66–67 cumulative cash flow, 540 depletion drive, 313–314
Th

contractors, 128 cups trap, 301 depreciation, 544


contractor safety, 601 curing a title, 93 derricks and masts, 135–136
n-

controlled directional drilling custody, 419 desiccant, 334


about, 221–223 custody transfer metering, 415 detecting contaminated water and
io

offshore directional wells, 223–224 cuts, 481 soil, 587


onshore directional wells, 224–225
ns

cuttings, 64 development, 193–195


other applications, 225–226 cuttings samples, 64
tools and techniques, 227–234 development surveys, 48
te

cyclic steam injection, 324 development wells, 206


controlling formation pressure, 187 cyclohexane, 480 deviated holes, 225
Ex

controlling hazards, 379–381 cycloparaffins, 480


control of oil movements, 423–424 deviated wells, 222, 223
control of products movement, 427 dewaxing, 499
darcy, 28 d exponent, 237
um

conventional lay barges, 450–452 darcy units, 302


conventional supplies vs. diesel fuel, 506
data, 69 differential pressure, 348
unconventional supplies, 532
le

data, software and modeling dig alert program, 381


conveyance, 94
technology Dinoseis, 54
ro

core, 10 data, 69
core samples, 62–63 directional drillers, 221
graphical information systems
t

core sampling, 341 (GIS), 73 directional measurements, 196


Pe

coring bit drills, 62, 63 graphics, 70–71 disconformity, 35


correlation rights, 84 models, 72 dispersants, 578
corrosion control, 443 seismic interpretation, 70 distillates, 486
corrosion fundamentals, 125–126 data analysis, 58 distillation curve chart, 487
corrosion resistant alloys (CRAs), 290 databases, 46 distilling column, 488

667
INDEX Fundamentals of Petroleum

ditching, 438–439 drill site preparation, 273–278 gas transmission pipelines, 393–394
doghouse, 270 summary, 273–278 rail and tank cars, 388
dogleg, 248 drilling systems ships at sea, 395
dolomite, 305 about, 131–132 tank trucks, 396

in
dome plug traps, 31 automation, 144 wagons and water, 387
domes, 16, 17 blocks and drilling line, 137–140 early pipelines, 389–392

st
circulating system, 158–163 Earth cross section, 10
doodlebug crew, 53
derricks and masts, 135–136

Au
double bond, 480 economic impact, 613
drawworks, 140–144 economics of creating new supplies
double-containment tanks, 466 drilling assembly, 154–157 business model overview, 533–535
double hulls, 411, 576 hoisting system, 133–134 integrated independent energy

at
double jointing, 441 power system, 164–168 companies, 536–538
downcomers, 488 rotating system, 145–153 effluent water, 516, 583

as
downdip, 316 drilling today, 120–131 eighteen wheeler, 402
downhole blowout, 258 drilling to final depth, 188
electrical hazards, 378

x
downstream, 423 drill pipe and drill collars, 154–155
electric drives, 166–168

Te
downstream business units, 533, 535 drill site preparation
electric logs, 61
draft marks, 406 about, 273
blowouts, 277 electric submersible pumps, 309
Drake well, 46, 386

of
drawworks, 140–144 drilling ahead, 276–277 electrified transportation, 620
drill collars, 134, 154, 227 drill site procedures, 169–171 electronic test, 358

ity
drillers log, 60 rig installation, 274–275 electrostatic heater, 331
well completion, 278 emergency planning, 604
driller’s method, 264

rs
drill site procedures eminent domain, 389
drilling. See also drilling operations,
after drilling, 202 Employee Right-to-Know Standard, 569
107–278, 202
ve
cementing the casing, 182–184
drilling ahead, 276–277 emulsifier, 328
complete or abandon decision,
drilling assembly emulsion heater types
ni
201–202
bits, 156–157 controlling formation pressure, 187 electrostatic heater, 331
U

drill pipe and drill collars, 154–155 drilling to final depth, 188 heater-treater, 330
drill site preparation, 169–171 paraffin control, 331
drilling columns, 489
e

expandable casing, 188 emulsions, 306


drilling cost estimate, 545
Th

formation evaluation, 188–201 enamel coatings, 443


drilling draft, 213
intermediate casing, 187 Endangered Species Act, 570
drilling fluid compensation, 162–163 other land operations, 202 energy attitudes, 616–617
n-

drilling jar, 249 rigging up, 172 energy challenges


drilling operations running surface casing, 180–181
io

economic impact, 613


air or gas drilling, 246–247 spudding in, 173–176 environmental impact, 612
ns

controlled directional drilling, tripping in, 184–186 security impact, 614


221–244 drill stem test (DST), 64
drilling personnel and contracts, energy consumption, 609–611
te

driving hazards, 376


127–131 energy consumption projections, 615
driving safety, 381
Ex

drilling systems, 131–168 energy options and policy


dry-bed absorption, 525
drilling today, 120–131 about, 607–608
drill site procedures, 169–202 dry-bed process, 337 analyst projections, 614–617
dry-hole clause, 96
um

fishing, 248–254 energy challenges, 612–614


history of, 107–119 dry trees, 299, 368 energy consumption, 609–611
offshore drilling, 203–221 dump tanks, 392 energy technologies, future,
le

oilfield metallurgy, 121–126 Dutch East Indies (Indonesia), 112 620–631


unconventional drilling, 244–246 dynamic positioning, 210, 211 energy tradeoffs, 618–619
ro

summary, 254–255 summary, 632


drilling personnel and contracts early days of production practices energy technologies, future
t
Pe

about, 127 completion, 282 critical technologies, 620


bid proposals and specifications, 129 pumping, 283 green energy transition, 620–631
contractors, 128 early days of refining and processing, energy tradeoffs
drilling safety 473–475 choices, 618
about, 269 early methods of transportation priority balancing, 619
common hazards, 270–272 first oil pipelines, 389–392 engines, 164–165

668
Fundamentals of Petroleum INDEX

Environment Act, 570 exploratory wells, 59 formation, 23


environmental, health and safety explosion injury, 270 formation evaluation
concerns explosive fracturing, 302 about, 188
about, 565 explosive methods, 53 MWD and LWD, 192–201

in
exploration and production explosives, 302 wireline logging, 189–191
environmental impacts, 571–590 expressed covenants, 87 formation pressure control. See also

st
health and safety, 590 mud, mud density use; well control,
extended reach wells, 225
industry workplace safety, 591–604

