Oilfield Technology July 2013

OILFIELD TECHN

OLOGY MAGAZIN

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JULY 2013

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.energyglobal.com

VOLUME 06 ISSUE 07-JULY 2013

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ISSN 1757-2134

contents

Copyright © Palladian Publications Ltd 2013. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the copyright owner. All views expressed in this journal are those of the respective contributors and are not necessarily the opinions of the publisher, neither do the publishers endorse any of the claims made in the articles or the advertisements. Printed in the UK. Images courtesy of www.bigstockphoto.com.

Oilfield Technology is audited by the Audit Bureau of Circulations (ABC). An audit certificate is

available on request from our sales department.

18

| 03 | EDITORIAL COMMENT

| 05 | WORLD NEWS

| 10 | RISING INSECURITYKeri Leicher, Consultancy Africa Intelligence, South Africa, takes a look at West Africa’s slippery oil future.

| 14 | AFRICAN ADVENTURESDidier Lluch, Repsol, Spain, explains the importance of supercomputers in the analysis of seismic imaging data as the global oil and gas industry turns its focus towards offshore West Africa.

| 18 | LOOKING INTO LA LUNAEdward Tovar & Nelbett Marfisi, Ecopetrol, and Elizabeth Diaz & Joel Walls, Ingrain Inc., use digital rock physics (DRP) for reservoir characterisation in the La Luna formation.

| 23 | EXCEED EXPECTATIONSAlexander Darishchev, Pierre Lemouzy and Patrick Rouvroy, Beicip-Franlab, France, outline some of the practical aspects of modelling and flow simulation in the context of tight and shale gas reservoirs.

| 31 | LIQUID GOLDWater usage in the O&G sector is growing rapidly – as are constraints. Oilfield Technology correspondent Gordon Cope explores some of the challenges and solutions.

| 35 | KEEPING WATER SOFTMichael Dejak, Eco-Tec Inc., Canada, unveils a next generation water filtration technology for the oil and gas industry.

| 41 | CLEANING UP CRUDE PRODUCTIONJay Keener, Produced Water Absorbents, USA, reveals the development of a new water treatment technology designed to help ‘clean up’ the hydrocarbon industry.

| 45 | PLUGGING THE GAP IN LEAK DETECTIONDr Frances Metcalfe, Cambridge Consultants, UK, looks at the range of automatic leak detection techniques currently in use and points out some key opportunities for improvement.

| 49 | A GUIDE TO OPERATING IN THE UNCONVENTIONALSheldon Jahn and Jennifer McMurtry, KUDU, Canada, provide a troubleshooting guide for the use of PCPs in CBM operations.

| 52 | Y NOT TAKE THE NEXT STEP?Evan Sheline, ESP Completion Technologies, USA, shows how a new approach helps solve the problems caused by weaknesses in the standard ESP bypass system (Y-tool) design.

| 57 | HAMMER TIMEJack Kolle, Oil States Energy Services/Tempress, USA, provides an overview of some extended reach well intervention tools.

| 62 | EXTENDING THE LIFE OF AGEING ASSETSDr Liane Smith, Wood Group Intetech, UK, shows how integrity management and corrosion modelling tools provide a systemic approach to ensuring the safe and reliable operation of ageing assets for oil and gas operators looking to squeeze more from mature reservoirs and facilities.

| 66 | AVOIDING ARC FLASH AFTERMATHMarty Trivette, GE, USA, outlines various strategies and technologies that can be deployed to protect workers and speed recovery from arc flash incidents in oil and gas operations.

| 69 | BLOW YOUR WHISTLE?David Lawler, Forensic Risk Alliance, UK, reveals everything you wanted to know about whistleblowing, but were afraid to ask.

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OILFIELD TECHNOLOGYJuly 2013

Anna Scordos

Editor

comment

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In the world of international business dealings, the newly emerging relationship between China and Iceland seems to be fl ourishing. China’s state-owned oil company, CNOOC,

has been progressing its interest in exploration in the Arctic region, and has recently joined with Eykon Energy, a young Icelandic company, in a bid for an offshore exploration licence in Northeast Iceland. If the partnership qualifi es for the round, the licence is expected to be awarded this Autumn. Earlier this year, Iceland became the fi rst European country to sign a free-trade agreement with China, and China has since become a permanent Observer at the Arctic Council; an intergovernmental forum for Arctic governments and peoples, which currently only admits 12 non-Arctic countries as ‘Observers’. Observers may propose projects through an Arctic State or a permanent participant, but fi nancial contributions from Observers to any given project may not exceed the fi nancing from Arctic States.

