Energy Capital The Magazine-July 2022-Edition 13

Page 1

FOR INFRASTRUCTURE DEVELOPERS, INVESTORS AND INDUSTRIAL USERS JULY 2022, ISSUE 13

Exploration and production achievements in the oil and gas U.S. market • Inflation and the Green Swans at the Gate • Strategic exploration and production projects in U.S. and Canada

PVT analysis to characterize a reservoir fluid

Interference detection of mesozoic wells


Energy Capital Magazine

Table of Contents OIL&GAS · Exploration and production achievements in the oil and gas U.S. market

WOMEN IN INDUSTRY · Inflation and the Green Swans at the Gate - Susan Nash

INDUSTRIAL CONSUMERS · Strategic exploration and production projects in U.S. and Canada

MANAGERS Rubi Alvarado – General Manager Aldo Santillan – Managing Director & Editor in Chief Noe H. Saenz – Editorial Board Chairman

Contact Information

DESIGN Gonzalo Rivas – Senior Designer Aleysa Sanchez – Senior Designer

CMP - TECHNICAL ISSUES (CONGRESO MEXICANO DEL PETROLEO)

· Reduction of premature failures in BEC equipment · Interference detection of mesozoic wells · PVT analysis to characterize a reservoir fluid · Modeling for Analysis and Evaluation of Special Projects

EDITORIAL STAFF Elizabeth Garcia Editorial Analysis EDITORIAL BOARD Christine Spiro – Member (Our Energy Manager) Todd C. Frank – Member (Burns & McDonnell)

Energy Capital The Magazine is published by Capital Media Group LLC © 2020. All rights reserved. Digitalized and distributed by Capital Media Group LLC. We accept no responsibility in respect of opinions, products or services obtained through advertisements carried in this magazine.

www.energycapitalmedia.com


5


Oil&gas Market achievements

Exploration and production achievements in the oil and gas U.S. market The global demand rise, the volatile prices, and the environmental policies put the oil and gas U.S. sector face to face with cost reduction, performance optimization, and minimizing its ecological footprint.

By Norma Martinez

Oil and gas production in the U.S. The U.S. is the largest producer of oil and gas in the world. It produced over 4 billion barrels of crude oil in 2021. It accounts for 18.6 percent of global crude oil production. The Energy Information Administration, EIA's preliminary data for 2021 indicates that U.S. total petroleum production averaged about 16.582 million barrels per day. The number includes crude oil, 11.185 million b/d. and natural gas liquids, 5.397 million b/d. The country produces the necessary oil to meet its demand; that means 18.4 million barrels per day and consumes 18.12 million. Texas is the largest oil-producing state in the country. In 2021, the state produced a total of 1.7 billion barrels. In the second place is New

Mexico, which had 459.8 million barrels. On the other side, Virginia is the smallest producing state with 3 thousand barrels. The EIA also reported that of the 7.86 million barrels per day the U.S. imported in 2020, the majority came from Canada, with 4.13 million barrels (52.5%), and Mexico, with 750,000 (9.6%). The largest oil producers in the country The top oil-producing states are Texas with 1.78 billion total barrels produced in 2021, North Dakota with 434.89 million barrels, New Mexico

THE OIL AND NATURAL GAS INDUSTRY SUPPORT 10.3 MILLION JOBS IN THE UNITED STATES AND NEARLY 8 PERCENT OF THE NATION'S GROSS DOMESTIC PRODUCT.


Oil&gas with 370.40 million full barrels, Oklahoma with 171.74 million barrels, and Colorado with 167.83 million total barrels produced last year. The most significant oil and gas companies in the U.S. are ExxonMobil, Chevron, ConocoPhillips, Occidental Petroleum, EOG Resources, Anadarko Petroleum, Phillips 66, and Valero Energy. ExxonMobil is the largest oil and gas company in the U.S. The producer generated 214.66 billion U.S. dollars in revenues in the latest reporting period before August 2021. Moreover, six companies control the oil maritime industry in the country. They are in charge of the majority of oil tankers worldwide. They are named "Oil Majors." The group includes Shell, BP, ExxonMobil, Chevron, TotalEnergies, and ConocoPhillips.

companies, national oil companies, and NOCs have strategic and operational autonomy. First, the international oil companies (IOCs) include ExxonMobil, B.P., and Royal Dutch Shell. They are entirely investor-owned and are primarily interested in increasing value for their shareholders. IOCs typically move quickly to develop and produce the oil resources available to them and sell their output in the global market. Although these producers must follow the countries' laws in which they produce oil, all of their decisions are ultimately made in the interest of the company and its shareholders.