Au
187
extract, 499
international laws and treaties, 4C seismic surveying technique, 52
570–571 Exxon Valdez, 574–575
4D seismic surveying technique, 52
U.S. laws and regulations, 566–570

at
frac-pack, 296
environmental considerations falls, 271, 376
fractional analysis, 346
air quality, 517 farmee, 99
fractional distillation, 483, 486–491,

as
water quality, 516 farmer, 99
526
environmental impact. See also farm-in, 99
fractionation, 486

x
exploration and production farmout, 99
fractionation of NGLs, 526–527

Te
environmental impacts, 612 faults, 18–20, 24
fractionation plant, 527
environmental impact statement, 82 fault traps, 30, 31, 33
fractions, 481
Environmental Protection Federal Energy Regulatory

of
fracture pressure, 235
Administration (EPA), 430, 515, 580 Commission (FERC), 429
fracturing fluid, 304
equipment designed for safety, 593 Federal Power Commission (FPC), 429
free point indicator, 250, 251

ity
Equivalent Circulating Density Federal Railroad Administration
(ECD), 234, 237 free water knockout (FWKO), 327
(FRA), 399
free water removal, 327

rs
Equivalent Static Density (ESD), 234 fee, 88
estimated ultimate recovery, 556, 561 front end, 435
ve
feedstocks, 397, 475 fuel improvement, 499
ethane, 478
fee simple, 88 full-containment tanks, 466
ethanol, 398, 517
ni
fee simple property, 88 full-trailer, 402
European Community standards, 570
field gathering systems, 417, 419 furnace and residual fuel oils, 506
U

excavation and trenching, 381


financial model and cash flow fusion-bonded epoxy (FBE) coatings,
expandable casing, 188 calculations, 561 443
e

expandable tubulars, 362 fire and safe/hot work permits, 380 future of demand for oil, 4–6
Th

expander processing, 522–523 fireflooding, 324 futures market, 558


expansion dome, 388 fire injury, 270
n-

experience modification rate, 601 fires and explosions, 377 gamma ray log, 61
exploration agreement, 587 first-generation biofuels, 629 gas, 476
io

exploration and production environ- fish, 226 gas drilling, 246


mental impacts
ns

fishing gaseated mud, 242–243


blowouts, 574–575 gas lift, 309, 311
fishing for junk, 254
cleaning contaminated soil, 587–590
te

freeing stuck pipe, 248–252 gas-lift devices, 283


cleaning up shallow waters, 580
retrieving twisted-off pipe, 253–254 gas/liquid mixtures, 242
Ex

cleaning up the sea, 577–578


cleaning up the shore, 579 fixed drilling platforms, 214 gas liquids, 412
closed-loop drilling system, 571 flared gas, 519 gas metering
detecting contaminated water and floating production, storage and about, 346
um

soil, 587 offloading (FPSO) system, 370 data recording, 348


hazards to workers, 580 flow line, 302 metering, 347–348
gas odorization, 466
le

mud additives from waste, 573 fluid catalytic cracking, 485, 492
pipelines and transportation fluid distribution, 39 gasoline
ro

environmental impacts, 580–582 blending and using additives, 505


fluids, 356
prevention, 576 hydrocarbon mix of, 477
t

Fluor Solvent process, 337


Pe

refining environmental impacts, gas pipeline, 430


583–586 folds, 15–17 gas plant, 472
spills from tankers, 575–576 footage contracts, 129 gas processing
synthetic-based drilling mud, 572 force majeure delay, 97 about, 518–519
explorationist, 43 force majeure provision, 96 fractionation of NGLs, 526–527
exploratory surveying, 48 forfeiture of lease, 97 NGL mixture recovery, 520–525

669
INDEX Fundamentals of Petroleum

summary, 528 gravity surveys, 49 global history, 110–114


gas processing facility, 532 green energy transition rotary drilling, 118–119
gas reserves, 75 carbon capture and sequestration, Spindletop, 114–115
gas sampling, 345 622–624 hoisting system, 133–134

in
gas testing, 346–348 large-scale electricity storage, 622 hole completion, 232
gas transmission pipelines, 393–394 next-generation biofuels, 629–630 horizontal directional drilling, 446

st
nontechnical solutions, 631 horizontal separator, 326
gas window, 26
small-scale electricity storage,

Au
gathering lines, 392 horst, 20
620–621
gathering stations, 418 hot bends, 441
solar energy, 627–628
gathering systems, 389, 392, 417 hot pass welders, 442
supergrids, 625

at
gauger, 340, 419 wind energy, 625–626 hot tapping, 380
Gaz Transport system, 413 greenhouse gases (GG), 571 huff and puff, 324

as
General American Transportation gross income, 540, 543 hulls, 411
Corporation (GATX), 400, 401 gross vehicle weight (GVW), 402 hybrid company, 5hydrate formation

x
general and administrative expense prevention, 332–333
growth faults, 19

Te
(G&A), 543 hydrates, 332
guide plate, 299
general duty clause, 595 hydraulic factors, 420
Gulf Interstate Waterway, 406
generally accepted accounting practices hydraulic fracturing
guy wires, 218

of
(GAAP), 543 about, 302–303
gyroscopic compass, 230
geocellular model, 72 fracturing fluid, 304
proppants, 304

ity
geological societies, 46 habendum clause, 95
geologic structures, 14 hydraulic unit, 355
hazard communications, 381

rs
geologic time, 21 hydrocarbon structures, 479
Hazardous Air Pollutants (HAPs),
geophones (jugs), 50, 53 584–586 hydrocarbon traps, 30
ve
geophysical surveys Hazardous Waste Operations and hydrochloric acid (HCL), 305
about, 47 Emergency Response Standard, 569 hydrocrackate, 494
ni
gravity surveys, 49 hazards hydrocracking, 485, 494
magnetic and electromagnetic analysis of, 593
U

hydrodesulfurization, 500
surveys, 48 checking, 598 hydroelectric storage, 622
magnetometer surveys, 48 controlling, 379-381
e

magnetotellurics, 48–49 hydrofluoric acid (HF), 305


most common, 376–378
Th

seismic surveys, 50–56 hydrogenates, 494


Hazards Communication, 569
geophysics, 47 hazards to workers, 580 hydrogen sulfide, 266, 567
n-