China is certainly making proactive efforts to fi nd partners in O&G ventures around the world. CNOOC and other Chinese oil companies held meetings with Russia’s state-controlled OAO Rosneft head, Igor Sechin, during his visit to China earlier this year about potential offshore projects in the Russian Arctic. In addition, Philippines-based company Philex Petroleum Corp. has said it has been holding discussions with CNOOC to form a partnership to explore and develop the gas-rich Recto Bank (80 miles from Palawan in the Philippines) although these talks remain preliminary, and any agreement formed between the two companies would have to respect the laws and regulations set by their respective nations. Unfortunately, the target exploration area, which contains a large amount of gas-rich

deposits, is the subject of a territorial clash between China and the Philippines, with China consistently claiming that it has, “Indisputable sovereignty over the West Philippine Sea islands and their surrounding waters.” China is currently favouring investment into gas resources and moving away from more polluting resources like coal, as the country endures domestic and international pressure to clean up air pollution problems and diversify its energy mix.

CNOOC’s multi-billion dollar takeover of Canadian oil fi rm Nexen, approved late last year, marked another movement by China into Canada’s oil reserves and China’s biggest overseas acquisition to date. However, Canadian Prime Minister Stephen Harper intimated that the deal was done with some reluctance on behalf of his Administration. When announcing the outcome of the deal, he said, “This is not the beginning of a trend, this is the end of a trend […] to be blunt, Canadians have not spent years reducing ownership of sectors of the economy by our own governments only to see them bought and controlled by foreign governments instead.” Investment by China, on a large scale, into the Canadian O&G industry is still an unknown undertaking for both parties, and future investment possibilities rely on the skilful management of existing deals.

China does seem to be making some moves towards increased transparency in its international business dealings, although it will continue to come up against oil producing nations suspicious of its motivations and reluctant to cede too much control to China. This will undoubtedly change in time, with the ebbs and fl ows of the global political and economic composition. Some things just need a little getting used to.

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05OILFIELD TECHNOLOGYJuly 2013

world news

inbriefThe East African-focused explorer, Tullow Oil has announced positive flow testing results from two wells drilled in Kenya’s South Lokichar Basin.

According to a statement from the company, “In Kenya, [Tullow has] significantly upgraded resource estimates for the South Lokichar Basin following the highly successful flow testing of Ngamia and Twiga-South.”

The boosted resource estimates mean that the South Lokichar Basin could hold as much as 250 million bbls. of oil with the potential for this figure to rise even higher. The Ngamia and Twiga-South wells are predicted to have a flow-rate of up to 5000 bpd.

Tullow’s CFO, Ian Springett said, “We see the Lokichar Basin well on the way to commerciality and with the potential to be similar in scale to the Lake Albert Basin.”

The company also announced that

it had made another discovery in Kenya at the Etuko-1 well.

Tullow has previously found success in East Africa with its assets in Uganda’s Lake Albert Basin; Tullow and its partners have discovered more than 1.2 billion bbls. of oil equivalent in the region. According to Tullow, “In Uganda, we have made substantial progress with partners and the Government and expect to sign a Memorandum of Understanding, which will outline the key principles for the development of the Lake Albert Basin development.” The company went on to add that it expected results from its exploration and appraisal programme across wells in Kenya, Ethiopia, French Guiana, Norway and Mauritania in the second half of the year.

Despite the recent success, some analysts have warned over the dangers of the company’s rising net debt.

KAZAKHSTANUzuakbai Karabalin, the former boss of KazMunaiGas (KMG), has replaced Sauat Mynbayev as Kazakhstan’s Oil Minister. Mynbayev resigned and moved to a top role in KMG.

Sources with links to the ministry claimed that the change, which could be perceived as a demotion for Mynbayev, came about as a result of delays to commercial production at the giant Kashagan project.

Kashagan is predicted to produce 370 000 bpd in its first phase, with an eventual ramp up to 450 000 bpd.

UKLondon’s mayor, Boris Johnson has come out fully in favour of shale gas operations in and around the UK’s capital city in order to meet growing energy demands in the future.

Johnson was quoted as saying, “Many people have not yet woken up to the reality that the population of London is growing faster than any city in Europe. ... if reserves of shale can be exploited in London we should leave no stone unturned, or unfracked, in the cause of keeping the lights on.”

BRAZILNewly released figures show that Petrobras has reached a new pre-salt production record of 322 100 bpd - a 11 000 bpd rise on last year’s figure. The company also hit record output at the Espírito Santo field, producing 322 700 bpd.

Despite the record pre-salt output, Brazil’s actual overall oil and gas production figures for May marked the 14th consecutive month of decline. Total hydrocarbon output for May was 1.892 million bpd, a 1.7% drop from April’s 1.924 million bpd.