Second, the national oil companies (NOCs) operate as extensions of a government or a government agency. They include Saudi Aramco from Saudi Arabia, Pemex in Mexico, the China National Petroleum Corporation (CNPC), and Types of oil companies Petroleos de Venezuela S.A. (PdVSA). They The world oil market is complex. Governments and financially support government programs and private companies play various roles in moving provide strategic support. NOCs often provide fuels to their domestic consumers at a lower price crude oil from producers to consumers. than their fuels to the international market. The In the United States, companies produce goals of NOCs often include employing citizens, crude oil on private and public land and offshore furthering a government's domestic or foreign waters. Most of these are independent producers, policies, generating long-term revenue to pay and they usually operate for government programs, and supplying inexpensive only in the country. The other organizations, often domestic energy. All NOCs referred to as major oil that belong to members OF THE TOTAL U.S. CRUDE OIL companies, such as Chevron of the Organization of PRODUCTION COMES FROM and ExxonMobil, may have the Petroleum Exporting FIVE STATES: TEXAS 41.4%, hundreds or thousands of Countries (OPEC) are in this NORTH DAKOTA 11.6%, NEW employees and operate in category. MEXICO 7.4%, OKLAHOMA many countries. 4.7%, AND COLORADO 4.2%. Finally, the NOCs with Three types of companies strategic and operational supply crude oil to the global oil market. Each type autonomy function as corporate entities and of company has different operational strategies do not operate as extensions of their countries' and production-related goals; international oil governments. They balance profit-oriented

69%


Oil&gas concerns and their countries' objectives with the development of their corporate strategies. This category includes Petrobras (Brazil) and Statoil (Norway).

of liquified natural gas as Europe's energy crisis and shortages in China send the demand for American shipments soaring. The nation's dry natural gas production in 2020 was about 33.5 trillion cubic feet (Tcf), The U.S. as a natural gas an average of about 91.5 producer billion cubic feet per day and Since 2018, the United States the second-highest annual has been the world's largest amount recorded. Most of BY 2025 THE AGGREGATE oil and natural gas producer, the production increases VOLUME OF LIQUID followed by Russia, Iran, Qatar, since 2005 are the result of HYDROCARBON AND China, and Canada. The country horizontal drilling and hydraulic BIOFUEL PRODUCTION today produces nearly all of fracturing techniques, notably IN THE U.S. AND CANADA the natural gas that it uses. in shale, sandstone, carbonate, WILL AMOUNT TO 19 MB/D. and other tight geologic EQT in Pittsburg is the formations. largest producer of natural gas at four billion Natural gas comes from onshore and offshore cubic feet daily on average in 2019. The second natural gas, oil wells, and coal beds. In 2020, the producer headquartered in Houston, Texas, is production was about 10% greater than U.S. ExxonMobil. total natural gas consumption. USA Gasoline owns the country's gas companies. It operates in 10 states, Alaska, U.S. dry natural gas production in 2020 was California, Colorado, Idaho, Nevada, New Mexico, 0.4 Tcf lower than in 2019 because of a decline Oregon, Utah, Washington, and Wyoming. in drilling activity related to low natural gas and The country has 34 natural gas-producing oil prices, which was essentially the result of a states. The top five and their share of total drop in demand resulting from the response to U.S. natural gas production in 2020 were Texas the COVID-19 pandemic, as well as increased 23.9%, Pennsylvania 21.1%, Louisiana 9.5%, recovery of natural gas plant liquids from marketed Oklahoma7.6%, and West Virginia7.1%. natural gas. Also, the U.S. is now the world's leading exporter

90


Oil&gas demand will focus on real state, infrastructure, cars, and hi-tech goods. The rise in these markets will increase the demand for energy resources.

MOST U.S. NATURAL GAS USE IS FOR HEATING AND GENERATING ELECTRICITY.

