EP March 2014

E&P Magazine - March 2014

Industry targets fit-for-purpose drilling technology

Factory or manufacturing drilling will continue to be refined to increase drilling efficiency and improve production effectiveness.

As I See It

A costly recurring theme

While attending several events and briefings in recent weeks it was impossible for me to ignore a recurring theme – an industry drive to delay or cut spending to stem spiraling field costs.

Rebooting the GoM

Recent moves by specialist operators in the GoM highlight how much life is left in this basin. It’s not so much a mini-revival but rather – potentially – a whole fresh start.

Cover Story

FLNG market riding investment wave

With forecast total expenditure of nearly US $65 billion between now and the year 2020, the global FLNG market is set for a period of significant expansion.

Industry targets fit-for-purpose drilling technology

Factory or manufacturing drilling will continue to be refined to increase drilling efficiency and improve production effectiveness.

Shell’s Prelude development opens FLNG floodgate

With an eye on moving liquefaction plants offshore to reduce costs, operators in Australia, Colombia, Indonesia, Malaysia, Equatorial Guinea, Israel, and the US Gulf Coast are studying FLNG projects.

Exploration Technologies

Arctic surveys take careful planning

Chevron’s success in the Beaufort Sea provides a blueprint for successful harsh-environment operations.

Egypt ready to turn the corner

Despite two years of civil unrest, Egyptian oil companies hope the country’s untapped riches will lure foreign investment.

Drilling Technologies

California drought could leave Monterey shale high and dry

Shale development will have a tough fight for water rights given California’s huge residential, commercial, industrial, and agricultural demand.

Oil and water do mix in design of semisubmersible fish farm

New design combines technology from the Norwegian fish farming industry and the offshore oil and gas sector.

Completions and Production

Well ‘vaccination’ preventing scale and hydrocarbon buildup in GoM

New dual-purpose substrate and proppant said to offer operators ‘pure flow assurance protection’

‘Baby, it’s cold outside’

Production takes a dip in one of the coldest Bakken winters, but ‘spring will come again.’

Offshore Advances

Mexico: Dawn of a new era

Expectations soar as Mexico allows energy reform.

Subsea splashes down at Sakhalin

Selection of proven subsea production technology by Russian gas giant delivers an offshore first for Sakhalin III.

Digital Solutions

EBS allows company to dive deep

Predictive analytics in real time offer opportunity to change course before incidents occur.

Location and mapping path to mobile automation

Mobile automation has long been used in other industries to drive efficiencies, and linking to established GIS data could be the starting point for E&P.

Features

A renaissance on the Shelf

EPL is looking at deep targets in shallow waters to bring new life to a very mature basin.

Arctic offshore pipeline design challenges

Ice creates unique challenges in design and installation considerations in the Arctic offshore.

Assuring pipeline flow with the total system in mind

Application of a holistic approach helps facilitate flow throughout the production process.

Australia holds opportunity

Australia’s energy offerings are plentiful – conventional, unconventional, offshore, and onshore – but cost concerns remain a challenge in meeting future energy needs.

China could rapidly develop its unconventional resources

While overall well counts in China have remained relatively steady, the share of hydraulically fractured wells has nearly doubled.

Company’s solar EOR success no mirage

Pilot project in Oman reduces need for natural gas in thermal EOR.

Custom EOR reduces natural, synthetic damage to wellbore

Operator chooses customized solution after it is tested and meets with success.

CWD derisks Australian offshore drilling operations

Originally promoted as a cost-saving technology, CWD has emerged as the go-to technique to improve infill drilling in this mature offshore field.

Deepwater development continues to climb

New projects and big spending help push deepwater development ever higher.

Flare gas regulation: challenges, opportunities for energy companies

With growth comes growing pains and increased scrutiny for fracing, but some companies are adjusting and profiting as a result.

FTG survey helps derisk Barents Sea exploration

The growth of multiclient FTG surveys aids explorers in frontier areas.

Great expectations prevail in Mexico

While productivity is expected to remain flat in 2014, the future looks bright for the big four service companies.

Hard abrasive drilling benefits from customized bit design

Designs using optimized impregnated segment block geometry can help maximize bit durability without impacting efficiency.

Hybrid drillbits improve harsh drilling

New technology handles chert challenges.

ICDs with feedback control for steam conformance

Simulation shows benefits of hybrid completion system for SAGD wells.

Improving R&D through collaboration

Companies team up to develop enhanced reservoir intelligence.