// Tullow Oil// Success in East African oilfi elds

Petrofac has been awarded a US$ 50 million contract by Oman Oil Company Exploration and Production (OOCEP), a subsidiary of Oman Oil. The contract, which is sceduled to last three years initially, will see Petrofac organise operations and maintenance at two production facilities currently under construction: The Musandam Gas Plant and the Abu Tubul gas facility.

The Musandam plant will be made up of onshore facilities designed to receive fluids from offshore platforms in the West Bukha field; Abu Tubul will be made up largely of production wells conntected to a gas plant.

According to OOCEP, the facilities are “critical assets for developing Oman’s oil and gas capability.”

Royal Dutch Shell has announced a new deepwater oil discovery in the Gulf of Mexico.

Shell holds a 75% interest in the Vicksburg ‘A’ well, located 75 miles offshore, which uncovered 152 m of net oil pay at a depth of just over 8000 m.

Early estimates have predicted that the discovery may contain recoverable reserves of approximately 100 million bbls. of oil equivalent.

This latest discovery comes in addition to the potentially recoverable 500 million bbls. of oil equivalent found in the neighbouring Appomattox discovery. Shell Upstream Americas Exploration’s Executive Vice President, Mark Shuster said, “The results of the Vicksburg well strengthen our existing deepwater [GoM] exploration portfolio.”

// Petrofac // Wins US$ 50 million contract

// Shell // New GoM oil discovery

06 OILFIELD TECHNOLOGYJuly 2013

diarydates

webnews highlights

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To read more about these articles and for more event listings go to:

world news

Piper Alpha – Learning from major disasters

Cuadrilla exploration plan update

Kashagan production facilities start up

3 - 6 SeptemberOffshore EuropeAberdeen, UKE: [email protected]

22 - 27 SeptemberSEG International Exposition and 83rd Annual MeetingHouston, USAwww.seg.org/web/annual-meeting-2013

30 September - 2 OctoberSPE ATCENew Orleans, USAE: [email protected]/atce/2013

29 - 31 OctoberOTC BrasilRio de Janeiro, BrazilE: [email protected]/2013 // Chesapeake // Sells US$ 1 billion

of assets to Exco Resources

Chesapeake Energy, the US gas producer has agreed to sell US$ 1 billion worth of shale assets to Exco Resources as part of an ongoing process to increase liquidity and reduce long term debt.

The assets covered by the sale include acreage in the prolific Eagle Ford shale, covering approximately 55 000 acres spread across several counties with an overall production of 6100 boepd. Also included in the sale are 9600 acres of the Haynesville shale which currently produce 114 million ft3/d of gas.

The completion of the sale should bring the total amount of money raised by Chesapeake this year to approximately US$ 3.6 billion. According to the company, the proceeds of the sale and net cash flow will allow Chesapeake to fully fund its 2013 Capex budget. The company’s end goal for asset sales this year is somewhere between US$ 4 billion and US$ 7 billion.

Chesapeake has been working to restore its finances after the collapse of US natural gas prices and significant debts built up by former CEO Aubrey McClendon left the company in financial difficulty. McCledon, was replaced earlier this year over shareholder concern about his personal finances.

Rosneft has announced that it has purchased the remaining 49% of the gas company, Itera for US$ 2.9 billion.

The deal comes as part of Rosneft CEO Igor Sechin’s plan to make the company a global energy giant and reach gas production levels of 100 billion m3 by 2020; by way of comparison, Rosneft only produced 13 billion m3 of natural gas in 2012.

Sechin’s plan is likely closely tied in with the Russian government’s scheme to maintain global influence and counter the effects of the US shale boom by exporting vast amounts of natural gas to emerging markets in Asia.

A statement from Rosneft said that the purchase “forms a stable platform for [the] implementation of Rosneft’s gas strategy aimed at gas production increase.”

Brent crude climbed to a 14 month high of US$ 105.76/bbl as the Egyptian President, Mohammed Morsi faced sustained unrest and mass protests.

Whilst Egypt itself does not contain globally significant oil and gas reserves, approximately 2% of the world’s oil flows through the Suez Canal; there were also fears that the unrest could spread further across the Middle East and potentially affect up to 25% of global production.

Prices stabilised somewhat after the Egyptian military staged a coup on 4th July and promised new elections. According to the BBC, the Suez Canal Authority was quoted as saying that it “has all the authorities needed for running the Canal without being limited by the laws and the systems of the Egyptian government.”