Geronimo line, 276 health and safety, 590 hydrogen sulfide exposure, 271
global climate change, 5 heater-treater, 330 hydrometer, 343
io

global demand, 1–2 heating value, 346 hydrophones, 56


global history of drilling operations, hydrostatic pressure, 260
ns

heat pipes, 439


110–114 heat treatment, 329 hydrostatic testing, 358
gouge, 33 hydrotreating, 502–503
te

heave compensators, 213


government ownership of mineral heavy oil cracker (HOC), 493
Ex

rights, 76 heavy pitch, 476 i-butane, 478


government regulation, 399, 405 hedges, 562 icebreaking tankers, 411
GPS (global positioning systems), 450 Henry Hub, 534, 559 immiscible gas, 321
um

graben, 20 heptane, 478 immiscible gas injection, 321


granting clause, 94 hexane, 478 immiscible liquids, 328
graphical information systems (GIS), 73
le

high-pressure connector, 299 impactors, 54


graphics, 70–71 high pressure release, 270 impermeable barriers, 30
ro

gravel pack, 295 history of demand for oil, 2–4 implied covenants, 83, 87
gravel pack completions, 295–296
history of drilling operations improved recovery techniques
t

gravel packing, 361


Pe

U.S. 1840s, 108 about, 318–319


gravimeter, 49 U.S. 1850s, 109 chemical flooding, 322–323
gravimetric density, 621 U.S. late 1800’s, 110 immiscible gas injection, 321
gravity, S&S and sulfur content U.S. 1900s, 114–115 miscible gas injection, 321–322
measurement, 343–344 about, 107–119 thermal recovery, 323–324
gravity drainage, 316–317 cable-tool drilling, 116–117 waterflooding, 320

670
Fundamentals of Petroleum INDEX

incident rates, 600 (ICC), 429 leasing, 545


inclinometer, 230 interstices, 248 lenticular traps, 35
independent company, 536 interstitial water, 248 lessees, 79, 87
India, 111 invert oil mud, 241 lessors, 84, 87

in
indirect heater, 333 investment, 541 licenses, 75
induction log, 61 investment capital (I), 544 life on earth

st
industrial hygiene, 600 investment decision-making, 539–544 petroleum geology, 21–24

Au
industry accidents, 591 investment in project, 540 rock categorization, 22–24
industry workplace safety. See also Iraq, 113 light distillates, 490
injury reduction, 591–604 iso-butane, 478 limestone, 305

at
infrared (IR) cameras, 581 isochore maps, 67 line fill, 423
initiating flow isomerization, 497 liner hanger, 285

as
about, 301 isomers, 478 liners, 232, 285
acidizing, 305–306 isopach maps, 67 line travel-applied coatings, 443
explosives, 302

x
line-up clamps, 442
hydraulic fracturing, 303–304

Te
jacket, 215 liquefied natural gas (LNG)
stimulation, 302 baseload LNG plant, 464–466
jar on the drill stem, 249
injecting, 242 history of, 458–461
jet perforating, 288

of
injury reduction links of LNG chain, 462–463
jet sled, 452
about, 592 LNG receiving terminals, 466
administrative controls, 594 jet sub, 243
LNG ships, 467

ity
equipment designed for safety, 593 jetting, 301 ocean-going tankers, 408
personal protective equipment job safety analysis (JSA), 381, 594, 598 liquefied natural gas (LNG) chain links

rs
(PPE), 594 joint operating agreement, 100 about, 462–463
safety and health program jug hustlers, 53 gas production, 463
ve
organization, 596–601 jugs, 53 liquefaction, 463
safety regulations, 595 pipeline transmission, 463
ni

inorganic petrochemicals, 508 kelly, 146–148 regasification, 462, 463


U

in-service welding, 380 kelly vs. top drive, 150–151 send out to local pipeline, 463
integrated gasification combined cycle kerogen, 25 shipping, 463
e

(IGCC), 623 kerosene, 490 liquefied natural gas (LNG)


development, 461
Th

integrated independent energy keyseat, 248, 249


companies keyseat wiper, 252 liquefied natural gas (LNG) tanks, 465
about, 536 liquefied natural gas (LNG)
n-

kicks, 258, 259


calculating reserves and estimated vaporizers, 466
knees, 407
ultimate recovery, 554–556 liquefied petroleum gas (LPG), 321,
io

Kvaener-Moss design, 413


commodity price selection, 558–560 396
Kyoto Protocol, 571
ns

creating new supplies, 537–538 liquefied petroleum gas (LPG)


financial model and cash flow transport, 405
calculations, 561 LACT units, 344–345, 419
te

liquid pipelines, other kinds, 429


investment decision-making, land description, 95
liquid segment, 312
Ex

539–544 landman, 90
List of Endangered and Threatened
production schedule creation, 557 land operations, other, 202
Wildlife and Plants, 570
prospect generation and evaluation, land patent, 93
lithofacies maps, 67
um

545–554 Landsat, 44–45


rate of return calculation, 561 Little Inch, 391, 394
large-scale electricity storage, 622
LNG: Basics of Liquefied Natural Gas
interconnected tank cars, 400 lateral faults, 19 (PETEX), 412, 467
le

interfacial tension, 322 laterals, 232 loading and unloading facilities,


ro

intermediate casing, 187, 284 lay barges, 449 414–415


intermediate spool, 298 leaching, 588 lockout/tagout (LOTO) program, 380,
t

internal-combustion engine, 283 lean oil, 524


Pe

594
internal distilling process, 486 lease agreement, 538 logging methods, 60
International Association of Drilling lease automatic custody transfer logging while drilling (LWD)
Contractors (IADC), 270 (LACT), 344–345, 419 measurement and applications
international laws and treaties, 570–571 lease broker, 90 density, 199
Interstate Commerce Commission leases, 75, 85, 87 magnetic resonance, 200

671
INDEX Fundamentals of Petroleum

natural gamma ray, 198–199 isochore maps, 67 meter run, 348


neutron porosity, 200 isopach maps, 67 methane, 478
resistivity, 199 lithofacies maps, 67 Methane Pioneer, 461
spectroscopy, 201 of natural gas pipelines, 431 methyl tert-butyl ether (MTBE), 587

in
velocity, 200 reservoir development tools, 66
microfossils, 65
looping of long lines, 416 structural contour maps, 66

st
topographic maps, 66 micromagnetic technique, 48
lost circulation, 234
vertical cross sections, 68 Mid-Atlantic Ridge, 13