Increasing capacity and improving safety

Building effective CI teams generates sustainable results.

Logging depends on conveyance, versatility

Complex wellbores are driving advances in wireline tools and techniques.

Managing the MRO supply chain for competitive advantage

MRO has never been more complex or more worthy of review as new challenges reveal the limitations of decades-old approaches.

Managing the risk calculus in the Arab Spring

Operators need to strike a balance between protecting their people and assets, managing operational imperatives, and dealing with multifarious threats on the ground.

Marcellus activity continues apace

Conference presentations reflect rosy outlook.

Mexico says ‘bienvenido’

After 75 years of Pemex monopoly, Mexico will welcome foreign investors.

Mexico’s post-reform business opportunity

Oil services to see opportunities in the second half of 2015 while opportunities for operators follow later this decade.

MPD techniques overcome formation damage

Total circulation losses are prevented in Sumatra, Indonesia.

Newbuild rig cycle underway

Move to pad drilling generates demand for new high-spec rigs.

No time to lose: HP rotary jetting tool aids in deepwater operation

Hydrates forming in subsurface tree offshore Brazil put scale-removal service to test.

Old tech used in new ways boosts production, cuts costs

Air foam is ideal for sand cleanout, bridge plug drilling, fluid recovery, fishing, and deepening projects in lost circulation zones or pressure-depleted reservoirs.

Olympics provide spark for China’s unconventional gas drive

Thanks in part to the 2008 Beijing Olympics, China is pushing hard to encourage companies to find and exploit its hard-to-reach unconventional gas reserves.

Operator finds optimal solution for steamflooding operation

Choosing the right HP/HT steam-resistant elastomer seal was critical in EOR job.

Powering up the seabed

With subsea processing technologies firmly established as a viable development solution, the industry’s attention is focused on how to supply the power required to drive the large and complex systems destined for the seabed.

PRM provides insights at Ekofisk

A permanently installed fiber-optic seismic system enables repeat surveys that monitor compaction.

Production-focused seismic: insights from the Eagle Ford

A new approach integrates engineering data and 3-D seismic attributes to identify key performance indicators and create predictive models for well and completion planning.

Protecting offshore operations from ice hazards

New ice management system helps operators keep Arctic offshore drilling and production facilities safe.

Ready, set, go: Croatia to launch first offshore licensing round

About a year following the unveiling of a new hydrocarbons law, Croatia will offer onshore and offshore blocks.

The power struggle over the regulation of hydraulic fracturing

As interest grows in regulating fracturing operations, many states are seeking to preempt local government restrictions.

Using fluorescence for oil spill detection and mapping

Airborne or AUV-deployed optical sensor systems enable oil spill detection in the Arctic.

Walking tall: Pad drilling prompts rig design evolution

Self-moving rigs are becoming the standard as the domestic fleet undergoes a multiyear replacement cycle.

Waste not, want not: revitalizing marginal offshore wells

Rigless technology facilitates safe, efficient late-stage intervention.

Well stimulation firms see rising demand in the Rockies

Oil plays driving increased development.

What will reform mean for Pemex?

The number of Mexican monopolies is set to decline with the country’s passage of energy reform.

Wireless-enabled downhole tools aid deepwater well test

Measurements allow engineers to make decisions in real time.

Would you like some towed-streamer EM with your seismic?

Simultaneous acquisition of seismic and EM provides more subsurface information.

Tech Watch

Multiple attenuation: strategy that addresses current challenges

A proposed plan recognizes real and prioritized open issues and defines and addresses challenges. (Part 1 of a two-part series)

Reliability is key to developing deepwater RCPC

A government-sponsored study is investigating if this technique can be transferred from onshore applications to a deepwater environment.

Tech Trends

Activity Highlights

On The Move

Last Word

Advocating the industry

Despite the negative publicity, the oil and gas industry has much to offer.

Selecting the best EOR technique

Operators should consider EOR in the early stages of field development planning to maximize asset returns.

Industry Impact

Creating a more accurate drilling modeling tool

Design platform decreases length of drillbit development cycle and can be used on multiple drive systems.

Integrated system helps manage pressure-related problems

Geomechanics solution allows modeling of complex environments and well analysis.

Management Report

Skills to pay the bills

Bridging the geoscientist generation gap will require knowledge sharing and information access.

Slow HR processes result in lost talent for majors

Recruits have too many offers pending to wait weeks for the second interview.