// Rosneft // Buys rest of Itera for US$ 2.9 bn

// Egypt // Oil prices stabilise after coup

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world news

08 OILFIELD TECHNOLOGYJuly 2013

// BP // Asks court to review Macondo compensation

// Tethys Petroleum // Buys Georgian assets

// Saudi Arabia // Gas drilling to intensify

// Brazil // Libra to net US$ 7 bn from bidders

// Gazprom Neft// Arctic oil ready by Q4

Central Asia-focused Tethys Petroleum has reported that it has made a series of asset purchases in the Republic of Georgia.

The company will acquire a 56% interest in production sharing contracts across the ‘Iberia’ project blocks XIA, XIM and XIN in eastern Georgia, not far from Tibilisi, the capital. The total area covered by the blocks is more than 6400 km2.

The three production sharing contracts are to cost Tethys US$ 9.6 million, which will be paid through the transfer of 12 million ordinary shares in the company and US$ 4.4 million worth of funding towards the next US$ 10 million work programme.

Tethys’ Executive Chairman and President, Dr David Robson, said, “The independent evaluation carried out suggests a potential for several billion bbls. of oil in the acreage with direct access to world markets and very attractive commercial terms.”

It has been revealed that Saudi Arabia has begun to increase its efforts to access new supplies of natural gas in a bid to reduce its domestic oil demand.

A report by the Finanical Times states that analysts expect the world’s largest oil exporter to have increased its number of active rigs to 200 by late 2013/early 2014 - up from 134 at the beginning of this year.

Some of the increased rig activity can be attributed to boosted production at the Manifa oilfield, yet a significant portion of the increase is down to intensified efforts to access supplies of natural gas. Power stations in Saudi Arabia often use crude oil for fuel during the summer to meet increased demand and this can tighten the availability of supplies for export.

A former Aramco Executive Vice President, Sadad Ibrahim Al-Husseini, said “The challenge is to maintain growth in gas production and free more crude for export.”

Brazil’s ANP has said that it expects to receive upwards of US$ 7 billion from the winning bidder at the upcoming auction of the Libra offshore field. The US$ 7 billion figure has risen considerably from the ANP’s earlier estimate of US$ 4.6 billion

With estimated recoverable reserves of 12 billion bbls. of oil, equivalent to the crude consumption of the US for a period of approximately 18 months, Libra is the world’s largest single prospect to be put up for auction. It is expected that it will take roughly five years of development before initial production from the field.

The sale is to be the first conducted under Brazil’s production sharing contract model, where the winning bidder will likely be the one that offers Brazil the largest share of output to sell on its own behalf once development costs have been covered. Whoever wins, Brazilian law states that Petrobras will be the operator and put up 30% of all investment.

Gazprom Neft has announced that its initial oil production from the Arctic Prirazlomnoye field will begin in Q4 this year after delays.

Start-up of the field had been delayed over safety fears after the rig was boarded by Greenpeace activists last year. The development of Arctic oil and gas reserves remains highly controversial, with many claiming that risks posed by adverse weather conditions and icebergs are simply too great to ensure safe production; Shell’s recent difficulties with its Kulluk drilling rig offshore Alaska have done little to help sway public opinion.

Prirazlomnoye is Russia’s first offshore Arctic oil development and is expected to reach a peak production level of 19 000 bpd by 2019.

BP is currently in the process of asking a US court to reject a specific interpretation of a partial settlement over the oil spill caused as a result of the Deepwater Horizon disaster in 2010.

BP’s argument is that Claims Administrator, Patrick Juneau has approved millions of dollars worth of false claims made by businesses as a result of working to an incorrect interpretation of the agreement BP reached with lawyers in 2012.

If the judgement goes against BP, it could have significant long-term repercussions for the company in the region; some analysts have pointed out that if BP feels it was treated unfairly and not subject to due process then it is likely to be less confident about operating in

the US in future. The financial implications are also massive, with a ruling against BP costing the company billions of dollars in additional claims.

A spokesman for BP, Geoff Morrell was quoted as saying, “We are asking the Fifth Circuit to follow established legal principles of contract law and interpret the agreement as written and intended: paying only those claimants who suffered actual losses.”

Not only is the Claims Administrator’s misinterpretation contrary to the plain language of the settlement agreement and the intent of the parties, but it has ignited a feeding frenzy among trial lawyers attempting to secure money for themselves and their clients that neither deserves.”

CASING DESIGN FOR EXCEL

Keri Leicher, Consultancy Africa Intelligence, South Africa, takes a look at West Africa’s slippery oil future.

TWest Africa’s new oil province

Security risks in the Gulf of Guinea


Figure 2. Nigerian pirates expand in the region.