Au
Louisiana Offshore Oil Port
(LOOP), 414 marine riser, 299 middle distillates, 490
lowering and backfilling, 444–445 marine seismic methods, 56 midstream business units, 533, 534
migration of petroleum, 29–36

at
low temperature separation unit, 338 Marine Spill Response Corporation
lube-and-bleed method, 264 (MRSC), 576 Migratory Bird Treaty Act, 569
lubricating oils and waxes, 499 marine transportation millidarcies, 28

as
about, 406 million barrels per day (MMBD), 617
macaroni string, 360 average-size tankers, 410 mineral deed, 89

x
macroeconomic forces, 535 barges, 406 mineral estate owner, 88

Te
cryogenic tankers, 412
magma, 22 mineral ownership, 85
icebreaking tankers, 411
magnetic and electromagnetic mineral rights
loading and unloading facilities,

of
surveys, 48 government ownership of, 75, 76
414–415
magnetic resonance, 200-201 private ownership of, 75
natural gas tankers, 412–413
magnetometer, 48 Minerals Management Service (MMS),

ity
oceangoing tankers, 408
magnetometer surveys, 48 supertankers, 409 81, 430, 568
magnetotellurics, 48–49

rs
towboats, 407–408 Mintrop’s principles, 53
magnetotelluric survey, 48 tugboats, 407 miscible gas injection, 321–322
ve
mainline, 420 market forces, 535 mixed-base crude oil, 482
mains, 430 master valve, 298 mobile drilling rig, 205
ni
making a connection, 152–153 Material Safety Data Sheet (MSDS), mobile offshore drilling units
managed power density, 235 277, 381 about, 206
U

managed pressure drilling (MPD), 237, matrix acid, 305 column-stabilized semisubmersibles,
238 213
e

measurement and quality assurance, 425


managed pressure drilling and density drill ships and ship-shaped barges,
Th

measurements and application


about, 237–238 annular pressure, 197 210–211
constant circulation, 239 bottomhole assembly vibrations, inland barges, 209
n-

foam drilling, 243 198 jackups, 208–209


gaseated mud, 242–243 directional measurements, 196 semisubmersibles, 212
io

key to successful drilling, 244 weight and torque-on-bit, 197 submersibles, 207–208
lost circulation and well kicks, 238 mobile offshore drilling units
ns

measurement while drilling (MWD)


multiphase drilling fluids, 241 (MODUs), 206–213
and logging while drilling (LWD)
pressure control, 239 models, 72
te

about, 192
underbalanced drilling and density, modern land methods, 54–55
development of, 193–195
240
Ex

measurements and application, modern transmission systems, 430–431


underbalanced with light drilling
196–201 molecular masses, 623
mud, 241
measuring and testing oil and gas molecule rearrangement
management of change, 381
um

gravity, S&S and sulfur content alkylation, 495–496


management systems approach to measurement, 343–344 catalytic reforming, 497–498
safety, 596 temperature measurement, 342 isomerization, 497
le

manifold, 418 mechanical drives, 165 monels, 230


mantle, 10
mechanical methods, 587–588
ro

monetization chain, 462


Manual of Petroleum Measurement
mechanized equipment hazards, 378 moon pool, 210
Standards, 342
t

membrane tank design, 413 mooring facilities, 414


Pe

maps
base maps, 66 mercaptans, 434 most difficult case outcome, 547
Bouguer gravity map, 66 metals, examining, 122–124 Mother Hubbard clause, 95
biofacies maps, 67 metals for oilfield use, 123 motor transportation
contour maps, 66–67 metamorphic rocks, 23 crude oil trucks, 403
examples of, 71 metering, 347–348 government regulation, 405

672
Fundamentals of Petroleum INDEX

liquefied petroleum gas (LPG) negative buoyancy, 444 offshore completions, 368–369
transport, 405 net income, 540, 544 offshore fluid handling, 370–371
refined products transport, 403–405 neutron log, 61 oil. See also crude oil (crude);
vehicle types, 402 neutron porosity, 200 petroleum, 37

in
mousse, 578 next-generation biofuels, 629–630 oil, gas, and mineral leases, 86
movement sequence, 427 oil absorption, 524

st
nitro shooting, 302
mud noise hazards, 378 oil accounting, 425

Au
aerated mud, 247 oil and gas leases. See also leases, 75, 85
nominations, 423
gaseated mud, 242–243 oil and gas production, 77
invert oil mud, 241 nonanes, 337, 478
oil and gas seeps, 45
nonconformity, 35

at
mud additives from waste, 573
oilfield emulsions, 328–329
mud density use, 234–236 nonconventional plays, 70
oilfield metallurgy
normal mud density, 236 nondestructive testing (NDT), 442

as
about, 121
static mud column, 237 nonmagnetic drill collars, 230 chemistry considerations, 124
synthetic-based drilling mud, 572 nonownership-in-place, 88 corrosion fundamentals, 125–126

x
underbalanced with light drilling normal butane, 478 metals, examining, 122–124

Te
mud, 241 normal faults, 19 metals for oilfield use, 123
multi-fluid cascade process, 464 normalized incident rates, 600 oil loss control, 425
multiple completions, 293 normal mud density, 236

of
Oil Pollution Act, 568
normal pressure, 39–40 oil pool, 9
napalm, 304 notice for bids, 79 oil reserves, 75

ity
Napoleonic code, 88 nuclear logs, 61 oil sampling
naptha, 490, 497
sample types, 342

rs
napthalenes, 480 Occupational Health and Safety Act, sampling methods, 341
National Oil Companies, 536
ve
569, 595 oil slick, 578
natural gamma ray, 198–199 Occupational Health and Safety Oil Spill Preparedness and Response
natural gas, 38 Treaty, 570
ni
Administration (OSHA), 270, 430,
natural gas handling 580 oil window, 26
U

contaminant removal, 336–337 ocean bottom cable (OBC) seismic olefins, 480
dehydrating, 334–335 acquisition, 57 olefin units, 512
e

hydrate formation prevention, ocean bottom cable systems one-call system, 273
Th

332–333 data analysis, 58 on station, 210


natural gas liquids removal, 337–338 sound sources, 57 OPEC (Organization of Petroleum
natural gas liquids (NGLs), 337, 408 ocean-going tankers, 395, 408 Exporting Companies), 3
n-

natural gas liquids (NGLs) mixture oceanic crust, 12 open hole completion, 286–287
recovery
io

octane, 478, 497 operating expense (OPEX), 543


about, 520 operating history or experience, 593
odorants, 434
ns

cryogenic recovery, 522–524 operator, 87


dry bed absorption, 525 Offset Drilling Rule, 83
offshore completions, 368–369 optimized cascade process, 464
oil absorption, 524
te

