Wrapprup

The Upstream Industry Topics

„ Business and Reservoir Life Cycle

„ Geology and Geophysics: Exploration

„ Reservoir Engineering: Appraisal

„ Drilling: Reservoir Management

„ Production: Operations and Facilities

© 2004 NExT – All Rights Reserved

Business Success Depends on Technology
Integration Focused on the Reservoir

Prediction Description
Geophysics

Petrophysics Geology

Reservoir

Drilling Computing

Performance Characterization
Engineering
Optimization

© 2004 NExT – All Rights Reserved

Reservoir Visualization

© 2004 NExT – All Rights Reserved

 NExT Integration Process Model
Lithofacies Rock & Pore Types Fluids
Capillarity, NMR, Relative Permeability
Depositional Petrology, Mineralogy, Porosity, Permeability,
Pore Sizes, Saturations, Recovery Factor, PVT
Architecture Diagenesis, Porosity Pore size distribution
Fluid Column Heights Fractional Flow

Facies C . .. ... A Swi C

..
Sor
Pore

or Height
Pressure
.. ... ..... B
B Swi

Core Perm
. .
. . Sizes

...... C
.. . .
. . . . . Facies B A
. . . . A
. . . .
Facies A A B C
Core Porosity Non-wetting Saturation Sw

Formation Evaluation Reservoir Compartments & Flow Units

Pressures,
Well Log Models Lithology, Porosity, Fluid Density, Storage Flow Delivery Modified Lorenz,
Lithology, Porosity Fluid Sat’n, Net Pay Fluid Contacts Capacity Capacity Speed Storage & Flow Capacity
Resistivity
C Gr Sw
∗ C

% Cum. KH
* ******* ne
∗
∗
o Depth

Depth
st
Density

nd

*** * * C
Sa

**
Li
m
es
to
n

**
e
B ∗∗ B B
ite
om
D ol

A Water ∗∗ A A
∗
Neutron Pressure %PhiH %KH K/Phi(1-Sw) % Cum. BVHC

Seismic Production Data Reservoir & Geostatistics Reservoir

Models Fetkovich Models Management
Amplitudes, AVO,
Press. Transient, Type Curves Performance
Coherency, Vp/Vs
Permeability, Volume in-place, Simulation, Porosity, Perm, EOR sweep, Well & Field
3D Volume Reservoir Limits Permeability GCOMP, GAS3D Pay Distribution by-passed pay Performance

Horizon Slices
A
B
* * *
* *
* A
... ... .. Oil
Pressure

Rate

B Gas
Attribute Maps C * C Water
5
Pay Maps Performance Maps
Time Time Time
0/19/97 11 96orient.ppt
96orient.ppt
© 2004 NExT – All Rights Reserved
Reservoir Life Cycle

1. Pre-production 2. Build-Up
– Exploration – Reservoir Development
– Appraisal
– Delineation

3. Plateau 4. Decline
– Reservoir Management – Enhanced Recovery
– Production Operations – Secondary Recovery
– Primary Recovery – Tertiary Recovery

5. Decommissioning
– Abandonment

© 2004 NExT – All Rights Reserved

The Reservoir Life Cycle
Pre-Production Build-up Plateau Decline Decommissioning

Production
Rate

Time

Potential projects: Funding Required

New projects: High capital spending

Young projects: Cash Generating

Ageing Projects: Self financing

7
Decommissioning:
Cash sink
© 2004 NExT – All Rights Reserved
Reservoir Life Cycle and Business Value

© 2004 NExT – All Rights Reserved

Stage 1: Exploration The reservoir is discovered and its contents are
just beginning to be defined and understood.

© 2004 NExT – All Rights Reserved

Stage 2: Delineation/Appraisal The size and extent of the reservoir are
delineated and reservoir parameters are evaluated.
10

© 2004 NExT – All Rights Reserved

Stage 3: Development The understanding of the reservoir continues to
improve and field production grows as development wells are
drilled, completed and put on stream.
11

© 2004 NExT – All Rights Reserved

Stage 4: Maturity The reservoir is well understood, production
infrastructure and facilities are optimized, and production is
managed as oil is depleted. Secondary recovery processes are
12
utilized.
© 2004 NExT – All Rights Reserved
New(er) Technologies
What You Should Be Aware Of
„ Time Lapse (4D/4C) Seismic
„ 3D Visualization – Virtual Environments
„ Intelligent Oilfield – Realtime Downhole
Monitoring/Intervention
„ Coiled Tubing Drilling
„ Multidiscipline Integration – Software/People

13

© 2004 NExT – All Rights Reserved

Prudhoe Bay Field, 1969 Map
A Giant Oil and Gas Field

14

© 2004 NExT – All Rights Reserved

1969 Cross Section

15

© 2004 NExT – All Rights Reserved

Prudhoe Bay Field
Discovery 1968 Arco Sohio
First Production 1977
Initial Recovery Estimate 9.6 BSTB
Maximum Production Rate 1.6 MMSTB/Day
Estimated Start of Decline 1989
1997 Recovery Estimate 13 BSTB
Gas Cap 30TCF
Reservoir High quality sandstone with
discontinuous shales

Drive Mechanism Gravity, Gas Gap expansion,

solution gas

16

© 2004 NExT – All Rights Reserved

Prudhoe Bay
Enhanced valued and field production due to technology and
improved reservoir understanding.
• Better 3D Seismic • Gas Injection (Cycling)

• Reservoir Models/Modeling • Miscible Gas EOR

• 3X number of wells • New Zones/Satellite Fields

• Horizontal/multilateral wells • Re-Perforations

• Coiled Tubing • Formation Damage Mitigation

• Water Flood 17

© 2004 NExT – All Rights Reserved

Prudhoe Bay
Plans and Operations
1970’s Plan 1997
• 160-acre wells in 300-400’ light oil column • 40-acre wells in 60-100’ light oil column
• Conventional drilling • Conventional and “designer” wells

• Field Gas Offtake of 2.7 Bscf/D • FGO > 7.5 Bscf/D

• Enhanced Recovery not considered • 500 Mscf/D+ Miscible Injectant
• Miscible injectant specs, WAG ratios complex
• Source waterflood in flanks of field • Gravity drainage/waterflood interaction area
• Manage reservoir for gas sales • Manage reservoir for gas cycling

• Provide 15% excess capacity • 0% excess capacity

• 9.6 BSTB Reserve Estimate • 13 BSTB Reserve Estimate

18

© 2004 NExT – All Rights Reserved

Prudhoe Bay, 2001

19

© 2004 NExT – All Rights Reserved

Prudhoe Bay 2001

„ Largest owners BP, Phillips

„ North Slope Network of Fields
– Oil in Place 50 BSTB
– Gas 50 TCF
„ Market Gas?
– Gas Liquification
– Pipeline
„ Increase Production
„ Coiled Tubing Drilling Standard
„ Viscous Crude Recovery

20

© 2004 NExT – All Rights Reserved

Professional Societies
(~$80 per Year)
American Association of Petroleum Geologists
„ www.aapg.org
Society of Petroleum Engineers
„ www.spe.org
Society of Exploration Geophysicists
„ www.seg.org
Society of Professional Well Log Analysts
„ www.spwla.org

Also join your appropriate EUREKA technical network

http://www.eureka.slb.com
21

© 2004 NExT – All Rights Reserved