Oil, gas, and economy The oil and gas industry is involved in the exploration, extraction, refining, transport, and marketing of hydrocarbons. Many industries are highly dependent on oil and gas products, mainly in the form of fuels or raw materials for chemical products. The oil and gas industry is one of the largest worldwide. The companies in this industry are among the top companies by revenue. Oil & gas Outlook 2025 By 2025 the global population will grow by more than 1.1 bln people. As a result, the levels of consumption will increase. The urban consumer class will grow, and the middle class will represent more than 50% of the global population. The principal growth will be in Asia, and the consumer

The current situation of the global production of oil and gas is focusing on many challenges. First, the international demand for liquid hydrocarbons will continue to grow; second, the increase in oil production in North America won't lead to a global oil prices collapse; third, the European oil refining industry is experiencing a systemic crisis; and the gas consumption will grow faster than oil consumption. As a result of the actual conflict in Ukraine, keeping the oil production in Russia will require largescale use of new technologies. Still, the principal challenge for the Russian gas industry is the re-access to the international markets. Gas versus oil The gas demand growth resulted from its environmental credential and low production costs compared to other types of fossil fuels. Natural gas produces fewer carbon dioxide emissions or critical elements such as sulfur. In Asia and the Middle East, gas-fired electricity generation will replace coal and oil-powered plants. Gas production is growing fast in North America. Another issue to support gas generation is the safety concerns of nuclear power. Over the following years, the population growth will also contribute to growth in gas. China will be the primary region for gas consumption growth and is one of the world's largest consumers and importers of gas. By 2025 global gas consumption will continue to grow at the annual rate of 2.2%. It will have the highest rate of growth among other types of fossil fuels.


Inflation and the Green Swans at the Gate

The global demand rise, the volatile prices, and the environmental policies put the oil and gas U.S. sector face to face with cost reduction, performance optimization, and minimizing its ecological footprint. SUSAN NASH DIRECTOR OF INNOVATION AND EMERGING SCIENCE / TECHNOLOGY IN THE AMERICAN ASSOCIATION OF PETROLEUM GEOLOGISTS (AAPG

BY: SUSAN NASH, PH.D. We’re familiar with “black swan” events, a term coined by Nassim Taleb, who used it to describe shock events that come as a surprise, are unanticipated, and are then overly rationalized with “hindsight bias.” Taleb used the concept to analyze the 2008 global banking crisis. COVID was considered by many to be a black swan event because a pandemic, although not outside of the realm of possibility, but was novel, unexpected, and soon spanned the globe. GREEN SWANS Now, there is a new type of disruptive event,

a “Green Swan.” A green swan event is a largescale, high-impact, disruptive and destructive event that is due a weather or climate shock. An example of a “green swan” event was Hurricane Harvey in 2017. Other examples in the U.S. are the 1,000-year drought in the American West, massive wildfires in the drought-stricken areas, and devastating flooding such as the Yellowstone River in June 2022. Green swan events can be very devastating and have long-term and lasting effects, especially if they are a part of a larger, global pattern of climate


Oil&gas change. For example, massive relocations of people in a kind of “green swan diaspora” are occurring as farmers must leave their failed farms and people with flooded homelands move to higher ground. As opposed to a black swan, a green swan is not unexpected. However, for the most part, we are dealing with green swans in a reactive mode, rather than in a proactive manner. Being reactionary rather than proactive is a bad idea in times of a stable economy, but potentially devastating in times of high inflation. INFLATION AND GREEN SWANS Inflation makes it much more costly to respond to and rebuild from green swan events. Green swan events in and of themselves are highly inflationary as they can cause shortages, disrupt logistics, and create long-term supply chain bottlenecks. There is further inflationary pressure on certain markets as people move to more survivable geographical locations. For example, Duluth, Minnesota has recently been identified as a “climate refuge” as climate migrants from the

coasts and drought-stricken, water-depleted locations such as California and Arizona. There will be pressure on systems to accommodate the change, and the towns that lose water and inhabitants will have trouble even surviving. What does the deadly combination of inflation and green swans mean for a person in the energy industry? There are unique challenges and opportunities for anyone who is in any kind of energy business, and without planning, there is a chance of being devastated by a green swan. SHORT-TERM STRATEGIES Green swan events will affect everyone. The first step is to identify potential green swans that could possibly occur, whether they be flooding, tornado outbreaks, wildfires, ice storms, or extreme drought. It is important to start developing a plan for responding to a green swan • List potential green swan events • Identify risks to property, human health, and infrastructure • Have a plan for being able to access funds and to pay for items in the case of no bank access,