organic theory, 25
straight refrigeration, 521 offshore drilling
orifice meter, 347
Ex

natural gas liquids removal, 337–338 history of, 203–205


mobile offshore drilling units, orthorectified Landsat data, 45
natural gasoline, 476 Outer Continental Shelf (OCS), 81, 101
206–213
natural gas pipelines Outer Continental Shelf Lands Act, 568
modern offshore operations, 206
um

automation, 433 out-of-control well


rigid platforms, 214–220
conditioning and compressors, 432 about, 257-258
offshore fluid handling, 370–371
map of, 431 early warnings, 266–267
le

modern transmission systems, offshore pipeline construction


about, 449 first line of defense, 258–259
430–431
ro

bury barges, 453 shutting in a well, 261–266


oderants, 434 wellbore pressure, 260
conventional lay barges, 450–452
t

natural gas processing plant, 472 summary, 268


Pe

reel vessel, 455


natural gas tankers, 412–413 submersible barges, 455 overbalanced density, 234
natural gas transfer stations, 582 superbarges, 454 overburden rock, 26
natural gas wells, early, 393 offshore production platforms overriding royalty, 100
naturally recurring radiation, 600 about, 365–367 overshots, 253
n-butane, 478 arctic production, 371–372 over-the-ditch coatings, 443

673
INDEX Fundamentals of Petroleum

over-the-ditch tape, 444 petroleum exploration product pipelines, 392


overthrust faults, 19 databases, 46 pipelines and transportation
ownership-in-place, 88 data collection, 46 environmental impacts, 580–582
geophysical surveys, 47–58 pipe racking, 178–179

in
private company libraries, 46 pipe rams, 262
packers, 291–292
public agency records, 46 pipe-trenching barge, 452
pad, 273

st
reservoir development tools, 59–73 plate tectonics, 11–14
paid-up lease, 96 surface geographical studies, 43–46

Au
paleoenvironmental analysis, 65 plats, 100
summary, 73
paraffin, 331, 478 play, 90
petroleum explorationists, 47
paraffin-base crude oil, 482 plug-back cementing, 361
petroleum geology

at
paraffin control, 331 plugs, 32
about, 9–10
paraffin scrapers, 358 basic concepts of, 10–20 plug trap, 32

as
parasite string, 243 faults, 18–20 plunger lift, 312
participating royalty owner, 89 fluid distribution, 39 point-the-bit rotary steerable systems,

x
folds, 15–17 231
party chief, 53

Te
geologic structures, 14 Poland, 110
passive methods, 590
life on earth, 21–24 polyethylene, 510, 513
passive soil-gas technique, 587 migration of petroleum, 29–36 polymers, 322
pay zone, 225

of
petroleum accumulation, 25–29 polymer units, 513
peak shaving LNG facility, 459–460 plate tectonics, 11–14 polypropylene, 510, 513
pentanes, 337, 478 reservoir fluids, 36–39

ity
pontoon, 452
perforating acid, 306 reservoir pressure, 39–41
pooling, 84
perforating gun, 288 summary, 41

rs
pooling and unitization clause, 95
perforating holes, 287 petroleum origins, 25–27
poor boy gas lift, 243
ve
perforator, 288 petroleum products transported by rail,
397–398 pores, 27
permafrost, 371, 437 porosity, 27, 28
petroleum reserves, 221
ni
permanent packers, 358 porosity and permeability of oil bearing
petroleum reservoir, 9–10
U

permeability, 28 rocks, 27–29


petroleum transportation modes, 457
permeable rocks, 28 porous rocks, 27
Petty Geographic Engineering
e

Persia (Iran), 113 Company, 53 ports of entry, 414


Th

personal protective equipment (PPE), photolysis, 590 positive choke, 298


277, 380, 594 photovoltaic manufacturing, 627 positive displacement pump, 307
petcocks, 341 possessory estate, 89
n-

physical absorption, 337


petrochemical plant pipe gang, 442 posted barge rig, 205
io

about, 509–511 pipe-laying barges, 451 posted barges, 207


companion plant, 514 Pipeline and Hazardous Materials potential or production tests, 317
ns

olefin units, 512 Safety Administration (PHMSA), 429 potential tests, 317
polymer units, 513 power system
pipeline construction on land
te

supporting facilities, 513 electric drives, 166–168


about, 434–435
petrochemicals, 397, 507 engines, 164–165
Ex

aligning and welding pipe, 442–443


feedstocks and final products, 514 bending pipe, 441 mechanical drives, 165
petrochemical plant, 509–514 cleanup and restoration, 448 power transmission, 165
types of petrochemicals, 507–508 coating and wrapping pipe, 443–444 pressure hazards, 378
um

petroleum, 476 ditching, 438–439 price deck, 558


petroleum accumulation lowering and backfilling, 444–445 primary production, 313
petroleum origins, 25–27
le

right-of-way clearing, 436–437 primary recovery, 313


porosity and permeability of oil specialty and tie-in crews, 446–447
primary term, 87
ro

bearing rocks, 27–29 spread assembly, 435


prime movers, 419
petroleum bearing rocks, 24 stringing pipe, 440–441
t

testing and commissioning, 449 priority balancing, 619


Pe

petroleum constituents, 517


pipelines. See also product pipelines, private company libraries, 46
petroleum economics
341, 389 private ownership, 77, 88
about, 531–532
economics of creating new supplies, pipelines, early process condition hazards, 378
533–563 crude oil trunklines, 389–391 process safety management, 604
summary, 562–563 gathering systems, 392 producer, 340