Investment considerations

Figure 3. Attacks in the Gulf of Guinea in 2012. Source: www.ics-ccs.org/piracy-reporting-centre/live-piracy-map.

Figure 1. The West African transform margin.

9:25AM

5:25PM

Didier Lluch, Repsol, Spain, explains the importance of supercomputers in the analysis of seismic imaging data as the global oil and gas industry turns its focus towards offshore West Africa.

S


The super continent

Applying seismic imaging ‘know how’

Achieving ever greater accuracy

Lending expertise

Drilling deeper with better technology

References

Figure 1. The MareNostrum supercomputer.


Edward Tovar & Nelbett Marfisi, Ecopetrol, and Elizabeth Diaz &

Joel Walls, Ingrain Inc, use digital rock physics (DRP) for reservoir characterisation in the La Luna

formation.

T Technology and methods


Results and findings

Figure 1. A 20 ft depth interval of CoreHD data (RhoB, PEF, images) combined with core gamma ray and other data to compute brittleness or fracability (La Luna-1 well). The vertical resolution of CoreHD is more than 100 times higher than well log data, which greatly improves sample selection and net pay estimation.

Figure 2. A high resolution SEM image from the La Luna formation clearly shows porosity inside organic material. Before SEM imaging, these samples were polished fl at using an argon-ion beam milling process.

Digital rock physics (DRP) was applied in

the La Luna-1 well following a detailed workflow especially

designed for the characterisation of

shales.

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Summary

Figure 3. A high resolution FIB-SEM image volume is shown from the La Luna-1 well. Left is the outer surface of the volume and right is a transparency volume in which green is solid organic material, blue is connected porosity, red is isolated porosity and the solid mineral grains are transparent.

Figure 4. These trend lines show how La Luna shale compares to the oil window and gas window of the Eagle Ford formation in south Texas, USA. Permeability from digital rock samples is computed in the horizontal plane, parallel to shale laminations.

Figure 5. Gas-oil relative permeability curves for two samples of La Luna shale. These samples have absolute permeability of a few hundred nanodarcies, making it impossible to obtain this data from traditional physical core analysis methods.

Exceed ExpectationsAlexander Darishchev,* Pierre Lemouzy and

Patrick Rouvroy, Beicip-Franlab, France, outline some of the practical aspects of modelling

and flow simulation in the context of tight and shale gas reservoirs.

U

Simulation of flow in tight and shale gas reservoirs


Figure 1. A horizontal well with hydraulic fractured stages (multi-stage fracturing).**

Figure 2. A quarter section of a fractured stage: SRV is represented by a simplified discrete fracture network with spatially variable permeability, unSRV (red).

Figure 3. Quarter sector model of a fractured stage. Vertical scale reduced by two. Variable SRV represented by a simplified fracture network (f-SRV) and matrix medium (m-SRV), unSRV contains only matrix medium (m-unSRV).


Adjustment of gridblock size and simulation time step

A study on the simulation of flow in an extremely low permeability reservoir

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® Registered trademark of T.D. Williamson, Inc. in the United States and other countries. ™ Trademark of T.D. Williamson, Inc. in the United States and other counrtries. © Copyright 2013 All right reserved. T.D. Williamson, Inc.


Figure 4. Relative permeability curves: fracture medium (left), matrix medium (right), two different rock-types, analytical formulae and empirical data used.

Table 1. Selected parameters for sensitivity study

Parameter Variables

No. Description Min Mode Max Unit

1 SRV per stage 12.1 16.2 24.3 106 ft3

2 Matrix permeability 10 100 1000 nD

3Propped fracture permeability

1 2 10 D

4 Min BHP 500 1000 1500 psi

Data

cou

rtes

y of

CGG

Mul

ti-C

lient

Lib

rary

.

Tilted Orthorhombic RTM Solving subsalt challenges

TTI RTM is a widely used technology, but it struggles to reconcile azimuthal velocity variations in the presence of fractured, tilted overburdens.

Hence CGG has developed a suite of Tilted Orthorhombic (TOR) algorithms. TOR tomography resolves inconsistent residual moveout among azimuths, caused by uneven stress and fractures within the overburden.

TTI RTM TOR RTM

The velocity model produced by TOR tomography, with more accurate descriptions of overburden velocities, is then utilized by TOR RTM to provide significant subsalt imaging improvements.

cgg.com/SI


Conclusions

Future trends and perspectives

Acknowledgements

Disclaimer

References

Notes

Figure 5. Pressure decline in stimulated and unstimulated reservoir volumes.

Figure 6. Cumulative gas production and BHP: reference model (green curve) versus 2 -1K model (blue curve), 2 -2K (brown curve).