Oil&gas no power, or a combination • Mitigate the physical risk where possible o Build fire breaks o Clear out dry brush and “fuel” o Install a storm shelter o Bury cables underground • Build in redundancy and backups o Back-up power o Backup water systems and supply o Maintain an emergency supply of food, water, medicine and more o Have a communication plan o Business operations cloud-based o Strategic and personal information backed up in the cloud MEDIUM TERM STRATEGIES To plan for the medium term, for what to do 2 – 6 months after the green swan event, it is important to take inflation into consideration. As you plan for a potential green swan event, be sure to not simply plan for a disaster, but plan for a business that is disaster-resilient, and that could even be a ray of hope during green swan recovery. One of the main concepts to keep in mind when thinking about investing and building during times of high inflation is that cash will have less and less buying power as time goes on. The price of goods and services, however, will increase. So, a traditional strategy for inflationary times is to invest in productive capacity that will allow you to generate goods and services that will keep pace with inflation. You’ll

be investing money while it still has purchasing power. Another key principle to keep in mind is the fact that bargains generally abound as people use up their cash just trying to purchase the things they need to survive. This is even more the case during a crisis. So, you may be able to find opportunities to purchase at a good price. In the case of energy and water shortages, some investment opportunities could be in the following areas: • Water purification of brackish aquifers, or saline water produced from oil wells • Reverse osmosis water purification systems fired by electricity generated by solar panels, or directly from low-volume gas (previously flared) • Import-replacement manufacturing; producing essential components needed for local building, infrastructure, control systems, etc. A good start is using 3D printing techniques. • Local farm-to-table production using onsite purified water, onsite generated electricity for hoop houses and greenhouses that produce crops such as salad greens, berries, tomatoes, and more. LONG-TERM STRATEGIES In addition to doing the short-term and mediumterm interventions and risk management, it is necessary to think of a long-term strategy that preserves value, adapts to changing times (climate, weather, energy), and can both hold value and generate cash flow.


Oil&gas Long-term strategies must consider diversification as a core strategy, and a focus on a business that has a local market (as well as a more distant one). For example, you may focus on buying an existing business. Buying an existing business can have the following advantages: • Reduced uncertainties and unknowns • Already established business relationships with suppliers and stakeholders • Bargains: you can buy at a favorable prices, especially if you have cash or even stock (for a stock purchase) • Quick start: you can be quick to market; up and running with established customers and clients Purchasing property in a drought-stricken area can be a viable opportunity if you have your own way to economically supply potable and agricultural-use water and energy (electricity), and you can piggyback on the existing infrastructure. In this case, you may wish to purchase distressed real estate (no water, burned, etc.), if it can be transformed or revitalized. There may even be opportunities to expand energy production at low cost in green swanimpacted areas if the infrastructure will require repair. If you can be a part of the infrastructure repair (rebuild pipelines, gas gathering systems, etc.), there could be an opportunity to re-establish energy production which would be a benefit not only to your own organization, but to the extended community at large. PLANNING AND THINKING IN ALL DIRECTIONS No one wants to see green swan events, especially if coupled with other disruptive events and inflation. However, the more one opens one’s mind to the possibility of events, and then starts to map out the possible impact, the more one can plan.

One of the best approaches is to build a heat map in which you list the possible areas of risk (business activities, facilities, human health and safety, inventory, power supply, water, food supply, political risk), and then for each one, assign a value from 1-10 on the likelihood of it happening, and then again, for the intensity of the impact. Using these values, you can chart them on a graph and then see at a glance where your highest risk exists. You can use the results to prioritize your interventions and investments. Let yourself think of the situations from multiple points of view, and then look at where your operations and your home are. Looking at how green swans can move across the map helps you think of the situation from even more perspectives. Finally, as you do so, invite others to join you in the process. You may be amazed at how transformative the process will be to your thinking and for securing a bright future.


The resurgence of the industry

Strategic exploration and production projects in U.S. and Canada Both countries are focused and ready to increase their industry in 2022.