674
Fundamentals of Petroleum INDEX

producing zone, 287 pump station operation refining capacity


production, 279, 281 field gathering systems, 417, 419 environmental considerations,
production casing, 284-285, 298 pump stations and tank farm station 516–517
production casing and liners, 284–285 manifold, 422 products, sales and distribution, 515

in
production forecast, 557 station tank farms, 421 refining concepts, 487
trunkline station, 420 refining crude oil
production liner, 285

st
pump stations, 418 about, 481
production packers, 358
assays, 482

Au
production practices push-the-bit rotary steerable systems,
231 classifications, 482
about, 281
refining processes, 483–506
artificial lift, 307–312
refining environmental impacts

at
early days of, 282–283 quad, 607
air quality, 584–586
improved recovery techniques, quality assurance processes, 425
water quality, 583–584
318–324

as
initiating flow, 301–306 refining processes, 483–506
racks, 397 atmospheric distillation, 488–490
reservoir drive mechanisms,

x
radar, 45 blending and using additives,
313–317

Te
surface handling of well fluids, radial flow, 532 504–506
325–348 radioactivity log, 61 cracking, 492–494
well completion, 284–300 raffinate, 499 fractional distillation, 486–491

of
well service and workover, 349–362 molecule rearrangement, 495–498
rail and tank cars, 388
well testing, 317–318 solvent extraction, 499–500
railheads, 388
treating, 501–504

ity
summary, 363–364 Railroad Tank Car Safety Research and vacuum distillation, 491
production price schedule, 547 Test Project, 400 reformate, 498

rs
production riser, 370 railway systems reformulated gasoline (RFG), 428
production safety petroleum products transported by
ve
about, 375-376 regasification, 462
rail, 397–398
controlling hazards, 379–381 regional metamorphism, 23
safety, 400
ni
most common hazards, 376–378 tank car design and manufacture, regulatory environment, 429–430
summary, 381 relative value, 541
U

399
production schedule creation, 547, 557 tank car strings and unit trains, relief well, 225
production sharing agreement, 538 400–401 remediation, 587
e

product pipelines U.S. government regulation, 399 remotely operated vehicles (ROV), 57
Th

about, 426 rams, 261 remote production, 365–373


batching, 428 rate of return (ROR), 541 remote sensing, 44
n-

control of products movement, 427 rate of return calculation, 561 renewables, 608
early, 392 receiving terminal, 466 reserve pit, 571
io

liquid pipelines, other kinds of, 429


reciprocating compressors, 432 reserves, 75, 561
regulatory environment, 429–430
ns

reclaimer, 589 reserves and estimated ultimate


state and federal regulations, 429
reconnaissance surveying, 48 recovery calculation, 554–556
products, sales and distribution, 515
te

Rectisol process, 337 reserves calculation, 545


progressing cavity pumps, 311
recycling, 590 reserves in place, 554
Ex

propane, 478
reel barges, 449 reserves in place calculation, 547
propane-mixed refrigerant liquefaction
process, 464 reel vessel, 454 reservoir development tools
refined products, 426
um

proportionate reduction clause, 96 data, software and modeling


proppant agents (proppants), 304 refined products transport, 403–405 technology, 69–73
propylene, 480 refineries, 386, 471, 472, 475, 476 drill stem test, 64
le

refinery processes, 484 maps, 66–68


prospect generation and evaluation,
refining and processing sample logs, 62–64
ro

545–561
about, 471–472 stratigraphic correlation, 65
protective gear, 273
early days of, 473–475 strat test, 64
t

public agency records, 46


Pe

petrochemicals, 507–514 well logs, 59–62


public domain land, 80 refining capacity, 515–517 reservoir drive mechanisms
pulsation, 348 refining crude oil, 481–506 combination drives, 317
pulsation dampeners, 348 structure of hydrocarbons in oil and depletion drive, 313–314
pumping, 283 gas, 476–480 gravity drainage, 316–317
pumping order, 423 summary, 518 water drive, 315–316

675
INDEX Fundamentals of Petroleum

reservoir fluids rotary shoe, 250 seabed template, 371


about, 36 rotary table, 174–177 seafloor trench, 452
fluid distribution, 39 rotating control device (RCD), 235, Seawise Giant, 409
natural gas, 38 238 security impact, 614

in
oil, 37
rotating system sediment and water (S&W), 340
water, 37
about, 145

st
sedimentary rocks, 22
reservoir modeling, 72 kelly, 146–148 seeps, 45
reservoir pressure

Au
kelly vs. top drive, 150–151 seismic crew, 53
abnormal pressure, 41 making a connection, 152–153
normal pressure, 39–40 seismic data, 45, 51–52
swivel, 146
residual fuel oils, 506 seismic exploration, 47

at
top drive, 149
residual oil, 491 seismic interpretation, 70
rotor, 228
resistivity, 199 seismic reflection profile, 55
royalties, 81, 87, 94, 95

as
resistivity log, 61 seismic section, 50
royalty deed, 89
Resource Conservation and Recovery seismic surveys
royalty expense, 542

x
Act, 570 early methods, 53
royalty interest, 88, 89

Te
revenue, 535, 540, 542 explosive methods, 53
royalty interest owner, 88 marine seismic methods, 56
reverse faults, 19 Rule of Capture, 83 modern land methods, 54–55
reverse method, 264

of
running sample, 342 ocean bottom cable systems, 57–58
rich oil, 524 running surface casing, 180–181 seismic data, 51–52
rich oil demethanizer (ROD), 524 runsheet, 91

ity
seismology, 50
rig-assisted unit, 355 runsheet mapping, 92 seismograms, 50
rig collapse, 271

rs
run ticket, 342, 425 seismographs, 50
rigging up, 172 seismology, 50
ve
right-of-way, 436, 448 Safe Drinking Water Act, 568 seismometers, 53
right-of-way clearing, 436–437 safety, 400 Selexol process, 337
ni
right-of-way laws, 389 safety and health program organization self-elevating rig, 208
rigid platforms about, 596–597 semisubmersible barges, 454
U

about, 214-215 accident investigation, 599 semi-trailer, 402


concrete gravity platforms, 216 contractor safety, 601
e

send-out system, 466


steel caisson platforms, 217 hazards, checking for, 598
separating liquids from gases, 326
Th

steel jacket platforms, 215 incident rates, 600


sequence stratigraphy, 65
rig installation, 274–275 industrial hygiene, 600
sequestering agents, 306
n-

rigs training, 602–604


workers compensation, 599 service and workover equipment,
auxiliary equipment, 356 349–356
io

coiled tubing units, 353–354 safety escape system, 276


safety harnesses, 272 servicing, 281
fluids, 356
ns

safety meetings, 603 servitude estate, 89


service and workover equipment,
350–351 Safety of Life at Sea Treaty, 570 shake-out test, 343
te

snubbing units, 354–355 safety regulations, 595 shale, 29


wireline units, 351–352 shale gas, 29, 244
Ex

safety stand down, 603


ring compounds, 480 salts, 501 shale oil, 29
ripper, 436 sample logs shaped charges, 288
um

risked rate of return, 546 core samples, 62–63 shear rams, 263
risk management plan, 604 cuttings samples, 64 Sherman Antitrust Act, 82
robot maintenance system (RMS), 371 sample types, 342 shippers, 421
le

rock categorization sampling methods, 341 ships at sea, 395


petroleum bearing rocks, 24 ship-shaped barges, 210
ro

San Andreas Fault, 18


types of rock, 22–23 sand cleanout, 359–360 shot, 53
t

rock cycle, 24 sand control, 361 shut-in royalty clause, 95


Pe

rock ditcher, 438 sandstone acidizing, 305 shutting in a well, 261–266


rock shield, 445 saturated hydrocarbons, 478 side-looking airborne radar (SLAR), 45
rod cut, 358 Saudi Arabia, 113 sidetracking, 361
Romania, 111 scrapers, 358 simplified system, 401
rotary drilling, 118–119 screws, 209 single-containment tanks, 466