Water usage in the O&G sector is growing rapidly – as are

constraints. Oilfield Technology correspondent Gordon Cope

explores some of the challenges and solutions.

I


Problems

Solutions

Water management in Western ColoradoWestern Colorado is one of the most scenic places on

Earth, home to the breathtaking Rocky Mountain range,

Colorado National Monument and Dinosaur National

Monument. But the area is also extremely parched, and

the modern stimulation techniques needed to produce

the prolific shale gas reservoirs that lie beneath western

Colorado require a lot of water. A single hydraulic

fracture, or frac, can use over 1 million gal. of water, and

each well can contain up to 10 frac stages. Competition

is already fierce for water rights from the nearby

Colorado River; public opinion can be critical.

WPX Energy operates more than 4000 natural

gas wells in western Colorado with an average of

712 million ft3/d production.

Several years earlier, the company was facing

opposition. “Back in 2008, we were drilling in residential

areas and there was a lot of truck traffic, and it upset

the local residents,” says Tyler Bittner, WPX Energy.

The company decided to optimise its completion

strategy through the centralisation of the fracturing

crew. For example, on the Hays Gulch project, 97 new

wells were drilled from 14 pads in one central location.

495 frac stages were then conducted from that central

location. This resulted in a significant reduction in moves

and saved 12 000 water trips. There was also a 95%

reduction in truck traffic, and a 60% reduction in water

costs.

Public reaction was favourable, and the company

began to look for other ways to reduce its environmental

footprint, mainly through water recycling. The company

produces approximtely 29 000 bpd of water, and needs

between 15 000 - 40 000 bpd for completions. The

company invested in the construction of two water

treatment facilities and 1.4 million bbl water-storage pits.

As a result, the company can now recycle virtually all of

its production and frac flow water.

The water is first treated in the field at a 4-phase

separator. Some of the water can be used directly on

site, but most is piped to one of the treatment facilities.

There, the water first goes into a covered tank to capture

volatile compounds. It is then sent to a second tank for

gravity separation of oil. The water is then subjected to

dissolved air flotation (DAF) where bubbles of air float

solids, hydrocarbons, biomass and silts to the surface

for skimming. By this time, the water has 100 ppm of

residual hydrocarbons. It is placed in a water storage pit

and injected with algae. The biomass growth is indicative

of the health of the water.

Most of the water contains between

12 000 - 20 000 ppm of salt, but since a slick water

frac is used, hardness does not adversely affect the frac

stimulation process. However, the company is looking

at RO systems that would clean up minerals in surplus

water and provide fresh water to local users.

The company is also mindful of potentially

substantial operating savings. “In all, we reduced our

AFEs (approvals for expenditure) by 20%, which, when

you consider the low price environment for gas, is a

huge amount,” says Bittner.


Figure 1. GE’s mobile frack water treatment module. Image courtesy of GE Power and Water.

The future

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Michael Dejak, Eco-Tec Inc.,

Canada, unveils a next generation

water filtration technology for the oil and gas

industry.

T


The need for improved water filtration

Traditional water filtration methods

Alternative water filtration technology

Membrane filters

Figure 1. Typical configurations involving membranes, ion exchange or chemical additions; and how granular micro media filtration (Spectrum™) improves performance.

Figure 2.Comparing granular (Spectrum) micro media to conventional media. The lower layer of micro media features a very small particle size and acts as a barrier to small suspended solids.

Figure 3. A 330 m3/hr (50 000 bpd) Spectrum micro media filtration system.


Alternative water filtration technology

Figure 4. An 18 000 bpd (2860 M3/day) Spectrum micro media filter.

Figure 5. Granular micro media filter vs. conventional filter performance: averaged site results collected from field study.

Figure 6. Granular micro media filter: solid particle removal by size.


Development and industrial experience of granular micro media technology

Field performance testing of granular micro media filters

Figure 7. Granular micro media filter oil droplet removal by size (as measured by Canty Instruments).

Figure 8. Granular micro media filter oil droplet removal by size (as measured by Canty Instrument).

Figure 9. Millipore filter discs from granular micro media filter sites (note filtrate volumes).

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Summary and conclusions

Table 1. Old vs. new - oil production and practices

CharacteristicOld conventional oil

New unconventional oil

New practices

Oil type Light, sweet Heavy, sourThermal processes - most commonly steam injection (CSS, SAGD, steam flood).

Water cut Low High

Reinjection of water to reservoir or to disposal wells.ASP polymer floods to increase oil cut and recovery.Gas or WAG (water alternating gas) flooding.

Reservoir porosity

High porosity Low porosityHydraulic fracturing to create porosity through multiple fissures in low porosity formation.