BY: NORMA MARTINEZ

United States The U.S.A. is one of the world's largest markets for the oil & gas industry. Oil and gas investments The country's major oil industry segments contain all the steps involved in finding, producing, processing, transporting, and marketing oil and natural gas. The oil and natural gas sector support more than 9.8 million U.S. jobs and 8 percent of the economy. Access to oil and natural gas resources from federal lands and waters is critical to supplying the energy needs of American consumers, businesses, and homeowners. The United States produces oil and natural gas from leases with private ownership. These resources provide a portion of the energy its modern economy requires. The oil and natural gas produced on the Outer Continental Shelf and multiple-use, non-park public lands in the Inter-Mountain West and Alaska will be increasingly important to the nation's energy future. The industry is recovering from the pandemic. The global oil and gas investment will increase by $26 billion this 2022. A significant contributor to a 14% increase in upstream gas and L.N.G. investments will be a significant contributor. Sanctioning activity Sanctioning activity is set to rebound in North America, with over $40 billion worth of projects due for investment decision in 2022. Six L.N.G. projects are expected to receive the green light, five in the U.S. and one in Canada.

THE E.I.A., OPEC, AND I.H.S. MARKIT INDICATES THAT OIL DEMAND WILL TOP 100 MILLION BARRELS PER DAY WITHIN THE NEXT TWO TO THREE YEARS AND REMAIN AT OR ABOVE THAT LEVEL UNTIL 2040.

Offshore projects will also provide opportunities for contractors as TotalEnergies' North Platte project enters the final stage of its


Industrial Consumers

NATURAL GAS IS EXPECTED TO BE ONE OF THE FASTESTGROWING ENERGY SOURCES GLOBALLY, WITH DEMAND PROJECTED TO INCREASE 14% BY 2030 AND 28% BY 2050.


Industrial Consumers tender process and L.L.O.G. Exploration's Leon and Chevron's Ballymore developments in the U.S. Gulf of Mexico look to proceed to development phase in 2022. Production E.I.A. forecasts U.S. crude oil production in the U.S. Federal Gulf of Mexico (GOM) to increase in the next two years, according to the latest ShortTerm Energy Outlook (S.T.E.O.). By 2022, 13 new projects could account for about 12% of total GOM crude oil production, or about 200,000 barrels per day (b/d). In 2020, the GOM accounted for 15%–16% of U.S. crude oil production. However, hurricanes are a critical element in the GOM forecast production.

U.S. crude oil production will increase to 12.0 million b/d in 2022, up 760,000 b/d from 2021. The E.I.A. forecasted that crude oil production in the United States will rise by 630,000 b/d in 2023 to 12.6 million b/d. More than 80% of that crude oil production growth seems to come from the Lower 48 states (L48), which does not include production from Alaska and the Federal Offshore Gulf of Mexico. Production from new L48 wells, particularly in the Permian region, drives our forecast of U.S. crude oil production growth. The crude oil production from existing wells typically declines relatively quickly in tight oil formations, and the production from new wells will offset the legacy production declines.

Crude oil production is subject to geologic From January 8, 2021, to February 7, 2022, the conditions, economics, and project timelines. L48 added 220 oil-directed rigs, 114 of which were Large offshore projects in the Permian region. We forecast that production take several years to develop. Nine new projects in the Permian region will THE OIL AND GAS INDUSTRY are in production this year, average 5.3 million b/d in SUPPORTS MILLIONS OF according to Rystad Energy. 2022 and 5.7 million b/d JOBS IN THE U.S., PROVIDES in 2023. LOWER ENERGY COSTS FOR Also, the future oil CONSUMERS, AND ENSURES markets remain uncertain, L48 crude oil production ENERGY SECURITY. so future projects' timelines The oil production forecast assumes the West Texas may change accordingly. Intermediate crude oil price 2022 oil outlook averages $79/b in 2022 and $64/b in 2023, which The E.I.A. forecasts that crude oil prices will remain we expect will lead to continued increases in high enough to drive U.S. crude oil production to drilling activity and crude oil production in the record-high levels in 2023, reaching 12.6 million United States. barrels per day (b/d). Canada It is expected that the new production in the Canada is one of the most innovative and Permian Basin to drive overall U.S. crude oil environmentally responsible energy producers globally. production growth.


Oil Industry Oil is a powerful and versatile source of Canadian energy. It will be part of the global energy mix for the following years.

petroleum, the province has about 2,300 producing oil and gas wells. The province's manufacturing sector is an essential supplier of the country's oil and natural gas industry.

Canada has about six billion barrels of remaining oil reserves located outside the oil sands, found primarily in Alberta, Saskatchewan, and offshore Newfoundland and Labrador.

Québec has an abundance of natural gas to meet its own needs. Most of the production is in the southern flank of the St. Lawrence River in the province's portion of the Utica shale formation. The area also refines Canada's oil.