676
Fundamentals of Petroleum INDEX

single point mooring (SPM) base, 414 static pressure, 348 suction boosters, 420
skimmer, 578 static well, 264 sulfinol process, 337
slick line, 351 station tank farms, 421 sulfur recovery, 504
slop oil tank, 344 stator, 228 Summary of Work-Related Injuries and

in
slug, 322 steam-assisted gravity drainage Illnesses, 595
superbarges, 449, 454

st
slurries, 429 (SAGD), 323
small-scale electricity storage, 620–621 steam cracking, 506, 512 supergrids, 625

Au
snubbing units, 354–355 steam drive, 323 super majors, 536
soil cleaning, 587 steam injection, 323 supertankers, 409
solar energy, 627–629 steam methane reforming, 494 supervisory control and data

at
solvent extraction steerable motors, 229 acquisition (SCADA) system, 424
BTX recovery, 500 steering tool, 230 supply chain business units, 533

as
fuel improvement, 499 stern, 411 supporting facilities, 513
lubricating oils and waxes, 499 stimulation, 302 surface blowout, 258

x
solvent treating, 499 stinger, 450, 452 surface casing, 284

Te
sondes, 60 stock tanks, 339 surface choke, 238
sonic log, 62 storage and handling, 283 surface control panel, 351
sound sources, 57 straight refrigeration, 521 surface estate owner, 88

of
source plays, 244 straight-run products, 497 surface geographical studies
source rocks, 26 strapped tank, 339 aerial photographs and satellite

ity
sour crude, 480 strat (stratigraphic) test, 64 images, 43–45
sour gases, 336 strata, 22 oil and gas seeps, 45–46

rs
spears, 253 stratigraphic correlation, 65 surface handling of well fluids
special party tanks, 404 about, 325
ve
stratigraphic traps, 30, 34–35
special requirements, 604 crude oil storage, 339–340
stratigraphers, 64
specialty and tie-in crews, 446–447 emulsion heater types, 330–331
stratigraphic correlation, 65
ni
free water removal, 327
spectroscopy, 201 stratigraphy, 64 gas sampling, 345
U

spent drilling fluids and cuttings, 572 stress corrosion cracking, 398 gas testing, 346
spill, prevention, countermeasures and strike-slip faults, 19 LACT units, 344–345
e

control (SPCC) plan, 567 stringer welders, 442 measuring and testing oil and gas,
Th

spills from tankers, 575–576 stringing pipe, 440–441 342–344


Spindletop, 114–115 string shot, 250 natural gas handling, 332–338
n-

spoil, 438 stripper, 623 oilfield emulsions, 328–329


spontaneous potential (SP) log, 61 struck by injury, 270, 376 oil sampling, 341–342
io

spot market, 466 structural contour maps, 66 separating liquids from gases, 326
spot oil, 248, 249 structural traps, 30, 31 surface hole, 176
ns

spot prices, 3 structure of hydrocarbons in oil and gas Surface Transportation Board, 405
spot sample, 342 about, 476–477 surfactant-polymer flooding, 322
te

spread, 435 aromatics, 478 surfactants, 306, 322


Ex

spread assembly, 435 isomers, 478 surrender clause, 97


spudding in naphthalenes, 480 swabbing, 301, 359
about, 173 olefins, 480 swamp barges, 209
um

using a rotary table, 174–175 other elements, 480 sweet crude, 480
surface hole, 176 paraffins, 478 sweetening the gas, 336
using a top drive, 175 stuffing box, 307 swivel, 146
le

trapping out, 176–179 submerged production system (SPS), synclines, 15


squeeze cementing, 362 370–371
ro

synthetic-based drilling mud, 572


squeeze tool, 362 submersible barges, 455
t

stages, 309 submersibles, 207 tagging and flagging, 380


Pe

Standard Oil Company, 473 subsea wellheads, 299–300 tailgate meeting, 603
standing valve, 308 subsurface hydraulic pumps, 310 takeoff, 93
state and federal regulations, 429 subsurface safety valve (SSSV), 369 tank battery, 339
state patent, 93 subsurface safety valves, 294 tank capacity table, 339
static mud column, 237 sucker rods, 307 tank car design and manufacture, 399

677
INDEX Fundamentals of Petroleum

tank car strings and unit trains, drill pipe design, 227 anticlinical traps, 32–33
400–401 managed pressure drilling and combination traps, 36
tank construction, 340 density, 237–244 lenticular traps, 35
tankers mud density use, 234–236 stratigraphic traps, 34–35

in
average-size, 410 multilateral wells, 232–233 structural traps, 31
cryogenic, 412 normal mud density, 236 unconformity, 35

st
icebreaking, 411 orienting the hole, 230 traveling valve, 308
rotary steerable tools, 231

Au
natural gas, 412–413 treating
ocean going, 408 vertical drilling tools, 232 dehydration and desalting, 501
spills from, 575–576 top drive, 149, 175, 178 hydrotreating, 502–503
supertankers, 409 topographical maps, 66 other methods, 504

at
tank farms, 418, 421 topography, 43 sulfur recovery, 504
TankTrain, 400 torsion balance, 49 treatment with electricity, 329

as
tank trucks, 396, 402, 404 total recordable case rate, 600 tripping, 184–186
tape coatings, 443 towboats, 407–408 trucking companies, 402

x
tar, 29 towed streamer acquisition, 57 truck-mounted rigs, 351

Te
truck racks, 404
tariffs, 425 tow travel, 408
truck tractor, 402
tar sands, 29 Toxic Substances Control Act, 570
trunklines, 389

of
tax expense, 544 tractor-trailer, 402
trunkline stations, 418, 420
teamsters, 387 trailer-mounted rigs, 351
tubing, 289, 290

ity
Technigaz Mark III system, 413 trailers, 402
tubing and packers
Technology Advancement of training
about, 290–292