Reservoir pressure

High pressure - low lift costs.

Lower pressure - higher lift cost.

Water injection for reservoir pressure maintenance.

Location Onshore Offshore

Produced Water treatment for discharge or reinjection.Seawater injection, increasingly with membrane processes for sulfate removal.

Well typesSimple, vertical, high, long term production.

Complex, horizontal, multiple fracs, shorter production life.

Water used for initial fraccing.May be used for flooding as well.Flowback and produced water reused for fraccing or to disposal wells.

Table 2. Traditional water filtration technologies and limitations

Filtration technology Comments

Cartridge filters

Low Capex, but Opex depends on flow and solids content in feed. Practical for low flows and low solids content water. Higher flows and higher solids require frequent cartridge replacement.In order to achieve fine filtration to less than 2 microns requires more expensive cartridge elements that clog quickly and require even more frequent replacement

Bag filters

Less expensive to replace than cartridge filters, but since they are depth filters, they clog more quickly. Generally more practical for larger solids that are non-compressible and can form a cake.

Backwashable strainersGenerally more practical for larger solids (> 10 microns). Cleaning may not be effective with oil present.

Hydrocyclones Generally more effective for larger solids (> 10 microns).

Backwashable sand filters

Generally can remove particles to the 5 - 10 micron range, depending on factors like media particle size, bed depth, flow rate and feed water characteristics.

Backwashable nutshell filters

Similar to sand filters, but with the ability to ‘release’ free oil accumulated on the nutshell media.

Backwashable multimedia filters

Similar to sand or nutshell filters, but with somewhat improved removal of small particles depending on the media size. Generally limited effectiveness below 5 micron particle size.

Table 3. Spectrum field testing methods used

Parameter Method

TurbidityHF Scientific Micro TOL Series Turbidimeter 0.02 - 10.0 NTU.

Total suspended solidsStandard methods for the examination of water and wastewater 2540 D with 1.2 m Millipore RAWG filter.

Oil in waterTotal and dispersed (‘free’) oil

Turner Designs TD-500D handheld oil-in-water meter.‘No-Solvent Method’ for oil-in-water analysis.

Oil droplet size and particle size distribution

Canty Process TechnologyIn-flow oil in water analyser with CantyVision software.

Jay Keener, Produced Water Absorbents, USA, reveals the development of a new water treatment technology designed to help ‘clean up’ the hydrocarbon industry.

T

A pertinent problem


Technology selection

Figure 1. The Osorb media can remove dispersed, emulsified and soluble hydrocarbons and oilfield chemicals from produced water.

Figure 2. Osorb media floating in a flask after absorbing >99% of all dispersed oil in a produced water sample.

Figure 3. OIW reduction in offshore produced water with 6 in. media test column.

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Field trials

Flexible packaging

Regeneration

Conclusion

Figure 4. The OBV-036 System.

Dr Frances Metcalfe, Cambridge Consultants, UK, looks at the range of automatic leak detection techniques currently in use and points out some

key opportunities for improvement.

R

“Most significant leaks are still found in the first instance by human eye”


The consequences of a leak will be serious

A fluorescence detector could make a convenient smoke alarm

Ideally, problems with subsea infrastructure would be found at source

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Conclusions

References

Join us!

@energy_global

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join us on LinkedIn™

S


Advantages of CBM

Difficulties

Design recommendations

Well equipment selection

Figure 1. Generalised production profile.

Table 1. Trouble shooting

The following table details some general problems related to PCPs in CBM applications.

Problem Possible Causes Suggested Solutions

Low fluid level

Production productivity estimates incorrect.

Reduce pumping speed.

Low efficiencyGas through pump.

Inspect tubing lin for gas with fluid. Lower intake of pump if possible.

Low efficiencyPlugged pump intake.

Flush-by.

Low efficiency Hole in tubing.

Close the tubing valve on surface. If pressure does not increase. Pull tubing, inspect, replace damaged portion, rerun pump.

Low efficiency Well pumped off.

Take fluid level. If low fluid level, reduce pump speed, downsize pump if needed.

High GLRGas through pump.

Lower PCP intake or add gas anchor.

Uneven flow High GLR.Lower PCP intake or add gas anchor.

Torque fluctuationsRotor contacting tag bar.

Lift up rod string 6 in. with crane of flush-by rig.

Torque fluctuationsGas through pump.

Lower PCP intake or add gas anchor.

Torque fluctuationsWell pumping off.

Reduce pump speed, downsize pump if needed.