The country's oil industry is active in 12 of 13 provinces. Canada's exploration and oil and natural gas production is a national industry.

Newfoundland and Labrador have four oil offshore producing projects and significant exploration THE NATURAL GAS AND OIL activity.

This economic activity contributes billions to the country's G.D.P. and creates thousands of jobs each year.

INDUSTRY IS ONE OF THE LARGEST EMPLOYERS OF INDIGENOUS PEOPLE IN CANADA, WITH A SUPPLY CHAIN THAT INCLUDES APPROXIMATELY 275 INDIGENOUS-OWNED BUSINESSES.

Provinces producing oil British Columbia is Canada's second-largest natural gas producer. The oil reserves are in the northeast area of the province. The Horn River and Montney are natural gas basins.

Alberta is Canada's largest oil and natural gas producer. The oil sands are located in the province's northern area, and natural gas is found throughout. Saskatchewan is the second producer of oil in Canada after Alberta. In addition, it is a significant producer of natural gas. Manitoba's crude oil production is more than 40,000 barrels per day with the Sinclair field. Although Ontario is not a significant producer of

New Brunswick has Frederick Brook Shale, which stretches across the southeastern part of the province and is part of the Maritimes Basin.

In 1967 Nova Scotia drilled its first offshore well. The first offshore discovery was at Sable Island in 1971. Today, the area has 127 exploration wells offshore. Prince Edward Island's oil and natural gas industry is new. More than one million acres of land are under active exploration for oil and natural resources. The Northwest Territories, Nunavut, and Yukon have considerable, untapped crude oil and natural gas resources. The industry acquired offshore oil and gas interests, and there are active exploration programs in the Northwest Territories and Yukon.


Industrial Consumers

Projects investment in 2022 The Canadian Association of Petroleum Producers (C.A.P.P.) is forecasting a 22 percent increase in the natural gas and oil investment in 2022. This aspect would mark the second straight year of significant increases in investment. Canadian producers want to capitalize on better commodity prices due to the rapidly growing global demand for natural gas and oil. Regional outlook review Alberta is expected to lead all provinces with upstream investment expected to increase 24 percent to $24.5 billion in 2022. Producers in British Columbia are interested in growing their investment in the province. In 2022, upstream investment in B.C.B.C. is forecast to grow to $4.1 billion. In 2022, producers expect to invest $2.7 billion in the province, a 16 percent increase over 2021 in Saskatchewan. However, the increasing municipal costs in some rural jurisdictions raised concerns that may stop investment in the area. Canada's offshore development offers some of the world's lowest emission oil. The offshore sector is attracting investment, with anticipated spending in the industry to grow by seven percent to approximately $195 billion in 2022. In Newfoundland and Labrador, offshore investment is expected to remain relatively flat at $1.6 billion in 2022 compared to $1.5 billion last year. Rapid demand growth for oil and natural gas globally and strengthening commodity prices mean Canada's industry is an opportunity for decades to come.


CMP

Reduction of premature failures in BEC equipment BY: EFRAIN MARIANO Reduction of premature failures in BEC equipment by timely analysis of the operation behavior and implementation of immediate actions. The electrocentrifugal pumping system (ECP) is used when the reservoir pressure is not enough to bring hydrocarbon to the surface. Likewise, the BEC provides additional energy (pressure) to the fluid to bring or increase the flow of hydrocarbons to the surface. The study fields, A and B, are geographically located within the territorial waters of the Gulf of Mexico; off the coast of the state of Campeche, 95 km NW of Ciudad del Carmen Campeche; in water depths averaging 49 m on the continental shelf of the Gulf of Mexico. Reduction of premature failures in BEC equipment through timely analysis of operating behavior and implementation of immediate actions. Reduction of premature failures in BEC equipment by timely analysis of operating behavior and implementation of immediate actions. Within the configuration of the electrocentrifugal pumping equipment (BEC) there are bottom sensors; which are essential for the operation and detection of irregular behavior of the equipment. This will allow us to analyze the problem and propose a solution.