rs
Multilaterals (TAML), 233 about, 602
gravel pack completions, 295–296
tectonic movement, 24 emergency planning, 604
ve
multiple completions, 293
temperature hazards, 378 safety meetings, 603
subsurface safety valves, 294
special requirements, 604
temperature measurement, 342 well servicing and repair, 358
ni
trajectory, 221
tenders, 204, 423 tubing head, 298
Trans-Alaska Pipeline System (TAPS),
U

tendons, 219 tubingless completion, 289


414, 437
tensioner, 452 tugboats, 407
transmission lines, 519
e

term, 94 transmix, 428 turnkey contract, 130


Th

testing and commissioning, 449 transportation twistoffs, 253


thermal cracking, 493–494 about, 385 2D seismic surveying technique, 51
n-

thermal process, 323 crude oil pipelines, 415–416 two-phase separator, 326
thermal recovery early methods of, 386–396
io

cyclic steam injection, 324 economics and safety, 456–457 ultimate recovery estimate calculation,
fireflooding, 324 liquefied natural gas (LNG), 458–467
ns

547
steam drive, 323 marine transportation, 406–415 ultra-large crude carriers (ULCC), 409
therms, 346 measurement and quality assurance,
te

unconformity, 30, 35
thief, 341 425
unconsolidated reservoir, 295
motor transportation, 402–405
Ex

thief sampling, 341 unconventional drilling, 244–246


3D seismic surveying technique, 51, 52 natural gas pipelines, 430–434
offshore pipeline construction, unconventional supplies vs.
three-dimensional images, 71 conventional supplies, 532
449–455
um

three-dimensional well, 231 underbalanced condition, 257


pipeline construction on land,
three-phase separator, 327 434–449 underbalanced with light drilling mud,
Thumper, 54 products pipeline, 426–430 241
le

tied back liner, 285 railway systems, 397–401 underground injection control (UIC)
ro

tight gas sands, 532 summary, 468 program, 568


time value of money, 541 transportation and refining, 383 underground injection control wells,
t

title examiner, 93 584


Pe

trapping out
title opinions, 93 pipe racking, 178–179 United States, oil and gas production
toluene, 478 using a rotary table, 176–177 in, 77
tools and techniques using a top drive, 178 unitization, 95
advanced engineering, 234 traps unitized properties, 84
downhole motor, 228–230 about, 30 units, 471

678
Fundamentals of Petroleum INDEX

unit train, 401 wait and weight method, 264 well servicing and repair
unsaturated hydrocarbons, 480 walking beam, 283 beam pumping equipment, 356–358
unscheduled event, 257 warranty clause, 96 swabbing, 359
upstream, 423 tubing and packers, 358
washover pipe, 250

in
upstream business units, 533, 534 well testing
washpipe, 250
U.S. Army Corps of Engineers, 430 bottomhole pressure test, 318

st
water, 37 potential or production tests, 317
U.S. Coast Guard, 576 water-alternating gas (WAG) injection, well unloading, 301

Au
U.S. Department of Energy (DOE), 321
429 well workover, 349
water drive, 315–316
U.S. Department of Transportation West Texas Intermediate (crude oil
waterflooding, 320

at
(DOT), 399 index), 534
water quality, 516, 583–584
U.S. Environmental Protection wet trees, 368, 373
wax, 498
wheel ditcher, 438

as
Administration (EPA), 430, 515, 580 weight and torque-on-bit, 197
U.S. federal government lands, 80 wild well, 225
wellbore pressure, 260
wind energy, 625–626

x
U.S. Geological Survey (USGS), 45 well completion, 278, 284
windows, 232

Te
U.S. laws and regulations, 399, completion types, 286–289
566–570 wind resources, 626
production casing and liners,
U.S. petroleum supply and demand, 284–285 wing valve, 298

of
474 tubing and packers, 290–296 wireline, 351
wellhead, 296–300 wireline logging, 189–191
vacuum distillation, 491 wireline logs, 60

ity
well control. See also out-of-control
variable bore rams, 262 well, 257–268 wireline units, 351-352
well cores, 63 wooden barrels, 388

rs
vehicle types, 402
velocity, 200 wellhead workers compensation, 599
ve
Venezuela, 112 about, 296–297 working at heights, 380
vertical cable survey, 56 casinghead, 298 working interest, 87
ni
vertical cross sections, 68 Christmas tree, 298 workover fluid, 356
subsea wellheads, 299–300 workover operations
vertical support members (VSMs), 439
U

tubing head, 298 casing and production liner repair,


very large crude carriers (VLCC), 409
well kick, 234 362
Vibroseis, 55
e

well logs plug-back cementing, 361


viscosity breaking, 494
Th

about, 59 sand cleanout, 359–360


viscous molecules, 29 acoustic logs, 62 sand control, 361
vitrification treatment, 588 drillers log, 60
n-

squeeze cementing, 362


volatile liquids, 412 electric logs, 61 workovers, 281
io

volatile organic compounds (VOCs), nuclear logs, 61 World Carbon Dioxide Emissions from the
517, 567 wireline logs, 60 Use of Fossil Fuels, 610
ns

volatilization, 587 well service, 349 world petroleum supply and demand,
volumetric density, 621 well service and workover service and 474
te

volumetric method, 264 workover equipment, 349–356 worst case outcome, 547
well servicing and repair, 356–359
Ex

wagons and water, 387 workover operations, 359–362 xylene, 478


um
le
ro
t
Pe

679
To obtain additional training materials, contact:

in
PETEX
The University of Texas at Austin

st
Petroleum Extension Service

Au
10100 Burnet Road, Bldg. 2
Austin, TX 78758
Telephone: 512-471-5940

at
or 800-687-4132
FAX: 512-471-9410

s
or 800-687-7839

xa
E-mail: [email protected]
or visit our Web site: www.utexas.edu/ce/petex

Te
of
To obtain information about training courses, contact:

ity
PETEX
Learning and assessment center
The University of Texas
rs
ve
4702 N. Sam Houston Parkway West, Suite 800
Houston, TX 77086
ni

Telephone: 281-397-2440
U

or 800-687-7052
FAX: 281-397-2441
e

E-mail: [email protected]
Th

or visit our Web site: www.utexas.edu/ce/petex


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of Petroleum
Fundamentals
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Fundamentals

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of Petroleum

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Fifth Edition

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ISBN 978-0-88698-231-7 The University of Texas at Austin - Petroleum Extension Service


Cat. No. 1.00050

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