Pump selection

Surface equipment

Electric

Hydraulic

Installation recommendations

Operation practices

Note

www.energyg loba l . com/event s

SEARCH hundreds of international industry events on Energy Global

Evan Sheline, ESP Completion Technologies, USA, shows how a new approach helps solve the problems caused by weaknesses in the standard ESP bypass system (Y-tool) design.

A


Improving a classic

Figure 2. Typical internal structure of cast parts.

Figure 3. Damaged cast Y-tool.

Figure 1. Standard Y-tool deployed with ESP system and bypass tubing.

Figure 4. CNC machines.

Figure 5. A CMM machine at ESPCT.

Compliance Systems

Safety Personnel

ProfessionalServices

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Figure 6. Dye penetrant inspection steps.


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Figure 7. ESPCT modular Y-tool (Patent Pending).

Conclusion

T

Jack Kolle, Oil States Energy Services/

Tempress, USA, provides an overview of some extended reach well intervention tools.


A new water-hammer design

Hammers are useful tools

Tripping in

Figure 1. The length of horizontal well completions is increasing. Source: KeyBanc Capital Markets Equity research.

Figure 2. HydroPull water-hammer tool equipped with a blast nozzle.

Figure 3. HydroPull water hammer percussive impact force and motion of 2 in. coil (standard 2 7/8 in. tool at 2.8 bpm).

Figure 4. HydroPull job planning software including CT circulation, cuttings transport and extended reach estimates.


Milling

Short trips

Well stimulation

Figure 5. Sequential stills from HydroPull sand transport video inside of a transparent test section at 100 fpm (0.5 m/s) average flow velocity.

Figure 6. Motor gas separator (MGS).

Figure 7. Extreme reach CT sand cleanout well profile.

Figure 8. Typical plug milling depth/time profile.


Optimising motor flow rates

Case histories

Ball seat milling on jointed tubing

Extreme-reach CT sand cleanout

Composite bridge plug milling

Milling CBPs with a snubbing unit

Milling composite bridge plugs with two-phase flow

Cement milling

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Cudd Energy Services (CES) approaches each challenge with experience, reliability and a commitment to helping you achieve the maximum production from your reservoir. We have extensive experience in conventional and unconventional oil and gas fields, and understand the challenges that may arise. With CES, you get a partner who works with you to develop the optimal plan to ensure your investment produces the maximum return, safely and efficiently.

M

A constant and growing challenge

Dr Liane Smith, Wood Group Intetech,* UK, shows how integrity management and corrosion modelling tools provide a systemic approach to ensuring the safe and reliable operation of ageing assets for oil and gas operators looking to squeeze more from mature reservoirs and facilities.

A unified approach


Actionable information

Note

Five founding pillars for asset life extensionAgeing assets can operate safely and effectively well

beyond their specified design life, provided operators

adopt the right management approach. Outlined

below are five founding pillars for implementing an

asset life extension strategy addressing both surface

and subsurface facilities:1. Consider the potential commercial life: in respect

of local circumstances such as the remaining reserves, market demand and basic adequacy of the infrastructure, and look for possible bottlenecks.

2. Evaluate the current condition: assess whether the asset is fit to continue operation by evaluating inspection data, logging data (for wells) and perform a review of all monitored production parameters.

3. Establish the current safe operating envelope: compare results of current condition assessment against data specified in original design document.

4. Prevent present status from deteriorating further: select appropriate mitigation systems, namely repairs and means of protection (paint, coatings, cathodic protection, protective chemicals injected).

5. Clearly define and document the inspection regime: outline roles and responsibilities, technical and physical review procedures, instrumentation, data collection and reporting tools, define next steps should issues be identified.

E

What is an arc flash?

Assessing the risk

Selecting a strategy: mitigation versus containment

Marty Trivette, GE, USA, outlines

various strategies and technologies

that can be deployed to protect workers and speed

recovery from arc flash incidents in oil and gas operations.


Deploying arc flash mitigation solutions

Figure 1. Normal operation: sensitive response; short-time protection limits selectivity to less than 6 kA. As the curve overlap illustrates (see lower right diagram), zone selective interlocking (ZSI) is effective, but has limitations. With no ZSI, selectivity is limited to < 6 kA. With ZSI, it improves to > 10 kA. With instantaneous zone selective interlocking (I-ZSI), shown in the upper right diagram, 85 kA selectivity is achieved and instantaneous protection still provides reduced arc flash energy to maximise both system reliability and protection.

Summary

David Lawler, Forensic Risk Alliance, UK, reveals everything you wanted to know about whistleblowing,

but were afraid to ask.

W


Getting the house in order

An effective internal ‘speaking up’ mechanism

Motivation - morals or money?


Legal protection for whistleblowers?

Conclusion

References

product news


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Documents

Oilfield Technology July 2013