Petroleum Business(E&P)

““Technology in Upstream”Technology in Upstream”

2nd March, 2005PetroFed, New Delhi

Dr. Ravi Bastia

Petroleum Business(E&P)

Trusting Technology to drive business..

Performance

Productivity

Return on Capital Employed

Reduce Cost of Ownership

Profit

Reliance has a strong Technological focus across it’s wide array of businesses

Textiles Polyester PlasticsRefining &Marketing E&P

Investments in Infrastructure

& Services

Life Sciences & Bio Technology

‘Technology Utilization is Application driven, and the

Focus is to continuously Scan and Adopt Prudent,

Appropriate and Benchmarked Technology’

Preamble

Petroleum Business(E&P)

Areas of Application

Technology Selection

Key Issues

Final Words

InsideInside

Petroleum Business(E&P)

Deep water & Ultra Deepwater

Sub-basalt Mesozoic

HPHT environment

Structurally complex Geo-setting

Transition Zone

Unconventional Sources-CBM, Gas Hydrate, Low Permeability, Thin Sand

‘Leverage Technology to explore frontier areas’

Areas of Application

Petroleum Business(E&P)

TechnologyContinuous Scanning

Selection of AppropriateTechnology

Practices

Concepts

Process Flow Sheets

Scheduling &Progress Review

Organisation People &Relationships

Performance BenchmarkingPeer ReviewValidationApprovals

Work Flow

Technology Selection: Strategy

Select Application Areas

Concept Development

TechnologySelection

Existing Technology

R & D

Petroleum Business(E&P)

Technology Selection: ExistingGeology

Integrate Satellite Images (SAR) with Bathymetry data and develop on GIS platform

Surface/Sub Surface Thermal AnalysisMicropaleontology/Sequence Stratigraphy /Facies

Analysis/Fracture AnalysisGeochemical AnalysisValidating Seismic Interpretation through

Structural Restoration 3D Basin Modeling and Risk Analysis

GeophysicsHigh Res. 3DQ MarineLong StreamerSolid StreamerDemultiple: SRME/3DSRME/Hi Res. Radon Velocity Analysis and ModelingImaging: PSTM/PSDM - Kirchoff/ Wave Equation

MigrationAVO/AVA (LMR) InversionPre/Post Stack Inversion Attribute Analysis

GeologyIntegrate Satellite Images (SAR) with Bathymetry data

and develop on GIS platformSurface/Sub Surface Thermal AnalysisMicropaleontology/Sequence Stratigraphy /Facies

Analysis/Fracture AnalysisGeochemical AnalysisValidating Seismic Interpretation through

Structural Restoration 3D Basin Modeling and Risk Analysis

GeophysicsHigh Res. 3DQ MarineLong StreamerSolid StreamerDemultiple: SRME/3DSRME/Hi Res. Radon Velocity Analysis and ModelingImaging: PSTM/PSDM - Kirchoff/ Wave Equation

MigrationAVO/AVA (LMR) InversionPre/Post Stack Inversion Attribute Analysis

PetrophysicsMWD/SWD/PWDHigh resolution image log (FMI/OBMI)Use of sharplite- lan & Anisotropy ﾉMDTComponent VSP processing

Subsurface Visualization & Reservoir Characterization3D Volume InterpretationBasin ModellingSequence StratigraphyDHI

DrillingEnhanced Capability Rigs for Deep water & HTHPHigh End EquipmentManaged Pressure Drilling (MPD)Expandable CasingsDrilling LinersSpecialized Drilling Fluids Light Weight CementMitigation for SWFIntroduction of FLAIR ( Fluid Analysis ) unit for online monitoring of

hydrocarbon

PetrophysicsMWD/SWD/PWDHigh resolution image log (FMI/OBMI)Use of sharplite- lan & Anisotropy ﾉMDTComponent VSP processing

Subsurface Visualization & Reservoir Characterization3D Volume InterpretationBasin ModellingSequence StratigraphyDHI

DrillingEnhanced Capability Rigs for Deep water & HTHPHigh End EquipmentManaged Pressure Drilling (MPD)Expandable CasingsDrilling LinersSpecialized Drilling Fluids Light Weight CementMitigation for SWFIntroduction of FLAIR ( Fluid Analysis ) unit for online monitoring of

hydrocarbon

Petroleum Business(E&P)

“The Human Eye is the fastest Pathway to the Brain”

Virtual Reality Centre

Technology Selection : Tools

•“Adopting & managing cutting edge technologies to enhance •efficiency and ensure success”