Likewise, the main parameters to be measured are operating frequency, motor amperage, motor voltage, discharge pressure, pump inlet pressure, background temperature, motor temperature, vibration, head pressure and downstream temperature. Within the study, the volume of the calcium sulfate scale removal system should cover the entire body of the BEC equipment above and below. The fluid gradient must be known. During the study, the motor amperage was reduced by 24 Ampers. Likewise, the inlet pressure was reduced by 25 PSI. An increase in the downstream temperature of 8 °C was achieved. This helped to improve the flow through the pump, reducing power consumption and improving production. In conclusion, real-time monitoring of the operating variables of BEC equipment in wells is essential to visualize anomalous behaviors in the operation of the equipment. Likewise, they help to perform a detailed analysis of the problem in order to take immediate action for its correction and thus extend the life time of the BEC equipment. Avoiding the deferral of production and in turn costs in the interventions for the replacement of the BEC equipment. The work was presented by Engineer Edgar Moncada García at the recent edition of the Congreso Mexicano del Petroleo (CMP).


47


CMP Mexican Petroleum Congress

Interference detection of mesozoic wells Interference detection of Mesozoic wells with surface data; case study fields of southwestern Mexico. BY: EFRAÍN MARIANO The methodology that was carried out in this work is easy

allows visualizing changes in the associated trends. Likewise,

to apply and has been verified by observing the behavior

the pertinent analysis was carried out on the graphs and

of the interfered well when the interferer well goes into

the interference was determined or ruled out.

production. This has been corroborated in two fields that produce different types of fluids.

As next steps, the data should be analyzed using information from groups of wells; which may provide more information

This approach makes it possible to rule out that what

on the behavior of the deposits during their productive life.

was observed was a singular behavior that occurred in a particular pair of wells. To apply this sequence of steps,

Likewise, the methodology used in the work is very simple

it is a good practice to: collect

to carry out and allows the

the information to be analyzed,

interference to be corroborated

review it, order it and, above all,

or ruled out; that occurs when a

validate it.

new well enters production in an exploited field.

Additionally, it was carried out to be certain that the analyzes

The information provided by

made are based on solid and

the sensors installed in the

reliable information. The first

production trees provides a large

step is to make sure that the

amount of data; which, if analyzed

surface behavior of the wells to

and complemented over time,

be analyzed is independent. This

can lead to optimization in the

is achieved by verifying that the wells in question produce

development of the fields; as well as a better characterization

in critical flow.

of the formations that make up a given structure, debunking the unknowns that could be had when characterizing a

Likewise, this must be done to rule out operational

deposit.

movements that affect the behavior of the pressure to be analyzed. Once the independence of the wells has been

The data that these sensors provide, if analyzed in isolation,

corroborated, the pressure data is plotted.

can be thought to be flat and there is a risk of undermining the importance of the information it provides. Likewise,

The data that will be graphed must have a frequency that

the data from the sensors contribute a grain of sand in the


CMP

titanic task of describing the behavior of the reservoirs.

the sensors made it possible to reinforce that it was not necessary to drill another well in the block of field A.

This modest contribution of being taken advantage of, can contribute in many ways. If it is not used, it can cause value

The savings that this entailed more than pays for the cost

losses to projects and, in the worst case, security risks.

of the installed sensors. In both cases, it was possible to determine and confirm the communication because data

Likewise, it is possible to define the interference between

were available before the entry into production of the well

wells, as the pressure change in the vicinity of a well as

that caused the interference.

a result of the production of a neighboring well or other nearby wells.

In order to be able to use the data from the downhole sensors, it is necessary that the well providing the data;

Additionally, it was possible to determine the communication

is in critical flow to rule out that what is interpreted comes

that exists between wells in field B and how the behavior

from surface noise generated by operational movements.

of the production of both wells was interrelated. Engineers Gerardo Echávez Ross, Guillermo Sánchez Orozco In the case of field A, the producing formation of well A-2-A

and Jaime Castañeda Andrade presented the work at the

was inferred, being the same that contributed the production

recent edition of the Mexican Petroleum Congress (CMP).

of well A-1. As could be seen, the analysis of the data from


CMP Mexican Petroleum Congress

PVT analysis to characterize a reservoir fluid The global demand rise, the volatile prices, and the environmental policies put the oil and gas U.S. sector face to face with cost reduction, performance optimization, and minimizing its ecological footprint.

BY: EFRAIN MARIANO f the information used for the analyzes is not consistent with the thermodynamic behavior of the reservoir fluids, it can have a great impact on an exploitation project.