Geo-Data ProcessingState of the art High Performance Computing CentreHigh End Processing :

PSTM/PSDM AVO/AVA

Inversion Multi Component

Processing Pre-Stack/Post

Stack Inversion

Attribute Analysis Seismic Modeling

Real Time Monitoring Centre

Integrated Drilling Optimization Real Time Pore Pressure/Fracture

Pressure Estimation Geo Logging and Mud Logging Geo -Steering Model Based Surveillance Bore hole stability Analysis Real Time Risk Analysis

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R&D RESOURCE POOLR&D RESOURCE POOL

Hiring Global Talents

Hiring Global Talents

Consultants for each discipline

from leading E&P companies

Consultants for each discipline

from leading E&P companies

Short-term Superspecialists

Short-term Superspecialists

“Right People…Right Job….Right Tools...”

Creation of Centre of ExcellenceIn - house R&D

Creation of Centre of ExcellenceIn - house R&D

Research Institutes

Research Institutes

Technology Selection : R&D

Petroleum Business(E&P)

GLOBAL RESEARCH ORGANIZATIONS

AAPG /SPG/SEG Cambridge University University of Calgary Houston Advanced Research centre Stanford Exploration Program Stanford Rock Physics and Borehole

Physics Program Computer Modeling Group Texas A&M University of Texas Institute of

Geophysics Colorado School of Mines

Technology Selection: R&D Institutes

INDIAONGC

IPE - Institute of Petroleum Exploration INIBIGS-Institute of Biotechnology and

Geotectonics GEOPIC-Geodata Processing and Interpretation

Centre IRS-Institute of Reservoir Studies IDT-Institute of Drilling Technology IOGPT-Institute of Oil& Gas Production

Technology IEOT-Institute of Ocean Engineering and

Environmental Management IMD-Institute of Management and Development

CSIR-Council of Scientific Industrial Research NGRI-National Geophysical Research Institute NIO-National Institute of Oceanography

GSI-Geological Survey of India IIT-Indian Institute of Technology IIGM-Indian Institute of Geo Magnetics

JIPs GOM JIP Gas Hydrates Teaming with E&P major for R&D Deepstar

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Characterization of Gas Hydrates & Shallow Free Gas Objectives in Deepwater

BSRBlanking zone

Free Gas

Technology Selection: Frontier project

Petroleum Business(E&P)

Thick, shallow gas zone may be over pressured(Accurate Pore and Fracture Pressure Prediction critical).

Mud weight window reduction due to shallow gas (Accurate Pore and Fracture Pressure Prediction critical).

Possibility of Large Gas Influx while drilling below BSR (Use of Riser & BOP while drilling below BSR)

Unconsolidated Top Hole & Hole Stability (Well bore stability modeling critical)

 Hydrate dissociation during drilling (Proper drilling fluid design and lower circulation rate)

 Poor Cement Bonds in hydrate zone (Proper cement slurry design)

High Resolution & Enhanced Imaging of hydrate / free gas Facies Identification & Resource Estimation Target Identification & Pore Pressure Prediction Drilling Targets Release & Well Prognosis Hydrate / Free Gas Characterization

Well Design Drilling Fluid Design Cement Slurry Design Well bore Stability Modeling Drilling Hazard Mitigation

High Resolution 3D / DTAGS / SS-DR / Geo-Hazard survey

Challenges Process

Technology Selection :GOM Gas Hydrates JIP

Conoco Philips Reliance Industries Ltd. JOGMEC MH21 (Japanese Consortium)Chevron Texaco Halliburton MMS- Minerals Management Service Schlumberger

G & G & Reservoir Related Tasks

Drilling Related Tasks

Safety / Hazard Related Tasks

Petroleum Business(E&P)

Key Issues

Enable National Research Institutes to become Profit Organizations - Fiscal Impetus will stimulate Quality and further investments in R&D

Drive Global Service Providers to consider India as a R&D and Services Hub-Maximize Intellectual Capital Growth-Maximize Utilization of Talent from Indian educational institutes which shall eventually enable maximizing the ‘Indian Talent Pool’

Inclusion of R&D in PSC with Cost Recovery Incentive-Drive E&P companies to increase investments in R&D

Formation of an Apex Body-OIDB?- For promoting, monitoring and benchmarking of Technology programs

Petroleum Business(E&P)

Final Words

"Chance favors the prepared mind."   --  Louis Pasteur

Petroleum Business(E&P)

Thank You