I

This leads to the need to verify or validate the results of the PVT studies carried out in the laboratory to avoid inconsistencies. Likewise,

to minimize this problem, different authors have proposed different methodologies that allow verifying the consistency of the experiments and/or properties of the PVT studies. The present work was developed with the purpose of compiling the most used methodologies in the industry; in a tool that in an automated way allows engineers to obtain a quick validation of any PVT


analysis. Additionally, the tool was developed in C# and is compatible with the Windows 7 or higher platform. Having a PVT analysis consistent with the thermodynamic behavior of the fluids present in the reservoir is of the utmost importance; given the impact it can have on the results and therefore on the decisions made in the exploitation projects. Likewise, it is important to validate and quantify the quality of PVT studies by their impact on studies before starting any adjustment of an EOS; It is difficult for a PVT that does not pass the validation process to be adjusted and there will be greater uncertainty in the results. Additionally, through empirical correlations, it is possible to determine the order of magnitude in which some PVT properties are found: obtain a preliminary classification of the type of fluid present in the reservoir; which functions as an additional parameter in the validation of PVT studies. Likewise, the present work was developed with the purpose of compiling the most used methodologies in the industry; in a tool that in an automated way allows engineers to obtain a quick validation of any PVT analysis. PVT analyzes represent one of the most important parameters associated with hydrocarbon reservoirs. Most engineering analyzes involve the full or partial use of information from them. Likewise, the present work was developed with the purpose of implementing the validation methodologies of the most used PVT analyzes in

the oil industry, a practical and automated tool. PVT Tools was developed with the purpose of automatically validating PVT analyzes of black oil, volatile oil and gas and condensate reservoirs; through a more complete and friendly tool, integrating the most used methodologies in the industry. The proposed tool can be applied for low shrinkage oil (black oil), high shrinkage oil (volatile oil), and gas and condensate reservoirs. Likewise, in the validation of the PVT analysis, it is obtained for each study. Summary of validation, Fluid Type classification and consistency in laboratory experiments. Conclusions Reduce uncertainty: by estimating hydrocarbon volumes and reserves, generating production forecasts, in the sizing of surface facilities; measurements of the flow of the well, interpretation of production records and in general in any process where there is the presence of hydrocarbons. The tool is not a substitute for the engineering analysis required for decision making; is an additional tool that provides concise information that makes analysis easier for the reservoir engineer. Finally, it is important to reduce the technical gap in this specialty identified by reservoir engineers at PEP. Business license required. Engineers Jorge Enrique Paredes Enciso, Rafael Pérez Herrera and Carlos Javier Larez Campos presented the work at the recent edition of the Mexican Petroleum Congress (CMP).


Power

Modeling for Analysis and Evaluation of Special Projects This paper presented the methodology used for the modeling of several Special Projects (SP) successfully developed in more than a decade of work in an Integral Production Asset of the national company of Exploration and Production in Mexico. By Efrain Mariano

A

ccording to the study, the asset that is born from the merger of two Production Assets; responsible for a significant diversity of reservoirs in complex environmental conditions for the operation of its onshore and offshore fields; in an era of constant organizational and regulatory changes that force its specialists and managers to innovate or disappear. However, although in recent years it has lost more than a dozen oil assignments, it remains a profitable and strategic business unit due to its production of gas and super light oil. Likewise, the so-called special projects in the Integral Production Assets (AIP) are projects that respond to specific needs of internal and/or external conditions;


technical, administrative, regulatory or operating environment situations. Due to their innovative nature in the organization, Special Projects (SP) require scientific, technological or administrative development, in addition to the interaction of various areas of the organization. They are also easily identifiable because they require area managers and a promoter from outside the natural area, who, with the support of the Manager, maintains the focus and opportunity required to create value. The models developed and tested for the attention of Special Projects in the production asset can be classified under three main headings: models to maximize productivity, models to optimize processes and models to ensure sustainability. Likewise, the model allowed identifying and documenting as an area of opportunity, in view

of the continuous theft of electric cables, the generation of electric energy on site for 9 production facilities to guarantee the continuous operation of the process of one third of the oil production; gas and congenital water management. of the Production Asset. During the study it was possible to evaluate the feasibility of an electric cogeneration plant at Compressor Station N; considering the generation of steam (COTSG) by the on-site turbocompressors; by collecting steam up to the compact power module with high efficiency reaction steam turbine; to generate electric energy using as input the steam obtained as a by-product of the operation of 3/5 turbocompressors of EC N. The work was presented by Dr. Angélica Gloria C. Ledezma Arellano at the recent edition of the Mexican Petroleum Congress (CMP). 31


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.